Employers must be careful: there is a way that the termination may be unlawful despite the acknowledgement of receipt

In a recent judicial case, the courts examined the legality of a termination notice delivered via postal service, where the core issue revolves around whether the employer fulfilled the legal requirement of notifying the employee of the termination of employment according to the Hungarian Labor Code.

The employee moved from his registered address without notifying the employer but arranged mail forwarding with the Hungarian Post. The employer issued a written termination notice and sent it via registered mail. The postal service marked the notice as delivered. The employer notified the employee that the termination was effective, despite having it disputed by the employee.

The court heard the postal worker as a witness, who confessed that the signature on the receipt is his and has no knowledge on the identity of the person who the mail was actually delivered to. The court did not pay importance to the fact that the employees of the post office stated that acknowledgement of receipt did not have to be signed by the addressee during the epidemic situation and it was also not important whether the confirmation of the postal delivery complied with the laws and internal instructions of the Hungarian Post, but whether the employer could credibly prove that, through his agent, the employee actually received the notice containing the termination. Also, significance was not attributed to the employee’s failure to update the employer on his address, as it did not absolve the employer of ensuring proper delivery according to the postal forwarding agreement.

The courts therefore ruled that the employer failed to properly notify the employee of the termination. Consequently, the termination was deemed wrongful, and the employer was required to address the employee's claims for reinstatement and compensation. The case underscores the importance of strict adherence to procedural requirements in employment terminations, particularly concerning the delivery of legal notices, as in the case of irregular delivery of the legal declaration terminating the employment relationship by post, the burden to prove that the delivery actually took place falls on the person making the legal statement.