Summary Dismissal (Fristlose Kündigung)

A fristlose Kündigung is termination without notice or severance. Swiss law (ArG) allows it only when an employee commits serious misconduct or breach of duty so grave that continuing employment becomes impossible. You must act within days, not weeks, and document everything.

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Unlike ordinary notice periods, a fristlose Kündigung ends employment immediately. No two weeks' notice, no three-month wind-down. This tool exists because some behaviour is so serious—theft, assault, repeated safety violations—that asking someone to work out their notice would be untenable.

Swiss employment law sets a high bar. 'Serious' doesn't mean 'I'm annoyed' or 'they missed deadlines.' It means genuine inability to continue the working relationship. Cantonal labour courts interpret this strictly, and wrongful summary dismissal carries significant liability.

When It Arises

You'll face this decision when an employee does something that breaks trust fundamentally. Theft from the company, physical assault of a colleague, repeated refusal to follow safety rules despite warnings, or falsifying records. The severity must justify immediate removal.

Timing matters enormously. You have days—not weeks—from when you discover the conduct to issue the termination. Delay weakens your position. If you wait three weeks to dismiss someone for theft discovered on day one, a court may see it as tacit acceptance.

  • Theft, embezzlement, or fraud
  • Violence, harassment, or threats toward colleagues
  • Serious safety violations after warning
  • Repeated gross insubordination
  • Breach of confidentiality (trade secrets)
  • Working for a direct competitor while employed (if contractually forbidden)

Your Obligation

You must issue a written termination letter within days, not orally. State the grounds specifically—not 'poor performance' but 'falsified timesheets on 15 September and 22 September.' The employee has a right to know exactly why.

You cannot use summary dismissal to avoid notice periods for ordinary reasons. Using it as a shortcut for redundancy or restructuring exposes you to wrongful termination claims. A labour lawyer should review your letter before sending if the case is complex or the employee is unionised.

  • Deliver termination in writing, by registered letter or hand delivery with signature
  • State concrete facts, dates, and specific misconduct
  • Act within days of discovery; delay undermines your claim
  • Continue paying salary and benefits through termination date
  • Provide an Arbeitszeugnis (work certificate) if requested
  • Report dismissal to RAV/ORP/URC if employee will claim unemployment

Most Common Mistake

Employers often use summary dismissal for reasons that don't meet the legal threshold. They're frustrated with performance or want to cut costs and frame it as 'serious misconduct.' Courts see through this and award damages.

The second trap is poor documentation. You felt the behaviour was serious, but your letter says only 'insubordination' without dates or examples. A labour judge will ask why you didn't warn the employee first, and if you can't answer clearly, you lose.

  • Confusing summary dismissal with ordinary dismissal—wrong legal standard applied
  • Using it to avoid paying notice periods in cost-cutting or restructuring
  • Lacking written proof of the misconduct (emails, timestamps, witness notes)
  • Failing to warn the employee beforehand (unless conduct is violent or involves theft)
  • Dismissing someone without consulting your insurer or a labour lawyer
  • Stating vague reasons ('attitude problem') instead of specific facts

Frequently asked questions

Can I use summary dismissal if someone repeatedly shows up late, even after warnings?
No. Repeated tardiness, even chronic, is not serious enough under Swiss law. It's grounds for ordinary dismissal with notice. Summary dismissal requires conduct so grave that the relationship breaks down entirely—theft, assault, or safety violations. Consult a lawyer if unsure.
Must I pay the employee's salary through the end of the month if I dismiss them summarily?
Yes. Summary dismissal ends the contract immediately, but you must pay salary through the termination date and any accrued vacation. You may not withhold pay as punishment. The termination itself is the sanction.
What happens if a labour court says my summary dismissal was unjustified?
You may owe back wages, severance, damages, and the employee's legal costs. They may also claim it as unfair dismissal on their unemployment record, affecting benefits. This is why documentation and legal review beforehand matter.

General information for Swiss employers, not legal advice. Have a lawyer confirm anything with legal consequences.

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