A notice period is the amount of time between notification of an employee’s departure or dismissal and the employee’s last day at work. It is a common practice in employment contracts and is defined within the contract itself or subject to a condition of reasonableness. The notice period applies to both the employer and the employee. The length of the notice period depends on the duration of the employment period and can be defined by law or by the employment contract.
In the United States, most employment is at-will, and no notice period is required by law. However, in practice, most employees provide two weeks notice. In other countries, such as Denmark and Poland, notice periods are defined by law.
Establishing a notice period policy can contribute to continuous productivity, high morale, healthy employee-employer relationships, and a positive employee reputation. HR leaders can nurture a culture that effectively uses notice periods by providing an employment contract that explains the notice period policy in simple language and adhering to the notice period rules as it reflects mutual respect towards the opposite party.
There are different types of notice periods, including statutory notice, contractual notice, probationary notice, dismissal without notice or gross misconduct, payment in lieu of the notice period, fixed-term contracts, redundancy notice, and withdrawing notice, and notice period for resignation.