Interruption of studies as a reason for termination of employment

Labour and Immigration law

By: Amanda Marku

Third-country nationals who are continuously preparing for a future profession by full-time study in the Czech Republic do not need a work permit, employment permit or blue card.  However, will the foreigner’s employment relationship continue if the foreigner employed in this way interrupts their studies or if their studies are terminated? The Supreme Court of the Czech Republic, in its decision 21 Cdo 1111/2024, brought groundbreaking answers concerning the termination of employment of foreigners.

A Turkish citizen who was studying and working full-time in the Czech Republic suffered a serious head injury during his studies, as a result of which he became completely dependent on the care of a third party and had to interrupt his studies. The employer informed the foreigner of the termination of the employment relationship on the date of the interruption of his studies, i.e. the date on which, in the employer’s opinion, his right to work ceased. The foreigner disagreed with the employer’s action and maintained that the employment relationship continued. For the employee, the determination of whether or not the employment relationship had actually ended was crucial. It was on this assessment that his rights and obligations arising from his participation in public health insurance, sickness insurance and pension insurance depended.

The Supreme Court agreed with the positions of the lower courts, which confirmed the correctness of the employer’s procedure. Failure to meet the legal requirements for employment (in this case, interruption or termination of studies) leads to the termination of the employment relationship by law. The current legislation does not take into account the personal circumstances or the reasons for the interruption of the foreigner’s studies, whatever they may be.

This decision implies a key obligation for employers to consistently monitor whether foreigners from third countries actually meet the legal conditions for the performance of work without a permit throughout the duration of the employment relationship, especially if they are employed on the basis of student status. The interruption or termination of full-time studies has a direct impact on their employment opportunities – it leads to the termination of the right to work and at the same time to the termination of employment ex lege. If the employer overlooks this fact and continues to employ the employee, the employer runs the risk of sanctions for allowing illegal work. In practice, this means not only the need to continuously require confirmation of active study, but also to introduce internal control mechanisms that will enable timely response to changes in the status of foreign employees.