Can an SGK Termination Code Be Corrected?

An SGK termination code is more than an administrative entry. It records how the employment relationship ended and may affect employee rights.

Background

The employee’s departure was reported to SGK under Code 03, indicating resignation. The employee disputed that account, stating that the employer had terminated the contract, and sought correction of the code. The evidence included witness statements and the payment of severance pay.

The lower courts’ findings

The first-instance court found that the employee had in fact been dismissed and that the reported code did not reflect what had happened. The regional appellate court agreed that Code 03 was inaccurate. It accepted that the record should be corrected to Code 04: termination of an indefinite-term employment contract by the employer without stating just cause.

The Court of Cassation’s decision

The 9th Civil Chamber unanimously upheld the regional appellate court’s judgment, finding no ground for reversal in the parties’ appeals. The order correcting the inaccurate code therefore became final in this case. The decision shows that SGK records may be examined against the actual circumstances in which employment ended.

Does correction automatically secure unemployment benefit?

No. Correcting a termination code and establishing entitlement to unemployment benefit are separate legal questions. The other statutory eligibility conditions must also be met; correction alone does not guarantee payment.

What this means for employers

The SGK code should reflect the actual reason employment ended. Resignation, employer dismissal and other forms of termination have different legal consequences. Termination documents, resignation letters, compensation payments and SGK reporting should be consistent.

This article provides general information. Each case must be assessed in light of its own circumstances.

Tevfik Özkan