The right of cancellation is restricted in labor contracts and penal clause

In labor relations, in order to protect the employee, who is one of the parties of the labor contract and who is in an economically weaker position, the right of cancellation in the labor contract may be restricted by law and generally by contract to prevent the employer from cancelling the contract arbitrarily. While cancelling the labor contract, certain restrictions are determined both for the employee and the employer. Although these restrictions are generally for the employer, for the employee we encounter the restriction of the right of cancellation as penal clause against expenditure of education. Thus in our study, the protection of the employer and especially the employee against cancellation when the right of cancellation is restricted in labor contracts and how the arbitrary cancellation of the contract is prevented is examined. Also because of the increased number of labor disputes and the extended duration of the lawsuits, the obligation to consult a mediator for certain lawsuits is imposed by Labour Courts Law numbered 7036. In our study, Mediation appears in the restriction of the right of cancellation with the penal clause. Our study consists of three parts. In the first part, the outline of the right of cancellation, in the second part, the restriction of the right of cancellation in the labor contract by law and contract, in the third section the restriction of the right of cancellation with the penal clause within the frame of doctrine and judicial decisions are examined in detail.