Presentation by Erika BERNARDI on the new law on contractual termination of employment contracts in Monaco

Erika BERNARDI, Partner at 99 AVOCATS ASSOCIÉS, had the pleasure of hosting a conference for the Association des Femmes Chefs d’Entreprise de Monaco (AFCEM) on "The new law on contractual termination of employment contracts" in Monaco.

The aim of her presentation was to outline the legal and regulatory requirements of this new measure for Monegasque companies, as well as its practical implications.

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Law No. 1.583 of 2 December 2025, supplemented by Ministerial Order No. 2025-715 of 24 December 2025, introduced the contractual termination of permanent employment contracts (CDI) in the Principality.

This reform represents a major step forward in Monegasque labour law by introducing a new, organised and controlled alternative for terminating a contract by mutual agreement between employer and employee.

The mechanism for the contractual termination of employment contracts, which entitles the employee to return-to-work assistance, is based on:

• compliance with procedural guarantees and freedom of consent,
• approval by the Labour Inspectorate,
• fair compensation.

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Since joining this association of women Entrepreneurs of Monaco (AFCEM) in 2023, Erika BERNARDI has been actively involved in the life of the association. She currently holds the position of Secretary General.