The act on systematization of working positions is an employer’s general act, by which the latter autonomously determines working positions, working tasks and conditions for performing the work in individual working positions. In adopting the act, the trade union, and the works council or the worker representative are involved by giving an opinion, which, however, is not mandatory for the employer. In order for the act to become valid, the appropriate announcement and briefing of the employees is important. The act on systematization is the basis for many processes within the company, whether employment or redundancy, training, and education is concerned. It is the basis for many other autonomous acts of the employer. The adoption of the new act on systematization or changing the previous one does not influence the individual relations at the employer directly. In case that the alteration of systematization influences the essential elements defined in the contract of employment, the employer and the employee alter the contract of employment consensually. Whenever the need of the work of the employee ceases under the conditions of the contract, and the employer wishes for the employee to continue working in the company, but under altered conditions, the employer can use the institute of termination of the contract of employment with the offer of a new one, and also the consensual alteration of the contract of employment. In practice, the abuse of the institute of the termination of the contract of employment with the offer of a new one often occurs within the framework of the reorganization, when, on the side of the employer, there is actually no cessation of the need for performing the work of the employee – as a consequence the cancellation of the contract is given unlawfully. Within the alteration of the systematization, the employer can, of course, ascertain that the work of the employee is not necessary anymore. In this case the employer terminates the contract of employment on commercial grounds without the offer of a new one.