However, Dutch law allows for parties to come to a consensual termination. The pertinent portions of the law provide: Article 283. I have worked with staff in the Netherlands for around 25 years now and wouldn't dream of going down the redundancy/dismissal route without legal advice. Learn about the requirements of the Netherlands’ three main immigration permits: the highly skilled migrant programme, the EU Blue Card and the ICT pe... EU citizens relocating to another EU country have many unanswered questions: What are the rules on health insurance? More information on redundancy payments in the Netherlands can be read at the Minerva Advocaten website. There is no regulatory framework in Hong Kong that governs the redundancy process … You can manage your cookies consents at any time via our Privacy Policy, change your settings now, or accept all cookies. In every case, Daniëlle tries to make a difference and really help her client. If, on the other hand, the dismissal is based on a personal issue, such as inadequate performance by the employee, the subdistrict court judge decides on the termination. In this situation, the employer may not legally terminate the employment contract. Daniëlle van den Heuvel works in property law and employment law at GMW lawyers. UWV forwards the response from the employee to the employer. "Shell can confirm it has introduced a selective voluntary severance programme in The Netherlands," a spokesman said. Redundancy also brings up several tricky questions, including whether it’s possible to make someone on maternity leave redundant, and when it’s ok to recruit again following a redundancy. The Netherlands has a strong culture of awareness of employment rights and minor slips by an employer can invalidate the process very easily. Your career can bounce back from redundancy . This article explains the process employers must follow and why a settlement agreement can be easier than dismissal via UWV procedure. Employers are wise to seek legal advice if they are facing a reorganisation that will require redundancies. Shell (RDSa.L) said it had started a voluntary severance process in the Netherlands as part of a plan to cut around 10,300 jobs worldwide. Find out about your rights and where to go for help. Analytical cookies allow us to recognise and to count the number of visitors to our website, to see how visitors move around the website when they are using it and to record which content viewers view and are interested in. This is one of the authorized causes which an employer, in good faith, may utilize as a measure of efficiency in the company, or to prevent company losses. If you choose to remove targeted or advertising cookies, you will still see adverts but they may not be relevant to you. Within property law, Daniëlle is mainly involved in rental disputes and procedures concerning real estate transactions, representing real estate entrepreneurs, project developers, housing corporations and private individuals. You’re not alone! Making staff redundant in small and micro businesses (eg businesses between 1 and 50 employees with a turnover below £10 million) is not an easy task, but might be necessary for the survival of the business. Under the UAE Labour Law, the redundancy procedure should be carried out in a broad and transparent manner, so that it involves a meeting with each affected employee. Various factors can affect the size of such a payment, including how long you were with the company. No one wants to be made redundant, but it can happen to even the most skilled and dedicated employees. Depending on the reason, a procedure must be determined through the Dutch Dismissal Authority (UWV) or a subdistrict court judge. Turck supports PROFINET adoption in the process industries by launching the world's first IP67 I/O module with PROFINET S2 system redundancy. Dutch employment law can be rather complex, in particular the dismissal laws. "Shell can confirm it has introduced a selective voluntary severance programme in The Netherlands," a spokesman said. The entitlement exists even if you are dismissed during the probationary period. Many things can influence the way being made redundant in the Netherlands plays out. However, there are various protections available to employees in the Netherlands. Article provided by Russell Advocaten, an IN Amsterdam partner. Determining who is made redundant If an employer in The Netherlands is seeking to dismiss multiple employees for financial and economic reasons, or even to survive its restructuring process, then it must do so whilst abiding by the principle of proportionality or reflection principle (in Dutch: afspiegelingsbeginsel). The reorganization of a business can have substantial impact and economic necessity may dictate the need to dismiss multiple employees. This rule applies to both individual and collective dismissals. If you do not comply with the duty to report, this can lead to the annulment of the dismissals. Employees in the Netherlands enjoy strong legal rights. Though the pandemic has changed many things, the real estate market has stayed strong and people are still looking for houses and apartments in the Am... Register a short or long stay in Amsterdam with the municipality (gemeente), and receive your citizen service number (burgerservicenummer, BSN). Any of these factors may have the effect that the business requires fewer employees to undertake the remaining work. In any case, at least one month’s notice should be obtained. However, employers and employees often choose to break the contract by reaching a settlement agreement, which usually stipulates a redundancy package, among other things. For inform... You need a residence permit to work as a highly skilled migrant in the Netherlands. Depending on your situation, there might be new possibilities with your current employer. Some of the primary examples are because your company is: 2 in the region of Northern Holland, I am voting in favour of this Report or, to put it another way, in favour of mobilising the EGF to support the Netherlands. Where there is a major redundancy and a works council exists, the employees may have a compensation claim under a social plan negotiated between the employer and the works council. Such an arrangement is not only to the benefit of the employer, depending on the situation a settlement agreement can be to the advantage of the employee. However, an employer must also ensure that it follows a fair process when carrying out such a dismissal. ... this is called collective redundancy. The Collective Redundancy Notification Act can partly be seen as a leverage instrument to stimulate information and consultation of works councils in the case of collective dismissals: the public authorities will not issue the necessary permits if information and consultation with the unions and/or the works council have been violated. Find out more about IN Amsterdam’s partnership programme. The redundancy programme may proceed even if the representatives oppose it provided the employer has completed the consultation process. For example, objective selection criteria must Shell said it had started a voluntary severance process in the Netherlands as part of a plan to cut around 10,300 jobs worldwide. One such reason for dismissal is redundancy for business economic reasons, for example during a company reorganisation. Any redundancy notice must be served in writing – verbal dismissals are not effective under law. These cookies track your browsing habits to enable us to show advertising which is more likely to be of interest to you. The Netherlands. Functional cookies record information about choices that you have made, and they also allow us to tailor the website to suit your needs. Frequently, both parties will be assisted by a lawyer during negotiations. First, they must request permission from the UWV (Employee Insurance Agency) to terminate the employment contract. The process can be detailed and complex, so consider asking a trusted legal professional for guidance, like the team at Russell Advocaten, and you’ll know your best interests are being looked after. For example, We also use cookies to save your language preference. Legal Expat Desk is an information hub powered by GMW lawyers. Empathetic and dedicated to giving the best possible service, Daniëlle combines a responsive attitude with a clear, analytical and personal approach. This article explains the process employers must follow and why a settlement agreement can be easier than dismissal … You must report the intention to the trade unions and the Employee Insurance AgencyExternal link (Uitvoeringsinstituut Werknemersverzekeringen, UWV). By Reuters Staff. If you’re thinking about taking up paid work in the Netherlands, here are some aspects of Dutch employment law to consider. The UWV is not involved in a settlement agreement; negotiations take place between the employer and employee. Bearing in mind that the Netherlands submitted a request for assistance in relation to 613 cases of redundancy that have occurred in two companies within Division 18 (wholesale trade, except of motor vehicles and motorcycles) of NACE Rev. Though this festive season will be different than most, there are still ways to have fun and celebrate the holidays while staying safe. EU countries can reduce it or extend it to 60 days in certain cases.. Rights of workers when a business is taken over Based on that information, and with our permission, third-party advertisers can place cookies to enable them to show adverts which we think will be relevant to your interests while you are on third-party websites. ... Get to know the benefits of the 30% reimbursement ruling for highly skilled migrants and see if the tax advantage applies to you. Employees in the Netherlands enjoy strong legal rights. Also, if your notice period is longer than one month, the employer’s notice period must be twice as long. If the UWV grants permission, the employer can give notice to terminate the employment contract. The redundancy process is different depending on the size of the business and the number of employees that are being made redundant. These cookies use information about your browsing history to group you with other users who have similar interests. In other words, your employee agrees voluntarily to the dismissal. Our knowledge base provides insights into Dutch law, clear answers to frequently asked questions and articles about key topics affecting people today. UWV forwards this information to the employee. A lawyer can check the settlement agreement and advise you if it is fair and in keeping with your rights. In the event that over 20 employees are made redundant, then it will be categorised as a collective redundancy. Currently, you are entitled to a transition compensation that’s equal to 1/3 of your monthly salary per year of service, starting on the first day of your employment and ending the day of your dismissal. A collective redundancy in the Netherlands. If this occurs, the employee is given a chance to respond again too.). Daniëlle also gives regular advice on non-competition clauses, and publishes monthly in the legal magazine Rendement. As part of this, employers must be able to demonstrate that they cannot reassign the employee to another position within the organisation in a reasonable time. The employee has two weeks to respond to the request. The employer must also explain why the reorganisation is necessary, for example due to reduced work, business relocation, organisational redesign, or a combination of factors. However, the duration of the UWV procedure can be deducted from the notice period. One such reason for Dismissal due to business economic reasons is only justified when the reorganisation applies to a duration of at least 26 weeks. They can only be dismissed for a limited number of reasons (grounds). This website uses cookies for site functionality, analytics, and to show YouTube videos. For example, if you are required to give one month’s notice before leaving a job, the employer must give two months’ notice if they want to let you go. Sometimes the UWV does not grant the employer permission, for instance because they have provided incorrect information or because they have not (entirely) followed the legal process. For employees working fewer than 24 months, there is no statutory basis for redundancy payments, but these may be part of collective agreements or existing social plans. Law firm AMS in Amsterdam has experienced Dutch labour law specialists on board. In 2016, DutchNews.nl celebrated 10 years of providing Dutch news in English. Learn more about the conditions and application procedure. 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