Dismissal and redundancy

Dutch law determines nine (9) different legal grounds based on which an employment contract may be terminated. These are the so-called reasonable grounds for termination.

Every single reasonable ground has its own set of rules. These rules need to be met, if your employer wants to terminate your employment agreement. If your position was declared redundant, your employer might claim economic grounds for dismissal.

Such a redundancy will give rise to all sorts of questions. Does the alleged economic ground for termination actually exist? Or, if you accept a termination agreement, will you receive the package that you are entitled to? What should be the amount of the transitional payment offered to you? And how can you safeguard your unemployment benefits, should you be entitled to these?

Your employment contract can be terminated in several ways: e.g. by mutual agreement via a termination agreement, via dissolution by the court, or your employer can give notice of termination after approval from the UWV (Dutch Employee Insurance Agency).

Regardless of the manner: the specialists at GMW lawyers have the knowledge and experience to provide you with good support.

My contract is coming to an end

If you hold a fixed term employment contract, your contract mentions a date on which your employment agreement in principle ends. But in some cases, this end date is not valid anymore. For instance if you already have received three temporary contacts in a row, the fourth contract offered is an open ended contract.

Notice of termination

The employment agreement states that both parties can terminate the agreement. Your employer has terminated your employment agreement unilaterally. The notice period has been observed. It looks as if your employment agreement was ended in a legaly valid manner. However, this is not always the case. An employer requires prior written approval either from you or from the UWV before terminating your employment contract. Consenting to a dismissal yourself rarely is a wise thing to do. And even then a prohibition to give notice of termination might apply. For instance if you are sick or pregnant, an employer is not allowed to terminate your employment contract.

Dissolution

Your employer can also go to the subdistrict court in order to have your employment agreement dissolved. In such proceedings you may be able to claim a transitional payment if your employment will be dissolved and perhaps even a fair reimbursement due to a serious imputable act or omission of your employer. Learn more about severance payments.

Settlement agreement

If you agree with the termination of your employment and you would like to reach an agreement by consultation with your employer, the agreement can be included in a so-called settlement agreement. The settlement agreement needs to hold all details under which you were willing to accept a termination of your employment. Have you already signed a settlement agreement, but are you unsure whether it holds all relevant details, there might be an escape. Dutch law provides for a period of two weeks to change your mind and cancel the settlement agreement, starting form the day on which parties reached the agreement.

More information

GMW lawyers will be happy to help you with all your employment-related legal issues. If your employment agreement has been terminated, we invite you to contact us directly using the enquiry form below or +31 (0)70 3615048. Our employment lawyers will be happy to support and advise you.

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