Dismissal law in the Netherlands
Dutch dismissal law offers employees strong protection. When your employer wants to dismiss you, they must comply with strict rules and procedures laid down in the Dutch Civil Code (Book 7, Title 10). As an employee, you have various rights and options, depending on the dismissal route your employer chooses.
The three dismissal routes
In the Netherlands, there are three main routes for dismissal. Firstly, the employer can apply for a dismissal permit from the UWV on the grounds of business economic reasons or long-term incapacity for work (Article 7:669(3)(a) and (b) of the Dutch Civil Code). Secondly, the employer can request dissolution of the employment contract from the subdistrict court on other grounds such as poor performance, culpable conduct, or a disrupted employment relationship (Article 7:669(3)(c) to (i) of the Dutch Civil Code). Thirdly, the employer and employee can reach a mutual termination agreement (settlement agreement).
Your rights in a UWV procedure
In the case of a dismissal application through the UWV, you are given the opportunity to present your defence. You can raise objections against the grounds for dismissal, the selection criteria, or the redeployment options. It is crucial to seek legal advice promptly, as the deadlines are short. After a dismissal permit has been granted, you still have the option to claim reinstatement of the employment contract before the subdistrict court.
Your rights in dissolution by the subdistrict court
In dissolution proceedings, you are invited to a hearing where you can present your position. The subdistrict court assesses whether there is a reasonable ground for dismissal and whether redeployment is not possible. It is also assessed whether you are entitled to a transition payment and possibly a fair compensation in the event of seriously culpable conduct by the employer.
The settlement agreement
In practice, the majority of dismissal cases are settled through a settlement agreement. This offers both parties certainty and flexibility. As an employee, it is essential that the terms are properly negotiated. Pay attention to the severance payment, the end date, release from work, the non-competition clause, and the final discharge. After signing, you have a statutory cooling-off period of fourteen days pursuant to Article 7:670b(2) of the Dutch Civil Code.
What can you do?
In the event of impending dismissal, it is important to act quickly. Engage a specialised employment law attorney who assesses your position and determines the best strategy. At Arslan Advocaten, we have extensive experience with all forms of dismissal and regularly negotiate better terms for our clients. Contact us without obligation for an initial assessment of your situation.
