The notice period is one of the most important elements of employment law. It determines the length of the period between the moment of dismissal and the official end date of your employment contract. An incorrect application of the notice period can have major consequences for both employee and employer, for example regarding the start date of unemployment benefits.
In this article, we explain how the notice period works, what the statutory rules are and what you should look out for in the event of dismissal or a settlement agreement.
What is the notice period?
The notice period is the period that applies when terminating an employment contract. During this period, the employment contract continues and you are obliged to work or receive salary until the period has elapsed.
Statutory notice period for employees
For employees, the notice period is usually one month, unless the contract or collective labour agreement states otherwise.
The period may be extended, but not without limit.
If the notice period for the employee is extended, this must be clearly stated in the contract.
Statutory notice period for employers
Longer periods apply for employers, depending on the length of employment (Art. 7:672 of the Dutch Civil Code):
Less than 5 years of employment: 1 month
5 to 10 years of employment: 2 months
10 to 15 years of employment: 3 months
15 years or more of employment: 4 months
In some collective labour agreements, different periods have been agreed.
Notice period in a settlement agreement (VSO)
The UWV always looks at the statutory or collective labour agreement notice period when determining the start date of your unemployment benefits.
Example:
You have worked at a company for 8 years (notice period = 2 months).
Your VSO ends after only 1 month.
The UWV still applies 2 months, meaning you receive no unemployment benefits for 1 month.
It is therefore crucial that the end date in a VSO is properly aligned with the statutory notice period.
Exceptions and special circumstances
Summary dismissal: no notice period. The dismissal is immediate.
Probationary period: dismissal may be immediate.
Collective labour agreement: different (shorter or longer) periods are permitted.
Buyout arrangement: sometimes an employer pays additional salary to compensate for the notice period.
Practical examples
Example 1: An employee signed a VSO with an end date that was too early. The UWV refused 1 month of unemployment benefits. After renegotiation, the date was adjusted.
Example 2: A collective labour agreement prescribed a longer notice period for the employer. As a result, the employee received an extra month of salary.
Example 3: An employee who was summarily dismissed still received compensation because the court found the dismissal unjustified and reinstated the normal notice period.
Checklist: notice period
Check whether your contract or collective labour agreement contains different rules.
Take the correct period into account in a VSO.
The UWV always assesses the statutory or collective labour agreement notice period for unemployment benefits.
Request compensation for a notice period that is too short.
Always have your VSO or dismissal checked by an employment lawyer.
Common mistakes
Assuming the end date in a VSO is always correct.
Forgetting that collective labour agreements can have different periods.
Not requesting compensation for a period that is too short.
Relying on the employer's calculation.
Frequently asked questions (FAQ)
1. What happens if my notice period is incorrectly stated in the VSO?
The UWV may delay the start of your unemployment benefits, leaving you without income for a period.
2. Can my employer extend my notice period?
Only through the contract or collective labour agreement, but the period must remain reasonable.
3. Can I buy out the notice period?
Yes, the employer often pays additional salary to compensate for the period.
4. Does the notice period also apply to summary dismissal?
No, that is immediate dismissal.
5. Do I have to observe the notice period if I resign myself?
Yes, unless employer and employee agree otherwise.
Why Arslan Advocaten?
Checking that the correct notice period has been applied
Preventing you from missing out on unemployment benefits
Negotiating compensation in VSOs
Experienced in collective labour agreement and contractual disputes
Conclusion
The notice period may seem like a detail, but it can have major financial consequences. An incorrect calculation can cost you months of unemployment benefits. Therefore, always have your dismissal or settlement agreement checked, so you are not caught off guard.