Collective Dismissal in the Netherlands

At Dutch law firm Fennek Advocaten, we understand the complexities and challenges businesses face when dealing with collective dismissal or mass layoffs in the Netherlands. Our experienced team of employment lawyers is here to provide you with expert advice and assistance throughout the process. In this comprehensive guide, we will walk you through the key aspects of collective dismissal under Dutch law, ensuring you have a solid understanding of the legal requirements and procedures involved.

The Dutch Act on the Notification of Collective Layoff

The Dutch Act on the Notification of Collective Layoff is applicable when an employer intends to dismiss at least 20 employees within a single three-month period. It mandates certain obligations that the employer must fulfill to ensure compliance with the law. These obligations include notifying both the Employee Insurance Agency (UWV) and the trade unions. The notification must include detailed information such as the reasons for the proposed collective layoff, the number of employees to be dismissed, and specific particulars of their functions, age, and years of service. It is crucial to provide this information in the context of the entire group of employees.

Additionally, the employer must specify the projected dates of termination and the date on which the works council was consulted. By adhering to these notification requirements, you can navigate the collective dismissal process effectively.

Business Reorganization in the Netherlands and the Social Plan

When contemplating a collective dismissal, it is essential to engage in discussions with the trade unions about the necessity and consequences of the reorganization. In most cases, employers are expected to prepare social plans that outline the measures to be taken to support affected employees. These plans help mitigate the impact of the collective dismissal and ensure fair treatment of employees.

The UWV will not consider a request for permission to give notice of termination until one month after the date of notification ofthe collective layoff to both UWV and the trade unions. This one-month period allows for consultations between employers, trade unions, and relevant authorities. However, if the statutory delay would jeopardize the re-employment prospects of redundant employees or other workers within the company, the employer may seek permission from UWV earlier. Failure to provide the required advance notification extends the statutory delay to two months.

Disclaimer: This article is provided for informational purposes only and does not constitute legal advice. For specific guidance on your situation, I recommend consulting with a qualified professional.