Illness
Employers are required to pay 70% of an employee’s salary during illness for up to two years. During the first year, wages must not fall below the statutory minimum. Employers are also obligated to assist in the employee’s reintegration by exploring suitable roles or adjustments. Non-compliance can result in penalties, such as extended wage obligations.
Employees must cooperate with reintegration efforts and comply with medical evaluations. Failure to do so may lead to suspension of wages or dismissal.
Performance Issues
Performance management must follow a structured process. Employers are expected to:
- Provide constructive feedback and document discussions.
- Offer an improvement plan, typically lasting three to six months.
- Clearly communicate the consequences of inadequate improvement.
Only after these steps can an employer seek legal dissolution of the contract based on performance.
Disrupted Relationships
Employment relationships can become strained for various reasons. Dutch law encourages employers to de-escalate conflicts through mediation or dialogue. If the relationship is irreparably damaged, the employer can apply for dissolution of the contract, provided sufficient efforts to resolve the conflict are demonstrated.
Adherence to these principles ensures compliance and fosters a constructive workplace environment.
This blog was written by Jordi Rosendahl, attorney-at-law and partner at Lexence.
Jordi Rosendahl specialises in employment law and dismissal law. He advises employers, directors and employees on their position under employment law and assists them in negotiations and during procedures at UWV or the District Court.
For inquiries, contact Jordi Rosendahl at j.rosendahl@lexence.com or +31 6 5176 2726.