An employer cannot just fire you. For economic reasons (such as declining sales, cost savings or relocation), the employer must apply for a dismissal permit from the UWV. This type of dismissal often occurs during reorganizations, but the procedure and conditions are strict.
In this article, we explain how dismissal for economic reasons through UWV works, what rights you have, and how you can defend yourself.
When does economic dismissal apply?
An employer can apply for economic dismissal at UWV in the following situations:
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Structural decline in sales or poor financial situation.
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Cost savings are necessary.
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Loss of work due to technological changes or automation.
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Relocation or closure of (part of) the company.
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Organizational changes (for example merger or spin-off).
👉 It must always involve structural circumstances that last longer than 26 weeks.
The role of the UWV
The employer must apply for a dismissal permit from the UWV. The UWV assesses:
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Are the economic reasons sufficiently substantiated?
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Has the reflection principle been correctly applied?
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Is reassignment possible within a reasonable time period?
Only when these conditions are met does the UWV give permission for dismissal.
The reflection principle
In the case of economic dismissal, an employer may not arbitrarily choose who is dismissed. The reflection principle distributes the dismissals across age groups within a job category. This way, employees are fairly distributed across the various age categories.
Rights of employees when dismissed through UWV
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Right to the transition fee.
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Right to a correct application of the reflection principle.
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Right to reassignment to another suitable job, if available.
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Right to object to an incorrect UWV procedure.
Objection and defense
Do you disagree with the dismissal?
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You can defend yourself at the UWV during the procedure.
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After the decision, you can go to the district court for an assessment of the reasons for dismissal or the compensation.
Examples from practice
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Example 1: An employer applied for dismissal due to reorganization. The UWV rejected this because the figures did not provide sufficient substantiation.
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Example 2: During a merger, dismissals were distributed. Because the reflection principle was incorrectly applied, the judge annulled the dismissal.
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Example 3: An employee was dismissed through UWV, but after objection received a higher compensation through the district court.
Checklist dismissal through UWV
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📄 Check the substantiation of the economic reasons.
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⚖️ Check whether the reflection principle has been correctly applied.
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📝 Ask if reassignment has been investigated.
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💶 Check whether the transition fee has been correctly calculated.
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📞 Consult a labor lawyer for objections or negotiations.
Common mistakes
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Thinking that a UWV decision is always final.
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Not objecting to incorrect application of reflection.
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Not getting a legal check of the compensation calculation.
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Agreeing too quickly to a proposal from the employer.
Frequently asked questions (FAQ)
1. Can my employer just dismiss me through UWV?
No, only with valid economic reasons and correct procedure.
2. Do I have a right to compensation when dismissed through UWV?
Yes, at least the transition fee.
3. What if the UWV approves the dismissal but I disagree?
Then you can go to the district court.
4. How do I know if the reflection principle has been correctly applied?
A lawyer can check this and object if necessary.
5. Can my employer reassign me to another job?
Yes, if suitable jobs are available, the employer must investigate this.
Why Arslan Lawyers?
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Specialized in economic dismissal and UWV procedures
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Check whether dismissal rules have been correctly applied
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Guide through objections and procedures at the district court
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Negotiate for better compensations or arrangements
Conclusion
Dismissal for economic reasons through UWV is only allowed under strict conditions. As an employee, you have a right to protection, compensation and a fair procedure. Always have your situation legally evaluated, so you don’t miss out on any rights.
