A common question is whether an employer, while on sick leave, a settlement agreement (VSO) may offer. The answer is: yes, they may, but it does involve risks. As a sick employee, you are especially vulnerable, and there is a chance you could miss out on important rights or benefits if you sign carelessly.

In this article, we explain what the rules are, when it can be wise to accept a settlement agreement during sick leave, and what you should pay very close attention to before you sign.

Is an employer allowed to offer a settlement agreement during sick leave?

Yes, an employer may also offer a settlement agreement during sick leave. But strict rules apply:

• The employee must consent voluntarily.

• The reason for termination may not at fault are.

• The agreements must be recorded in such a way that the UWV the unemployment benefit (WW) or Sickness Benefits Act benefit does not refuse.

Risks with a VSO during illness

1. Loss of entitlement to wages during illness
   Normally, the employer must continue paying wages for up to 2 years during illness. With a VSO, this can end.

2. No entitlement to a Sickness Benefits Act benefit
   If the reason for dismissal is worded incorrectly, the UWV can refuse your benefit.

3. Pressure from the employer
   Sick employees are more vulnerable and feel pressured to sign more quickly.

When can a VSO during illness be a good idea?

In some situations, a VSO during illness can actually be a solution, for example:

• In the case of a long-standing disrupted employment relationship, making reintegration unfeasible.

• If there is a good compensation is offered in return that is higher than the transition payment.

• When you are sure that you have a new job or other income.

👉 Example: An employee was at home sick for 18 months, with no prospect of returning. Through a settlement agreement he received a generous severance and a training budget to learn a new profession.

Real-world examples

• Example 1: An employee signed a settlement agreement during illness with the reason “insufficient performance”. The UWV then denied the sickness benefit.

• Example 2: An employee received a settlement agreement while ill, but the notice period was incorrect. He had to wait 2 months longer for his unemployment benefit.

• Example 3:An employee with burnout received, through negotiations, an additional compensation of €10,000 on top of the transition compensation to pay for recovery and retraining.

Checklist: VSO during illness

• 📄 Check the reason for dismissal – it must be neutral.

• 📅 Check the notice period – a mistake can cost you your benefits.

• 💶 Negotiate a higher compensation (compensation for the loss of continued wage payment).

• ⚖️ Always have the VSO legally reviewed.

• 🕑 Remember: you have a 14-day statutory cooling-off period.

Frequently Asked Questions (FAQ)

1. Is my employer allowed to dismiss me while I am sick?
No, normally not. Only through a VSO can dismissal during illness by mutual agreement.

2. Do I qualify for unemployment benefits or sickness benefits with a VSO?
Yes, provided the VSO is correctly drafted.

3. Do I have to sign a VSO if I am sick?
No, this is always voluntary.

4. Do I receive compensation upon dismissal during illness?
Yes, at least the statutory transition payment, often more through negotiations.

5. Can I change my mind after signing?
Yes, you have a statutory 14-day cooling-off period.

Common mistakes with a settlement agreement during illness

• Signing too quickly under pressure from the employer

• No neutral reason for termination in the agreement

• Not asking for any compensation beyond the transition compensation

• Not getting a legal review

Why Arslan Advocaten?

• Protect your rights during illness

• Check whether your WW or Sickness Benefits entitlement is preserved

• Negotiate for higher compensation and extras

• Help you with a careful and safe termination of your employment

Conclusion

A settlement agreement while you are on sick leave is possible, but it carries additional risks. Never just sign it, and always have the agreement reviewed by an employment lawyer. Only then can you be sure that you won’t miss out on your pay or benefits and that you receive fair compensation.