A dismissal permit through the UWV is required in the following situations:
-
Business economic dismissal
For example, in the case of reorganization, downsizing or poor financial situation of the company. -
Dismissal due to long-term incapacity for work
If an employee has been sick for more than 2 years and recovery in the near term is not expected.
For other grounds for dismissal (such as poor performance, disrupted employment relationship or culpable conduct) the employer must go to the district court.
How does the UWV procedure proceed?
-
Submission of the dismissal request
The employer submits an online request to the UWV, including all necessary supporting documents. -
Defense by the employee
The UWV gives the employee the opportunity to defend within a certain period. -
Assessment by the UWV
The UWV assesses whether the conditions for dismissal have been met. -
UWV decision
The UWV grants or refuses the dismissal permit. -
Termination of employment contract
With permission from the UWV, the employer can terminate the employment contract, taking into account the notice period.
Examples from practice
-
Example 1: An employer wanted to dismiss five employees due to a decrease in sales. The UWV tested whether the business economic necessity was adequately substantiated and whether the reflection principle was correctly applied. Eventually, the dismissal permit for three employees was granted and for two it was refused.
-
Example 2: An employee had been ill for more than two years. The employer asked the UWV for a dismissal permit. As there appeared to be no suitable work anymore within the company, the request was granted.
-
Example 3: An employer applied for dismissal for business economic reasons, but could not substantiate the financial necessity. The UWV refused the permit and the employee remained in service.
Checklist for employers
-
📂 Gather financial documents or reorganization plans (in case of business economic dismissal).
-
📊 Correctly apply the principle of reflection.
-
🩺 Check in case of illness whether the employee is actually incapacitated for more than 2 years.
-
📝 Add all relevant supporting documents to the request.
-
⚖️ Consult legal advice in time to avoid mistakes.
Checklist for employees
-
📄 Read the dismissal request carefully.
-
🗣️ Submit a defense to the UWV on time.
-
📊 Check whether the principle of reflection has been applied correctly.
-
💼 Check whether there is suitable work for you within the company.
-
☎️ Get help from a labour law lawyer to strengthen your position.
Why Arslan Lawyers?
-
Experienced labour law lawyers who assist both employers and employees.
-
Expert in UWV procedures and labour disputes.
-
Practical and result-oriented advice.
-
If necessary, proceed directly to the district court.
FAQ about UWV dismissal permit
1. How long does a UWV procedure take?
On average 4 to 8 weeks, depending on the complexity and the speed of the parties.
2. Can I appeal against the decision of the UWV?
No, there is no objection or appeal possible. You can, however, go to the district court.
3. Does the employee have the right to a transition payment?
Yes, also in case of dismissal via the UWV, the employee is entitled to a transition payment.
4. What if the UWV refuses the dismissal permit?
Then the employer can go to the district court to ask for termination.
5. Can an employee still contest dismissal after UWV approval?
Yes, the employee can go to the district court to have the termination annulled or to claim a fair compensation.
Additional Considerations When Applying for a Dismissal Permit
It is important to note that the dismissal permit procedure through the UWV is not only a legal formality but also serves as a safeguard to protect employees from unfair dismissals. Employers must carefully document and justify the grounds for dismissal, especially in cases of business economic reasons or long-term incapacity.
For example, in business economic dismissals, employers should provide detailed financial records, restructuring plans, or evidence of market conditions that necessitate downsizing. Similarly, in cases of long-term incapacity, it is crucial to demonstrate that the employer has made reasonable efforts to reintegrate the employee, such as offering adjusted work or rehabilitation programs, before applying for dismissal.
Legal Framework and Employee Rights in the Netherlands
Under Dutch law, the dismissal permit application must comply with the requirements set out in the Werkloosheidswet (Unemployment Insurance Act) and the Wet werk en zekerheid (Work and Security Act). Employers must also adhere to the rules concerning the order of dismissal, known as the last in, first out (LIFO) principle, unless exceptions apply.
Employees have the right to be heard during the UWV procedure and may contest the dismissal permit. If the UWV refuses the permit, the employer cannot terminate the contract on these grounds. Furthermore, employees dismissed under this procedure are generally entitled to a transition payment (severance pay), calculated according to statutory formulas.
Practical Tips for Employers
- Consult with legal experts early in the process to ensure compliance with procedural and substantive requirements.
- Maintain transparent communication with employees to minimize disputes and facilitate smoother transitions.
- Document all efforts made for employee reintegration and business justification thoroughly.
- Be aware of alternative dispute resolution options, such as mediation, which may be less costly and time-consuming than court proceedings.
Understanding when and how to apply for a dismissal permit is crucial for employers to manage workforce reductions legally and ethically. Incorrect or incomplete applications can lead to delays, legal challenges, or penalties.
Need Assistance with Dismissal Procedures?
At Arslan & Arslan Advocaten, we specialize in employment law and can guide you through the complex dismissal permit process. Whether you are facing business economic challenges or dealing with long-term employee incapacity, our experienced legal team is here to help you navigate the legal requirements and protect your interests. Contact us today for expert advice tailored to your situation.
Frequently Asked Questions
When does an employer need to apply for a dismissal permit through the UWV?
An employer must apply for a dismissal permit through the UWV in cases of business economic dismissal or long-term incapacity for work exceeding two years. For other reasons like poor performance, the employer must go to the district court instead.
What documents are required when submitting a dismissal request to the UWV?
The employer should include all necessary supporting documents such as financial statements or reorganization plans, and ensure the principle of reflection is correctly applied to substantiate the reason for dismissal.
What happens after an employer submits a dismissal request to the UWV?
The UWV reviews the request, provides the employee with an opportunity to defend, and then assesses if the dismissal criteria are met before making a decision to grant or refuse the permit.
Can an employee contest a dismissal granted through the UWV process?
Yes, if the dismissal is granted, employees can seek legal advice and, if necessary, challenge the decision in court to protect their rights and explore further options.