Labour market in balance Act

The government wants to make it more attractive for employers to hire employees on a permanent basis. On 9 April 2018, Minister Koolmees therefore submitted a proposal for the Labour Market in Balance Act (in Dutch: WAB). Until 7 May 2018, the Minister will be open to input via internet consultation.

Among other things, the proposal contains the following changes:

  • Probationary period: for permanent contracts, extension from two months to five months.
  • Chain provision: (again) extended. Currently it is possible to subsequently enter into three contracts in two years; this will be three years.
  • Dismissal: if an employer wishes to terminate an employment contract, he must now fully comply with one of the eight grounds for dismissal. With a
    new ninth ground, the court can combine circumstances. If this ‘ground for cumulation’ is used, the employee can receive 150% of the transition allowance.
  • Transition allowance: employees are entitled to a transition allowance from the first day of employment, but the accrual is reduced in the case of
    long employment contracts. In addition, small employers are compensated if employees leave their company due to retirement or illness.
  • On-call workers: must be called up at least four days in advance and retain the right to pay if work is terminated.
  • WW premium: becomes more advantageous for employers who offer permanent instead of temporary contracts.

Marble will keep you informed!

For more info see the website of the Dutch government