In a Dutch reorganisation an employer can only dismiss an employee on business-economic grounds with permission from the UWV, the employee insurance agency (Article 7:671a of the Dutch Civil Code, BW), unless the employee agrees to leave in a settlement agreement. The UWV grants permission only if the employer proves three things: the reduction of posts is necessary, the employees were selected under the reflection principle (afspiegelingsbeginsel), and no suitable alternative position is available.
This article follows the procedure step by step, from the works council to the UWV decision and the payments you receive. For the wider picture, see our guide to odpuščanje na Nizozemskem.
Kazalo
Kdaj reorganizacija vodi do odpuščanja?
When posts disappear and the employees holding them cannot be placed elsewhere. Article 7:669(3)(a) BW calls this dismissal on business-economic grounds: a poor financial position, less work, organisational or technological change, closure or relocation.

The reason lies with the business, so the employer must justify it. The employer cannot simply give notice without permission and cannot go straight to the subdistrict court (kantonrechter): for this ground the law sends it to the UWV first. The only alternative is a settlement agreement with the employee.
What must happen before individual dismissals?
The employer must first consult the works council and, for 20 or more dismissals, follow the collective dismissal rules. Both can delay or stop the process.
Under Article 25 of the Works Councils Act (WOR) an employer with a works council (ondernemingsraad) must ask its advice on an important reorganisation at a time when the advice can still influence the decision. If the employer departs from the advice, it must suspend implementation for one month, during which the works council can appeal to the Enterprise Chamber (Ondernemingskamer) of the Amsterdam Court of Appeal (Article 26 WOR).
Under Article 3 of the Collective Redundancy Notification Act (WMCO) an employer that intends to end the contracts of at least 20 employees in one UWV working area within three months must notify the trade unions and the UWV. Under Article 5a WMCO no contract may be ended until one month after the notification, unless the unions declare that they have been consulted.
Kaj mora delodajalec dokazati UWV?
Necessity, correct selection and a genuine redeployment effort. The employer files a request for each employee, and the UWV assesses it against the Dismissal Regulation (Ontslagregeling).
- Nujnost: figures and documents such as annual accounts, forecasts and the current and future organisation chart showing which posts lapse and why.
- Izbira: correct identification of interchangeable roles and correct application of the reflection principle.
- Prerazporeditev: no suitable vacancy within the company or group that could be filled within a reasonable period, if necessary after training.
The UWV sends the request to the employee, who can file a written defence, usually within two weeks; a second round may follow. The UWV decides on permission only; it does not award compensation or decide on the transition payment.

How does the reflection principle work?
The employer selects per category of interchangeable roles, per business establishment, spread over age groups, and within each age group by length of service: last in, first out (Article 11 of the Dismissal Regulation). The rule is arithmetical and leaves no room for personal preference.
Which roles are interchangeable?
Under Article 13 of the Dismissal Regulation roles are interchangeable if they are comparable in content, required knowledge, skills and competences, and temporary or structural nature, and are equivalent in level and pay. The test concerns the role, not the person. A unique role that disappears entirely is outside the reflection principle.
How are the age groups formed?
The employees in a category are divided into five age groups: 15-24, 25-34, 35-44, 45-54 and 55 and older. Under Article 12 of the Dismissal Regulation the count is made on the date the request is filed with the UWV, or on an earlier objective date if there is a reasonable ground. The redundancies are spread over the groups in proportion to their size.

Who goes first?
Within each age group the employee with the shortest service goes first. Under Article 7:671a(5) BW the employer must first end the work of flexible workers, such as agency workers and on-call workers, on the posts that lapse. A calculation error leads to refusal of the request.
When must the employer offer another position?
Whenever a suitable position is available within the company or the group. Under Article 9 of the Dismissal Regulation this includes vacancies that will arise within the reasonable period, which under Article 10 equals the employee’s notice period, or 26 weeks for an employee with an occupational disability.
A position is suitable if it fits the employee’s education, experience and capabilities, if necessary after training. It may be at a somewhat lower level. Keep a record of internal vacancies and tell the employer in writing which ones you consider suitable.
Kaj se zgodi po tem, ko se UWV odloči?
Under Article 7:671a(6) BW the permission is valid for four weeks, within which the employer must give written notice. Under Article 7:672(6) BW the employer may deduct the duration of the UWV procedure from the notice period, provided at least one month remains.
Within two months after the contract ended, the employee can ask the subdistrict court to restore the employment or award fair compensation (billijke vergoeding) (Article 7:686a(4) BW). If the UWV refuses, the employer can ask the subdistrict court to dissolve the contract on the same ground.
Under Article 7:681(1)(d) BW the employer that has someone else do the same work within 26 weeks after the notice must first offer it to the dismissed employee (re-employment condition, wederindiensttredingsvoorwaarde).
What payments do you receive?
At least the transition payment (transitievergoeding) under Article 7:673 BW: one third of a monthly salary per year of service, pro rata, with a 2026 cap of €102,000 or one annual salary if higher. A claim must be made within three months after the contract ended.

A social plan agreed with the unions or the works council often adds a higher severance payment, outplacement or training budget. Many reorganisations end with a settlement agreement (vaststellingsovereenkomst) instead of a UWV procedure; under Article 7:670b BW you can revoke it in writing within 14 days without giving reasons. Read more about the sporazum o poravnavi.
Can you be dismissed while you are ill?
As a rule no: under Article 7:670 BW the employer may not give notice during the first two years of illness. The prohibition does not apply if the illness began after the UWV received the dismissal request.
The prohibition also falls away if the activities of the whole undertaking end; under Article 7:670a BW closure of only part of the business does not lift it. Other prohibitions apply during pregnancy, to works council members and to employees taking statutory leave.
Kaj morate kot zaposleni preveriti?
The UWV decides on the file, so test each element.
- Do the figures support the necessity, or has the work moved to agency staff or contractors?
- Is your role really in the same category as the colleagues you are compared with?
- Is the age-group calculation correct on the reference date?
- Which internal vacancies exist, and were they offered to you?
- Were you ill before the UWV received the request?
- Does a settlement agreement state that the employer took the initiative and observe your notice period?
Kaj morate kot delodajalec preveriti?
Most refused requests fail on selection or redeployment.
- Has the works council been asked for advice in time, and have you observed the one-month suspension?
- Do 20 or more dismissals in one working area within three months trigger the WMCO?
- Is the business case documented with figures?
- Are the categories of interchangeable roles defined defensibly and the calculation checked?
- Have flexible workers on lapsing posts been ended first, and is the redeployment effort documented?
What can we do for you with reorganisation and redundancy?
naše zaposlitveni odvetniki advise employees and employers, in English and Dutch.
- We check the reflection-principle calculation and the definition of interchangeable roles.
- We draft your written defence to the UWV within the deadline.
- We review and negotiate the settlement agreement and calculate the transition payment.
- We prepare the UWV requests and the works council advice request for employers.
- We file or defend a request at the subdistrict court within the two-month deadline.
Povzetek
- Dismissal for business-economic reasons requires UWV permission (Article 7:671a BW), unless a settlement agreement is signed.
- The employer must prove necessity, correct selection under the reflection principle and a genuine redeployment effort.
- The works council must be consulted in time; 20 or more dismissals within three months trigger the WMCO.
- Permission is valid for four weeks; challenge a dismissal at the subdistrict court within two months.
- You receive at least the transition payment; a social plan or settlement agreement can add to it.
Pogosta vprašanja
Ali me lahko odpustijo v okviru reorganizacije, medtem ko sem bolan?
Usually not, if you were already ill when the UWV received the dismissal request: the prohibition on notice during the first two years of illness applies (Article 7:670 BW). If you report sick after that moment, it does not protect you.
Ali sem dolžan podpisati poravnalno pogodbo?
No. If you refuse, the employer must apply to the UWV. If you sign, you can revoke the agreement in writing within 14 days without giving reasons (Article 7:670b BW).
Kaj pa, če moj delodajalec prezre obveznost prerazporeditve?
Name the vacancies you consider suitable in writing and raise the point in your defence to the UWV. After notice, it can support a request to the subdistrict court within two months after the contract ended.
Kako dolgo traja postopek?
The UWV usually decides within a few weeks of a complete request. Notice follows within the four-week validity of the permission, with the notice period reduced by the procedure time but at least one month remaining.