23 Jul Newsletter Vestius July 2019
The Balanced Labour Market Act
The Wet arbeidsmarkt in balans (Balanced Labour Market) was adopted on 28 May and will enter into force on 1 January 2020. There appears to be a general consensus that the gap between “permanent” and “flexible” is too extreme under the Wet werk en zekerheid (Work and Security Act). The Balanced Labour Market Act aims to reduce the income uncertainty of flexible workers and furthermore to stimulate “permanent” jobs, by means of a number of measures.
For more information or advice on this subject please contact Michiel van Haelst.
Draft Bill on the Transfer of Undertakings in the event of Insolvency
There has been a great deal of uncertainty these past few years about the position of employees in “pre‑packed insolvencies”. With the Bill on the Transfer of Undertakings in the event of Insolvency (the “Bill”), the Dutch government intends to clarify this situation. Briefly stated, the Bill provides that, in principle, all employees must be transferred in the event of a restart after insolvency (pre‑packed or other).
Directors’ liability after failure to pay debts
A company must always pay its debts. If it fails to do so, a creditor of the company may hold the company liable on that ground. In some cases the creditor may also hold the company’s managing director liable. This is apparent from a judgment recently passed by the Court of Appeal of ’s‑Hertogenbosch which we will discuss in this article.
For more information or advice on this subject please contact Paul Hendriks.
Compensation scheme on dismissal due to long-term incapacity for work
Since the introduction of the Wet werk en zekerheid (Work and Security Act), there has been much ado about “dormant employment relationships”. The Wet compensatie transitievergoeding (Compensation for Transition Payment Act) is now a fact. As of 1 April 2020, employers who have terminated the employment of employees after long-term incapacity for work and have paid the transition payment may apply for compensation for that payment at the UWV (Employee Insurance Agency). This does not, however, answer the question whether an employer is obliged to cooperate with the termination of a dormant employment relationship.
Please contact Lise van den Heuvel for more information or advice on this subject.