Receiving a vaststellingsovereenkomst or being confronted with termination as an expat in the Netherlands can be a stressful and uncertain period. You are not the first, and you are not alone. The Netherlands has specific, often complex, rules regarding dismissal protection, even for international employees. It is crucial to know your rights as an expat and seek expert advice. The specialized employment lawyers at Ontslagspecialist.nl understand the unique position of expats and are ready to help you achieve a successful resolution, from reviewing your settlement agreement to providing legal assistance.

When is termination possible for Expats in the Netherlands?

Dismissal in the Netherlands is heavily regulated and cannot occur without reason. Your termination must be based on a valid and compelling reason and follow one of the statutory dismissal routes.

Your employer cannot simply dismiss you; a legal basis and procedure are required. Dutch law employs a closed system of dismissal grounds, meaning termination is only possible via the sub-district court (Kantonrechter) or the UWV (Employee Insurance Agency), unless you agree to a vaststellingsovereenkomst (Settlement Agreement).

Reasons can range from business economic circumstances (via the UWV) to long-term incapacity for work or poor performance (via the sub-district court).

Termination via the UWV or the Sub-District Court

In dismissal routes via the UWV (e.g., due to reorganization/business economic reasons) or the sub-district court (e.g., due to poor performance or a strained working relationship), your employer must prove that they meet all legal requirements and that reassignment within a reasonable period is not possible.

Termination via the settlement agreement (vaststellingsovereenkomst)

The most common route for termination as an expat is through a vaststellingsovereenkomst (settlement agreement). This is a contract in which you and your employer agree on the terms of the dismissal.

This is a quicker and less formal route than going through court, but you are not obligated to sign. NEVER sign immediately! You have the right to a cooling-off period (usually 14 days) and expert advice.

Experience shows that employees who have a Settlement Agreement reviewed by a specialist generally receive a better severance package and transition payment. So always contact our lawyers!

When is termination NOT possible for Expats?

There are strict prohibitions on dismissal in the Netherlands that also apply to expats. You cannot be dismissed during illness or pregnancy, nor can you be terminated due to membership in a works council.

Dismissal during the first two years of illness is prohibited (with exceptions), and dismissal during pregnancy or parental leave is almost always invalid. For example, an employer may not dismiss you solely because you became ill or burn-out after moving to the Netherlands for work.

💡 Frequently asked questions about termination and settlement agreements (VSO)

Below are short, clear answers to the questions most frequently asked by expats regarding dismissal in the Netherlands.

Q: Am I entitled to the transition payment with a Settlement Agreement?
A: Yes, unless there is serious culpable conduct on your part. A VSO is often negotiated to include an amount equal to or higher than the statutory transition payment.

Q: Will I receive unemployment benefits (WW) if I sign a VSO?
A: Yes, provided the VSO is correctly drafted. The VSO must state that the initiative for dismissal came from the employer and that a correct notice period was observed. The lawyers at Ontslagspecialist.nl ensure this is documented.

Q: What is the cooling-off period for a Settlement Agreement?
A: 14 days. Within this period, you can revoke the VSO without stating a reason. This must be clearly mentioned in the VSO.

Q: Do I have to pay the advisory costs myself?
A: No, in almost all cases, the employer covers the legal fees for reviewing the VSO and the negotiations.

See also: extra frequently asked questions and answers

🌍 Ontslagspecialist.nl: your partner for expat termination

Engaging a specialized employment lawyer is essential, especially as an expat navigating a foreign legal system. The lawyers at Ontslagspecialist.nl have years of experience assisting international professionals. We understand the nuances of Dutch law and the impact of dismissal on your residence permit and personal situation.

Due to our focus on employment law and our international client base, our lawyers possess unique knowledge regarding, for instance, the 30% ruling in relation to the termination date and the continuity of your residence status.

Experience: Our lawyers are daily engaged in optimizing settlement agreements and conducting negotiations, ensuring your outcome is always better than if you signed yourself.

Case examples: expats helped by Ontslagspecialist.nl

Case 1: IT Specialist from India
Situation: Mr. S., an IT specialist, faced termination due to a reorganization. His employer offered a VSO with the minimum transition payment and too short a notice period, jeopardizing his unemployment (WW) rights.
Solution by Ontslagspecialist.nl: The lawyer corrected the VSO, negotiated a higher compensation (equal to 1.5x the statutory transition payment), and ensured the termination date was correct to secure his WW benefits.

Case 2: Marketing Manager from the US with a Strained Relationship
Situation: Ms. K., a manager from the US, had a strained working relationship. Her employer threatened dismissal via the sub-district court due to poor performance.
Solution by Ontslagspecialist.nl: The lawyer took over communication, refuted the arguments for poor performance, and negotiated a settlement agreement with a neutral reason for dismissal, full transition payment, and coverage of legal costs, thus preventing a lengthy and costly legal procedure.

🤝 Don't take risks: seek immediate advice

The complexity of Dutch employment law and the consequences for your financial and immigration status make expert legal assistance indispensable. A swift and correct handling of your vaststellingsovereenkomst (settlement agreement) is the key to a successful transition.

Contact Ontslagspecialist.nl today for a free and non-binding consultation. Let our experience and expertise work for you! Call: 020 6160 120 or send us a mail.

About the author: The above article was written by Edwin van Jaarsveld.

Edwin is a law graduate and has been providing legal assistance with dismissal and settlement agreements for over 25 years. Is dismissal imminent? Contact us immediately at 020 6160 120.