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Company Termination Policy Template for Netherlands

A comprehensive policy document outlining the procedures, requirements, and guidelines for employment termination in accordance with Dutch employment law. This document provides detailed instructions for handling various types of employment terminations, including voluntary resignations, dismissals, and mutual separations, while ensuring compliance with the Dutch Civil Code, Works Council Act, and other relevant legislation. It includes provisions for notice periods, transition payments, procedural requirements, and final settlements, adapted to the Dutch legal framework which is known for its strong employee protections and structured dismissal procedures.

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What is a Company Termination Policy?

The Company Termination Policy serves as a crucial framework for managing employment terminations within organizations operating in the Netherlands. This document becomes necessary when organizations need to establish clear, legally compliant procedures for handling various types of employment terminations, from voluntary resignations to dismissals. The policy ensures compliance with Dutch employment law, which is known for its comprehensive employee protections and strict procedural requirements. It incorporates essential elements such as statutory notice periods, transition payments (transitievergoeding), and consultation requirements with works councils where applicable. The document provides guidance on both individual and collective dismissals, outlines the roles and responsibilities of different stakeholders, and includes necessary templates and procedures for proper documentation.

What sections should be included in a Company Termination Policy?

1. Purpose and Scope: Defines the objective of the policy and to whom it applies within the organization

2. Legal Framework: Overview of relevant Dutch employment laws and regulations governing termination

3. Definitions: Clear definitions of key terms used throughout the policy

4. Grounds for Termination: Comprehensive list of legally valid grounds for termination under Dutch law

5. Notice Periods: Statutory and contractual notice periods for different employment situations

6. Termination Procedures: Step-by-step procedures for different types of termination

7. Transition Payment: Calculation and conditions for statutory transition payment (transitievergoeding)

8. Final Settlement: Process for calculating and settling final payments, including unused leave

9. Company Property: Procedures for returning company property and handling access rights

10. Confidentiality and Non-Disclosure: Post-termination obligations regarding confidential information

11. References and Certificates: Policy on providing employment references and certificates

What sections are optional to include in a Company Termination Policy?

1. Collective Dismissal Procedures: Required for companies with 20+ employees being terminated within 3 months

2. Works Council Consultation: Required for companies with a works council

3. Industry-Specific Provisions: Additional requirements based on applicable collective labor agreements

4. International Employment: Special provisions for international employees or cross-border situations

5. Executive Termination: Special provisions for terminating executive or board member positions

6. Reintegration and Outplacement: Optional support services for terminated employees

7. Dispute Resolution: Internal grievance procedures and mediation options

What schedules should be included in a Company Termination Policy?

1. Schedule A: Termination Checklist: Detailed checklist for HR to ensure all termination steps are completed

2. Schedule B: Notice Period Calculator: Tool for calculating statutory and contractual notice periods

3. Schedule C: Transition Payment Calculator: Formula and examples for calculating transition payments

4. Schedule D: Exit Interview Form: Standard form for conducting exit interviews

5. Schedule E: Company Property Return Form: Checklist of company assets to be returned

6. Schedule F: Final Settlement Template: Template for calculating final payments and deductions

7. Appendix 1: Template Letters: Standard termination letters and communications

8. Appendix 2: UWV Forms: Required forms for submission to the Dutch Employee Insurance Agency (UWV)

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Netherlands

Publisher

Ƶ

Document Type

Employment Policy

Cost

Free to use

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