Reorganisation and dismissal

When dismissal is imminent:
What are your rights and obligations?

 

Reorganisation and advance notice

An (announcement) of a reorganisation can bring a lot of uncertainty. Yet you are often stronger than you think. Below, we explain what is happening, what your rights are and what is expected of you, so you can prepare properly.

What can you expect?

When your employer announces a reorganisation, it means that there are plans to change the organisation. Common reasons include cost savings, a merger or acquisition, automation or strategic choices.

At this stage, the following steps often apply:

• Advisory right of works council (OR)
  First, the Works Council must give its advice before the management may take a final decision (Article 25 WOR).
• Notification to UWV and trade unions
  In the event of a round of dismissals affecting 20 or more employees within 3 months, the employer must notify the UWV and the trade unions (Collective Redundancy Notification Act).
• Social plan
  A social plan is often agreed with unions or works councils. This contains agreements on compensation, counselling for other work, redeployment and other provisions.

Important to know: no dismissal at this stage. Use this time to inform yourself well.

Your rights

1.  Right to information
   You are entitled to clear explanations about
   - Why the reorganisation is necessary;
   - Which parts or functions are affected;
   - What this means for your job and jobs. You can check with the Works Council what is in the request for advice and what alternatives have been discussed.
2. Right to a careful dismissal procedure
   If it comes to dismissal for economic reasons, there are two routes. The employer can apply to the UWV for a dismissal permit, but in practice, the employer often chooses to give you a settlement agreement (vso) offering to terminate the employment contract by mutual agreement.

In both cases, you are entitled to at least the statutory transitional compensation. Agreements made in the social plan may offer additional provisions such as higher compensation, training or a supplement to the unemployment benefit.

1. Right to application of social plan
   If a social plan has been agreed and you fall under the target group, you are entitled to the agreements and provisions as laid down in the social plan.
2. Right to advice and legal aid
   - You may get legal assistance. As a member of VHP2, you can appeal to a VHP2 lawyer. If you choose to call in a jurist or lawyer yourself, the costs are at your own expense.
   - Never sign a vso directly! Sometimes there is room to make better agreements on departure dates, compensation or work release, among other things. Always have a redundancy proposal or vso legally checked before signing.

Your duties

Even during a reorganisation, you have obligations as an employee:

• Cooperating with redeployment
  If your job lapses, your employer must first see if another suitable position is available and if you can be rehired. You should seriously consider reasonable proposals.
• Sharing information where appropriate
  For reinstatement or a UWV procedure, your employer may ask for data on education, experience or limitations within the reintegration rules. You must reasonably provide this information.
• Good corporate citizenship
  Confidentiality agreements, unless otherwise agreed, remain in force even after the termination of your employment.

This is how to prepare properly

• Collect all written information: employer announcements, internal news releases, Works Council updates, draft social plan.
• Check whether and how the works council and trade unions are involved.
• Think ahead: what are your capabilities, (training) wishes and do you see opportunities inside or outside the company? Where possible, use the social plan to strengthen your personal situation.

VHP2 is happy to help you.

With your membership, you are not alone! Together, we make sure you know what you are entitled to.