General

Supreme Court ends dormant employment contracts

Employers are not allowed to keep long-term sick employees in service for more years in order to avoid the transition payment. The Supreme Court has ended dormant employment contracts with a recent ruling. Teachers and other teaching staff are also faced with such employment relationships in education.

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Image: Google Maps / Supreme Court

“We call on members to register. The ruling ensures that we can challenge this with school boards ”, says Jacqueline van der Ruit, AOblawyer.

On November 8 the Supreme Court gave, the highest court, responds to a request from the District Court of Limburg about dormant employment contracts. The Council believes that employers should terminate the employment of long-term sick employees if they so request. They must pay the statutory transition payment - which is often high - to the employee. The argument that employers are 'cost-ridden' does not hold up according to the Supreme Court. There is a law whereby the UWV compensates the transition payment when it comes to long-term sick employees.

The transition payment can amount to 81 euros

De AOb handles several cases about dormant employment contracts. Mostly from older employees who worked in MBO, says Van der Ruit. Disabled persons can apply to their employer for dismissal after two years of illness. The latter must then pay them a transition allowance. “That can amount to 81 euros,” says de AOblawyer. Hence, some employers do not fire their older, sick employees. For example, they do not have to pay a transition allowance and no salary, because the employee is at home with an occupational disability benefit. As soon as the employee has reached retirement age, the employment automatically ends and his right to a severance payment lapses.

Stand firm

Refusal of dismissal is therefore no longer allowed for these employees. Van der Ruit: “The only exception is when there are opportunities for reintegration. Then the employer does not have to terminate the contract. ”

Van der Ruit advises members with a dormant employment contract to first go to the managers with the recent ruling. “If they still stand firm and do not want to terminate the contract, we advise them to contact the AOb to record. ”

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