REMINDER: AS FROM 1 APRIL 2020, COMPENSATION CAN BE CLAIMED FROM THE UWV FOR THE STATUTORY TRANSITION ALLOWANCE PAID TO AN ILL EMPLOYEE.

If the employment contract of an ill employee is terminated after the mandatory period of 104 weeks during which an entitlement to continued payment of salary has lapsed, the employee will be entitled to a statutory transition allowance (“transitievergoeding”). As of 1 April 2020, employers may claim compensation for statutory transition allowance paid to its ill employees. The compensation will be granted if the employment contract is terminated because the employee is no longer able to perform his/her duties under the employment contract due to illness. The request for compensation can be submitted if the employer has paid statutory transition allowance in respect of termination of employment after UWV/Court proceedings or in respect of termination of fixed-term employment by operation of the law. The employer is also eligible for compensation if it has paid statutory transition allowance in respect of termination of employment on the basis of a settlement agreement. In the event of termination of employment by the employee, he/she will not be entitled to statutory transition allowance. As such there will also be no entitlement to compensation (if the employer has nonetheless decided to pay statutory transition allowance on a voluntary basis).

Terms
A request for compensation can be submitted as from 1 April 2020. A request for compensation is possible in respect of statutory transition allowance granted from 1 July 2015.

Please note that in respect of statutory transition allowance granted between 1 July 2015 and 1 April 2020, the application must be submitted ultimately by 30 September 2020. For statutory transition allowance granted on or after 1 April 2020, the maximum time limit for applying for compensation is six months after payment has been made to the employee.

Required documents
When applying for compensation, the employer must provide the following information:

  • an employment contract with the employee in question;
  • the UWV or Court judgement showing that permission has been granted to terminate the employment contract or that the employment contract has been terminated due to long-term incapacity for work or the settlement agreement agreed between parties;
  • a statement from the employer that the employee left the company whilst being ill, the period of illness and the name of the company doctor (this is not necessary if the UWV has issued a decision on the application for a WIA (disability) benefit);
  • salary slips that show that salary payments were made during the period of illness;
  • the data used to calculate the statutory transition allowance;
  • proof of payment of the statutory transition allowance.

If you have any questions regarding the compensation and/or submission of the request, please let us know.

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