NEW LEGISLATION – IF AN EMPLOYER INTENDS TO MAKE 20 OR MORE EMPLOYEES REDUNDANT WITHIN A PERIOD OF THREE MONTHS, THE COLLECTIVE REDUNDANCY NOTIFICATION ACT APPLIES
– Impact date: 1 March 2012
If an employer intends to make 20 or more employees redundant within a period of three months, the Collective Redundancy Notification Act applies.
The Collective Redundancy Notification Act has been amended so that the question of whether notification needs to take place no longer depends on the manner in which the employment agreement is to be terminated (Employee Insurance Agency, Sub-district Court or termination by mutual consent).
The important changes are:
Requests to grant permission for termination will only be processed by the Employee Insurance Agency if the prescribed consultation has taken place.
An employer may, in principle, only submit a request to terminate the employment agreement with the Sub-district Court if the conditions of the Act have been fulfilled.
The notice to terminate or the agreement to terminate the employment agreement is voidable if the obligations under the Collective Redundancy Notification Act are not met.
AMENDMENT TO THE DUTCH WORK AND CARE ACT AND THE DUTCH WORKING HOURS ACT
– Impact date: 12 April 2012
On April 12, 2012, a number of amendments to the Dutch Work and Care Act and the Dutch Working Hours Act took effect.
The amendments were necessary to implement European Directive 2010/18/EU. The Directive affects Dutch legislation on two points only, namely (i) the prohibition of less favourable treatment of employees exercising the right to parental leave, and (ii) the right to request a change to working hours or working patterns after the end of parental leave.
Article 7:670, paragraph 7 of the Dutch Civil Code includes a prohibition upon terminating employees who are using their right to parental leave. Until now there were no legal provisions which gave employees exercising the right to parental leave additional protection against prejudicial treatment. The Dutch Work and Care Act includes a new article providing protection against less favourable treatment of employees who exercise their right to parental leave. Exercising this right does not only include the actual taking of parental leave, but also the request for parental leave.
The Dutch Working Hours Act also includes a new article which allows an employee (three months prior to the end of their parental leave) to request a change to their working hours to take effect at the end of their parental leave. The employer is required to assess such request and reach a decision no later than four weeks prior to the end of the parental leave. The employer must take into account the personal circumstances of the employee outside work, such as caring responsibilities for children or dependent family members and social responsibilities, such as volunteer work.
AMENDMENT TO BOOK 2 OF THE DUTCH CIVIL CODE REGARDING THE LEGAL RELATIONSHIP BETWEEN A DIRECTOR AND A ‘LISTED CORPORATION’
– Impact date: 1 July 2012
The Dutch Senate has adopted the legislative proposal to amend Book 2 of the Netherlands Civil Code in connection with the adjustment of rules on corporate governance and supervision in public and private limited companies under Netherlands law (NVs and BVs).
As a result, as of 1 July 2012, the legal relationship between a director and a ‘listed corporation’ will no longer qualify as an employment contract. This only applies to listed corporations, which means that directors of non-listed companies can still enter into employment contracts. Existing employment contracts between a director and a listed corporation and employment contracts which are entered into before 1 July 2012 will not be affected by this legislation.