Getting into the new year prepared: this is what changes in 2020

The new year is here and this also means changes in laws and regulations. What changes await us? And what exactly do these changes mean for you? We list the most important changes for employers and employees.

Balanced labor market law

Since Jan. 1, the rules around employment contracts and dismissal have changed. This is regulated in the Balanced Labor Market Act (WAB). The entry into force of this law is important for employers and employees; among other things, the WAB ensures that employees with flexible work are given more security and hiring permanent staff becomes more attractive for employers.

• Employers
  Employers have been paying a lower WW premium for employees with a permanent contract since January 1, 2020. This makes it more attractive to offer employees a permanent contract, instead of a flexible contract.Because of the WAB, there are now less strict conditions for the dismissal of permanent employees. Dismissal is now also possible if there is a sum of circumstances, the so-called cumulation ground.
• Payroll employees
  Payroll employees get better legal status and working conditions: employees who have a payroll contract since January 2020 will receive at least the same working conditions and legal status as employees employed by the company. From 2021, payroll workers will be entitled to a proper pension plan.
• On-call workers
  For on-call workers, the WAB means more job and income security: since January 2020, employers must call on-call workers for work at least 4 days in advance. If the employer cancels a call within 4 days, the on-call worker is entitled to pay for the hours he or she was called. After 12 months, employers must offer on-call workers a fixed scope of work.

Want to know more?

Want more information about the Balanced Labor Market Act? Then check out the central government website.

Compensation scheme for transitional compensation for long-term disability

From April 1, 2020, employers can apply for compensation from the UWV if they dismiss an employee who has been absent from work for more than 2 years. The compensation scheme applies to transition compensation paid on or after July 1, 2015. The new scheme prevents employers from facing an accumulation of costs after continuing to pay wages to absent employees for 2 years. It also prevents employees from being left in uncertainty for a long time.

To apply for compensation, all of the following conditions apply:

• The employment contract ended (in part) due to long-term disability.
• The employee was still sick when employment ended.
• You paid him or her severance pay to which he or she was entitled.

Learn more

The Ministry of Social Affairs and Employment ("SZW") has developed a fact sheet with questions and answers about the compensation scheme. You can read more information on the UWV website.

Need help?

If so, Resolu will be happy to help you. Within paraDIGMA groep , Resolu is an expert in the area of sickness law and WGA dossiers and self-insurance.

On Thursday, Feb. 20, Resolu is hosting a webinar on the Compensation Scheme for Transition Compensation for Long-term Disability. This will start at 10:30 a.m. During this webinar, we will take you through exactly how this compensation scheme works and what you, as an employer, must do for it. Register quickly!

Do you have questions about this compensation plan? If so, please feel free to contact Resolu.