Entering into a settlement agreement (VSO) during illness is a difficult issue. When you are sick, there are extra rules and protections that ensure that you cannot simply be fired. Nevertheless, in some situations, a VSO can be a good solution for both the employee and the employer.
VSO during illness: but what is a VSO?
A settlement agreement (VSO) is a written agreement between an employer and employee to terminate employment under certain conditions, without the intervention of the UWV or the subdistrict court.
In a regular dismissal procedure, the employer has to prove a valid reason for dismissal to the UWV or the subdistrict court. With a VSO, this is not necessary because both parties agree voluntarily, making the process faster and more flexible.
A VSO must meet legal requirements: in writing, a 14-day cooling-off period for legal advice, and clear, complete agreements to avoid later disputes.
Contract types and illness
Difference between permanent and temporary contracts in sickness
During illness, it matters whether you have a permanent or a temporary contract. A temporary contract that expires during illness can be extended, but the employer often does not do this. You can in this case at the UWV apply for sickness benefit. With a permanent contract, you are better protected during illness and, in principle, the employer may not dismiss you.
What happens to a temporary contract that expires during illness?
If your temporary contract expires while you are ill, you can apply to the UWV for sickness benefit. From 1 January 2020, you will also be entitled to a transition allowance if your temporary contract is not extended.
The amount of the transition allowance is one-third of a monthly salary per year worked.
Sample calculations of severance payments
- Six months worked: You are entitled to half of a third monthly salary, i.e. a sixth monthly salary.
- Three years worked: You are entitled to three times a third monthly salary, i.e. a whole month's salary.
Continued payment during illness
Employer's obligation to continue paying wages
During the first two years of illness, the employer is obliged to continue paying your salary. This is at least 70% of your usual salary. In some collective agreements or contracts, it may be agreed that the employer must continue to pay the full salary in the first year.
Continued payment on partial return to work
If you partially return to work, the employer must pay you in full for the hours worked and at least 70% of your salary for the remaining hours.
Wage sanctions for non-cooperation in reintegration
If you do not cooperate in your reintegration, the employer may stop your salary. This may happen, for example, if you are unavailable to the company doctor or fail to show up for surgery.
Before stopping your salary, the employer must first warn you in writing and give you a chance to still cooperate.
Reintegration obligations during illness
The employer must make an effort to help you reintegrate. This means that he must draw up an action plan together with you. You as an employee have an obligation to cooperate in your reintegration.
The company doctor plays a central role in your reintegration process. If you disagree with the company doctor's opinion, you can request a second opinion from another company doctor. If you also disagree with this second opinion, you can request an expert opinion from the UWV.
May dismissal during illness?
During the first two years of illness, there is a ban on dismissal. This means that your employer may not dismiss you because of your illness. However, there are exceptions to this ban.
Exceptions to the ban on dismissal
- Redundancy permit with the UWV: The employer can apply for a dismissal permit from the UWV. This is rarely granted if you are sick, unless the sick notice was given after the application.
- Dismissal through the courts: The court can grant dismissal if there are other valid reasons, such as dysfunction, unrelated to your illness.
- Work refusal and insufficient reintegration: If you do not cooperate in your reintegration, the employer may eventually fire you.
- Company closure or reorganisation: In the case of a company closure or reorganisation, dismissal can sometimes be allowed, including during illness.
VSO during illness
Employers may offer a VSO during sickness for various reasons. For example, to avoid the cost of continued payment during illness or because they no longer have suitable work for you.
It is important that you are fully recovered before signing the VSO. If you report better while you are still ill, you risk not being entitled to benefits.
If you report sick again with the same complaints after signing the VSO, the UWV may judge that you have been continuously ill, which could lead to withdrawal of your benefits.
A VSO during illness can only be successful if all the terms are clear and meet the legal requirements. Have the settlement agreement checked by a employment lawyer to avoid problems.
Take contact at for advice and guidance on closing a VSO during illness.
- All
- draft settlement agreement
- Negotiating VSO
- Dismissal
- Transition fees
- Settlement agreement
- Sickness settlement agreement (VSO)
- Settlement agreement (VSO) UWV and unemployment benefit
- VSO Lawyer
Yes, you may, but you must always report this to the UWV. The wages you earn will be offset against your WW benefit. In some cases, working alongside your WW remains attractive, but be well informed to avoid surprises.
No, not automatically. You will only receive WW if the contract meets the UWV's conditions and the dismissal cannot be blamed on you. Mistakes in the wording or voluntary resignation can result in loss of WW entitlement.
In a VSO, you and your employer agree on the termination of employment. You have more room to negotiate on issues such as compensation or the termination date. With dismissal through the UWV, the procedure is formal and the UWV tests in advance whether the dismissal is permissible. This provides legal certainty, but there is less room for customisation and additional agreements.
If the VSO is not drawn up correctly, the UWV may reject your WW claim. You will then temporarily or fully lose your right to benefits. To avoid this, it is wise to have the agreement checked by a lawyer beforehand.
The notice period determines the official end date of your employment. The UWV will only proceed to provide WW benefits after this period has expired. If a notice period is too short in your VSO, the UWV may impose a waiting period during which you will not receive benefits.
The UWV assesses whether you have become involuntarily unemployed and whether the agreement meets the legal conditions for WW benefits. In doing so, the UWV looks at, among other things:
- Whether the initiative for dismissal lies with the employer;
- Whether there is no culpable behaviour or an urgent reason;
- Whether the statutory notice period is correctly included;
- Whether you are available to work after the end date.