In the case of an on-call contract for an indefinite period (on-call agreement), you generally need to apply for a dismissal permit through the UWV if you initiate the termination of employment due to the closure of the business.
Since it is an indefinite contract, it is legally considered a regular (permanent) employment relationship – even if it is an on-call contract.
When is a UWV procedure mandatory?
You must apply for a dismissal permit from the following authority:
· UWV
If:
· You want to terminate the employment relationship
· The reason for termination is economic in nature (for example, closing the business)
· There is no mutual agreement
Closing a business is considered an economic reason → therefore a UWV procedure is required.
What is the UWV procedure?
A UWV dismissal permit is the official authorization an employer needs to dismiss an employee for economic reasons (for example restructuring) or long-term illness (after 2 years). It is a written procedure in which the UWV checks whether the dismissal is justified and whether all conditions have been met.
Exception: mutual agreement (a faster solution)
A UWV procedure is not required if:
· The employment relationship is terminated by mutual agreement (settlement agreement – VSO).
In the case of closing a business, this is often a more practical solution.
Important:
· The transition payment (severance payment) usually has to be paid
· The end date must be determined correctly in relation to unemployment benefits (WW)
· The employee has a 14-day withdrawal period
In practice, many small business owners choose mutual agreement because it is:
· faster
· involves less administration
· provides more control over the end date
Transition payment in the case of an on-call contract
Yes, a transition payment must also be paid for an on-call employee.
The calculation is based on:
· The average gross salary of the last 12 months
· Including holiday allowance
· Including fixed allowances
What should you pay special attention to with an on-call employee?
- Has the employee received a mandatory offer for fixed working hours after 12 months?
- How many hours does the employee work on average?
- Does the contract contain a notice period?
These factors influence the calculation.