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Notice Period in Employment Contract: Exceptions and Calculation for Employer and Employee

The notice period in employment contracts varies by party and years of service. Learn the calculation, exceptions such as probationary period or urgent cause, and risks of errors under article 7:672 DCC. Practical tips for employers and employees.

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Notice Period in Employment Contract: Exceptions and Calculation for Employer and Employee

The notice period is a crucial element in Dutch employment law, regulated in article 7:672 DCC. For employees, it is one month, unless otherwise agreed. Employers must observe longer periods: one month in the first year, increasing to four months after nine years of service. Collective labour agreements may provide for deviating rules.

Calculation of the Notice Period

The period starts on the first day of the month following the notice of termination. During probationary period, a notice period of two weeks applies (art. 7:652 DCC). Fixed-term contracts end automatically, without notice.

Exceptions and Shorter Periods

  • Settlement agreement: Parties may agree on shorter periods.
  • Summary dismissal: In case of urgent cause (art. 7:677 DCC), immediate termination is possible without notice period.
  • Pension age: Automatic termination by operation of law.

Practical Tips

Use a notice period calculator from UWV. In case of dispute, the subdistrict court may adjust the period. Employers risk wage continuation payment for too short notice. Employees retain entitlement to transition payment after two years of service.

Correct calculation prevents legal pitfalls and ensures smooth transitions. Always consult a lawyer in case of doubt. (198 words)

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