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Explanation Meaning of 26-Weeks Period After Dismissal Permit From UWV Werkbedrijf

Court of Appeal of Leeuwarden, 13 April 2010, LJN BM8411

Legal Framework

Article 4:5 of the Dismissals Decree provides that if the UWV Werkbedrijf grants permission to terminate an employment agreement for reasons of business management, this may be made subject to the condition that within 26 weeks of the announcement of the permission granted, the employer shall not employ any employee to do work of the same nature, unless the employer has given the dismissed employee the opportunity to resume his former tasks on the usual conditions of the employer. In this case, 'employ' is also understood to mean the appointment of part-time employees or the hiring of temporary workers. If the employer does not meet this condition, the employment agreement will be regarded to have been terminated without the permission of the UWV Werkbedrijf. In that case the dismissal is voidable, which may have the effect that the employee has remained employed retroactively and may lay claim to wages starting from the date of dismissal.

The Case

An employer has applied to the CWI (now called the UWV Werkbedrijf) for a dismissal permit for its employee (the 'Employee') for reasons of business management. The work of the Employee consisted of operating the so-called roll punching machine 2. This position was not mutually exchangeable with operating the roll punching machine 1. The employer argued to the CWI that the two roll punching machines could be operated by one employee, but that this Employee was not suitable for operating both machines. The CWI held that the position of the Employee was indeed not mutually exchangeable with the position of the employee who operates both roll punching machines 1 and 2, and therefore the CWI gave the employer permission to terminate the employment agreement with the Employee. This permission was made subject to the condition (referred to below as the 'Condition of Re-Employment') that within 26 weeks after the day of announcement thereof, the employer could not employ any employee to do the work of the Employee without first having given the Employee the opportunity to resume that work. The employer then gave notice of termination of the employment agreement.

The Employee then sent a letter in which he relied on the voidability of the termination. The Employee argued that within 26 weeks of the announcement that the dismissal permit had been granted, the employer had hired temporary workers who were doing work comparable to his former work. After the Subdistrict Court of Groningen had denied this claim, the Employee lodged an appeal.

Court of Appeal of Leeuwarden

The Court of Appeal of Leeuwarden ('the Court of Appeal') considered that the decisive factor to determine whether the employer had breached the Condition of Re-Employment by letting the temporary workers work also after the Employee's dismissal was whether these temporary workers were doing 'work of the same nature' as the Employee was doing. In the opinion of the Court of Appeal, this is the case if another person fulfils the original position of the Employee. In other words, it is not sufficient that other persons fulfill some subtasks of the original job of the Employee, but their position has to be mutually exchangeable with the former position of the Employee. The Court of Appeal also considered it completely irrelevant to the question of whether the Condition of Re-Employment was breached whether other persons are doing work that the Employee could also do. The Court of Appeal arrived at the opinion that the Employee had not proven that the core task of the Employee - operating the roll punching machine 2 - had been taken over by a temporary worker or a newly hired employee. Consequently, the Court of Appeal upheld the Subdistrict Court's judgment.

Tips:
  • If the UWV werkbedrijf grants a dismissal permit under the Condition of Re-Employment, the employer is basically not allowed to hire someone else within 26 weeks to do work of the same nature. This prohibition extends to the hiring of temporary workers and the employing of part-time employees.
  • An employer may have other persons perform some tasks of the dismissed employee, as long as the position of those others is not mutually exchangeable with the former position of the dismissed employee.
  • Mutually exchangeable positions are positions that are comparable as to job content, knowledge and skills required and competences required, and are equivalent as to level and remuneration. This criterion purely concerns the exchangeability of the positions, not of the employees. The personal suitability of an employee to fulfill the position of another employee plays no role here.
  • If the employer keeps temporary workers or employees in his employment who do work that the dismissed employee could also do given his suitability, this is not contrary to the Condition of Re-Employment, as long as the positions are not mutually exchangeable. However, it could be argued that an employer is not acting as a good employer if he does not offer the employee who was dismissed for reasons of business management the position of a temporary worker, if that dismissed employee is suitable for that position. So in spite of everything, prudence is in order.
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Thijs Ridder

Tel: +31 20 5506 837
E-mail: thijs.ridder@kvdl.nl

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