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Transition compensation

The regulations regarding transition compensation allow training costs to be offset against the transition compensation during the period of employment.

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The COVID-19 crisis sometimes makes employee transitions necessary. Preferably within the company, but sometimes dismissal cannot be avoided. When employees have insufficient command of the Dutch language to find a new job within or outside the company, language training focused on work or obtaining a professional qualification offers better opportunities.

The regulations regarding transition compensation, also known as severance pay, allow training costs to be offset against the transition compensation during the period of employment. This can also include employability costs: the employer finances training that makes an employee more versatile within the company. This could include, for example, speaking skills training so that the employee can assist customers. Employability costs may not be used for training directly related to the current position, but rather for a different position with the same employer.

Language training as severance pay can be very interesting for the employee to increase their chances on the labor market. Naturally, this is done in consultation with the employee, as it involves an investment in his/her future. For you as an employer, it is an opportunity to turn the necessary transition for your company and employee into a feasible investment for the future.

Would you like to know more about a Dutch language course? Please contact one of our advisors. They will be happy to help you!