Work Separation Letter Template for Netherlands

A Work Separation Letter under Dutch law is a formal document that outlines the mutually agreed terms and conditions for terminating an employment relationship. This document, governed by Dutch employment law including the Dutch Civil Code and Work and Security Act, details the separation arrangements including the termination date, financial settlements, transition payments, and other relevant terms. It must comply with specific Dutch legal requirements such as the mandatory reflection period and proper calculation of the transitievergoeding (transition payment). The document serves as a legal record of the separation agreement and protects both employer and employee interests while ensuring compliance with Dutch employment regulations.

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What is a Work Separation Letter?

The Work Separation Letter is a crucial document used in the Netherlands when an employment relationship is terminated by mutual agreement. It serves as the formal documentation of the separation terms and conditions, incorporating requirements under Dutch employment law, including the Dutch Civil Code (Burgerlijk Wetboek) and the Work and Security Act (Wet Werk en Zekerheid). This document is typically used when both parties have reached an amicable agreement regarding the termination of employment, and includes essential information such as the termination date, financial settlements, transition payments (transitievergoeding), and any specific arrangements regarding company property, non-compete clauses, or ongoing obligations. The Work Separation Letter must comply with Dutch legal requirements, including the mandatory reflection period, and should be drafted with consideration of sector-specific regulations and any applicable collective labor agreements.

What sections should be included in a Work Separation Letter?

1. Header Information: Company letterhead, date, employee details, and reference number

2. Opening Address: Formal salutation and acknowledgment of the employee

3. Confirmation of Separation: Clear statement of employment termination by mutual agreement, including the effective date

4. Employment History: Brief recap of employment duration and current position

5. Terms of Separation: Key details including last working day, handover requirements, and basic separation conditions

6. Financial Settlement: Overview of final salary, transition payment (transitievergoeding), and other financial entitlements

7. Company Benefits Termination: Information about the end of benefits, insurance coverage, and company perks

8. Final Settlement Date: Timeline for final payment and settlement of all financial matters

9. Statutory Rights: Reference to legal entitlements and reflection period under Dutch law

10. Closing: Formal closing, signature blocks for both parties

What sections are optional to include in a Work Separation Letter?

1. Non-Compete and Non-Solicitation: If applicable, terms regarding post-employment competition and client/employee solicitation restrictions

2. Confidentiality Obligations: Specific terms regarding ongoing confidentiality requirements, if extending beyond standard obligations

3. Reference Agreement: Terms regarding future employment references and agreed communication about the separation

4. Company Property Return: Detailed section about returning company assets, if significant items are involved

5. Outplacement Support: Details of any career transition services being offered

6. Share Options/Long-term Incentives: Treatment of outstanding equity or long-term incentive arrangements

7. Release of Claims: Mutual release of claims, if part of a broader settlement agreement

8. Garden Leave: Terms of any garden leave period, if applicable

What schedules should be included in a Work Separation Letter?

1. Financial Settlement Calculation: Detailed breakdown of all financial elements including salary, transition payment, and other entitlements

2. Company Property Checklist: List of all company property to be returned

3. Benefit Termination Schedule: Detailed timeline of when various benefits and insurances will terminate

4. Handover Document: Template or checklist for work handover requirements

5. Contact Information Form: Form for employee's forwarding address and contact details

6. Reference Letter Draft: If agreed, the approved format and content of future references

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Netherlands

Publisher

Genie AI

Document Type

Termination Letter

Cost

Free to use

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