The employer refuses to pay severance pay. Here are your steps.

Is your employer refusing to pay the transition payment?

Is your employer refusing to pay the transition payment? Below you can read what steps to take to enforce your entitlement, including through the courts if necessary.

You have been dismissed, you are entitled to a transition payment, but your employer simply does not pay. That is a frustrating situation, but you are not without recourse. Dutch employment law provides you with concrete means to claim your payment nonetheless — provided you act quickly enough.

When are you entitled to a transition payment?

The basic principle is clear: if your employer takes the initiative to terminate the employment contract, you are in principle entitled to a transition payment. This applies both to dismissal via the UWV or the subdistrict court and to a fixed-term contract that is not renewed. Since 1 January 2020, this entitlement exists from the very first working day, regardless of how long you have been employed.

There are exceptions. For instance, you are not entitled to the payment if your dismissal is the result of seriously culpable conduct on your part, or if your employer has been declared bankrupt. Furthermore, if your CBA includes an equivalent provision in the event of dismissal for economic reasons, this may replace the entitlement to a transition payment. Are you unsure whether your situation falls under an exception? Always have this assessed by a specialist.

How much is the payment in 2026?

The amount of your transition payment depends on two factors: the length of your period of employment and the level of your salary. The basic rule is one third of a gross monthly salary per full year of service. In 2026, the payment is capped by law at €102,000 gross. If you earn more than €102,000 per year, your gross annual salary serves as the upper limit.

Would you like an initial indication? The transition paymentpage contains more information about the method of calculation and what else may play a role in your specific situation.

Why employers refuse to pay

In practice, there are various reasons why an employer does not pay. Sometimes the employer disputes that any entitlement exists at all — for example, because they maintain that the employee was guilty of seriously culpable conduct. In other cases, the amount calculated is contested, or the employer argues that a CBA arrangement replaces the transition payment. And sometimes the payment obligation is simply delayed or ignored, in the hope that the employee will let the matter rest.

The latter is understandable, but legally speaking a costly mistake. Because if you wait too long, you will lose your entitlement permanently.

The crucial three-month limitation period

This is the point at which things go wrong for many employees. Under Article 7:686a of the Dutch Civil Code, a three-month limitation period applies to claiming a transition payment, running from the end of the employment contract. This period is absolute: it cannot be extended or interrupted. If you submit your petition to the subdistrict court even one day late, you lose your right entirely — regardless of whether your employer actually invokes this themselves.

If you fail to act in time, any possible entitlement to the transition payment lapses. The court is even obliged to assess this of its own motion. Do not wait and see — take immediate action as soon as it becomes clear that your employer is not going to pay.

Claiming your payment step by step

Fortunately, you do not have to work this out on your own. Below are the practical steps you can take:

• Controleer jouw recht: First establish whether you actually have a right to a transition payment and calculate the expected amount based on your years of service and salary.
• Send a written demand: Some employers will still pay once they receive a clear, written notice of default. Put everything in writing by e-mail or recorded delivery letter.
• Consult an employment lawyer: Have your situation assessed before you take any steps. A professional can quickly determine whether the employer has a credible defence or whether your claim is on strong ground.
• Submit a petition in good time: If the written demand does not result in payment, you must claim payment by means of a petition procedure before the subdistrict court. This must be done within three months of the end of your employment.
• Claim wettelijke rente: Statutory interest is owed on the amount of the transition payment, calculated from one month after the end of the employment contract. This continues to accrue for as long as your employer fails to pay.
• Consider a joint claim: If several colleagues are in the same situation, a joint procedure can be more cost-efficient and lower the threshold for taking legal action.

What if the employer disputes the amount of the transition payment

It may also be the case that your employer does pay something, but a lower amount than you are entitled to. Think of situations where holiday pay, a fixed bonus or a shift allowance has incorrectly been left out of the calculation. In that case too, you can claim the difference through the subdistrict court, and the same three-month limitation period applies. Always have the calculation checked before you agree to any payment.

Why Employment Lawyer Eindhoven

At Arbeidsjurist Eindhoven we know the local labour market and understand exactly how these kinds of situations play out in practice. We quickly assess whether your claim to the transition payment is watertight, help you draft a formal demand and represent you if proceedings do become necessary. Do not wait until the deadline expires — contact us without obligation and have your situation assessed free of charge.

Frequently asked questions

My employer is not paying the transition payment. What should I do first?

Start by sending your employer a written demand requesting that the payment be made after all. If your employer does not respond or refuses again, engage an employment lawyer immediately and, if necessary, submit an application to the subdistrict court. Please note: you have only three months from the end of your employment to do so.

What is the limitation period for claiming the transition payment?

Under Article 7:686a of the Dutch Civil Code, a limitation period of three months applies from the day on which your employment contract ended. This deadline is absolute and cannot be extended or interrupted. If you submit your application late, your right to the payment lapses entirely.

Can my employer refuse the transition payment if they believe I have acted in a seriously culpable manner?

Yes, if the dismissal is the result of seriously culpable acts or omissions on your part, the employer is not required to pay a transition payment. This concerns serious cases, such as theft or grave dereliction of duty. Whether this applies to your situation is a matter for the court to decide. Always have this assessed by a specialist before assuming you have no entitlement.

Can I also claim statutory interest if my employer pays late?

Yes. Statutory interest is due on the transition payment from one month after the end of your employment contract. The longer your employer delays payment, the higher the total amount they will ultimately have to pay.

What if my employer pays less transition payment than I have calculated?

If your employer pays too low an amount, you can also claim the difference through the subdistrict court. Think of situations where holiday pay, fixed bonuses or allowances have been left out of the calculation. The same three-month limitation period applies here as well. Always have the calculation checked by an employment lawyer first.

We are happy to think along with you. For advice tailored to your situation, we would be glad to talk. No rights can be derived from the content of this page and it may contain inaccuracies.