Is your employer in Eindhoven or the surrounding region facing a restructuring? If so, the statutory redundancy selection order is likely the most decisive factor for your position. It determines precisely who is first in line for redundancy in the event of an economic dismissal, and whether your employer has applied that order correctly.
What the redundancy selection order entails
The redundancy selection order is a legally required method that employers must use to determine the sequence of dismissals in the event of economic redundancies. The aim is clear: the age distribution of the workforce must, as far as possible, remain the same after a round of redundancies as it was before. This ensures that younger and older colleagues are not disproportionately affected.
In practice, employees with comparable – so-called interchangeable – roles are divided into five age groups: 15–25, 25–35, 35–45, 45–55, and 55 and over. Within each group, the employee with the shortest length of service is the first to be put forward for redundancy. This principle is also known as ‘last in, first out’.
The redundancy sequence step by step
Before your employer even begins implementing the selection order, certain fixed steps must be followed. First, they must dismiss external workers such as agency staff, self-employed contractors, and seconded employees. Next in line are employees who have reached state pension age, followed by zero-hours workers and employees on fixed-term contracts expiring within 26 weeks. Only if this proves insufficient to achieve the required reduction in headcount does the redundancy selection order apply to permanent staff.
An important detail: the selection is carried out per business location And per category of interchangeable roles. If your employer operates in both Eindhoven and Amsterdam, those locations will be calculated separately. This can have a significant impact on who ultimately becomes redundant.
Interchangeable roles – the crucial question
The concept of an ‘interchangeable role’ hinges on the content of your work. Roles are interchangeable if they are comparable in terms of job content, required knowledge and skills, and equivalent in level and remuneration. It is therefore about the roles themselves, not about you as an individual. Whether you might also be capable of performing a colleague’s tasks is not relevant here.
In practice, this gives rise to disputes. Consider, for example, an inside sales account manager versus an outside sales account manager: the same job title, but different tasks and competencies. Such nuances partly determine whether you fall into a larger or smaller group for the purposes of the selection order, and therefore how strong your position is.
Exceptions to the standard sequence
The redundancy selection order is strict, but does provide for a number of statutory exceptions. Your employer may only rely on these if they can substantiate them properly to the UWV (Employee Insurance Agency).
- Essential employee A colleague possesses such specialist knowledge or skills that their departure would seriously harm the business. This requires robust documentation and is scrutinised closely by the UWV.
- Employee seconded to a third party An employee working at a client’s premises who is irreplaceable there may fall outside the selection order by means of a hardship clause.
- Disability or statutory protection against dismissal: Employees with a protected status are passed over; the next employee within the same age group takes their place.
- The 10% rule: For up to 10% of the total number of employees to be made redundant, an employer may deviate from the standard order on the grounds of exceptional suitability. This must, however, be assessed objectively and fairly.
- Collective agreement committee If the applicable collective agreement provides for its own redundancy committee, the collective agreement rules apply instead of the statutory selection order.
- Unique role or whole category being abolished: If only one person holds your role, or an entire department is being dissolved, the selection order does not apply.
Redeployment - your right before redundancy becomes final
Even if the selection order places you in line for redundancy, that does not automatically mean dismissal is the only outcome. Your employer is obliged to first seriously investigate whether redeployment to another suitable role is possible, with retraining if necessary. The UWV actively assesses whether that redeployment effort was sufficient when considering a redundancy application. If your employer falls short, the dismissal permit may be refused.
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Plan a conversationRead more about your rights during a full restructuring process in our overview of Restructuring and economic dismissal in Eindhoven.
On receipt of a redundancy notification, you or your representative should check the following: * Is the redundancy genuine? Employers must show that a redundancy situation actually exists. This usually means that the need for employees to do work of a particular kind has ceased or diminished, or that the business is closing. * Is the selection fair? If there is a pool of employees who could be made redundant, the selection process needs to be fair and objective. Employers cannot use discriminatory reasons for selection. Common fair selection criteria include: * Last in, first out: This is a common and often fair criterion, especially if there are no other objective selection criteria. * Skills and qualifications: This can be fair if the skills needed for the remaining work are clearly defined and measured objectively. * Attendance and disciplinary record: These can be used, but employers must ensure they are applied fairly and without discrimination. * Has the correct procedure been followed? * Consultation: There should have been a genuine consultation process. This means the employer should have discussed the proposed redundancies with you (or your representative) and considered any alternatives you put forward. Consultation should happen *before* the final decision is made. * Alternative employment: The employer should have considered whether there is any suitable alternative employment available within the organisation. * Notification period: You are entitled to a statutory minimum notice period, or payment in lieu of notice. * What is the redundancy pay entitlement? This includes: * Statutory redundancy pay: This is a legal minimum payment based on age, length of service, and weekly pay. * Contractual redundancy pay: Your employment contract may offer more generous redundancy pay than the statutory minimum. * Payment for untaken holiday: You are entitled to be paid for any untaken holiday entitlement at the end of your employment. * What about other benefits? Check what happens to other benefits like: * Pension * Private medical insurance * Share options * Company car * Is there a right to appeal? You may have a right to appeal against the redundancy decision. Check your contract or company policy, or ask your employer. If you believe your redundancy is unfair, you can seek advice from a trade union, Citizens Advice, or an employment lawyer. There are time limits for making claims to an employment tribunal.
The UWV does not automatically check if the redundancy selection order has been applied correctly. This means you must actively check if your employer has followed the rules. Do this as soon as possible, as deadlines continue to run.
- Please provide an overview of the interchangeable roles and a breakdown by age group.
- Check that the reference date is correct; this is normally the date on which the redundancy application was submitted.
- Verify whether external workers and zero-hours staff in your job category were let go at an earlier stage.
- Look into whether any colleagues in your age group with a shorter length of service are being retained.
- Ask your employer specifically what steps they have taken to redeploy you.
- Check whether your collective agreement contains different rules regarding the redundancy sequence.
- If in doubt, seek legal advice promptly – ideally before signing anything.
Why choose Arbeidsjurist Eindhoven
At Arbeidsjurist Eindhoven, we understand how significant the prospect of redundancy can be, particularly when you feel the rules have not been applied correctly. We know the Brabant labour market and will help you gain quick, practical clarity on your position. Whether it concerns checking the redundancy selection order, assessing a settlement agreement, or conducting negotiations with your employer, we are here for you.
Contact us for a no-obligation consultation. We would be happy to discuss your situation and let you know exactly where you stand.
Frequently asked questions
What exactly is the redundancy selection order?
The redundancy selection order is a legally required method that determines the sequence in which employees are put forward for redundancy in the event of an economic dismissal. Employees with interchangeable roles are divided into five age groups (15–25, 25–35, 35–45, 45–55, and 55+). Within each group, the employee with the shortest length of service is first in line.
Can my employer simply depart from the redundancy selection criteria?
No, this is only permitted in exceptional circumstances that must be properly substantiated to the UWV. Examples include an indispensable employee with unique knowledge, an employee with a disability, or a situation governed by a collective agreement. The 10% rule allows employers limited scope to deviate from the standard sequence for up to 10% of redundancies on the grounds of exceptional suitability.
Here's how to know if your employer has correctly applied the redundancy selection criteria: * Understand the selection criteria: Your employer should have clear, objective criteria for who is selected for redundancy. Common criteria include: * Last In, First Out (LIFO): Employees with the shortest service are selected first. * Skills, qualifications, and experience: Employees with the skills and experience most vital to the business are retained. * Performance: Based on objective performance reviews. * Attendance: Based on absence records, but this must be handled carefully to avoid discrimination. * Disciplinary record: Employees with recent disciplinary issues might be selected. * Check for objectivity: The criteria used should be objective and measurable, not subjective or based on personal opinion. For example, "ability to do the job" is vague, whereas "possession of qualification X" or "demonstrated success in project Y" is more specific. * Ask for clarification: You have the right to ask your employer for details about how the selection criteria were applied, including how you were scored or assessed against those criteria. They should provide this information during the redundancy consultation process. * Review the consultation process: There should be a fair and proper consultation process. This typically involves: * Being informed about the proposed redundancies. * Being consulted individually about your situation, the selection process, and any alternatives to redundancy. * Having the opportunity to ask questions and raise concerns. * Look for discrimination: The selection process must not be discriminatory. This means selection should not be based on protected characteristics such as: * Age * Disability * Gender reassignment * Marriage and civil partnership * Pregnancy and maternity * Race * Religion or belief * Sex * Sexual orientation * Compare yourself to others (cautiously): While you can't demand to see other employees' information, if you suspect unfairness, consider if the criteria seem to have been applied consistently. For example, if "last in, first out" was the stated criterion, but someone with less service than you was retained without a clear, objective reason related to other criteria, it could indicate an issue. * Seek advice: If you have concerns about the fairness or legality of the redundancy selection process, it's advisable to seek advice from: * Your Trade Union: If you are a member. * ACAS (Advisory, Conciliation and Arbitration Service): They offer free, impartial advice on employment rights. * An employment solicitor: For legal advice and representation. In summary, you know the order has been applied correctly if: * Clear, objective selection criteria were used. * These criteria were applied fairly and consistently to all employees at risk of redundancy. * The process was not discriminatory. * You were consulted properly. If these conditions are not met, your employer may have acted unlawfully.
The UWV does not check this automatically on your behalf. Ask your employer for an overview of the interchangeable roles, the age groups, and the lengths of service. Check whether the correct reference date has been used and whether external workers and zero-hours staff were let go at an earlier stage. If in doubt, it is advisable to consult an employment law adviser.
Does my employer also have a duty to consider redeployment alongside the redundancy selection order?
Yes. Even if you have been declared redundant through the selection order, your employer must firstly seriously investigate whether redeployment to another suitable role is possible, with retraining if necessary. If they cannot demonstrate that they have done so sufficiently, the UWV may refuse to grant the dismissal permit.
Does the redundancy selection order also apply if my employer has multiple sites?
Yes, but the selection is then carried out per individual business location. If your employer has locations in Eindhoven and in another city, these are calculated separately. This can affect how many colleagues are counted within your age group and therefore your position in the redundancy sequence.
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