The Employee Termination Agreement (Vaststellingsovereenkomst) is a crucial document in Dutch employment law used when an employer and employee mutually agree to end their employment relationship. This document is particularly relevant in situations involving reorganizations, mutual consent separations, or when parties wish to formalize termination terms outside of court proceedings. It must comply with Dutch Civil Code requirements, particularly Book 7's employment provisions, and includes mandatory elements such as the statutory transition payment calculation, notice periods, and final settlement terms. The agreement serves as a legally binding document that protects both parties' interests while ensuring compliance with Dutch employment regulations, including consideration of the employee's right to unemployment benefits (WW-uitkering) and the mandatory reflection period.
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1. Parties: Identification of the employer and employee, including full legal names, addresses, and relevant registration numbers
2. Background: Context of the employment relationship, including start date, position, and reason for termination
3. Definitions: Key terms used throughout the agreement
4. Termination Date: Specific date of employment termination and last working day
5. Financial Settlement: Details of final salary, transition payment, holiday pay, and other financial entitlements
6. Company Property: Requirements for returning company property and handling of digital assets
7. Final Settlement: Timeline and process for final payment and settlement of accounts
8. References: Agreement on the nature and content of employment references
9. Full and Final Settlement: Mutual release of claims and waiver of rights
10. Tax Implications: Statement on tax treatment of payments and responsibilities
11. Governing Law: Confirmation of Dutch law application and jurisdiction
12. Signatures: Execution clauses and signature blocks
1. Non-Competition and Non-Solicitation: Post-employment restrictions on working for competitors or soliciting clients/employees, if applicable to the employee's position
2. Confidentiality: Ongoing obligations regarding confidential information, if not already covered in existing agreements
3. Garden Leave: Terms of any garden leave period before final termination date
4. Share Options/Benefits: Treatment of existing share options, bonuses, or other benefits
5. Legal Assistance Costs: Agreement on payment of legal advice costs for the employee
6. Outplacement Support: Details of any career transition or outplacement support offered
7. Communications: Agreed approach to internal and external communications about the departure
8. Pension Arrangements: Special arrangements regarding pension schemes or retirement benefits
9. Insurance Continuation: Details about continuation or termination of insurance benefits
10. Works Council: Reference to works council consultation if applicable
1. Schedule 1 - Financial Settlement Calculation: Detailed breakdown of all financial payments including salary, transition payment, and other benefits
2. Schedule 2 - Company Property List: Itemized list of company property to be returned
3. Schedule 3 - Existing Agreements: List of existing agreements that remain in force or are terminated
4. Schedule 4 - Benefits Summary: Summary of treatment of various benefits and entitlements
5. Appendix A - Handover Document: Template or checklist for handover of responsibilities
6. Appendix B - Reference Letter: Template or agreed form of reference letter
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