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Withdrawal of an application for dissolving an employment contract. And then?
Newsletter Employment Law.
Newsletter Employment Law.
An employer who has submitted an application to have an
employment contract dissolved can subsequently withdraw it should
he consider that the subdistrict court has awarded an employee an
excessive level of compensation. A recent case in which an employee
submitted his own request for his employment contract to be
dissolved following the employer withdrawing his application turned
into a costly affair for the employer.
Facts
Since 1974 the employee in question works for the employer
as a reporter. On 2 June 2009, the employer seeks the dissolution
of the employment contract on the grounds that the employment
relationship has become untenable. The subdistrict court in
Apeldoorn dissolves the contract effective from 1 July 2009 and
awards compensation to the employee. As is required, the judge of
the subdistrict court offers the employer the possibility of
withdrawing his request for the dissolution. The employer does so
and on 11 June 2009 informs the court and the employee of the
withdrawal of the application. At the same time, the employer lets
the (representative of the) employee know by fax that the
employment contract will be continued. The employer does not make
clear how this will be put into practice.
Employee's dissolution request
The employee informs the employer that they do not agree
with the proposal to return to work and to continue working in his
service. The employee turns to the subdistrict court with a request
to dissolve the contract on the basis of a higher level of
compensation.
The judge rules that the employer, following the withdrawal of his
request to dissolve the contract, has made no substantial or
credible attempt to offer the employee a realistic opportunity to
continue with their activities or to provide a different
appropriate function within the organisation. The situation is thus
not fundamentally changed, yet this was to be expected of the
employer. In addition, according to the judge, in a desperate
situation such as this it is not important with regard to the level
of compensation which party submitted the request to have the
contract dissolved. The judge believes that the employee's return
to work is not a realistic option and they cannot be blamed for not
accepting the employer's proposal to continue in service.
Considering that the circumstances remain unchanged, the
subdistrict court sets the level of compensation at that which had
been determined in the ruling of 2 June 2009.
Second dissolution application
Following the employer withdrawing his termination
request, the employee is free to submit their own application. The
course of events following withdrawal of the request is important
in the assessment of the dissolution request that the employee
subsequently submitted. It is essential that an employer acts
precisely and, especially, that he considers in advance what the
(working) situation will be like once he withdraws such a request.
Where an employer can show that he has paid serious attention to
the return of the employee to his organisation, this may result in
lower, or no, compensation being awarded in the event of a second
termination request being submitted. This was not the case in this
present dispute and, therefore, the level of compensation remained
unchanged.