Losing Your Job

Losing your job can be a challenging experience, especially for people who live in a foreign country. Whether you’ve been laid off, made redundant, or are facing other reasons for termination, it’s important to understand the steps you need to take and the support available to you. This page will guide you through the key points to know when losing your job, including what resources you can rely on, and how to move forward during this uncertain time.

Legal grounds for dismissal

Employers in the Netherlands cannot dismiss employees without a valid reason. The law sets specific “grounds for dismissal” that must justify ending an employment contract. These include reasons such as restructuring, long-term illness, poor performance, or serious misconduct. In most cases, employers must also follow formal procedures including paying a transition payment (transitievergoeding) and may need approval from authorities or the court. Understanding these legal grounds helps both employers and employees ensure that dismissal is fair and compliant with Dutch labour law.

See what grounds for dismissal are permitted

Residence permit status

Is your permit tied to your employer (for example, a highly skilled migrant visa)? Then losing your job will affect your residence permit. In many cases, you are granted a short “search period” to find a new job that meets the same conditions. If you do not find a qualifying job in time, your right to stay in the Netherlands may be affected. Always check your specific situation with the Immigration and Naturalisation Service (IND), which provides official guidance on residence permits and unemployment.

If you lose your job, you may be eligible for unemployment benefit (WW) through the UWV. You must apply within one week after becoming unemployed and meet conditions such as having worked at least 26 out of the last 36 weeks. You are also required to register as a job seeker and actively apply for jobs. Most of the time, you will come to an agreement with your UWV employment adviser (‘UWV adviseur werk’) about how many job search activities you should carry out every 4 weeks. As a general rule, you should complete 4 activities in every 4-week period. Unemployment benefits are considered taxable income. This means you must include them in your annual tax return. At the same time, your lower income may make you eligible for other allowances such as housing benefit (huurtoeslag) or healthcare allowance (zorgtoeslag).

If you find a new job before your benefit ends, it may be reduced or stopped. If the amount you earn from paid employment is less than your average monthly unemployment benefit income (‘WW-maandloon’), the unemployment benefit will act as a supplement to this income.

If you earn over 87.5% of your average monthly unemployment benefit income for 2 months in a row, your unemployment benefit will be stopped.

Social assistance

Do you not meet the requirements for unemployment benefits? Then you may apply for social assistance (bijstand). This is managed by your local municipality and provides a minimum income if you cannot support yourself. Eligibility depends on your income, assets, and living situation. You can find more information through your municipality:

Leiden, Leiderdorp, Voorschoten, Zoeterwoude.

Self-Employment

Besides job searching during your unemployment benefit, you can also choose to become self employed by starting your own business. For starters you need to complete a training to get familiar with the conditions, after which you need permission from UWV. If you want to develop your idea further, you can take a 6-week research period to investigate whether you want to start your own business. During this period, you do not have to apply for jobs, and you will keep your benefits. Your employment adviser must give permission for this.

Find all requirements

If you benefit from the 30% ruling/expat scheme (a tax advantage for highly skilled migrants), losing your job does not immediately cancel it. However, you must find a new qualifying employer within a limited period (typically three months). If you do not, the ruling will end.

When you stop working, pension accrual through your employer usually stops as well. Some pension schemes allow you to continue contributions voluntarily, but this depends on your provider. It is advisable to contact your pension fund directly to understand your options and avoid gaps in your retirement savings.

Health insurance

Health insurance remains mandatory in the Netherlands, even if you lose your job. You must continue paying your monthly premium to your insurer. If your income drops significantly, you may qualify for healthcare allowance (zorgtoeslag) to help cover costs. Information about this can be found via the Belastingdienst.

Maternity leave

If you are or become pregnant, your situation may change from unemployment benefit to maternity benefit. In the Netherlands, maternity pay (ZW-uitkering for pregnancy) can replace unemployment benefits during your leave period. After the maternity leave ends, you may still be entitled to continue receiving unemployment benefit if you meet the conditions.

LIMES international

With over 15 years of experience, LIMES' immigration department assists HR professionals with immigration and migration matters, offering tailored solutions to facilitate a prompt transition into international operations.

LIMES international
De Clercq Advocaten

Established in 1850. De Clercq advises international companies and expats on varies areas of Dutch law such as employment law, immigration law, corporate law, intellectual property, privacy, real estate and notary. They regularly publish blogs with useful information.

De Clercq Advocaten