Caution: act quickly in case of summary dismissal!

Summary dismissal must take place without delay: as soon as you, as an employer, establish an urgent reason, you must dismiss the employee with immediate effect and communicate that reason immediately. If you wait too long or decide to “sleep on it” first, you run the risk that the court will annul the dismissal or award the employee substantial compensation. Speed ​​and due diligence are both decisive: you must not only act quickly but also have a solid case file.

What is summary dismissal?

Summary dismissal is the most severe form of dismissal under Dutch employment law. The employment contract ends immediately, without a notice period and without prior permission from the UWV or the subdistrict court. For the employee, the consequences are far-reaching: he not only loses his job and his salary, but also runs the risk of not being entitled to unemployment benefits.

Precisely because the consequences are so severe, judges scrutinize this type of dismissal rigorously. As an employer, you must therefore be firm and have your records in order before taking this step. If you have doubts about the validity of the dismissal, have it reviewed beforehand within employment law; a misjudgment is difficult to rectify afterwards.

The conditions for a valid summary dismissal

You cannot simply dismiss an employee on the spot. The law sets three strict conditions that the dismissal must meet. If one is missing, the dismissal quickly becomes untenable.

1. An urgent reason

There must be an urgent reason: conduct that makes it unreasonable to expect you as an employer to continue the employment relationship. Examples include theft, fraud, assault, or serious threats. The law provides examples, but this list is not exhaustive. Whether something constitutes an urgent reason depends on all the circumstances of the case, such as the nature of the conduct, the duration of employment, and the employee's personal situation. Sometimes, a violation of sickness absence regulations be a factor, although the cause must usually be more serious.

2. Cancel immediately

The dismissal must without delay . This means that you must act immediately upon discovering the urgent cause. Adopting a wait-and-see attitude or letting the matter linger is out of the question. In practice, this is the most underestimated condition and the most common reason why a dismissal fails.

3. Immediate notification of the reason

The urgent reason must be communicated to the employee simultaneously and without delay. The employee must immediately understand why he is being dismissed. Changing or supplementing the reason afterwards is, in principle, not permitted. Therefore, record the reason carefully and concretely, preferably in writing in a dismissal letter.

Without delay: why time pressure is the biggest pitfall

the concept of " without delay" lightly. As soon as the urgent reason is sufficiently established for you, you must proceed with the dismissal immediately. Doing nothing or thinking about it for a few days is not a good idea and can prove fatal to the dismissal.

At the same time, “without delay” does not necessarily mean that you may never first find out what is going on. In an unclear situation, you may conduct a brief and expeditious investigation , apply the principle of hearing both sides, and, if necessary, seek legal advice. However, keep that investigation focused and without unnecessary delay: as soon as it provides sufficient clarity, you must act immediately. There may be no further procrastination.

A brief internal consultation, for example because decision-making must take place at a specific level within the organization, does not necessarily immediately undermine the immediacy. However, the more time elapses between the moment the facts are established and the moment of dismissal, the greater the risk that a judge will rule that you did not act without delay.

Practical example: waiting too long costs money

The importance of the immediate nature is evident from a case before a Court of Appeal. The matter certainly did not involve trivial matters: an employee had loaded unregistered freight waste over an extended period and accepted money or goods in return.

After the employer learned of the irregularities, he initiated an investigation involving various observations. It was not until months later that the employee was confronted with the results. He confessed to the illegal loading, was suspended, and shortly thereafter summarily dismissed.

Although the facts were serious, the court ruled that the employer had delayed far too long. The decisive observations had, in fact, taken place months earlier and already provided sufficient evidence at that time. The dismissal should therefore have followed immediately, and not months later. The court therefore ruled that the dismissal was not legally valid and awarded the employee, among other things, a transition payment, equitable compensation, and compensation for irregular termination.

Even in cases of very serious offenses, a delayed response can undermine the dismissal. Speed ​​is not a formality, but a core requirement.

What are the consequences of wrongful summary dismissal?

If the dismissal does not hold up, it can cost you, as an employer, a considerable amount of money. Within a statutory limitation period, the employee can ask the subdistrict court to annul the dismissal, as a result of which the employment relationship formally continues and you must pay wages retroactively. This period amounts to two months, calculated from the day after the end of the employment contract. It is a strict limitation period that cannot be extended or interrupted; therefore, every day counts for the employee who wishes to challenge the dismissal.

Instead of annulment, the employee may also acquiesce in the dismissal and claim compensation, such as:

• a transition payment;
• fair compensation for seriously reprehensible conduct by the employer;
• compensation for irregular termination, because the notice period was not observed.

The exact amount varies by case and depends on the salary, the duration of employment, and the circumstances. The total can quickly add up to a substantial sum, in addition to legal costs and strained relations in the workplace. If the case results in a dispute with your employee, it is advisable to have your position legally assessed beforehand.

Common mistakes regarding summary dismissal

Most summary dismissals fail not because the reason was not serious enough, but because the employer fell short in the execution. Therefore, watch out for these pitfalls:

• Waiting too long. Asking around internally first, letting it sink in over the weekend, or waiting until a manager returns from vacation: all of this can undermine the immediate nature of the measure.
• No hearing and counter-hearing. Failing to ask the employee for a response makes the dismissal vulnerable and can also weigh in on the question of whether you acted with serious culpability.
• Stating the reason vaguely or incompletely. A general phrasing such as “due to misconduct” is risky. Describe concretely which conduct leads to the dismissal.
• Supplementing the reason afterwards. In principle, you cannot bring up later what you did not mention at the time of dismissal.
• No written record. Without a letter of dismissal and a file, you are left empty-handed in legal proceedings.

Step-by-step plan: how to handle summary dismissal carefully

1. Immediately determine what actually happened and gather evidence.
2. If necessary, conduct a brief, expeditious investigation and apply the principle of hearing both sides.
3. If in doubt, seek immediate legal advice regarding the validity.
4. As soon as the matter is clear, immediately to the dismissal.
5. Communicate the urgent reason immediately and concretely and record it in writing in a summary dismissal letter.

Frequently asked questions about summary dismissal

How quickly do I need to act in the event of summary dismissal?

You must act without delay, meaning in principle immediately once the urgent reason has been sufficiently established for you. A brief and expeditious investigation is permitted, but as soon as the facts are clear, you must dismiss the employee with immediate effect. Waiting days or weeks can already invalidate the dismissal.

Which reasons qualify as urgent reasons?

Examples include theft, fraud, embezzlement, assault, serious threats, or gross violations of company rules. The law provides examples, but the list is not exhaustive. Whether something constitutes grounds for immediate dismissal in your situation depends on all the circumstances of the case.

Within what period can the employee challenge the dismissal?

The employee may ask the subdistrict court to annul the dismissal within two months after the termination of the employment contract. This is a strict limitation period: if the employee allows it to expire, the right to claim annulment lapses. As an employer, bear in mind that legal proceedings can therefore follow relatively quickly.

Is the employee entitled to unemployment benefits after summary dismissal?

In the case of a justified summary dismissal, the employee generally runs the risk of not receiving unemployment benefits, because culpable unemployment can be held against him. If the dismissal is overturned, the situation is different. The UWV assesses this independently.

Can I add the reason for the dismissal later?

In principle, no. The urgent reason you state upon dismissal is established. It is therefore important to formulate the reason fully and carefully immediately and record it in writing.

Am I allowed to suspend an employee before dismissing them summarily?

A short suspension or placing on non-active duty to investigate the facts may be permissible, provided you act expeditiously thereafter. Do not use the suspension to unnecessarily delay the decision, as this may also jeopardize the immediate nature of the decision.

What if it turns out afterwards that the dismissal is untenable?

In that case, the employee can request the annulment of the dismissal or claim compensation, such as a transition payment, equitable compensation, and compensation for irregular termination. This can become very costly. Therefore, have the validity of the claim assessed in advance.

Are you unsure about summary dismissal? We will think it through with you immediately

An unjustified summary dismissal can cost you a lot of money later on, especially if you wait too long. If you suspect a compelling reason, seek advice immediately. Our legal experts give these types of cases the highest priority, assess lightning-fast whether the dismissal is valid, and draft the dismissal letter for you on the spot where necessary. This prevents a judge from setting it down afterwards.

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