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Since the Supreme Court’s Victoria ruling, an employee may, subject to conditions, be entitled to partial dismissal — and consequently to a partial transition payment — if their working hours are substantially and permanently reduced. Good employership may require you to cooperate with such a reduction in hours.
Does partial dismissal exist?
Our dismissal law is based in principle on full dismissal. Nevertheless, the Supreme Court has accepted that partial termination is possible in exceptional cases, for example in the event of a substantial and structural reduction in the scope of work. In such cases, the employee may be entitled to a transition payment calculated proportionally.
When does this take place?
It occurs primarily in the event of economic circumstances or long-term disability, resulting in a permanent reduction in hours — for example, due to the closure of a location or a partial redeployment. The reduction must be substantial (as a rule, significant) and structural.
The role of good employership
Based on the principles of good employership, you may be required to agree to a reasonable proposal from the employee to adjust the scope of work, especially if circumstances warrant it. If you refuse without good reason, this could work against you.
Pay attention to the partial transition payment
In the event of partial dismissal or a substantial reduction in hours, a partial transition payment may be due. Calculate this carefully: incorrect handling leads to back payment or legal proceedings. Therefore, seek advice in advance.
Frequently Asked Questions
Am I required to cooperate with a request for a reduction in hours?
Good employership may require this in the case of a reasonable proposal and appropriate circumstances. Refusal without good grounds is risky.
Is a transition payment due in that case?
In the event of a substantial and structural reduction in hours, a partial transition payment may be applicable. Calculate this accurately.
Does this apply to every reduction in hours?
No, only in the case of a substantial and permanent reduction. Minor or temporary adjustments are usually excluded.
Questions about dismissal or reduction of hours?
Our legal experts and lawyers advise and formalize agreements in a settlement agreement. View our employment lawteam or schedule a free consultation.
