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In the event of an employee's illness, the employer must continue paying at least 70% of the salary for 104 weeks (Article 7:629 of the Dutch Civil Code). This percentage is often higher due to collective labor agreement stipulations: 100% in the first year and 70% in the second year is a common combination. In addition to continued salary payment, reintegration obligations (Poortwachter) apply. For SME employers, long-term illness can be a serious financial burden — hence the importance of an absenteeism protocol and potential insurance.
The short answer
- Duration: 104 weeks (first 2 years of illness).
- Minimum: 70% of the wage, with the minimum wage as the lower limit.
- Collective Labour Agreement or contract: often higher percentages (100% year 1, 70% year 2 common).
- Reintegration: active obligations under the Gatekeeper Improvement Act.
- After 104 weeks: WIA application via UWV.
The statutory regulation
According to Article 7:629 of the Dutch Civil Code:
- The employer pays at least 70% of the salary during illness.
- First 52 weeks: at least the statutory minimum wage.
- Second 52 weeks: at least 70% of last earned salary.
- Total: 104 weeks.
The statutory minimum is generally lower than what is paid in practice. Many collective labour agreements and employment contracts stipulate higher percentages.
Common increased percentages
CLA provisions vary, but are common:
- Year 1: 100% (full salary).
- Year 2: 70% (statutory minimum).
Some collective labour agreements: 100% in year 1, 90% in year 2. Or a combination with a supplement to 100% in year 2 subject to conditions of active reintegration. Check the collective labour agreement and employment contract.
The financial impact for employers
For an employee with a gross monthly salary of €4,000, 100% during the first year of illness and 70% during the second:
- Year 1: € 48,000 (12 × € 4,000).
- Year 2: € 33,600 (12 × € 2,800).
- Total direct salary: € 81.600.
- Plus employer contributions (~30%): ~€105,000 in 2 years.
Significant for SME employers. Hence, absenteeism insurance or WGA self-insurance is worth considering.
Reintegration obligations (Gatekeeper)
The Gatekeeper Improvement Act (since 2002) requires active reintegration. Step-by-step plan:
- Week 1: report sick to occupational health service/company doctor.
- Week 6: problem analysis by company doctor.
- Week 8: Draw up an Action Plan together with the employee.
- Monthly evaluation: document progress.
- Week 42: notification of illness to UWV.
- Week 52: first-year evaluation.
- Weeks 87–88: WIA application by employee.
- Week 104: end of obligation to continue paying wages; WIA benefit or resumption of work.
Failure to comply with Gatekeeper requirements can lead to a wage sanction: UWV imposes an extension of wage continuation on the employer (maximum 52 extra weeks). See also employee reintegration.
What should the employer do during illness?
- absence protocol — see absence protocol.
- Good file building via occupational health service.
- Maintain contact with employee (no medical details, but the process).
- Actively investigate reintegration tracks 1 and 2
- If necessary, request an expert opinion from the UWV.
Insurance and deductible
Many SME employers have:
- Absenteeism insurance: covers continued payment of wages during illness (first 2 years).
- WGA self-insurance: the employer bears the risk themselves for the first 10 years of WGA, in exchange for a lower premium.
- WIA supplement: supplementary benefit above the WIA level.
Discuss with an insurance advisor which combination suits your business size and risk.
Honest recommendation
Continued payment of wages during illness is one of the heaviest employer obligations in the Netherlands. Plan for this financially (absenteeism insurance, reserves) and ensure a sound absenteeism protocol and active reintegration. A wage penalty of 52 extra weeks can easily cost tens of thousands of euros — avoidable with proper documentation.
For related topics: absence protocol and incapacity for work.
Frequently Asked Questions
Statutory 104 weeks (Article 7:629 of the Dutch Civil Code). At least the statutory minimum wage for the first 52 weeks, and at least 70% of the last earned wage for the second 52 weeks. Often more via a collective labor agreement or employment contract.
Statutory minimum of 70%. Often higher via collective labour agreement: customary 100% in year 1, 70% in year 2. Check your collective labour agreement and employment contract for exact percentages and any additions.
The Gatekeeper Improvement Act (since 2002) requires the active reintegration of sick employees. The employer and employee go through steps together: problem analysis, action plan, and evaluations. Failure to comply leads to a wage sanction from the UWV.
An extension of continued wage payment by the UWV if the employer fails to meet reintegration requirements. A maximum of 52 extra weeks, in addition to the statutory 104 weeks. Can cost thousands to tens of thousands of euros — avoidable through careful reintegration.
Not mandatory, but highly recommended for SMEs. In the event of an employee's long-term illness, continued salary payments can cost tens of thousands of euros per year. Absenteeism insurance covers these costs during the first two years.
End of obligation to continue paying wages. The employee can apply for WIA at the UWV; possible resumption of work in (partly) their own job. In the case of WGA self-insurance, the employer remains responsible for the WGA benefit for 10 years.
Limited. The employer may know whether the employee is ill, the expected recovery date, and any limitations regarding work. No detailed medical information — that remains with the company doctor. The employee's privacy is protected.