Sham Redundancy in the Netherlands: Why Expats Are Often Targeted

The meeting invite arrives in your inbox. The subject line is vague—maybe just “Update” or “Check-in.” But when you walk into the room or log onto the call, HR is there. They tell you the company is “restructuring.” They say your role has been impacted. They say you are being made redundant.

You look around. Your Dutch colleagues seem safe. The junior employees are staying. But you, the experienced international specialist, are being asked to leave. You naturally wonder: “Why me?”

If you feel like you have been singled out, your instincts are likely correct. We see a worrying trend of sham redundancy cases targeting expats in the Netherlands. Employers often view international professionals as “low-hanging fruit” during budget cuts. They assume you are expensive, vulnerable, and unlikely to understand the complex Dutch dismissal rules.

However, targeting someone based on their background, salary, or visa status is illegal. If you suspect you are facing a fake reorganization, you need to understand the game being played against you.

Why Expats Are Disproportionately Selected

It is not a coincidence that Highly Skilled Migrants often face the axe first. When a company cuts costs, they look at spreadsheets, not people. International workers often appear as “easy targets” for three reasons:

  • The Cost Factor: To qualify for the Highly Skilled Migrant visa and the 30% ruling, you must earn a high salary. Cutting one “expensive” expat saves more cash on paper than firing two juniors. However, selecting people purely based on salary cost is generally illegal under Dutch dismissal law.
  • Assumed Ignorance: Employers assume you do not know about the Works Council (Ondernemingsraad) or the strict dismissal protection laws. They bet on you accepting the first bad settlement offer because you fear the legal unknown.
  • Communication Barriers: Rumors often travel through the office in Dutch. By the time an official announcement is made in English, decisions have already been made, putting you at a disadvantage compared to local peers.

Evidence That a Redundancy Is Not Genuine

A true redundancy means the job disappears due to economic necessity. However, in many expat cases, the work does not disappear; it just changes hands or labels.

Look for these indicators of a sham redundancy:

  • The “Chair Dance”: The company eliminates your role of “Senior Marketing Manager” but immediately opens a vacancy for “Brand Lead.” The tasks are 95% the same. This is a classic trick to bypass protection rules.
  • Fake Outsourcing: You are told your department is being outsourced. Three months later, you find out the company has hired freelancers to sit at your old desk doing your old work.
  • Violating “Last In, First Out”: In the Netherlands, redundancies must usually follow the afspiegelingsbeginsel (reflection principle). This generally means the last person hired in a specific age group and function group must be the first to go. Employers try to bypass this by claiming your role is “unique” to avoid firing a Dutch colleague with less tenure.

The Visa Trap: Using Residency as Leverage

Your visa is your weak spot, and bad employers know it. The Highly Skilled Migrant status ties your residency to your employment. If you lose your job, you typically have a three-month “search period” to find a new sponsor.

Employers calculate that you will be too panicked about your visa to fight back. They offer severance packages far below the legal standard, framing the quick settlement as a “favor” to give you time to search. In reality, they are underpaying you significantly.

Hidden Discrimination: “Cultural Fit”

Discrimination is rarely written in an email, but it is often coded in subtle language during a restructuring:

  • “Cultural Fit”: If you are let go because you lack “local market connection,” this can be a cover for nationality-based discrimination.
  • Sudden Language Requirements: Suddenly, your job requires “native level Dutch,” even though you have performed successfully in English for years. Unless the business model has fundamentally changed, this is often a pretext to target international staff.

How to Fight Back: Your Legal Options

If your employer wants to fire you for economic reasons, they need a permit from the UWV (Employee Insurance Agency) or your agreement via a Settlement Agreement. They cannot just order you to leave.

You have strong grounds to challenge the dismissal if:

  • The “Last In, First Out” rule was applied incorrectly.
  • The company is hiring new people for similar roles (violating the wederindiensttredingsvoorwaarde).
  • The reorganization is a sham to hide performance-based dismissal.

If the dismissal is proven to be unlawful or based on false grounds, you can claim Fair Compensation (billijke vergoeding) on top of the standard transition payment. This is a penalty for the employer’s bad behavior.

Don’t Navigate a Conflict Alone

A sham redundancy is a betrayal. It makes you feel unwelcome in the country you chose to call home. But Dutch law is designed to stop exactly this kind of behavior. The law demands fairness, regardless of your nationality.

If you are facing a conflict with your employer regarding a redundancy or restructuring, you need professional support.

Do not simply accept a termination proposal. Our specialized employment lawyers can step in to protect your position. We analyze the validity of the redundancy, challenge the selection criteria, and negotiate a severance package that reflects the true damage to your career.

Ensure your rights are defended by experts. Click here to request legal assistance from our team.

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