Unemployment benefits may be low

Employees who meet certain conditions are entitled to unemployment benefits in the event of dismissal. In the first months they are entitled to 75 percent of the final salary, thereafter to 70 percent. However, most employees will be disappointed with how much money they have to make ends meet. In the Netherlands you are entitled to unemployment benefits after you have been fired. In recent years, this arrangement has been increasingly limited. Nowadays you can be entitled to such a benefit for a maximum of three years and two months. A requirement to be eligible for this benefit is that you have worked at least 26 weeks in the past 36 weeks (=week requirement). If you meet this requirement, you are entitled to a benefit for three months. The benefit period becomes longer due to a longer employment history. Unemployment should not be blameworthy. For example, someone who has resigned himself is not entitled to benefits.

How much will my unemployment benefit be?

The amount of your benefit depends on your wages from work. You will receive 75 percent of your salary for the first two months, after which it drops to 70 percent. The amount of the benefit depends on your SV wage (average daily wage). A maximum daily wage applies to determine the unemployment benefit. If your income is higher than this amount, your benefit will be based on this maximum amount.

70 percent of my salary is below the social assistance level

For employees with a low income, the unemployment benefit may fall below the social assistance level. In that case, a supplement can be requested. This can be requested from the UWV. To qualify for this, you must take action yourself.

How much will I lose?

The percentage is taken from the gross salary, so someone with a gross income (sv-wage) of 35,000 will receive 70 percent after three months: 24,500. The difference in net salary may be smaller because you will fall into a lower tax bracket with your lower income. The fall will be significant for employees with an income above the maximum amount.

Expense reimbursements will be cancelled

Employees who received expense allowances in addition to their regular wages are worse off. These are not included in determining the amount of the benefit. Of course, this is also logical because the costs on which the reimbursement was based have also been cancelled. The extra income from irregular overtime will also disappear. These are also not included in the benefit.

Benefit too low compared to regular income

Life with unemployment benefits will also be disappointing for employees who do not exceed the wage limit. Your expenses are based on a higher monthly income and expenses will also increase. If you end up stuck at home, you still have to fill your days. As a result, most unemployed people will also need more money to make ends meet.

No longer entitled to unemployment benefits

After the period in which you are entitled to unemployment benefits, there is no follow-up benefit for employees who have not yet found a job. In that case, social assistance benefit remains. The link between the benefit and the salary earned in the past is now loosened and rights are created at social assistance level. A family with children is entitled to a benefit equal to 100 percent of the minimum wage.