The government must develop a plan to abolish the obligation for small employers to continue paying wages during the second year of an employee’s sickness. This follows from a motion recently adopted by the Dutch House of Representatives.
Background
Under Dutch law, employers are obliged to continue paying wages during sickness for a maximum of two years (up to 70% of the statutory maximum daily wage). For small employers, this obligation is particularly burdensome. For that reason, there has long been debate about whether this rule is desirable.
Recent development
In April 2025, a motion was submitted to limit the obligation for all employers to just one year. That motion received little support; among others, the VVD and the SP voted against. However, during the General Political Debates on 18 September 2025, those same parties jointly submitted a new motion aimed only at easing the position of small employers. In this motion, they asked the government to prepare a plan to replace the second year of sick pay with a collective scheme (in other words: a state-funded benefit), without undermining employees’ rights.
This motion was adopted. The government must now draw up a concrete plan. For the time being, no legislative proposal has been submitted and the existing rules remain in force.
What does this mean for employers?
If these plans are implemented and a legislative proposal that limits the sick pay obligation for small employers to just one year will be adopted, the impact will be significant, and positive,for these employers.
Until new legislation is enacted, the current obligation of two years of wage continuation remains. To minimize the risks and disadvantages of long-term sick employees, employers should strictly follow all applicable rules during such a process. This is not only in the employer’s interest, but also in that of the employee, who benefits from proper treatment during sickness and the fastest possible reintegration.
If you have questions or need assistance with a sickness case, please contact our employment law specialists; we are here to help!