Reinier advises national and international companies
reinier.russell@russell.nl +31 20 301 55 55In 2020, too, there will be changes in legislation for entrepreneurs. The UBO register, the Labour Market in Balance Act, the obligation to report also non-cash transactions in the art world and many more regulations will change next year. In this blog, we will list the most important ones.
In 2020, too, there will be changes in legislation for entrepreneurs. In this blog, we will list the most important ones.
Most of the changes are for employers. Due to the expiry of the transitional arrangements in the Work and Security Act and the introduction of the Labour Market in Balance Act, the calculation of the transition compensation will change. This will be the same for all employees, regardless of the duration of the employment contract and the employees’ age. In addition, the level of unemployment insurance contributions will depend on whether the employment is permanent or temporary. The chain rule (provisions on succession of fixed-term employment contracts) will be extended to three years, and there will be an extra ground for dismissal – the cumulation ground or i-ground –, on-call workers will get more rights, and payrollers will be entitled to the same conditions of employment as employees of the client.
As usual every six months, the level of the statutory minimum wage and the statutory minimum youth wage will also change. In addition, the work-related costs scheme will be extended, allowing employers to pay a higher allowance to their personnel, without having to pay tax on it.
The scheme for the compensation of transition payment in the event of dismissal after two years of illness or due to commercial reasons will come into effect as from 1 April. This also applies to allowances already paid after two years of illness. As a result, the Supreme Court recently ruled that the employer is obliged to terminate the employment of the sick employee after two years of illness if the employee so requests.
The most important change in the area of corporate law is the introduction of the UBO register as of 10 January 2020. As from 1 January 2020, too, it will no longer be possible for the director/major shareholder to build up his own pension. From the same date, the bearer share will no longer be valid.
As from 10 January 2020, the obligation to report and screen cash transactions of € 10,000 or more will also apply to non-cash transactions. In addition, payments for the storage of works of art from € 10,000 are also subject to the obligation to report.
Would you like to know more about these and other legislative changes and what they mean for you as an entrepreneur and employer? Please contact us. Do you want to keep informed of relevant changes, subscribe to our newsletter.
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