The obligation to give notice sounds simple: as an employer, you let people know no later than one month before the end of a temporary contract whether or not you will extend the contract. Yet in practice, it often goes wrong. Employers forget to give notice, do this too late or verbally, or think that the employee 'already knew' where he stood anyway. Several recent judgments underline that these arguments do not hold up in court. And that can cost the employer dearly: a missed notice can easily cost one month's salary.
What exactly does the notice requirement entail?
For temporary employment contracts of six months or longer, the employer must notify the employee in writing no later than one month before expiration whether the contract will be renewed, and under what conditions. This is the obligation to give notice. If this notice is too late or is not given, the employer owes a notice fee in the amount of (at most) one gross monthly salary. The law is strict here: even if the employee otherwise knew that the contract would end, the penalty remains in effect.
Clarity without written notice is not enough
This case involved an employee with a temporary contract until Sept. 30, 2023. The employer had not given written notice that the employment would end. The employee initiated proceedings and claimed a notice payment of €3,139.17. The employer argued that it had long been clear to the employee that the contract would not be renewed. The Subdistrict Court rejected this argument: clarity is not the same as written form. Only a written notice meets the legal standard. The full notice fee was awarded.
Notice in settlement agreement is sufficient
In another case, an employee claimed that the employer had not given notice that her contract would end on May 1, 2024. However, the employer referred to a written notice in the preamble of a settlement agreement. This stated that the employment would not be renewed. Although the parties ultimately did not agree on the agreement itself, the subdistrict court ruled that the notice was in writing and therefore valid. The mere circumstance that the notice was contained in an unsigned document did not alter this.
Notice may be given in advance, no compensation for short contract
In this case, when a one-year temporary contract was renewed, the employer had already given immediate written notice that the contract would not be renewed again after its expiration. This "notice in advance" turned out to be legally valid. When the employee still received an extension proposal shortly before the expiration of the contract, which he did not accept, the employment ended by operation of law. The subdistrict court ruled that the original notice was sufficient. This included the fact that the employee had worked a few more days after the contract expired, but this did not result in a tacit extension. Even a possible third extension that would last only a few days would not result in notice because the legal regulation does not apply to contracts shorter than six months.
The role of the Supreme Court
The line in case law is determined in part by an important Supreme Court ruling from 2022 It held that the severance pay is always due for failure to comply with the written requirement, regardless of whether the employee otherwise knew where he stood. This makes the regulation tough, but also clear-cut: the court has no room to moderate based on reasonableness or lack of damages.
Practical tips for employers
- Set a reminder: have your HR system automatically alert you to temporary contracts of six months or longer.
- Always put the notice in writing. This can be by letter or e-mail, as long as the employee receives it unambiguously.
- When extending a temporary contract, immediately include whether it will be extended again hereafter. That way you avoid discussion about the obligation to give notice at the end of the new contract.
- If necessary, use the preamble of a settlement agreement as notice, provided the wording is clear.
Conclusion
The notice requirement is a relatively simple but common pitfall in employment law. The law is clear and strict: late notice, verbal notice, or reliance on "implied clarity" is not enough. The courts insist on the written requirement, and that means a mistake can cost you a month's salary as an employer just like that. Avoid that risk and make sure you give your notice on time and in writing.
This blog was written by mr. Stijn Blom, employment lawyer at Arbeidsadvocaat.nl B.V. Stijn has extensive experience in employment law and supports entrepreneurs and employees on a daily basis with a variety of employment law issues. From dismissal cases to drafting watertight contracts and regulations - with his practical and personal approach, he helps employers and employees move forward. Want to know more? Visit Stijn's page.
Arbeidsadvocaat.nl is happy to think with you if you have questions about the notice requirement. Please feel free to contact us .
April 2025
