Right of consent of works council extended!

Since Oct. 1, 2016, the works council has a new right of consent, namely in case of a proposed decision to establish, amend or revoke a pension agreement, regardless of whether this agreement is placed with a pension insurer or a pension fund. Previously, only a limited right of consent existed if a pension plan was placed with a pension fund.

Date: November 21, 2016

Modified November 14, 2023

Written by: Ruud Olde

Reading time: +/- 2 minutes

Since October 1, 2016, the works council has a new right of consent, namely in the case of a proposed decision to establish, amend or revoke a pension agreement, regardless of whether this agreement is placed with a pension insurer or a pension fund. Previously, only a limited right of consent existed if a pension plan was placed with a pension fund.

Parts of the administration agreement can also fall under the right of consent, namely to the extent that these parts (can) directly affect the pension agreement. Think of proposed decisions concerning the contribution determination or indexation.

Finally, the business owner has a duty to provide information if the implementation agreement with the pension insurer/pension fund is established/amended/withdrawn and a right to consent exists if the power to amend the pension agreement is transferred to the pension fund.

Good to consider the above if you are planning to implement or change a retirement plan! For questions, please feel free to contact any of our attorneys.

Continued

Back to the example at the beginning of this article. The increase in premiums that the employer of the aforementioned driver would face if he let him take sick leave was so high that the decision was made to continue the partnership. This also helped the driver. He was given a chance to recover while continuing to perform administrative work
perform. Eventually, he was even able to return to work as a driver.

In order to limit the consequences of the Reduced Sick Leave and Disability Act, more measures are possible than those described above. We are happy to work with you on customized solutions.


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