Compensation for companies ending their business
Changes per 2021
January 7, 2021 - Are you entrepreneur of a small or medium business and do you plan to end your business due to retirement or illness? From January 2021, you may be eligible for a compensation.
The Employer is responsible to pay a severance payment to employees in case the company has to close due to retirement, illness or death of the employer. Small and mid sized organisations may be eligible to receive a compensation for the associated transition payments. In that case, the financial burden will be high, especially for small businesses. That is why the Balanced Labor Market Act (WAB) regulates that small businesses can receive a compensation for the transition payments provided.
- entrepreneurs ending their business because of illness or retirement;
- businesses that end when the owner dies.
For more information, contact us.