WAB (Wet arbeid in balans)
The WAB is a Dutch labor law that came into effect on January 1, 2020. Its English translation is “Labor Market in Balance Act.” The law introduced a range of changes to employment regulations with the aim of creating a more balanced labor market.
Some key features of the WAB include:
- Flexible employment contracts: The law introduces changes to the regulation of temporary employment contracts, including the maximum duration of consecutive fixed-term contracts, provisions for successive fixed-term contracts, and rules regarding the probationary period for these contracts.
- Dismissal regulations: The WAB modifies the rules surrounding termination of employment contracts, including the introduction of new grounds for dismissal and adjustments to the transition payment (severance pay) calculation.
- Payroll workers: The law introduces new regulations for payroll workers, including provisions for equal treatment of payroll workers regarding employment conditions compared to employees of the client company.
- Miscellaneous provisions: The WAB also introduces other measures such as changes to the unemployment insurance system, the calculation of the extended transition payment for older employees, and adjustments to the premium differentiation for unemployment insurance.
The overall objective of the law is to create a more balanced labor market by addressing issues related to flexible employment, dismissal regulations, and unemployment benefits.