Disfunctioneren
Underperformance
Insufficient performance in the position attributable to the employee, possible ground for dismissal (d-ground).
underperformanceis an employment law term for underperformance in the position that is attributable to the employee. It is one of the statutory grounds for dismissal — the so-calledD ground (d-grond)from Article 7:669 paragraph 3 under d Dutch Civil Code (BW).
For a valid dismissal due to underperformance, the employer must demonstrate:
If one of these elements fails, the sub-district court judge (kantonrechter) will reject the dissolution request (ontbindingsverzoek) or award the employee afair compensation (billijke vergoeding)in addition to the transition payment (transitievergoeding). In practice, underperformance trajectories often end in a settlement agreement (vaststellingsovereenkomst) — a judicial dissolution on the d-ground is risky for employers.
“The employer was required to offer a six-month improvement plan before underperformance could be accepted as a ground for dismissal.”
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