The Cessantia Act details the rules concerning an obligatory one
time payment to the employee, in case of a dismissal through no
fault of his/her own.
2. Who is it meant for?
For all employees, with the exception of persons employed by a public
body and employees or teachers employed in government subsidized
3. When is the Cessantia payable?
When the employment of an employee ends
other than through his/her own fault or as a result of a circumstance
under the employees control.
4.The amount of severance pay
The amount of severance pay is calculated as
|The amount of severance pay is calculated as follows
first and up to and including the tenth full year of service,
one weeks wages for each year of service;
for the eleventh and up to and including the twentieth full
year of service, one and a quarter weeks wages for each year
for the subsequent years of service, two weeks wages for each
year of service.
A period of more than six months after the first year of service
shall count as a full year of service.
5. Who pays the severance pay?
The severance pay is paid by the employer.
If no severance pay is able to be paid by the
employer, due to bankruptcy or a suspension of payment ordered by
the court, the severance pay will be paid by the SVB.
6. The application for severance pay
The application for severance pay must be filed with the employer
or at the SVB, within twelve months after the termination of employment
An appeal may be made to The Appeal Board for the Cessantia regulation,
following a decision made by the SVB.
8. Obligatory contribution by the employer
The employer is obligated to pay to the SVB a contribution of ANG
40,- per year per employee. This contribution must be paid no later
than the month of June of each calendar year.