The most common formula to calculate the amount of the redundancy package is the 'kantonrechtersformule'. This formula is applicable till 1 July 2015.
Amount of the redundancy package = A x B x C
The first part is the number of the weighed years of service. For the calculation of A the years of service are rounded off at whole years. This means that a period of 6 months and 1 day is treated as a whole year. After that the years of service are weighed. This means that the older the employee is the more important a year of service will be.
|For every year of service||Weighing factor|
|Till age 35||0.5|
|From age 35 tiill 45||1.0|
|From age 45 till 55||1.50|
|From age 55||2.0|
The second part of the formula is the gross payment per month which consists out of several parts. Some of them or relevant for the calculation of the redundancy package and some are not.
|Gross monthly salary||Employers part pensionpremium|
|Holiday allowance||Company car|
|Structural profit share||Non structural profit share|
|Structural overtime||Employers part healthinsurance|
|Structural nightshift allowance||Expenses allowance|
The third part of the formula is the correction factor which is the variable part of the formula. The amount of the redundancy package can be adjusted because of special circumstances. Normally part C is fixed at 1. But when the employer is to blame that the employee has been made redundant then part C can be fixed at 1.5 or even 2. When the employee is to blame then part C can be fixed at 0.5 or at 0 when the employee decides to quit himself.