What is a VSO? Meaning of a Dutch settlement agreement

What does Dutch law say about a settlement agreement?

In the Dutch Civil Code, a vaststellingsovereenkomst is an agreement in which parties end or prevent uncertainty or a dispute about what the law says applies between them (Book 7, article 900; in Dutch). The term is broad. When the agreement ends an employment contract, it is only valid if it is made in writing (Book 7, article 670b, paragraph 1; in Dutch).

What is in a VSO?

UWV says your employer should include these points in a settlement agreement (UWV):

• the dismissal or redundancy was initiated by your employer, and why;
• you are not being dismissed because of gross misconduct;
• you are not currently ill, because that could affect your unemployment or sickness benefit;
• the employment ends by mutual consent;
• the date of your final pay (eindafrekening);
• you have 2 weeks to review the agreement and change your mind.

Business.gov.nl lists the same points for employers. It adds the end date of the contract and what still has to be paid, such as holiday pay (Business.gov.nl).

Is a VSO the same as being dismissed?

A VSO is a dismissal by mutual consent. Business.gov.nl describes it as dismissal by mutual consent, not as an immediate dismissal (Business.gov.nl).

A related route is opzegging met instemming: your employer gives notice and you agree in writing. UWV treats this as a one-sided process, and you will usually be entitled to a transition payment (transitievergoeding) (UWV). Check which document you are being asked to sign.

Do I get unemployment benefit (WW) after a VSO?

It can work out, if the agreement shows that your employer started the process. UWV says you will not be entitled to an unemployment benefit otherwise (UWV). Two more points matter.

• Notice period. You are only entitled to an unemployment benefit after the legally required notice period has passed. If your agreement has no notice period, or a shorter one, you could be without income in the meantime (UWV).
• Illness. UWV says not to agree to your dismissal if you have been ill for less than 2 years, because you will not qualify for an unemployment benefit (UWV).

Do I get severance pay with a VSO?

There is no standard transition payment when a contract ends by mutual consent. UWV says you are expected to negotiate severance pay (ontslagvergoeding) separately with your employer (UWV). The Civil Code lists when an employer owes a transition payment, and a settlement agreement is not one of the listed cases (Book 7, article 673; in Dutch).

As a reference point, you can estimate the statutory amount with the English severance calculator.

How long can I change my mind after signing?

You have 2 weeks if the agreement says so and 3 weeks if it does not (UWV, Business.gov.nl). The Civil Code sets the same right: 14 days, or 3 weeks if the employer did not mention it in the agreement (Book 7, article 670b, paragraphs 2 and 3; in Dutch). A clause that excludes or limits this right is void (paragraph 6).

Do I have to sign a VSO?

No. Business.gov.nl says an employee does not have to agree to the employer's proposal. In that case the employee stays employed or the employer starts proceedings to dismiss the employee (Business.gov.nl).

Want the full checklist? Read what to check in a Dutch settlement agreement before you sign.

Frequently asked questions

Sources

Sources checked on October 6, 2026. The outcome depends on your situation. This page is general information, not legal advice.

• UWV: If you agree to your dismissal or redundancy
• UWV: Understanding your rights
• Business.gov.nl: Drawing up a settlement agreement
• Dutch Civil Code, Book 7, article 900 (in Dutch)
• Dutch Civil Code, Book 7, article 670b (in Dutch)
• Dutch Civil Code, Book 7, article 673 (in Dutch)