Alternatives to lay-offs and dismissals

If your company’s financial situation has deteriorated, laying off employees or ending their employment may be the first solutions that come to mind. However, you should familiarise yourself with the different options, especially when a difficult situation only seems temporary.

Working hours arrangements 

Using working hours arrangements, such as a work hours bank, you can regulate the working hours of your employees and create flexibility for seasonal work, for example. With working hours arrangements, you can have your employees work more in busy times and have them accumulate paid leave for a quieter period. Remember to take care of your employees’ well-being particularly well during busy times.    

Transfer of annual leave 

You may be able to avoid dismissal or lay-off of an employee by transferring annual leave. Remember to negotiate the transfer first with your employee. 

Complementary training 

You can develop your employees' skills in a changing work environment through complementary training. First, discuss with your employee whether they are interested in the training and the new tasks it enables. 

Offering other work 

Offering other available work before dismissing employees is an employer’s legal obligation. As an employer, you should always determine whether your company would have another possible job for the employee about to be dismissed. You should arrange training for a new position if it is reasonable for both you and your employee. 

More information

Updated: