Human capital & corporate risk

Oi employer, you have received a wage penalty!

Perhaps you, like many other business owners, have had to deal with it before, the wage penalty. When the UWV judges the reintegration efforts of the employer and the employee during 104 weeks as not sufficient, the UWV can oblige the employer to continue paying the wages of the (former) employee for up to one more year. A substantial financial risk. But that's not all, because if reintegration efforts are not adequate, the employee's WIA application may also be denied.

It is important to note that two types of sanctions can be imposed. First is the administrative wage penalty, which is imposed for failure to file applications in a timely and/or correct manner. These are the administrative obligations under the Gatekeeper Improvement Act (WvP). Second is the substantive wage penalty, which is imposed for insufficient reintegration efforts. Get your processes in place to avoid these penalties! Here are some tips to get you started.

Tips for avoiding an administrative wage penalty:

  • Maintain accurate records: It is essential to complete and store all required documents and forms in a timely and accurate manner. Also, keep a detailed record of all actions and steps taken under the WvP.
  • Communicate effectively: Ensure good and timely communication with the employee, the company physician and the labor expert. Clarify the progress of the reintegration process and any bottlenecks and discuss possible solutions together.
  • Tap into expertise: Engage expert support, such as an employment expert, reintegration coach or legal counsel, in a timely manner. These professionals can provide advice and support in meeting obligations under the WFP.

Tips for avoiding a substantive wage penalty:

  • Establish a realistic plan of action: Work with the employee, the company physician and the labor expert to develop a feasible plan for reintegration. Consider the employee’s workload and abilities, as well as available suitable employment.
  • Offer suitable employment: Provide suitable employment for the employee, both inside and outside the organization. If suitable employment is not available within your own organization, look for opportunities with other employers.
  • Monitor the progress of the reintegration process: Keep a close eye on the progress of the reintegration process and make adjustments if necessary. Regularly discuss progress with the employee, the company physician and the labor expert, and evaluate whether the reintegration plan is still appropriate. If necessary, adjust the plan.

It can happen that despite all the efforts you have made as an employer to provide a gatekeeper-proof reintegration report (RIV), you are still subject to a wage penalty. This could possibly result from situations beyond your control as an employer, such as a difference of opinion between the company doctor and the insurance doctor. Experience shows that employers can sometimes be unexpectedly confronted with an insurance physician who disagrees with the company doctor. This can be a very frustrating situation, especially since, as an employer, you have no control over this disagreement.

Fortunately, there are ways to withdraw or reduce the sanction imposed. You do this by filing a review request or reduction request. With expert advice from a case manager or employment specialist, you increase your chances of success!

If you are looking for help in setting up your processes or would like expert advice on absenteeism and reintegration, do not hesitate to contact us! Subscribing to our newsletter will also keep you informed of the latest developments in this field. In our next edition, we will look specifically at developments related to disability and reintegration.

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