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Has the Stipulated Work Changed After 20 Years?

A discussion of the judgment of the Court of Appeal of Arnhem of 1 June 2010

The Facts in the Judgment
An employee has been employed by an employer in the position of fork lift truck driver since 1976. This work consists of the unloading of trucks loaded with paper. In 1983 the employee had a heart attack that made him fully unfit for work. In 1984 the employee partially resumed the work. Since 1984 the employee has been working (with the exception of a period in 1995 when he was fully unfit for work) 20 hours per week, divided over five mornings. The employer did not set out anything in writing about the fact that the work stipulated in the employment contract had been replaced by the work performed by the employee in practice.

In November 2006 the employer requested the employee to start working afternoons as from 1 January 2007 as a result of a change in the times of the paper deliveries. The employee did not agree to this. Next, a conflict arose between the employer and the employee about the shifting of the work from mornings to afternoons. In December 2006, the employee reported sick because his blood pressure was too high as a result of increased tension at work. In June 2007, the UWV (Employee Insurance Implementing Body) set the employee's incapacity for work at 80-100% with retroactive effect until 1 January 2007. As of August 2007 the employer ceased paying the employee's wages. In proceedings before the Subdistrict Court the employee claimed continued payment of wages. The employer took the position that there was no question of a new period of illness and that pursuant to Section 7:629 (1) of the Dutch Civil Code it was therefore not obliged to continue paying the salary. The Subdistrict Court rejected the employee's claim and awarded the (counter)claim of the employer to pay back the salary of January through July 2007. The employee then lodged an appeal against the judgment of the Subdistrict Court.

Judgment of the Court of Appeal

It is an established fact that for more than 20 years, due to his heart problems the employee has been performing work for four hours during five days per week for a decreased salary instead of his original 40-hour working week. During those 20 years the employer has never urged the employee towards resuming his work for the full 40 hours. According to the Court of Appeal it has neither been argued, nor has it become evident that it was to be expected, because of the nature of the employee's complaints, that he would be able to resume the originally stipulated work at any given moment. On the contrary, according to the Court of Appeal, it has appeared from the documents submitted in the proceedings that apparently it could not be expected of the employee that he would be able to perform the original, stipulated work. Furthermore, the employer has not been able to prove that it has undertaken any action from which the employee should have derived that his most recently performed work is not his newly stipulated work. According to the Court of Appeal, good employment practice entails that the employer should have informed the employee if it was of the opinion that this was not the case, or should have taken action in order to establish a clear situation. The Court of Appeal has ruled that under these circumstances the employee could justifiably expect that the employment contract had changed in the sense that the stipulated work consisted of the performance of his work as a fork lift truck driver for four hours per day during five days a week (although for a decreased salary). According to the Court of Appeal, against this background the employee could justifiably expect that the employment contract between the parties had tacitly changed in the sense that the adjusted work has become the stipulated work.

Tips:

The starting point is that in the event of a permanent resumption of work in a different suitable position incapacity for work will no longer be the question.

The Court of Appeal is of the view that if the stipulated work is not officially changed, there will be a moment on which the stipulated work is no longer the old, but the adjusted work. In that case, in the event of a new sick report a new sickness period and therefore a new obligation to continue paying wages will start. It is recommended to confirm in writing that the stipulated work remains unadjusted, for instance when it concerns a trial placement.

In the judgment at issue the Court of Appeal does not answer the question when the "turning point" occurs. In the view of the Court of Appeal this depends on the circumstances of the case. In this judgment the Court of Appeal attached value to the circumstance that there was no prospect of an extension of the number of hours to be worked by the employee. If an extension of the work (in hours or in salary) is not at issue anymore, it is advisable to confirm the change of the stipulated work in writing.

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Diane Donath

Tel: +31 20 5506 884
E-mail: diane.donath@kvdl.nl

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