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Wage costs subsidy in the Netherlands, NOW 3.0 as from October 1, 2020

Key support measure in the Netherlands Wage costs subsidy in the Netherlands, NOW 3.0 as from October 1, 2020

As of 1 October 2020, the NOW scheme (temporary Employment Bridging Emergency Fund) has been continued for 3 periods of 3 months.

The aim of the scheme remains to support work and income, but it will also be important for companies and employees to adapt to the current economic situation. The allowance to companies for continued payment of wages is being phased out in stages. At the same time, there will be room for employers to reduce the payroll without reducing the subsidy.

These are the main changes compared to NOW 1.0 and 2.0:

  • There are three application periods of 3 months each:
    • NOW 3.1 from October 1, 2020 until January 1, 2021 (applications could be submitted between November 16 and December 28)
    • NOW 3.2 from January 1, 2021 until April 1, 2021 (applications can be submitted between February 15 and March 14, 2021, click here for more information from UWV in Dutch)
    • NOW 3.3 from April 1, 2021 until July 1, 2021 (applications can probably be submitted between May 17 and June 13, 2021)
  • The employer can decide per application period whether he wants to apply, and different conditions apply for each application period.
  • The aid over the last quarter of 2020 and the first quarter of 2021 runs up to a maximum of 85% of the payroll.
  • The sanction applied in the NOW 2.0 in the event of termination of employment was abolished.
  • In the third period (from April 2021), the maximum wage to be reimbursed per employee will be reduced to a maximum of 1x the daily wage (instead of maximum 2x daily wage).
  • The obligations from NOW 2.0 continue to apply, such as the best effort obligation for training and the ban on paying out dividends and bonuses (to directors).
More information in English can be found on:

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Since 1972, Interfisc has offered international HR & Payroll solutions in the Netherlands, Belgium, Germany, France, the United Kingdom, and Italy. We do this from our offices in the Netherlands and Belgium, and with an international team of around 45 committed and caring employees. 

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