2 April 2020

Employment Bridging Emergency Fund

Employment Bridging Emergency Fund

The COVID-19 pandemic has led to extraordinary circumstances which have affected many organizations and employees in the Netherlands.


In order to alleviate companies in the Netherlands, the Dutch Government has implemented the Employment Bridging Emergency Fund (NOW-scheme) which is intended to mitigate the burden of employer’s costs which due to the special situation of the COVID-19 pandemic cannot be considered part of the normal entrepreneurial risk of an organization. The NOW-scheme replaces the ‘unemployment benefit during short-time working (WTV-scheme).



The NOW-scheme allows a company to apply for a substantial compensation for the wages of their employees for who they currently have no or less work for. The compensation can be claimed for 3 months, with the possibility to extend it for an additional 3 months. The NOWscheme allows a company to claim compensation for turnover missed from March 1, 2020 onwards.



1. If you claim NOW, you will not be allowed to request permission to dismiss employees on economic grounds during the period for which you receive compensation;

2. You expect to lose at least 20% turnover and you are able to substantiate this with financial data;

3. You claim compensation for 3 months, with the possibility to extend it once, for an additional 3 months (extra conditions may apply to an extension application)

4. You will need to submit a statement from an accountant for claims that exceed a certain amount (the height of which yet to be established by the government)


How much compensation for wages can you claim?

The compensation for wages you can claim depends on the turnover loss. You can claim a maximum of 90% of the wages. For example:


• If the turnover loss is 100%, the compensation will amount to 90% of wages;

• If the turnover loss is 50%, the compensation will amount to 45% of wages;

• If the turnover loss is 25%, the compensation will amount to 22.5% of wages;


Based on your application, the Employee Insurance Agency (UWV) will pay you an advance of 80% of the expected compensation. The actual turnover loss will be determined afterwards. When determining the definitive compensation, a correction can be made, if there has been a decrease in wages.


How to apply?

The government is yet to announce the application procedure for the NOW-scheme. However, we understand that this application procedure might burden you in a time where you might like to focus on other matters within your organization.

It is currently unclear whether the application procedure will be available in English. Please be assured that our specialists at Briddge are able to assist you with this application procedure.

Have you already applied for the WTV-permit which is now replaced by the NOW-scheme you will be notified by the UWV and they will automatically convert your WTV- application as a claim for a NOW compensation. Please do not hesitate to contact us if you have any questions on +31 (0)85 0187471 and info@briddge.com.