Philips extends a transition arrangement to its expat employees

Eindhoven News understands that Philips has conveyed to its expat employees about a transition arrangement to support employees who may be affected by the proposed changes to the 30 % rule.

Acknowledgement from Philips group press office:

Eindhoven News spoke to Mr Steve Klink from Philips group press office to confirm the news. Steve Klink quotes from the email sent to employees “in order to mitigate the impact of the proposed change, Philips’ Executive Committee intends to provide those employees affected with compensatory support for a transition period.”

The Details

Mr Klink adds “For a maximum of 3 years after the establishment of the new expiry date of an affected employee’s 30% ruling, Philips would provide 100% compensation of the difference in base salary in year 1 after the expiry of the ruling, 75% in year 2 and 50% in year 3. The compensation would not run beyond the original end date of an employee’s  30% ruling.”

However, Eindhoven News gathers, this arrangement holds good only for the existing beneficiaries and does not include prospective employees. Moreover, the new agreement is only applicable to the base salary and not to the yearly bonus. “This is an absolutely fair deal” confides a lawyer from Rotterdam.

A company that puts employees first

Eindhoven News spoke to a few Philips employees and obviously, they resonate positive feelings. An employee proudly proclaims that Philips puts employees first. “In this era of living by the quarterly balance sheets, it is quite remarkable to see companies that value people.”

We are proud to share that Eindhoven News is the first media house to break this news.

For Eindhoven News: Beena Arunraj

 

 

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