Compensation schemes for transition payments are being phased out

From 2027, employers will no longer receive any reimbursement from the government for the transition payment they make in the event of dismissal due to incapacity for work. This also applies to the compensation scheme in the event of the business ceasing trading due to the employer’s retirement or death. Initially, it was proposed to limit the scheme to small employers. The government has now opted for a complete abolition.