Time for a revision of collective Early Retirement (RVU) Schemes
Publication date: 24 Oktober 2025
Many employers have an Early Retirement (RVU) scheme in their (collective) employment conditions, allowing employees to retire up to three years before their state pension (AOW) age. Due to new legal provisions concerning physically demanding occupations, these schemes must be revised starting in 2026.
New rules from 2026 affect all collective labour agreements
The RVU threshold exemption (RVU-drempelvrijstelling) was introduced in 2021 to enable employees who struggle to reach the state pension age in good health to retire earlier, without employers being subject to the 52% RVU levy. Although the focus was on employees with a physically demanding jobs, the scheme has always been generically applicable. This remains the case from a tax perspective.
However, from 2026 onwards, it is explicitly intended that decentralized social partners apply the RVU threshold exemption only for employees with physically demanding jobs. This requires a prior, objective assessment of whether the job qualifies as physically demanding, with validation by the TNO Expertise Centre for Physically Demanding Work. See also our previous updates, including RVU threshold exemption redesigned starting 2026.
Impact on company specific RVU schemes and individual cases
If the RVU scheme is not part of a Collective Labour Agreement, then employers are still expected to objectively determine whether the job qualifies as physically demanding before applying the RVU threshold exemption. In such cases, the employer may use the RVU Guide provided by the Ministry of Social Affairs and Employment and the Labour Foundation. Validation by the TNO Expertise Centre is not required.
What are the alternatives?
Although the requirement for a physically demanding job is not a tax condition, employers are expected to apply the RVU threshold exemption only when such a condition is objectively met. Therefore, alternatives are worth considering.
Generation pact
One alternative is the generation pact. This allows employees to reduce their working hours up to ten years before their retirement, while retaining (partial) salary and full pension accrual. The popular “80-90-100” variant means: 80% work, 90% salary, 100% pension accrual. Other percentages are possible, provided that employment remains at least 50%.
Leave savings
Employers and employees may also opt for leave savings (verlofsparen). Employees can save up to 100 weeks of salary-equivalent leave without incurring income tax. This leave balance can then be used to finance (partially) early retirement. However, accruing a 100-week leave balance is a long-term effort, requiring employers to start planning.
Qualitative and quantitative tests
Another alternative is to demonstrate that the agreed scheme does not qualify as an RVU at all. This is possible if the so-called qualitative or quantitative test is passed. The tests have existed since 2006, but are not always easy to apply.
Author(s) and more information:
Natasja Winter
#RVU #RVUThresholdExemption #Physicallydemandingjobs #Seniorscheme #Leavesavings
