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Staff - Netherlands

Updated 07/2009

Legal requirements

Employment conditions

There are many rules on hiring staff. These rules relate to recruitment, selection, hire and dismissal. A summary of the rules can be found here:

Employment contracts

An employment contract contains agreements on issues such as:

  • working time;
  •  salary;
  •  holidays;
  •  nature of duties.

When an entrepreneur hires new staff, he or she can offer them a contract running for either a fixed or indeterminate duration.

Employing foreigners

Businesses planning to recruit someone from outside the EU of from Romania or Bulgaria must ensure that the person in question is allowed to work in the Netherlands in accordance with the Foreign Labour Act.

There are minimum social rules to follow, especially about non-discrimination, gender equality and health and safety.

Administrative procedures

Commencing employment

           Payroll tax   is paid over time to the Tax Authority; the employer must produce and submit a relevant declaration.

           Payroll management   must satisfy the Tax Authority's conditions and may be subcontracted to an outside firm of accountants.

An entrepreneur may ask new staff to undergo a medical for certain occupations, e.g. physically demanding occupations or occupations to which specific health requirements apply. For most occupations, however, an entrepreneur is not allowed to impose this condition.

Social security contributions

Each month, employee insurance contributions must be paid electronically to the Tax Authority.

Dismissal

An entrepreneur may only dismiss a member of staff when there are justifiable grounds to do so. The entrepreneur requests an 'employment termination permit' from his or her regional public employment service, UWV WERKbedrijf, and may also apply to the local-area judge   to have the employment contract dissolved. Both possibilities apply solely to indefinite contracts. In the case of fixed-term contracts the entrepreneur must wait until the contractual period has ended.

Work permits for foreign workers

Employers of foreign workers must apply for a work permit from UWV WERKbedrijf. The same requirement applies in the case of foreign workers from outside the EU or from Romania or Bulgaria who are recruited via an intermediary and also in the case of outsourced work. The intermediary or employer to whom work is outsourced may already have the necessary permits.

Resources

Employers can find information from the Dutch government on the Antwoordvoorbedrijven.nl website, which lists at a glance all the various relevant dos and don'ts, e.g. licences and requirements, laws and regulations, taxes and subsidies.

EURES, the European job portal, offers employers information and support on recruiting across the EU. As well as assisting jobseekers, it helps entrepreneurs find workers from across the EU. In border regions, EURES provides information on cross-border commuting and helps workers and employers with problems that may arise.

Programmes

You can use data such as the place of intended establishment, the nature of the business, current income and other factors to determine the eligibility of staff for specific subsidies and tax breaks.

Check also the legislation on this topic in:

Still need help?

Still need help?

Enterprise Europe Network - Contact points

The Enterprise Europe Network provides businesses with information and advice through its local contact points. 

Choose your nearest contact point for personalized help and advice:

Further help

SOLVIT helps businesses deal with problems that arise when national authorities wrongly apply EU market rules.