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Dutch labour law

If you hire staff in the Netherlands, you will have to comply with Dutch labour law.

It is important for you to be aware that Dutch employees enjoy extensive protection. For example, you are not allowed to simply dismiss someone. This implies that you will have to be fully aware of the legal options and implications when making choices in this respect.

Minimum requirements

Collective labour agreements (CLAs)

Contracts when recruiting staff

Clauses protecting business interests

Procedures regarding dismissal and redundancy

Bol International’s consultants are happy to provide comprehensive assistance regarding such issues, ensuring that you make the most favourable decisions and preventing any cumbersome legal proceedings.

FAQ

Can I agree a certain trial period when hiring an employee?

A trial period must be convened in writing, preferably in an employment contract. Temporary contracts up to 2 years are subject to a maximum trial period of one month. Temporary contracts with a contract period of 2 or more years and permanent contracts are subject to a maximum trial period of two months.

Please request proper advice and have the right contract drawn up with the appropriate trial period. Applying incorrect trial periods will result in having the trial period clause declared void.

Is it required to continue paying the wages by absence due to illness?

During the first two years of absence due to illness, you are required to continue paying the wages of the absent employee. The employee will remain entitled to 70% of the agreed wage during the first 104 weeks of his/her absence and during the first 52 weeks, he/she is entitled at least to the minimum wage.

During the period of absence, both the employer and employee must cooperate in return to work and recovery. If an employee is not cooperating in the reintegration process, wage payments may be discontinued.

What does the district court formula mean?

The district court formula is a calculation method developed by the district courts applied throughout the Netherlands when determining the severance pay for termination of an employment contract.

The amount of severance pay is determined on the basis of the duration of the employment, the employee’s age, the employee’s wage and any factor of attributability to either employee or employer.

If the employee is considered more at fault, the court may decide that the severance pay amount is lower or even zero for termination of the employment contract.