Working in the Netherlands

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Working in the Netherlands

Employment law in the Netherlands is strictly regulated, with laws tending to protect the worker. 

Legal Requirements for Employment

EU/EEA citizens

European Union (EU) and European Economic Area (EEA) citizens, except for the newly accepted EU countries, may work in the Netherlands without restrictions.

• EU/EEA countries (as of 11/08): the Netherlands, Belgium, Luxembourg, Germany, France, the United Kingdom, Ireland, Italy, Spain, Portugal, Denmark, Austria, Finland, Sweden, Greece, Norway, Liechtenstein, Iceland, Cyprus, Malta, Estonia, Hungary, Latvia, Lithuania, Poland, Slovenia, the Czech Republic and Slovakia
• New EU countries (Bulgaria and Romania): As of November 2008, citizens of Bulgaria and Romania may not work in the Netherlands free of restrictions, although they are allowed to reside in the Netherlands
• Non EU-citizens: It is difficult for a non-EU citizen to obtain a work permit for the Netherlands. There are specific requirements and procedures accompanied by lengthy waiting periods.

Non-EU citizens

A non-EU citizen may work in the Netherlands under the following circumstances:

Spouse/Partnership: If the non-EU national has a spouse or partner who is a citizen of an EU country and is living and working in the Netherlands. The non-EU citizen must prove that they are in a relationship and that the EU partner accepts financial responsibility for them. If the relationship comes to an end, the work permit is withdrawn.

Direct application through a company: A non-EU citizen can obtain a work permit directly through a company if the company is willing to hire them. This process is difficult as the company must prove that it is in its best interests to hire the candidate above all other Dutch and EU candidates. The company must also prove that the job has been advertised for at least six weeks, Dutch and EU candidates have been interviewed, and that the non-EU candidate is the best candidate for the job. If a work permit is obtained through a company, this work permit is bound to the position and company. If the employee stops working for that company, the permit will no longer be valid.

Knowledge Migrant (Kennismigrant): A non-EU citizen may qualify as a highly skilled migrant coming to the Netherlands for the purpose of employment. They must receive a salary above a minimum requirement in order to qualify.

• a candidate under the age of 30 must earn a minimum gross salary of €34,881 per year
• a candidate over the age of 30 must earn a minimum gross salary of €47,565 per year

The income requirements do not apply if employment is with an educational or research institute, or for a postgraduate student or university lecturer under the age of 30.

A spouse or partner of a Knowledge Migrant is free to work in the Netherlands without restrictions.

Graduate: Graduates who completed their studies in the Netherlands can also obtain a work permit as a Knowledge Migrant. This is also based on salary; the minimum yearly wage must be at least €25,000 gross in order to qualify for this permit.

Working Holiday Scheme: The working holiday scheme enables Canadian, Australian and New Zealand citizens between the ages of 18 and 30 to work in the Netherlands for up to one year.

A working holiday scheme can be arranged via the Dutch Embassy in the student's country. Those qualifying under the Working Holiday Scheme must register with the Foreign Police in the Netherlands within three days of arrival to certify the permit.

• For more information, see the website of the Dutch Naturalisation and Immigration Office: Click here

Finding Work in the Netherlands

One of the benefits of living in the Netherlands is the fact that there are many opportunities and avenues for international job-seekers. It is the base for various international/multi-national companies and numerous employment agencies specialise in finding work for international job-seekers.

Where to look for jobs

Some useful employment websites include:

• EURES - The EU job mobility portal
• Expatjobs
• Multilingual Vacancies
• Top Language Jobs - Netherlands
• Monsterboard (in Dutch)
• National Vacature Bank (in Dutch)

Newspapers (in the jobs section) and company websites can also be useful resources for vacancies. 

The Center for Work and Income (Centrum voor Werk en Inkomen/CWI), is a Dutch government department dedicated to employment in the Netherlands including the advertising of vacancies and searching of suitable candidates. Vacancies are also available for non-Dutch speakers. 

• For the Center for Work and Income website: Click here  

Networking is also a helpful tool in job hunting. This can be achieved in different ways, such as joining a social club or organization. Many embassies have information regarding social events planned in conjunction with institutions or organizations. 

Recruitment Agencies

Unlike in some countries, it is common practice in the Netherlands to make use of recruitment agencies. There are recruitment agencies for every industry, including international job-seekers. There are strict regulations regarding the placement of temporary workers; the temporary worker is relatively well-protected by law.

Some job recruitment agency websites for international workers include: 

• Adams Multilingual Recruitment
• The Blue Lynx Group
• Dambusters Recruitment
• Undutchables 
• Unique Multilingual Services

These agencies primarily offer office jobs in fields such as Administration/Secretarial, Sales, Marketing, IT, Logistics, Management, Procurement, and can also offer part-time, temporary, project-based or permanent contracts. They may also direct a job seeker to resources for employment in a more specialised industry.

An agency acts as the middle man between the job seeker and the potential employer. It can be advantageous to register with as many agencies as possible to increase the chances of finding a job. Agencies can also provide information and coaching regarding interview techniques in the Netherlands and may conduct language or computer literacy tests.

With regards to non-recruitment issues, an agency can generally provide advice and links to other sources but they cannot actively assist with things such as relocation, housing and applying for official documents.

Agencies also cannot apply for a work permit on behalf of the job seeker, unless they meet the requirements to be categorised as a Knowledge Migrant and a company has agreed to employ them as such.

Working in the Netherlands

In order to be employable in Holland, applicants must have completed the following:

• Registered at the local municipality on arrival with a passport, residence permit, copy of a rental contract or proof of residence
• Applied for a BSN number (formerly known as a SoFi number) at the Tax Office (Belastingdienst).
• Purchased health insurance. No person may work in the Netherlands without health insurance (those who do may be fined)

Registration can be done at the local municipal offices. 

• For contact information for municipal and tax offices in the region, see the AngloINFO INFOrmation Page, Dutch Administration Offices - Southern Holland and the Haaglanden.

A tax number (BSN number) is required to open a bank account and therefore be paid by an employer. 

• For information on how to open a bank account in Holland, see the AngloINFO INFOrmation Page, Banking in Holland

Healthcare is compulsory for the employed in Holland.

• For information on the Dutch national healthcare system, see the AngloINFO INFOrmation Page, Social Security Benefits in the Netherlands.

Benefits

It is Dutch law that every employee in the Netherlands receives holiday pay in addition to their monthly pay in May. This is equivalent to 8 percent of the annual salary. Companies have difficult policies regarding the various secondary benefits; ask about the company's policy before entering into an employment contract.

Before accepting employment it is recommended to clarify the following: 

• salary (gross/net)
• holiday days
• health insurance
• pension
• travel expense reimbursement
• bonus structure
• 13th month (a bonus equal to one month's salary, usually paid in December)  

Tax

Tax liability in Holland differs from person to person based on a number of factors, however every employee pays at least 32.35% in income tax. The more a person earns, the more tax is deducted according to increasing levels of income.

• For more information, see the AngloINFO INFOrmation Page on Personal Income Tax in the Netherlands.

30% Tax ruling

For certain employees hired from outside of the Netherlands who bring specific expertise to the Netherlands, there is a special policy called the "30% ruling". The 30% ruling allows an employer to provide the employee a tax-free allowance of up to 30% of his wages. More information should be obtained about this from the potential employer.

Employment contracts

It is normal in the Netherlands for a company to initially offer a temporary contract of three, six, twelve or more months. After this period the company may offer another temporary contract or even a permanent contract. It is automatically renewed for the same duration if no measures are taken to contradict this.

A company may only offer an employee up to three temporary contracts within a three-year period. If three temporary contracts have been completed within three years, then the next contract offered must be a permanent contract.

Most companies have a one to two month notice period regarding terminating a contract, starting at the end of the month. An employee with a temporary contract in which no notice period is stated has no notice period and must work until the end of the contract, unless it can be ended by mutual agreement.

Working for an Agency: Contracts

If the application process at a company has been successful there are different ways that employment can be entered into via an agency.

Direct placement: The new recruit starts working at the company directly either under a temporary or permanent contract. The new recruit will be paid directly through the company payroll and company policies apply.

Project work: The official employer is the recruitment agency and a contract is entered into for a specific period of time, with a definite end date. The agency pays the salary and travel expenses (if applicable) and is responsible for payments regarding illness, vacation and social benefits. The notice period depends on what is stipulated in the contract. 

Temporary contract (uitzenden): Temporary contracts are very common, as they offer both employer and employee some flexibility. The recruitment agency is the official employer and is therefore responsible for the payment of salaries, travel/overtime (if applicable) and other social benefits. The employee is only paid for the hours they work.

Often a company will initially employ someone on a temporary contract before taking the person into direct employ. This provides a longer trial period for both parties as a temporary worker can leave at any time and the company can end the contract at any time up to 12 weeks. After 12 weeks, the notice period is longer for the company.

Information provided by Petra Neilon, Recruitment Consultant, Undutchables Recruitment Agency
Tel: +31 (0)70 711 8300 / Fax: +31 (0)70 427 4078 / click to e-mail / www.undutchables.nl 
Copyright © 2008 Undutchables Recruitment Agency. All Rights Reserved

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