Employing staff in the Netherlands, a step-by-step plan

When looking for employees, you should follow rules for equal treatment of candidates. For example, make sure the job description is neutral so that everyone feels welcome to apply. Aim for a diverse and inclusive workplace. During an interview, you are not allowed to ask questions about health or private life. Or about someone's family or desire to have children. Finding good candidates starts with good job ads and the right approach. Read these tips on writing a job vacancy ad.

Have you found a suitable candidate? Then check who the applicant is and whether they are allowed to work for you. This also applies if you want to hire foreign staff or interns. You have to verify the identity of all workers on the basis of an original identity document, such as a passport. Note that a driving licence or a statement from the Netherlands Tax Administration is not valid proof.

When checking the ID, pay attention to:

• the passport photo
• characteristics such as age and height
• signature
• nationality
• whether the document is valid
• authenticity features (such as watermark and document number)

Use the Netherlands Labour Authority's step-by-step plan for the verification obligation. You must keep a copy of the identity documents in your records.

Are you hiring someone for a job where integrity-sensitivity is important? Then you may want to screen them (in Dutch) first. This is not only possible when employing regular staff, but also for interim personnel, self-employed professionals, temporary staff, interns, and volunteers.

Process all mandatory data in your records before your employee starts. Such as:

• payroll tax records (in Dutch)
• a copy of the employee's proof of identity
• payslips

Download an example of a payslip (in Dutch). If you make your own payslip, it should contain the same data as the example.

Are you employing personnel for the first time? You must register as an employer with the Tax Administration. You will then receive the necessary forms to meet your payroll tax obligations.

You must also inform KVK of employee changes.

Read what else you need to take into account when hiring staff for the first time.

In an employment contract, you specify the employee’s salary, indicate whether a Collective Labour Agreement (CAO) applies, outline working hours and rest times, and indicate whether you arrange an employee pension scheme. You should clearly inform your employee about the main terms and conditions of employment so that they know what rights they have. A contract will include information on:

• salary and payslip
• salary deductions and settlements
• working hours
• trial period
• holiday entitlement and public holidays
• holiday pay

Everyone working in the Netherlands is entitled to the Dutch minimum wage and a holiday allowance. This also applies to temporary workers, flex workers, and foreign personnel. For younger workers aged 15 to 20, the minimum youth wage applies. There is no minimum youth wage for employees aged 13 and 14. You agree together on how high the wage is.

Young people under 18 are also subject to rules on, for example, the type of work and working and rest times.

Your employee must be able to work safely and healthily. This is stated in the Working Conditions Act (Arbowet). According to this act, you must draw up a health and safety policy. And you must conclude a contract with a health and safety service provider. The contract specifies the tasks for which you must be supported by a health and safety service provider or company doctor. For example, when your employee is ill (long-term). And preventing absenteeism.

Once you employ personnel, you are obliged to draw up a risk assessment and evaluation (RI&E). The Netherlands Labour Authority checks whether you have an RI&E. In the RI&E, you record the risks faced by personnel and the measures you have in place to prevent these risks.

If your employee works in the Netherlands, you must pay social insurance premiums. You pay employee and national insurance contributions to the Tax Administration. You can choose to become a self-insurer for employee insurance. You will then pay less in employee insurance contributions. If your employee becomes ill or unfit for work, you will pay the benefit instead of UWV.

Your employee should have taken out a standard Dutch healthcare insurance policy. If they are not properly insured, the Dutch National Health Care Institute (CAK) will take out health insurance for them. You then have to deduct the healthcare premium from their salary, and pay it back to the institute.

You are obliged to offer your employee a pension scheme if there is a specific pension fund for your sector. Is there no sector pension fund? Then you choose whether to offer your employees a pension scheme. Learn more in the step-by-step plan on how to arrange a pension for your employees.

Try to find personnel in the EEA first

You are obliged to recruit personnel initially in the European Economic Area (EEA) and/or Switzerland. Only if you prove that you cannot find suitable personnel here will you be permitted to recruit from other countries.

Apply for a work permit (if needed) or a combined permit for residence and work

If you employ someone who is not from the EEA or Switzerland for less than 3 months, you must apply usually for a work permit from the Employee Insurance Agency (UWV). If you employ someone for 3 months or longer you must usually apply for a combined permit for residence and work: the Single Permit.

Organise suitable accommodation when employing foreign staff

You are obliged to find suitable accommodation for employees who need a work permit. You must observe the relevant rules applicable in your municipality.