What is secondment?
With secondment (detachering), an employee temporarily works for another company. The employee remains an employee of the company hiring them out.
How does secondment work?
Secondment involves 3 parties:
The lender is the employer. They second (lend, hire out, post) the employee and ensure the payment of wages. The lender is also called an intermediary. This can be, for example, a temporary employment agency (uitzendbureau) or a secondment agency (detacheringsbureau). Or a company that lends staff for payment.
The hirer is the client: the company that hires an employee from the lender. For this, the hirer pays a fee to the lender.
Is in (permanent) employment of the lender and is temporarily lent to the hirer. Here, the employee works under the direction and supervision of the hirer.
Salary with secondment
The employee is on the lender's payroll. As the client, you determine the salary. This depends, for example, on the type of work and the necessary work experience of the employee. Take into account the fee you pay to the lender. This comes on top of the salary.
Rules for secondment
The Waadi act contains the rules for hiring and lending personnel.
The following rules apply to you as a hirer:
- You must check if the lender is registered in the KVK Business Register.
- You must ensure equal working conditions for all your employees (both hired and salaried).
- You may not replace employees on strike (stakingsbreking, in Dutch) with hired workers.
Use this checklist to quickly determine which obligations you must fulfil when hiring staff through an intermediary.
When do you opt for secondment?
Hiring an employee through secondment can be convenient for several reasons:
- You do not want to run any employer risks. Such as continued payment of wages in case of illness.
- You have a temporary need for extra help or knowledge within your company. For example, to cover an employee’s maternity leave or for a project.
Read more about the Waadi (in Dutch) and supervision by the Netherlands Labour Inspectorate.
Liability for payroll tax and turnover tax
The lender must pay payroll taxes for the employee you hire. If the lender fails to do so, the Tax Administration may hold you liable for this. The same goes for turnover tax (VAT) for the hired employee.
Read more about liability for payroll tax and turnover tax.
Hiring an employee from abroad via secondment
Do you want to hire an employee from abroad via an intermediary? If so, you will have to deal with additional rules besides the Waadi.
What is the difference between secondment, temping, and payrolling?
Secondment, temping, and payrolling are forms of flexible employment mediation for when you temporarily need extra staff. The main features at a glance: