Hiring and posting staff: Waadi registration and Waadi check
Do you want to outsource or hire temporary staff in the Netherlands? You will have to deal with the Dutch Workers Allocation by Intermediaries Act. This is often referred to by the Dutch abbreviation: Waadi. The rules aim to prevent false or unfair employment constructions. You may be fined if you do not comply. Read what you need to do.
What is the Workers Allocation by Intermediaries Act (Waadi)?
The Dutch government wants to combat illegal labour and the exploitation of workers. That is the purpose of the Waadi Act (in Dutch: the Wet allocatie arbeidskrachten door intermediairs). The obligation to register makes it easier to detect fraud. For example, illegal labour, sham constructions, excessive working hours, and underpayment. The Waadi registration provides better protection for employees and promotes fair competition. The Netherlands Labour Authority monitors compliance with the Waadi Act.
Registration obligation
Do you offer staff as a paid intermediary? For example, you have a secondment company or a temp agency. The Waadi Act states that you as a lender must register this business activity with the Business Register. This is called the Waadi registration. You can check with KVK whether you need to register.
Hiring intermediary workers? Do the Waadi check
Are you hiring staff via an agency? As a hirer, always check whether the employment agency complies with the law. There are employment agencies that do not work fairly. This can lead to employee exploitation and unfair competition. It can also have consequences for you. For example: if the employment agency underpays the temporary workers who work for you, the workers can hold you liable. This falls under the chain liability for wages. You can limit the risk of liability by doing the KVK Waadi check (in Dutch). If the company is not registered properly, you are not allowed to hire staff through them.
Avoid a fine
Are you already in business with an agency? And is the company from which you hire personnel not properly registered in the Business Register? Then you risk a fine as a hirer. This is why you should always check the Waadi registration before you start hiring personnel. Read more about the penalties for Waadi violations (in Dutch).
More certainty with the SNA quality mark
Want to reduce the risk of chain liability? Then hire staff from a business with the SNA quality mark. This means that the Netherlands Tax Administration cannot recover unpaid payroll taxes and VAT for hired staff from you. You will have to meet certain conditions (in Dutch). Businesses with an SNA quality mark are regularly inspected by Stichting Normering Arbeid (SNA) and are listed in a register.
Strike break: do not hire extra temp workers during a strike
Employees have the right to strike if they have an employment dispute with their employer. The Waadi Act states that in the event of a strike, lenders may not offer workers to replace striking employees. Temporary workers are not allowed to take over the work of strikers. This is called strike breaking and it is forbidden.