The Terms of Employment Posted Workers in the European Union Act (WagwEU) applies to employers from EU countries who will temporarily carry out work in the Netherlands with their staff. This act stipulates that employers are obliged to grant certain minimum terms of employment to the staff that will temporarily work in the Netherlands. The Inspectorate SZW will inspect this.
Dutch labour acts and collective agreement conditions
The employer must certainly comply with the following Dutch labour acts: the Minimum Wage and Minimum Holiday Allowance Act, the Working Hours Act, the Foreign Nationals Employment Act, the Working Conditions Act and the Placement of Personnel by Intermediaries Act. When a foreign employee starts in a sector in which a generally binding collective agreement applies, the terms of employment of this collective agreement will also apply.
Employers from EU countries with temporarily seconded staff in the Netherlands must comply with a number of administrative obligations:
- The obligation to have documents, such as payslips, working hours summaries and receipts available in the Netherlands at the workplace of the seconded employee (or directly digitally available);
- Obligation to provide information: Providing all information to the Inspectorate SZW which is necessary for the reinforcement of the WagwEU;
- The obligation to appoint a contact person in the Netherlands who can contact the Inspectorate SZW and function as a point of contact. This contact person does not have to be reported yet
The duty to report will become effective in the course of 2019 when a digital system is ready to submit the report.
Fines and sanctions
When the WagwEU is not observed, the Inspectorate SZW may impose a fine upon the foreign employer who carries out the work here in the Netherlands.