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Temping or payrolling? New Dutch rules 2020

Temp agencies play a major role in matching demand and supply on the Dutch labour market. When not searching for new staff but outsourcing administrative and legal responsibilities, companies often make use of pay-rolling companies.   

Typically, the rules for temporary workers – or: temps (in Dutch: uitzendkrachten) – are much less protective (employment lite) than those for regular employees. What about the employment protection of pay-rolled workers? Until 2020, pay-rolled workers and  temporary workers were equally unprotected. This has changed as of January 2020. If (a) the agency has no role in matching supply and demand of labour, and (b) the pay-rolled employee is working exclusively for one client-company, the pay-rolled worker can, to a large extent, rely on the same protection and benefits as regular employees working in a similar role as the pay-rolled worker. Thus, the Dutch rules now distinguish temporary workers from pay-rolled workers, granting a lot more protection to pay-rolled workers.

Note that transition rules prevent that pay-rolled employees hired before January 1st 2020 are becoming permanent employees pursuant to the new Dutch rules for payrolling. For new contracts it is worth finding out if you are dealing with temping or pay-rolling.

Are you being made redundant?

Dutch employment law offers a high degree of protection to employees working in the Netherlands.  Such protection comes to the fore in the event that an employer wishes to terminate an employee’s employment contract. An employer who intends to dismiss an employee is required, by law, to comply with several strict rules and regulations. During reorganisations, employees are often laid-off based on redundancy. Or alleged redundancy? In our experience it is not exceptional that lay-offs include employees whose employment activities do, in fact, continue to exist. We help expats figuring out the facts and negotiating more favourable terms of a settlement package.  

Highly skilled migrants in the Netherlands

Every year between 5,000 and 7,000 highly skilled migrants come to the Netherlands. They make an important contribution to our economy. Since October 2004, a special Highly Skilled Migrant Scheme is applicable in the Netherlands. What are the regulations regarding highly skilled migrants?

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Mark Rutte revisits 30% tax ruling for expats

In the spring of 2018 the Dutch government announced that, in 2019, the maximum period of 8 years during which the Dutch 30% tax ruling may apply would be reduced to 5 years. Anger rose in the expat community – understandably. Today the Dutch Prime Minister came with a snippet of good news softening the blow.

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Employment law – Termination of employment contracts by giving notice

Notice given with permission from the UWV

If the termination of the employment contract is (i) based on economic grounds or (ii) occurs after a period of illness of more than two years, the employer will first have to obtain permission from the Employment Insurance Agency (UWV) to terminate the employment contract. Notice given without permission of the UWV is null and void.

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