The Netherlands features one of the most highly educated, flexible and motivated workforces in Europe. Dutch professionals are also among the most multilingual in the world, enabling them to successfully operate in companies across any industry, serving customers throughout the continent. What is more, Dutch law offers employers a range of contract possibilities to flexibly procure employees.
The Dutch law on employment contracts offers employers a range of possibilities to flexibly engage employees. It enables employers to rapidly fill a temporary demand for labor. The possibilities of flexible engagement also make it possible to test the employees’ suitability before they are given an open-ended employment contract.
Employers and employees are free to agree on fixed – term employment contracts, but two restrictions apply. If the same parties have agreed upon two or more fixed – term employment contracts and those contracts succeed each other at intervals of less than three months, the last fixed – term contract will be regarded as an open – ended employment contract if:
- the employment contracts have lasted longer than 36 months or
- a series of more than three fixed-term employment contracts have been signed.
It must be emphasized in this context that parties are also free to agree upon employment contracts for a longer (fixed-term) period. For instance, a fixed-term employment contract that has been concluded for five years, will simply end by operation of law at the end of that five-year period.
In addition to permanent contracts, temporary or short-term contract agency workers are increasingly being used. In that case temporary employment agencies make employees available to companies. There is no employment contract between the company and the temporary employee, but one exists between the staffing agency and the employee. Agency workers are also a good means of filling temporary vacancies, for instance when employees are absent due to sickness or leave. They can also be a good alternative for filling peak and seasonal demand for labor.
*More info at: Invest in Holland
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