Answers to all your frequently asked questions
Answers to all your frequently asked questions
We understand that the temporary employment industry can sometimes seem complex, which is why we have created this page to provide you with answers to frequently asked questions about the temporary employment industry. Whether it concerns questions about collective labor agreements, rights and obligations, salary, contracts or other aspects of temporary employment, we strive to answer your questions and provide clarity.
What would you like to know more about? Click on one of the topics below to find answers to your questions. If the answer is not there, please contact us.
Contract - Temporary employment contract
A temporary employment contract is an employment contract between three parties: the temporary worker, the temporary employment agency and the client (the company where the temporary worker will actually work). A temporary employment contract stipulates that the temporary worker will perform work for the client, but is formally employed by the temporary employment agency. The employment agency acts as the employer of the temporary worker and is responsible for matters such as wage payment, contractual obligations and social insurance. The temporary employment contract is often flexible in nature, meaning that it is temporary and can end once the project or assignment is completed.
It is not possible to work at a temporary employment agency without an employment contract. An employment contract is a legal requirement and regulates the rights and obligations of both the employer (the temporary employment agency) and the employee (the temporary worker). Without a valid employment contract, the work would be contrary to labor law.
Both temporary and on-call workers are often deployed on a flexible basis, but there are some differences.
Temporary worker
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Through an employment agency: A temporary worker usually works through an employment agency. The employment agency is the formal employer and secondes the temporary worker to various clients.
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Longer periods: Temporary workers may work for the same client for longer periods, depending on the nature of the work and the needs of both the temporary employment agency and the client.
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Employment contract: A temporary worker has a formal employment contract with the employment agency, in which the rights and obligations are laid down.
On-call worker
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Variable hours: An on-call worker is deployed based on the demand for labor. Working hours can vary greatly and often depend on the needs of the employer.
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No permanent employment contract: In some cases, an on-call worker cannot have fixed hours or a permanent employment contract. Instead, there may be an on-call agreement where the hours are flexible.
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Flexible deployment: On-call workers are usually called up when extra work is needed. They often have no guarantee of a minimum number of hours per week
Yes, temporary workers also usually have to deal with a notice period, but this can vary depending on various factors, including the country, the specific employment contract and the agreements between the temporary employment agency and the temporary worker. Here are some general considerations:
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Temporary employment contract: The notice period for temporary workers is often determined in the temporary employment contract between the temporary employment agency and the temporary worker. A standard notice period of 1 month is used within Upforce. However, this may differ depending on the collective labor agreement.
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Legal provisions: In some countries there are legal provisions that determine the minimum notice period for all employees, including temporary workers. These may vary and depend on the length of employment.
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Collective Labor Agreement (CAO): Sometimes notice periods are also influenced by collective labor agreements (CAOs) that apply in certain sectors. These agreements are often negotiated between employers and unions and contain provisions on employment conditions, including notice periods.
In the Netherlands, working through a temporary employment agency is regulated by the so-called ‘phase system’. This system, laid down in the Allocation of Labor by Intermediaries Act (Waadi), divides temporary employment contracts into three phases: A, B and C. Each of these phases has specific characteristics with regard to employment conditions and rights. Here’s a quick overview:
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Phase A
- This is the start-up phase and usually lasts the first 78 worked weeks (approximately one and a half years) of the temporary employment contract.
- During phase A there is a temporary employment clause, which means that the temporary employment contract can be terminated by the employer at any time as a result of the termination of the assignment to the client.
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Phase B
- Phase B immediately follows phase A and has a maximum duration of four years (different from phase A in which the temporary worker can work a maximum of 78 weeks).
- In phase B, the temporary employment clause no longer applies, but the temporary employment contract can still be terminated without giving a reason.
- After 26 weeks of work in phase B, the temporary worker is entitled to continued payment of wages in the event of illness.
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Phase C
- Phase C comes into effect after phase B or after the expiry of the four-year period.
- In phase C, the same employment conditions apply as for employees employed by the client, such as the right to severance pay upon termination of employment.
- In phase C, the temporary worker has more rights and stability in terms of work and income.
It is important to know that these phases only apply to temporary employment contracts in the Netherlands and are specifically related to the temporary employment sector. Employees who are directly employed by a company do not fall under this phase system.
Collective labor agreement
Which collective labor agreement (Collective Labor Agreement) applies to temporary workers can vary and depends on various factors, such as the type of work performed, the sector in which the temporary employment agency is active, and the specific agreements between the temporary employment agency and any trade unions. Here are some possible scenarios:
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ABU collective labor agreement (General Association of Employment Agencies): If the employment agency is affiliated with the ABU, the ABU collective labor agreement may apply. This collective labor agreement contains agreements on employment conditions and rights for temporary workers who fall under the ABU. Upforce is affiliated with ABU.
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NBBU collective labor agreement (Dutch Association of Mediation and Employment Agencies): Some employment agencies are affiliated with the NBBU and fall under the NBBU collective labor agreement. This is another collective labor agreement that contains specific agreements for temporary workers.
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Industry collective labor agreement: Depending on the sector in which the employment agency is active, a specific industry collective labor agreement may also apply. These collective labor agreements may contain different employment conditions and regulations, depending on the sector.
It is important to know that not all temporary workers are covered by a collective labor agreement. The collective labor agreement often applies if the employment agency and/or the client is a member of a trade organization such as ABU or NBBU, which concludes these collective labor agreements.
Temporary workers can find information about the collective labor agreement that applies to them in their employment contract, from the temporary employment agency itself, or by contacting the trade unions that may be involved in the industry in which they work.
No, as an individual temporary worker you generally have no direct say over which collective labor agreement applies to you. The choice of a specific collective labor agreement is usually determined by the employment agency you are affiliated with and the sector in which the employment agency is active.
Both the NBBU (Dutch Association of Mediation and Employment Agencies) and the ABU (General Association of Employment Agencies) are trade organizations for temporary employment agencies in the Netherlands. Both organizations have their own collective labor agreement (Collective Labor Agreement) that applies to temporary workers who work through temporary employment agencies affiliated with them. Here are some differences between the NBBU collective labor agreement and the ABU collective labor agreement.
ABU collective labor agreement
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Trade association: The ABU represents a large number of temporary employment agencies and is one of the most important trade organizations in the temporary employment sector.
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Content of the collective labor agreement: The ABU collective labor agreement contains agreements on employment conditions and rights for temporary workers who work through employment agencies that are affiliated with the ABU. This includes matters such as salary, vacation days, pension plans and other employment conditions.
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Temporary employment clause in phase A: An temporary employment clause can be included in the ABU collective labor agreement in phase A (the first phase of a temporary employment contract), which means that the temporary employment contract can be terminated at any time as a result of the termination of the assignment to the client.
NBBU collective labor agreement
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Trade organization: The NBBU also represents temporary employment agencies, but often focuses on smaller and medium-sized temporary employment agencies.
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Content of the collective labor agreement: The NBBU collective labor agreement also includes regulations regarding employment conditions and rights for temporary workers who work through temporary employment agencies that are affiliated with the NBBU. This includes salary, vacation days and pension plans.
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Temporary employment clause in phase A: As with the ABU collective labor agreement, the NBBU collective labor agreement may contain an temporary employment clause in phase A.
Although there are similarities, the specific terms and conditions may differ between the ABU collective labor agreement and the NBBU collective labor agreement. It is important that temporary workers are aware of the collective labor agreement that applies to them, as this affects their employment conditions and rights.
Payslip
A temporary worker’s pay slip contains various details and information about salary and deductions. Although the specific format may vary between employment agencies, a standard pay stub often includes the following information:
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Personal information
- Name and address of the temporary worker.
- Date of birth and possibly the citizen service number (BSN).
- Period to which the pay slip relates.
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Wage components
- Gross salary: The total salary before deductions.
- Net salary: The amount that the temporary worker ultimately receives after deduction of taxes and other deductions.
- Holiday pay: Any accrued holiday pay, often shown as a percentage of the gross salary.
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Hours and rates
- Number of hours worked.
- The hourly rate.
- Any allowances for overtime, night work, or specific activities.
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Deductions
- Payroll tax: The amount withheld for taxes (payroll tax and national insurance contributions).
- Employee insurance premiums: Deductions for social insurance such as WW and WIA.
- Pension premium: Any premiums for pension accrual.
- Health insurance premium: The amount withheld for health insurance.
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Cumulative data
- Cumulative amounts for the year to date, such as the total number of hours worked, gross and net wages, and amounts withheld.
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Employer contributions
- Any employer contributions to social insurance.
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Other information
- Any expense reimbursements.
- Any other allowances, such as travel expenses.
Yes, both gross and net income appear on a pay slip. Here are the definitions of both terms:
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Gross Income
- The gross income on the pay stub represents the total salary an employee earns before any deductions.
- It includes the basic or hourly wage, any allowances (for example overtime or night work), holiday pay, and other taxable allowances.
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Net income
- The net income on the pay slip indicates the amount the employee ultimately receives after taxes and other deductions.
- It includes the amount actually deposited into the employee’s bank account.
The pay slip shows various deductions that have been deducted from the gross income, such as taxes, social security contributions, pension contributions and any other deductions. The difference between gross and net income therefore indicates how much deductions have been made.
The term SV (social insurance days) or SVW (social insurance law) usually refers to days on which social insurance premiums are calculated. In the Netherlands, social insurance premiums are due, among other things, on the wages an employee earns. These premiums contribute to the financing of social insurance such as national insurance (AOW, Anw, AKW) and employee insurance (WW, WIA, ZW).
ET hours are often shown on pay slips of temporary workers who are tax registered in another country. Employer and employee can agree that part of the gross salary will be exchanged for reimbursement of extraterritorial (ET) costs. This compensation is tax exempt, resulting in a higher net salary for the flex worker.
An Extraterritorial (ET) scheme is a specific tax scheme that is applied to migrant workers who temporarily work in a country other than where they are originally tax resident. This may be relevant for international companies that send employees to another country.
Under an ET scheme, part of the migrant worker’s income is classified as extraterritorial, which means that it is not fully subject to the tax legislation of the country of employment. This is done to take into account the specific situation of international employees.
Salary
Yes, in the Netherlands a minimum wage also applies to temporary workers. The minimum wage is set by law and applies to all employees, including temporary workers.
Since January 1, 2024, employers are required by law to pay at least the minimum hourly wage per hour. There is always 1 fixed minimum hourly wage for all employees aged 21 and older. Fixed minimum hourly youth wages have applied since January 1, 2024 for employees under the age of 21. These minimum youth hourly wages are derived from the statutory minimum hourly wage. Just like in 2023. More information is available on the government website.
| Age | Per hour |
|---|---|
| 21 years and older | €13.68 |
| 20years | € 10,94 |
| 19 years | € 8,21 |
| 18 years | € 6,84 |
| 17 years | € 5,40 |
| 16 years | € 4,72 |
| 15 years | € 4,10 |
Yes, it is possible to negotiate your hourly wage as a temporary worker. Although temporary workers often work under the terms of an employment agency, this does not mean that the hourly wage is not negotiable.
The salary you receive when you work for a temporary employment agency can vary and depends on various factors.
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Job title and sector: The type of work you do and the sector you operate in can influence your salary level. Some sectors offer higher wages than others.
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Experience and skills: Your experience level and specific skills may also play a role in determining salary. In general, employees with more experience and specialized skills tend to be better paid.
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Collective labor agreement and employment conditions: The employment agency may be bound to a specific collective labor agreement (CAO) that regulates salaries and employment conditions. The collective labor agreement may contain specific provisions regarding wages, allowances and other compensation.
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Temporary employment phase: In the Netherlands, temporary workers are classified into different phases (A, B, C) according to the Act on Allocation of Labor by Intermediaries (Waadi). Salary and employment conditions may vary depending on the phase you are in.
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Negotiation and market conditions: In some cases there is room for negotiation about salary. You can discuss your salary wishes with the employment agency and see if there are options for adjustments.
Payout
The frequency of salary payment for temporary workers may vary and depends on the policy of the temporary employment agency with which you are affiliated. In general, there are two common payment frequencies: per week and every four weeks.
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Per week: Some employment agencies pay temporary workers weekly. This means that you receive your salary every week. This payment frequency can be beneficial for people who want to receive regular income. At Upforce, payouts are always made weekly.
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Every four weeks: Other employment agencies use a payment frequency of every four weeks. This means that your salary is paid once every four weeks. This method may be more in line with the regular salary payments of many employers.
When taking a job through a staffing agency, it is important to discuss and understand payment frequency. This information is usually stated in the employment contract or in the employment regulations of the temporary employment agency.
As a temporary worker you are entitled to continued payment of wages in the event of illness, but the arrangement may vary depending on the duration of the illness and the phase of the temporary employment contract. Here are some key points:
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Phase A:
- In the first 26 weeks worked (or the first 78 weeks worked if there is an agency clause in the employment contract), there is generally no obligation to continue paying wages in the event of illness. You will then usually receive a Sickness Benefit from the UWV (Employee Insurance Implementation Institute).
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Phase B and Phase C:
- After the first 26 weeks (or after the first 78 weeks if there is an agency clause in the employment contract), in most cases the employment agency’s obligation to continue paying wages during illness applies. The employment agency must then continue to pay the wages in accordance with the applicable collective labor agreement or employment contract.
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Employment contract and collective labor agreement:
- The specific rules regarding continued payment in the event of illness may vary based on the individual employment contract and the collective labor agreement under which the employment agency falls. It is important to consult the relevant documents for detailed information.
If you are ill, it is essential to follow the employment agency’s sick reporting procedure and report your illness as soon as possible. This way, the employment agency can take the right steps with regard to continued payment of wages and any further support.
In the Netherlands, certain rules and protections apply to employees, including temporary workers, with regard to illness and dismissal. It is generally not permitted to dismiss an employee simply because of illness. Here are some key points:
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Illness period:
- A cancellation ban applies during illness. An employer, including a temporary employment agency, may not dismiss an employee due to illness during the first two years of illness.
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Reintegration:
- During the period of illness, both the employer and the employee are expected to commit themselves to reintegration. Suitable work and options for recovery must be considered together with the employee.
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Dismissal after two years of illness:
- After two years of illness, a situation may arise in which the employment contract is terminated. This can happen if the employee is still ill and there is no prospect of recovery or reintegration in the future. In this case, the employment agency may terminate the employment relationship.
Yes, temporary workers are entitled to continued payment of wages during holidays. This right is laid down in law, specifically in the Allocation of Labor by Intermediaries Act (Waadi), and applies to all phases of the temporary employment contract.
Here are some important points regarding holidays and wage payment for temporary workers:
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Holiday days: Temporary workers are entitled to holiday days. The number of vacation days can vary based on the number of hours worked and the duration of the temporary employment contract.
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Continued payment during vacation: During the vacation days taken, the temporary worker is entitled to continued payment of wages. This wage includes the basic salary and any allowances.
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Reservation of vacation days: In some cases, vacation days are not paid out immediately but are reserved in a so-called vacation allowance. This can be paid out separately or taken as vacation days.
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Holiday pay: In addition to continued payment of wages during holidays, temporary workers are also entitled to holiday pay. This is an additional compensation that is usually paid annually and is based on the wages earned.
It is important that temporary workers check the rules regarding vacation days and continued payment of wages in the employment contract or collective labor agreement that applies to the temporary employment agency.
Pension
Yes, temporary workers also build up a pension in the Netherlands. The right to pension accrual depends on various factors, including the collective labor agreement (collective labor agreement) under which the temporary employment agency falls and the phase of the temporary employment contract.
Here are some important points regarding pension accrual for temporary workers:
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Collective labor agreement and pension scheme: The collective labor agreement that applies to the temporary employment agency may contain provisions regarding pension accrual. In some cases, temporary workers are automatically included in a pension scheme.
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Phase A, B and C: The temporary employment contract is divided into different phases (A, B, C) according to the Allocation of Labor by Intermediaries Act (Waadi). In the later phases (B and C) it is more common for temporary workers to build up a pension.
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StiPP scheme: The StiPP pension fund (Foundation Pension Fund for Personnel Services) is specific to the temporary employment sector. Temporary workers who fall under the StiPP scheme build up a pension in accordance with the conditions of this fund. Upforce is also affiliated with this.
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Voluntary pension accrual: In some cases, temporary workers can choose to voluntarily accrue pension, even in the phase in which this does not happen automatically. However, this depends on the rules of the employment agency and the collective labor agreement.
Yes, the phase in which a temporary worker falls affects the pension accrual. The Allocation of Labor by Intermediaries Act (Waadi) regulates the temporary employment contract and divides it into different phases: phase A, phase B and phase C.
Here is a general overview of how pension accrual is usually arranged in the different phases:
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Phase A:
- In the first phase (Phase A), which can last a maximum of 78 worked weeks, pension accrual is not mandatory. Temporary workers in this phase often fall under the basic scheme of the StiPP pension fund (Stichting Pensioenfonds voor Personeeldiensten).
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Phase B:
- From the 79th week to the 104th week (Phase B), temporary workers are generally entitled to pension accrual. The pension premium is often partly paid by the employer (the employment agency) and the temporary worker.
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Phase C:
- In Phase C, which starts after the 104th week, pension accrual continues to apply. Temporary workers build up a pension in accordance with the conditions of the collective labor agreement and the pension fund.
It is important to consult the specific rules and conditions laid down in the collective labor agreement under which the employment agency falls. The pension fund (such as StiPP) also has detailed information about the pension accrual for temporary workers.
StiPP stands for Stichting Pensioenfonds voor Personeelsdiensten. StiPP is a pension fund specifically established for the temporary employment sector in the Netherlands. The aim of StiPP is to offer temporary workers the opportunity to build up a pension while working in the temporary employment sector.
Key features of the StiPP pension scheme include:
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Mandatory participation: Temporary workers who fall under the StiPP scheme are obliged to participate in the pension fund. This applies to temporary workers in Phase A (first 78 weeks) and Phase B (between week 79 and week 104).
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Premium payment: Both the temporary worker and the employer (the temporary employment agency) pay premiums for pension accrual. The premium is divided between the employer and the employee.
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Pension accrual: While participating in StiPP, temporary workers accrue a pension. The amount of pension accrual depends on income and the duration of participation in the pension fund.
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Phase division: StiPP’s pension scheme is related to the different phases of the temporary employment contract. Temporary workers in Phase A and Phase B are covered by StiPP’s basic scheme.
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Pension choices: StiPP offers temporary workers some flexibility in making choices regarding their pension, such as whether or not to continue pension accrual when switching to another employer.
Housing
In the Netherlands, employment agencies are not obliged to arrange housing for temporary workers. Housing is generally the responsibility of the individual temporary worker.
At Upforce we can also provide housing for temporary workers. Are you from abroad and would like to have housing? View more information about our housing offer here or contact us.
The ability for temporary workers to choose their own housing may vary depending on the policy of the temporary employment agency with which they work. In some cases, employment agencies provide housing as part of their service, and in such cases they may present options for agency workers to choose from.
Upforce offers housing for all its temporary workers. We always try to find suitable accommodation based on the temporary worker’s work location.
Housing for temporary workers in the Netherlands must meet certain rules and standards to ensure the safety and livability of the housing. These rules are laid down in the Allocation of Labor by Intermediaries Act (Waadi). Upforce has, among other things, the SNF quality mark, which is important for employment agencies that accommodate migrant workers.
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Basic standards: The housing must meet basic standards for safety, health and quality of life. This includes requirements regarding fire safety, hygiene, and space.
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Fire safety: Measures must be taken to make the housing fire safe. This may include installing smoke detectors, fire extinguishers and escape routes.
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Hygiene: Housing must meet hygienic standards, including cleaning and sanitation. Sufficient sanitary facilities must be available, appropriate for the number of residents.
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Living space: There must be sufficient living space and sleeping space for the residents. Overcrowding must be avoided.
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Registration: Employment agencies are obliged to ensure correct registration of the addresses where temporary workers are housed. This is important for communication, postal delivery and accessibility.
Transport
In the Netherlands, employment agencies are generally not legally obliged to arrange transport for temporary workers. Responsibility for transportation often depends on several factors, including the policies of the specific employment agency, the nature of the work, and the location of the workplace.
We can arrange transport for all temporary workers who work for Upforce. View more information about our transport offer here.
Upforce has its own fleet of (electric) bicycles, cars, vans and even a coach. Naturally, this depends on the distance to the work location and the number of temporary workers who have to go to a specific location. This is always discussed in mutual consultation with the temporary workers as to what best suits his/her situation. View our transport offer here.
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