Cross-border employment and Dutch law
Cross-border employment (grensoverschrijdend werken) covers a range of situations: frontier workers who live in one country and work in another (for example, living in Belgium or Germany and working in the Netherlands), employees temporarily posted to the Netherlands by a foreign employer, and internationally mobile employees who regularly work in multiple countries. Each situation raises distinct questions of employment law, social security, and taxation.
For frontier workers, the key questions are which country's employment law applies and in which country social security contributions are payable. Under EU law, social security is generally governed by the country of employment - so a person working in the Netherlands but living in Belgium pays Dutch social security contributions and is subject to Dutch social security law. For employment law, the Rome I Regulation determines the applicable law, with the habitual place of work being the primary connecting factor (see applicable law).
Posted workers
When a foreign employer posts an employee to the Netherlands temporarily, the Posted Workers Directive (Directive 96/71/EC, as amended by Directive 2018/957/EU) applies. Dutch law implements this directive through the Posted Workers in the European Union (Working Conditions) Act (Wet arbeidsvoorwaarden gedetacheerde werknemers in de Europese Unie, WagwEU). Under the WagwEU, posted workers in the Netherlands are entitled to the Dutch minimum wage, the applicable CAO terms, and other core Dutch employment conditions, regardless of which law governs their contract.
Internationally mobile employees under Dutch law
Employees who regularly work in multiple countries - such as airline crews, international sales staff, or senior managers - present the most complex cross-border employment situations. The applicable law is determined by the centre of gravity of their work (usually the home base), and social security is allocated based on the country where a substantial part of the work is performed. For these employees, a bespoke international employment contract and specialist advice from an employment lawyer are essential.
Since 1968, EU citizens have had free access to the Dutch labour market under EU Regulation 492/2011, with this freedom extended to citizens of the EEA (Norway, Iceland, Liechtenstein) and progressively to citizens of new EU Member States. There are currently approximately 200,000 workers from the newer EU Member States working in the Netherlands, principally in construction and agriculture. The EU Posted Workers Directive (96/71/EC, as amended by Directive 2018/957/EU) is implemented in Dutch law through the WagwEU, which guarantees posted workers in the Netherlands the Dutch minimum wage, applicable CAO conditions, and other core Dutch employment terms regardless of the governing law of their contract.