Dutch employment contracts: what each section means

Dutch employment contracts follow a consistent structure, but several clauses work differently than you might expect. Here is what each section means and what to check before signing.

Vast or tijdelijk

Every Dutch contract is either voor onbepaalde tijd (indefinite, commonly called a vast contract) or voor bepaalde tijd (fixed-term, called a tijdelijk contract).

A tijdelijk contract can be extended twice before you become entitled to an indefinite contract. Three successive fixed-term contracts, or a combined fixed-term duration exceeding three years (counting any gap of six months or less as continuation), triggers automatic conversion to a vast contract. The gap must be more than six months to reset the clock; a two-week break followed by a new fixed-term contract does not restart the count.

Proeftijd

A proeftijd (probation period) allows either party to end the contract without notice or reason. A proeftijd cannot be included in a fixed-term contract of six months or shorter. For fixed-term contracts between six months and two years, the maximum is one month. For indefinite contracts or fixed-term contracts of two years or more, the maximum is two months.

A proeftijd is only valid in writing. Verbal agreements about probation do not count. It cannot be added to a contract extension or renewal.

Salaris and vakantiegeld

Your gross monthly salary is stated in the contract. Dutch law requires at least 8% vakantiegeld (holiday allowance) on top of your gross annual salary. Some contracts pay it monthly as part of the regular salary; others accumulate it and pay a lump sum in May or June.

Check whether the stated salary includes or excludes vakantiegeld. A salary of €3,500 per month excluding vakantiegeld works out to approximately €3,780 per month all-in. The difference matters when comparing offers.

Vakantiedagen

The legal minimum holiday entitlement is four times your weekly working hours, expressed in hours. For a 40-hour week, that is 160 hours (20 working days) per year. Most employers offer 25 days, and sector CAOs often require more.

Holiday entitlement is split into two categories: the statutory minimum (wettelijke vakantiedagen) and any extra days above that minimum (bovenwettelijke vakantiedagen). Statutory leave expires on 1 July of the year after it was accrued, roughly six months after the calendar year ends. Extra leave above the minimum remains valid for five years. Ask HR which days fall into each category: some employers carry everything forward, others apply the statutory lapse rules strictly.

CAO

A collectieve arbeidsovereenkomst (CAO) is a sector-wide collective agreement that sets minimum terms for salary, leave, working hours, and benefits. If your employer is covered by a CAO, it overrides any clause in your individual contract that provides less than the CAO minimum. You cannot be contracted out of it.

The government site cao.szw.nl lists current CAOs by sector. If your employer is covered by one, ask which CAO applies; they are legally required to tell you. Some CAOs include supplementary benefits (thirteenth month, extra leave days, training budgets) that do not automatically appear in the individual contract.

Opzegtermijn

The opzegtermijn (notice period) in an employment contract is broadly symmetric. Your legal minimum as an employee is one month. The employer's legal minimum increases with your length of service: one month up to five years, two months from five to ten years, three months from ten to fifteen, and four months beyond fifteen years.

A contract can extend your personal notice period to two months. When it does, the employer's notice period automatically doubles to match yours. An employer cannot set your notice period to two months while keeping their own at one.

Concurrentiebeding

A concurrentiebeding (non-compete clause) restricts you from working for competitors or starting a competing business after leaving. It can only appear in an indefinite contract unless the employer includes a written substantiation explaining why the fixed-term contract requires it; without that written justification, the clause in a tijdelijk contract is void.

Even a valid concurrentiebeding is subject to court review. Dutch courts regularly limit or cancel non-competes that unreasonably restrict earning capacity, particularly when the employer initiated the termination. If you are presented with an unusually broad non-compete, it is worth having a lawyer read it before signing.

A relatiebeding (client restriction clause) is a narrower variant: it restricts you from approaching specific clients or accounts, not from working in the same sector. Dutch courts enforce these more consistently.

Practice the vocabulary

TikTaal's arbeidscontract scenario covers these terms in context: reviewing a contract with a colleague, asking your HR contact about a clause, and understanding what your opzegtermijn actually means in practice. Every Dutch word is clickable for audio and a translation.