What You Need to Know About the Dutch Employer of Record

When you’re planning to work in the Netherlands, there’s one question many international workers ask: Who will actually employ me?

In many cases, it’s not the company where you’ll physically work, but a registered Dutch Employer of Record (EoR). This is a specialized organisation that officially hires you on paper and takes care of all your payroll, taxes, and social security in the Netherlands.

If you’re considering a job abroad, understanding how this system works can make your move smoother, safer, and fully compliant with Dutch law.

This guide aims to explain what an Employer of Record is, why it exists, and what it means for your rights as a worker, especially if you’re planning to find a job through a trusted platform like Robin.jobs.

What Is an Employer of Record in the Netherlands?

A Dutch Employer of Record is a registered company that legally employs workers on behalf of another company. In simple terms, you perform your daily work for one company (called the economic employer), but your official employment contract and payroll administration are handled by another company, i.e., the Employer of Record.

This system was legally defined in the Netherlands in Article 7:692 of the Dutch Civil Code, effective from January 2020. The law made the EoR solution provider concept official to create a clear distinction between temporary agency work and employer of record services.

Again, the EoR takes over all the administrative and legal responsibilities of being an employer. That includes:

• Paying your salary correctly and on time
  
• Handling payroll taxes and social insurance contributions
  
• Providing payslips and tax documents
  
• Managing sick leave or absence registration
  
• Making sure your working conditions match Dutch labour laws
  

In other words, the EoR becomes your formal employer, while the company where you actually perform your work remains the economic employer that supervises your daily tasks.

Why Does the Netherlands Use the Employer of Record System?

The EoR system was created to serve employees. Its purpose is to protect workers and clarify responsibilities. Before 2020, many companies used flexible or agency-based structures to hire international workers, and the legal differences between temporary agencies and other intermediaries were often unclear. 

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Unfortunately, this led to instances when certain parties abused contracts. Things like workers not receiving fair pay or proper benefits. The Dutch government introduced EoR regulations to fix this.

Now, when an Employer of Record is used, the law ensures:

• Full transparency about who the formal employer is
  
• Equal pay for equal work (you must earn the same as local workers in similar roles)
  
• Proper registration and oversight through the Chamber of Commerce
  
• Accountability for taxes, insurances, and employment rights
  

So, while this system might sound complicated, it actually gives workers more protection, especially if you’re coming from abroad and don’t know all the Dutch rules yet.

Registration and Legal Requirements

Every Employer of Record in the Netherlands must be registered in the Dutch Chamber of Commerce (KvK) under the Workers Allocation by Intermediaries Act (WAADI).

This is a mandatory registration, and it’s illegal for companies to hire workers through a non-registered EoR.

If a company or agency doesn’t comply with this rule, both the EoR and the company using its services can be fined. That’s why it’s essential to only work with verified and registered employers and agencies providing staffing services like the ones Robin.jobs partners with. When you accept a job through Robin, you can be sure that the company handling your contract and payroll is legally recognized in the Netherlands.

That means your taxes are paid correctly, your insurance is valid, and your rights are fully protected.

Employment Conditions Under a Dutch Employer of Record

Working through an Employer of Record doesn’t mean you lose any rights, or make you less of a worker than your coworkers who work directly with the employing company. Quite the opposite. 

Under Dutch labour law, an EoR employee must receive the same employment conditions as employees who work directly for the company in a similar position. This includes:

• Equal wages for equal work
• Allowances such as shift bonuses, holiday allowance, and more.
• Vacation days (at least 20 per year by law)
• Public holidays
• Paid sick leave
• Retirement contributions
• Access to Dutch health insurance
  

If there are no directly comparable employees at the company, the EoR must use the standard working conditions for that sector in the Netherlands, including any collective labour agreements (CAOs). So while the EoR handles your employment contract and pay, your working conditions reflect what’s common for your type of job in the Dutch market.

How Long Can You Work for the Same Employer via EoR?

There’s no strict time limit. As long as both the economic employer and the EoR meet all their obligations, you can work for the same company indefinitely. However, Dutch law states that if your temporary contract is extended more than three times or lasts longer than 36 months, it automatically converts into a permanent contract with the EoR.

Tax and Payroll Features

The Employer of Record handles all payroll administration/ This includes wage tax and social security contributions on your behalf. Every month, they file a payroll tax return with the Dutch Tax Office, just like any other employer would.

If the EoR fails to meet these obligations, the company you work for (the economic employer) can also be held liable. To avoid risk, many EoRs use a blocked, or G-account, from which they can only pay taxes and social security directly to the authorities.

Source: Pexels

This setup ensures that the money deducted from your payslip always goes to the right place, and that you remain fully insured in the Netherlands.

Employer of Record vs. Temporary Work Agency

It’s easy to confuse the two, but they’re not the same.

In short, the EoR handles the employment administration once you’re hired. 

Why Companies Use an Employer of Record in the Netherlands

Many companies, especially international businesses, use an Employer of Record because it allows them to hire workers in the Netherlands without setting up a local branch or entity. For example, a German or Polish company that needs workers in Dutch warehouses or construction sites can do so compliantly through an EoR.

Typical reasons include:

• The company has no legal entity in the Netherlands
  
• They need to hire quickly for projects or seasonal work
  
• They want to avoid administrative complexity
  
• They want to stay compliant with Dutch labour and tax laws
  

For workers, this means you can get started faster, legally, and with guaranteed rights under Dutch law, as long as your EoR is properly registered and monitored.

Future Outlook: The EoR System Is Here to Stay

As cross-border work continues to grow across Europe, the demand for EoR services in the Netherlands is rising. Remote work, international projects, and flexible staffing models are making EoRs more relevant than ever. Both for global companies and foreign employees.

Source: Pexels

However, an EoR isn’t a “cheap” way of hiring. Dutch law requires equal wages and benefits, so the main advantage is compliance and risk reduction, not cost savings. For you as a worker, that’s good news: it means your pay, working hours, and benefits will always match local standards.

Benefits of Working Through a Registered Dutch Employer of Record

To recap the main benefits for employees:

• Legal employment in the Netherlands even if your employer is based abroad
• Guaranteed Dutch payslips and taxes handled correctly
• Access to Dutch social security and insurance
• Equal pay and benefits compared to local employees
• Smooth onboarding and less paperwork
• Protection under Dutch labour law

And when you find your job through Robin.jobs, you get all of this with added support:

• We only work with certified, registered agencies
• We help you choose the right job that fits your skills
• We work with agencies that offer housing, possibly help with relocation, and local registration
• We keep in touch with you to ensure that your employer follows the law and treats you fairly
  

So instead of worrying about complex contracts or Dutch paperwork, you can simply focus on your work and your new life in the Netherlands.

Final Thoughts

The Employer of Record in the Netherlands model is designed to make international employment safe, legal, and simple. For foreign workers, it guarantees protection under Dutch law and ensures that all payroll, taxes, and benefits are handled correctly.

If you’re planning to work in the Netherlands, you don’t need to navigate this system alone.
Robin.jobs connects you with registered Dutch employers and agencies that already work with trusted Employer of Record partners, so you can start your new job with confidence.

Your role is to focus on what you do best.