In the Netherlands, employers can offer two main types of employment contracts: fixed-term contracts and permanent contracts. These contracts can be written or verbal. 

Permanent contracts have no end date and provide employees with more job security. Fixed-term contracts that specify the duration of employment are available on a case-by-case basis through Plane and subject to approval. Fixed-term contracts are typically used for temporary work or projects that have a specific end date.

Employers cannot extend fixed-term contracts indefinitely; these contracts can be renewed up to three times. If you renew a fixed-term contract for a fourth time, or if a fixed-term contract lasts longer than three years, it automatically converts to a permanent contract. 

Employment contracts must contain clear information on crucial employment terms and conditions, including:  

• The name and place of residence of employer and employee

• Where work is performed (and specify if the employer or employee determines this)

• The employee’s job or responsibilities

• The employee’s usual working hours (per day or per week)

• Arrangements on working overtime or swapping shifts 

• Salary amount and its individual components, how and when they will be paid

• The employee’s start date 

• Term of the contract (if it’s a fixed-term contract) 

• The amount of vacation the employee is entitled to, and how you calculate paid leave

• Holiday allowance amount and terms

• Notice period, in the case of termination or resignation

• Duration and conditions of the probationary period, if applicable

• Whether you will offer any paid training or education, if applicable

• Information about pension contributions, if applicable

• A non-compete or non-solicitation clause, if applicable

• Details on any Collective Labour Agreement (CAO) that governs their contract, if applicable

One thing to note: Employees may request to work more or fewer hours, change their working hours or workplace, or ask for a more dependable employment agreement, such as a permanent contract. If so, employees must submit their request in writing, which you must respond to within one to three months. If you don’t respond in time, you must agree to the request and change the employment contract accordingly.