Permanent Contract Template for Netherlands

A comprehensive employment agreement governed by Dutch law, designed to establish a permanent employment relationship between an employer and employee. This contract complies with the Dutch Civil Code (Burgerlijk Wetboek) and related employment legislation, including provisions for working conditions, remuneration, benefits, and statutory requirements. The document incorporates mandatory elements required by Dutch employment law while allowing for customization based on specific role requirements and company policies, ensuring both legal compliance and practical functionality in the Dutch employment context.

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What is a Permanent Contract?

This permanent employment contract template is designed for use in the Netherlands when establishing indefinite-term employment relationships. It incorporates all mandatory requirements under Dutch employment law, including those specified in the Dutch Civil Code (Burgerlijk Wetboek) and related employment legislation. The document should be used when converting temporary contracts to permanent positions or directly hiring employees on a permanent basis. It includes essential provisions for salary, working hours, leave entitlements, notice periods, and other statutory requirements, while allowing for customization based on specific employment terms. The permanent contract (vast contract) offers stronger employment protection compared to fixed-term contracts and requires careful consideration of termination provisions under Dutch law.

What sections should be included in a Permanent Contract?

1. Parties: Identification of the employer and employee with full legal names and addresses

2. Background: Brief context of the employment relationship and reference to any prior agreements or negotiations

3. Definitions: Key terms used throughout the contract

4. Position and Duties: Job title, role description, and main responsibilities

5. Commencement and Duration: Start date and confirmation of permanent nature of the contract

6. Workplace: Primary work location and any flexibility arrangements

7. Working Hours: Standard working hours, days, and schedule

8. Salary and Benefits: Base salary, payment frequency, and mandatory benefits including holiday allowance

9. Holidays and Leave: Annual leave entitlement and public holidays

10. Illness and Incapacity: Sick leave procedures and sick pay arrangements

11. Pension: Pension scheme details and contributions

12. Notice Period: Notice requirements for both parties

13. Confidentiality: Obligations regarding company confidential information

14. Company Property: Rules regarding use and return of company property

15. Applicable Law: Confirmation of Dutch law application and jurisdiction

What sections are optional to include in a Permanent Contract?

1. Probationary Period: Include if a probationary period is desired (max 2 months for permanent contracts)

2. Non-Competition Clause: Include if restricting post-employment competition is necessary

3. Non-Solicitation: Include if protecting against employee/client poaching is needed

4. Intellectual Property: Include for roles involving creation of IP or creative work

5. Company Car: Include if a company car is provided

6. Bonus Scheme: Include if performance-related bonuses are offered

7. Remote Working: Include if regular remote work is permitted

8. Study Costs: Include if employer provides education/training with repayment conditions

9. Share Options: Include if employee is eligible for share options or similar schemes

10. International Travel: Include if role requires regular international travel

What schedules should be included in a Permanent Contract?

1. Schedule 1 - Job Description: Detailed description of role, responsibilities, and reporting lines

2. Schedule 2 - Remuneration Package: Detailed breakdown of salary components and benefits

3. Schedule 3 - Company Policies: Reference to key company policies that form part of the contract

4. Schedule 4 - Confidential Information: Detailed description of what constitutes confidential information

5. Appendix A - Code of Conduct: Company's code of conduct and ethical guidelines

6. Appendix B - IT Usage Policy: Rules and guidelines for using company IT systems

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Netherlands

Publisher

Genie AI

Document Type

Employment Contract

Cost

Free to use

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