Tackling sham employment arrangements

This main section contains 3 sections:

Employers sometimes use sham employment arrangements to avoid paying minimum wages and collectively agreed wages. One example is by wrongly deducting amounts from a person’s pay. Sham employment arrangements result in unfair competition and displacement of Dutch workers. This is because employers hire foreign workers and pay them lower wages. On 1 July 2015 the Dutch government introduced the Sham Employment Arrangements Act (WAS). A key feature is that it makes not only employers but also their clients liable for paying outstanding wages.