8.1    General

The Vienna Conventions distinguish between individuals who are nationals or permanent residents of the receiving state and those who are not. Diplomatic missions and consular posts may choose to employ Dutch nationals or permanent residents of the Netherlands, but they must only recruit people who are legally entitled to work and reside in the Netherlands. A mission or a post is expected to inform the Ministry about any non-diplomatic staff it recruits.

8.1.1 Permanent residents

Prior to entering the employment of a diplomatic mission or consular post, non-Dutch nationals must be in possession of a valid residence permit entitling them to work and, if necessary, a work permit issued under the Foreign Nationals (Employment) Act (Wet Arbeid Vreemdelingen), unless they are an EU citizen.

8.1.2 Staff directly recruited in another EU country

Nationals of another EU member state may also be employed by a diplomatic mission or consular post, if they fall under the rules of EU law concerning the free movement of workers. Staff members may be hired directly from another member state, without a prior stay in the Netherlands. In that case, they enjoy all privileges and immunities associated with their position.

8.1.3 Staff directly recruited in a third country

It is also possible to recruit people directly from a third country. They must be in possession of a valid residence permit that entitles them to work. Moreover, the diplomatic mission or consular post must obtain a work permit from the Employee Insurance Agency (UWV). Please note that persons who hold an authorisation for temporary stay but not a work permit cannot be employed.

8.1.4 Questions regarding legal status

Any questions concerning legal aspects of the residence status of a prospective member of staff should be submitted to the Host Country Division of the Protocol Department (DPG/NG) of the Ministry of Foreign Affairs prior to arrival and before an employment contract is drawn up.

8.2     Contracts for Dutch nationals or permanent residents

The employer and employee may opt for a foreign legal system to serve as the basis of an employment contract, but the mandatory provisions of Dutch employment legislation must still be observed. These mandatory provisions should always be respected by both the employer and the employee and were communicated to all diplomatic missions and consular posts by Note Verbale DPG 2018/189, dated 20 March 2018.

Mandatory provisions of Dutch employment legislation include the following:
•    employees must earn at least the minimum wage and must receive 8% of their annual salary as holiday pay, in accordance with Dutch legislation (for the latest update on the minimum wage, please consult the Ministry of Social Affairs and Employment’s pages on the government website: minimum wage amounts; Bedragen minimumloon 2025 | Minimumloon | Rijksoverheid.nl (minimum wage amounts for 2025));
•    amounts for food and lodging may be deducted only in so far as the remaining amount after the deductions is not lower than the minimum wage; Wat staat er in een arbeidsovereenkomst? | Rijksoverheid.nl (what’s in an employment contract?);
•    amounts for food and lodging may not exceed the following amounts: https://download.belastingdienst.nl/belastingdienst/docs/bijlage-nieuwsbrief-loonheffingen-2025-lh2091b51fd.pdf.
•    an employment contract may not be terminated while the employee is sick or pregnant;
•    salaries must be paid in a timely manner;
•    equal treatment of employees: employees must not be treated differently because of their gender, sexual orientation, religion or political beliefs;
•    employees must be given paid leave (a minimum of 20 working days’ leave per year).

8.3     Disputes concerning the implementation of employment contracts* 

If an employee brings a dispute before a Dutch court, the court will first establish whether it has jurisdiction over the dispute. As Dutch courts do not automatically assume the immunity of diplomatic missions and consular posts, the Ministry advises missions and posts to be represented by a lawyer in any court case. If the employer enjoys immunity, it should ensure its presence at any court hearing in order to invoke this immunity. More information for employers about dismissal can be found on the website of the Employee Insurance Agency (UWV), https://www.uwv.nl/en/employers. More information has also been communicated by Notes Verbales DPGMin-BuZa.2023.15286-57 and DPG-BZ2401240.

8.4    Income tax and social insurance contributions

Persons employed at an embassy or consulate are exempt from income tax and social insurance contributions unless they are Dutch nationals or permanently resident in the Netherlands. Individuals who have dual citizenship of which one is Dutch will be regarded as Dutch nationals for the purposes of these exemptions.

Family members forming part of the household of persons enjoying such exemptions are not entitled to any exemptions if they are Dutch nationals or permanently resident in the Netherlands.

Employees who are Dutch nationals or permanently resident in the Netherlands are themselves responsible for paying their share of income tax and national insurance contributions. The diplomatic mission or consular post is not obliged to deduct these at source or remit them to the Tax Administration. The mission or post is, however, expected to pay the charges that are customarily paid by employers in the Netherlands consisting of employee insurance contributions and healthcare insurance contributions.

Each year, employees receive an income tax and national insurance contributions return form from the Tax Administration. A tax assessment will be issued on the basis of the information the employee provides via this form. Employees are themselves responsible for paying the amount stated in the assessment. 

Please note: these employee insurance contributions and healthcare insurance contributions, which an employer is obliged to pay, are not considered to be taxes within the meaning of Article 34 of the VCDR.

The Tax Administration will grant double taxation tax relief on certain income components. This is dependent on the provisions of any conventions that the Netherlands has signed with the sending state to avoid double taxation.

In principle, employees who do not fall under an exemption must pay national insurance contributions in the Netherlands. However, whether an individual actually has to pay such contributions depends on the social security conventions that are in force. Any exemption applies solely to income from employment at a diplomatic mission or consular post. It does not apply to income from employment elsewhere: income tax must be paid on income received from another employer.

For more information about income tax or social insurance contributions please contact Team IFB at Haaglanden.CB_IFB@belastingdienst.nl

 

 

*The prohibitions on termination are listed in the Dutch Civil Code (article 7:670). The Dutch provisions on the continued payment of wages in the event of sickness apply to staff locally engaged at the embassy who become sick. The prohibition on termination in the event of sickness applies for two years. A sick employee is entitled to at least 70% of their pay during this period (art. 7:634 Civil Code).