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In this newsletter we will inform you of relevant recent and future legislative changes with respect to the following subjects:
1. Indexation daily salary, minimum wages and transitional compensation 
2. Amendment Minimum wage Act: broader scope
3. Indexation income criteria highly skilled migrant
4. Increase state pension and pension age

5. Coalition agreement: keep you posted
6. Privacy: final sprint until GDPR enters into effect



           
1. Indexation daily wage, minimum wage and transitional compensation
Effective 1 January 2018:
1. the maximum daily wage is € 209.26 gross;
2. the gross minimum wage is €1,578 gross per month for employees who are 22 years and older*; and
3. the maximum transitional compensation is € 79,000 gross.
*Effective 1 July 2017 the minimum wage applies effective 22 years. In 2019 this will be 21 years. 






              
2. Amendment Minimum wage Act: broader scope
Effective 1 January 2018, the Dutch Minimum wage and minimum vacation allowance Act has been tightened: 
extra work against wage: with respect to the extra hours, the employees who work above the agreed working hours, the employer must - on average - pay out the minimum wage over those worked hours;
- holiday allowance with respect to overtime: as of 2018 an employee is not only entitled to minimum wage, but also holiday allowance over his overtime compensation; and
- minimum wage for contractors: effective 1 January 2018 the minimum wage for workers who work on the basis of an agreement against remuneration, also if they do not have an employment agreement. For example, if they work on the basis of an agreement for the provision of services. The minimum wage does not apply for self-employed entrepreneur, i.e. persons who work on the basis of an agreement practicing a profession or company. 

             
3. Income criteria highly skilled migrant
Effective 1 January 2018, the income criteria (excluding 8% holiday allowance) for highly skilled migrants will be as follows:
1. 30 years or older: € 4,404
2. 29 years or younger: € 3,229
3. year for a highly skilled migrant to find a job: € 2,314
4. EU Blue Card: € 5,160
              
4. Increase state pension and standard retirement age
The state pension age is 66 years as of 1 January 2018. 

The (tax) standard retirement age has been increased from 67 to 68 years.

           
               
5. Coalition agreement: keep you posted
In the coalition agreement* the new government has indicated that it intends to make a few proposals for important legislative changes. These proposals have as of yet not been crystallized, this can changed in 2018. Naturally, we will keep you posted of the developments.
*Click here for our newsletter with respect to the coalition agreement. 

        
               
6. Privacy: final sprint until GDPR enters into effect
As of 25 May 2018 the General Data Protection Regulation will enter into effect and there will be one European Privacy act in the EU. The new rules will therefore also have consequences for employers in the Netherlands. In certain cases you can for example be obliged to appoint a Data Protection Office. A breach of the GDPR obligations, such as the right of the employee to be forgotten, can lead to a high penalty (max. € 20 million or 4% of the worldwide turnover). We will provide regular GDPR updates and seminars on our website.   
                      
More information
If you wish to receive more information with respect to this subject, you can contact with Martine Hoogendoorn (m.hoogendoorn@denklaw.nl) or Rachid Aolad (r.aoladsi@denklaw.nl).
Copyright © 2017 Doorn en Keizer B.V. All rights reserved.

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DISCLAIMER
This text has been drafted with the utmost care, but no rights can be derived from its contents. 
The author accepts no liability for any omissions or inaccuracies in the text and the possible adverse/negative effects thereof.






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Employment Law · Piet Heinkade 55 · 1019 GM · Amsterdam, Noord Holland 1019 GM · Netherlands

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