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What are general terms and conditions for temporary employment agencies and secondment? They are the standard conditions under which a temporary employment or secondment agency makes personnel available to a hirer (the client). They regulate the core of the triangular relationship — agency, worker, and hirer — with agreements regarding rates, invoicing, liability, the non-limitation clause, and the obligations arising from the Dutch Labour Allocation by Intermediaries Act (WAADI). Without these conditions, you fall back on the statutory standard regime, which often turns out to be less favorable for the agency.
The short answer
- Function: to determine under which conditions the agency makes workers available to the hirer.
- Triangle: not an ordinary supplier-client relationship, but an agency, temporary worker, and hirer, each with their own rights and obligations.
- WAADI: mandates the wage parity standard (borrower remuneration) and prohibits impediments to employment.
- Liability: the agency wants to place the liability for the temporary worker's errors precisely with the hirer.
- Invoicing: hours, rates, markup, and payment terms are a core component.
What exactly are the general terms and conditions for employment agencies and secondment?
In the case of secondment and temporary staffing, a triangle is formed. There is an employment contract (or temporary staffing contract) between the agency and the worker, and there is a provision of services agreement between the agency and the hirer. The general terms and conditions belong to this second track: they determine what the hirer may expect and what he owes.
The difference between secondment and temporary staffing lies primarily in duration and commitment. Secondment usually involves shorter, flexible deployment; temporary staffing is generally longer-term and project-based. Legally, both fall under the Provision of Labour and the WAADI. Therefore, the same set of conditions can often cover both, provided they are tailored to the longer-term temporary staffing assignment.
The temporary employment contract and the temporary employment clause
The temporary employment contract is the employment relationship between the agency and the temporary worker (Art. 7:690 BW). A characteristic feature is the temporary employment clause: in phase A (or phases 1-2 under the ABU/NBBU collective labour agreement), the agreement automatically terminates as soon as the hirer ends the assignment. This makes temporary employment flexible, but binds the agency to the collective labour agreement phase system.
The general terms and conditions towards the hirer do not regulate this track themselves, but refer to it: the agency must be able to pass on the obligations imposed by the collective labor agreement and the law. Examples include notice periods for the assignment, the consequences of early termination, and continued payment during illness.
WAADI and the borrower's remuneration
The WAADI is the legal framework. Two components have the strongest impact on the conditions:
- Wage parity standard (borrower's remuneration). In principle, the temporary worker is entitled to the same remuneration as a permanent employee of the borrower in an equivalent position: wages, allowances, periodic increments, and expense reimbursements. The agency must therefore request this information from the borrower. The terms and conditions usually require the borrower to provide this information in a timely and accurate manner, with an indemnity in the event of failure to do so.
- Prohibition of obstruction (Art. 9a WAADI). The agency may not prevent the temporary worker from entering into employment with the client after the assignment ends. A penalty clause that unconditionally prohibits takeover is void; a reasonable takeover fee is, however, permitted.
Takeover and the non-compete clause
Clients sometimes wish to hire qualified workers directly. The agency may not prohibit this, but may stipulate a reasonable fee for recruitment and training costs. Therefore, the terms and conditions often include a takeover clause: the fee decreases as the temporary worker has worked through the agency for a longer period, and it lapses after a certain period (for example, 1,040 hours worked under the collective labour agreement). A fee that is too high or unlimited conflicts with Article 9a of the WAADI and is therefore unenforceable.
Liability and invoicing
For the agency, these are the most commercially important provisions:
- Liability of the temporary worker. The temporary worker works under the direction and supervision of the hirer. The terms and conditions therefore place liability for damage caused by the worker during work with the hirer, and exclude that of the agency as much as possible.
- Duty of care and Health & Safety. The hirer is responsible for a safe workplace (Article 7:658 of the Dutch Civil Code has an effect). This cannot be fully contracted away, but it can be mirrored with an indemnity.
- Invoicing. Hourly rate, markup factor, hours worked via timekeeping, payment term, statutory commercial interest, and collection costs for late payment.
- Chain liability. With regard to payroll taxes and VAT, the hirer may be jointly liable; a G-account clause is part of this.
Practical example. A technical staffing agency places a mechanic with an installation company. The mechanic damages a machine. Because the terms and conditions place liability with the hirer, and the hirer worked under their supervision, the installation company bears the cost of the damage—not the agency.
Honest recommendation
General terms and conditions for temporary staffing and secondment are not a formality: they determine who is liable for damages, whether your takeover fee holds up, and whether your invoices are enforceable. Because WAADI provisions such as the non-compete clause and the hirer's remuneration are mandatory law, an incorrectly formulated clause is not merely awkward but outright void.
When do you *not* need a lawyer? If you are undertaking a short-term, occasional temporary staffing assignment and your agency already operates under the ABU or NBBU collective labour agreement with the associated standard terms and conditions, you can usually simply use those. As soon as you engage in structural secondment, work with your own rates and takeover agreements, or hire internationally, a legal review pays off. For a set tailored to your agency: general terms and conditions for temporary staffing agencies and secondment. More background: drafting and having terms and conditions drafted.
Frequently Asked Questions
These are the standard terms and conditions under which a temporary employment or secondment agency makes workers available to a hirer. They regulate rates, invoicing, liability, transfer, and WAADI obligations (borrower remuneration and non-compete clause) within the triangle of agency, worker, and hirer.
Both constitute the provision of labour under the WAADI. Temporary agency work is generally shorter and more flexible, often involving an agency clause and a phased system. Secondment is usually longer-term and project-based, with a more permanent employment relationship. The same conditions can cover both if they are tailored to the longer duration of the assignment.
Based on the parity standard in the WAADI, the temporary agency worker is in principle entitled to the same remuneration as a permanent employee of the hiring company in an equivalent position: wages, allowances, periodic increments, and expense reimbursements. The agency must request this information from the hiring company; the terms and conditions usually stipulate an obligation to provide information and an indemnification regarding this.
A reasonable reimbursement for recruitment and training costs is permitted. A prohibition on employment or an unreasonably high fine is contrary to the prohibition on hindering employment (Art. 9a WAADI) and is therefore void. Often, the reimbursement decreases the longer the worker has worked through the agency and lapses after a certain number of hours worked.
The temporary worker works under the direction and supervision of the hirer. The terms and conditions therefore place liability for damage caused by the worker with the hirer and exclude that of the agency. The occupational health and safety duty of care for a safe workplace remains with the hirer and cannot be fully contracted away.
The hourly rate, the markup factor, the accounting of hours worked, the payment term, and the consequences of late payment (statutory commercial interest and collection costs). It often also includes a G-account or chain liability clause for payroll taxes and VAT.
Conditions themselves are not mandatory, but in the absence of specific conditions, the statutory standard regime applies, which is often less favorable to the agency. Provisions that conflict with mandatory law under the WAADI, such as the prohibition on hindering employment and the remuneration for hirers, are void, even if they are included in the conditions.
