• Insights

New Year, new changes to HR rules in the Netherlands

Written by
Bronsgeest Deur Advocaten, leading law firm in the Netherlands specialised in HR and employment law.
Employers in the Netherlands should be aware that in addition to previously announced (expected) legislative changes, the following rules in the HR field have come into effect as of 1 January 2024.

Statutory minimum hourly wage

As of 1 January 2024, a legal minimum hourly wage applies to employees.

For employees aged 21 and older, a single minimum hourly wage applies, regardless of the sector. This currently amounts to EUR 13.27 gross, derived from a full-time employment of 36 hours per week. An employee working more than 36 hours will receive a higher wage rate. For younger employees (those under the age of 21) a minimum youth wage per hour applies.

The minimum wage is revised twice a year (on January 1 and July 1).

Maximum daily pay

As of 1 January, the maximum daily wage rate for purposes of sick leave and other UWV benefits is EUR 274.44 gross, equivalent to EUR 5,969 gross per month.

Statutory transition (severance) payment

In 2024, the maximum statutory transition (severance) pay is EUR 94,000 gross or one annual salary if it exceeds the legal maximum.

State pension (AOW) age

The state pension (AOW) age increases to 67 years in 2024. As it stands, this age remains unchanged until (at least) 2028.

Home working allowance

The tax-free home working allowance has increased to a maximum of EUR 2.35 per day that the employee works from home. This is an optional allowance.

Employment cost scheme

In 2024, the free space in the employment cost scheme is 1.92% of the first EUR 400,000 of the employer’s fiscal wage bill. The free space for the remaining wage bill remains unchanged, at 1.18%.

Travel expense reimbursement

The tax-free travel expense reimbursement has been increased to a maximum of EUR 0.23 per kilometer in 2024.

It has also become easier for employers to provide employees with a public transportation card. Employers do not pay income tax on a public transportation allowance if the employee also uses the subscription (partly) for business purposes (e.g. commuting). Previously, income tax was due if it was found that an employee did not use the public transportation card sufficiently for business purposes. In addition, there are fewer administrative obligations.


On 17 December 2023, the Whistleblower Protection Act went into effect for medium-sized employers (i.e. between 50 and 250 employees). The rules apply to both private and public employers

Parental leave

For the calculation of the allowance during supplementary paternity leave and paid parental leave, a working time of 36 hours per week is assumed as of 1 January 2024.

Maximum remuneration on the Standardization of Top Incomes (‘WNT’)

The maximum remuneration of the WNT has been increased to EUR 233,000 gross for 2024. This maximum applies to top executives in the (semi) public sector.

Modification of 30% tax ruling

The ruling allowing expats to temporarily receive up to 30% of their income tax free is limited to the remuneration maximum of the WNT (see above) as of 1 January 2024. The percentage of tax free income is also gradually reduced:

  • 30% for the first 20 months;
  • 20% for the following 20 months;
  • 10% for the last 20 months.

Pension accrual age

As of 1 January 2024, the entry age for pension accrual has been lowered from 21 years to 18 years due to the implementation of the Future Pensions Act.

Model Agreements of the Dutch Tax Authorities

The Tax Authorities have withdrawn approval for model independent contractor agreements that were based on the principle of ‘free replacement’ as of 1 January 2024. This has consequences for principals and contractors.

Change in mandatory CO2 registration for work-related personal mobility

Contrary to previous reports, the obligation for employers to register the CO2 emissions of employees will begin on 1 July 2024 (instead of 1 January). In the context of this new registration obligation, employers with more than 100 employees must provide the government with data on the commuting and business travel of employees.

For an explanation of which and how data should be registered, visit the website of the Netherlands Enterprise Agency: https://www.rvo.nl/onderwerpen/rapportage-wpm.

Aimée Peterse
Associate - Netherlands
Bronsgeest Deur Advocaten