Paid Time Off

Netherlands PTO Compliance: A Guide for Employers

Understanding and managing PTO in the Netherlands is essential to comply with Dutch labor laws and foster a transparent, supportive work environment. Learn how vacation, sick leave, and public holidays are handled, and how to set up fair and compliant PTO policies for your team.

Netherlands PTO Compliance

Understanding PTO Requirements in the Netherlands

Explore the legal basics of paid leave in the Netherlands.

employee records icon
Statutory Vacation Days

Employees working full time are entitled to a minimum of four times the number of days they work per week—usually 20 days per year for those with a five-day workweek. Many employers offer additional non-statutory days, commonly extending the total to 25–30 days annually. Vacation days are meant to be used within six months after the end of the accrual year.

sick leave
Sick Leave Regulations

Employers must continue paying wages for up to two years of medically certified illness. The legal minimum is 70% of the employee’s salary, although many collective labor agreements (CAOs) increase this to 100% for part or all of the first year. Sick leave must be documented and typically managed through an occupational health provider.

time off icon
Public Holidays

The Netherlands observes generally 8–11 public holidays depending on the year. While employers are not legally required to provide paid leave on these days, most do so through contracts or collective agreements. Common holidays include New Year’s Day, King’s Day, Ascension Day, and Christmas.

PTO Carryover Rules

Statutory vacation days expire six months after the end of the year in which they were earned, unless the employee could not take them for a valid reason (e.g. long-term illness). Non-statutory leave may have different expiration terms as outlined in the employment contract.

Netherlands PTO Overview

Key Considerations for Employees and Employers

Dutch labor law sets clear minimums for paid leave while allowing flexibility through collective agreements and company policies. This overview highlights the key responsibilities and entitlements for both employers and employees in the Netherlands.

Employers

  • Ensure employees receive at least 4x their weekly workdays in annual leave
  • Respect carryover expiration (6 months after accrual year ends)
  • Pay 70–100% salary during illness (up to 2 years)
  • Clearly define paid holidays in contracts or collective agreements
  • Track vacation, sick leave, and extra days accurately

Employees

  • Receive at least 20 paid vacation days (based on 5-day week)
  • Unused statutory leave expires 6 months after the accrual year
  • Entitled to paid sick leave for up to 2 years (with medical verification)
  • Benefit from extra days through collective agreements
  • Can take leave for special events (marriage, bereavement, etc.), depending on employer policy

Dutch PTO is governed by national laws and collective agreements. This overview is for general informational purposes only. For specific cases, please consult legal counsel.

PTO Management

Best Practices for Managing PTO in the Netherlands

Take note of these recommendations for smooth and compliant PTO management.

    • ReDesign_Attendance
    • ReDesign_Attendance
    • ReDesign_Attendance

    TRUSTED BY COMPANIES OF ALL SHAPES AND SIZES

    • SSL
    • MCI
    • MoMA
    • OpenStax
    • PlayPass
    • Smartsheet

    attendance tracking

    Why Clear PTO Policies Matter

    While Dutch labor laws provide clear guidelines, having transparent and fair PTO policies within your company is equally important.

    1

    Stay Compliant

    Proper PTO management ensures your company adheres to Dutch labor standards and avoids issues related to expired leave or underpaid sick time.

    2

    Employee Satisfaction

    Employees who understand their time-off rights and feel supported in using them are more satisfied and less likely to burn out.

    3

    Positive Work Culture

    A well-structured PTO system shows your commitment to work-life balance, helping foster a healthy, respectful, and loyal work environment.

    employee attendance

    How TrackingTime Can Help

    Learn more about how we can help you optimize your PTO policies and ensure compliance with Dutch labor laws.

    Effortless Organization

    Say goodbye to messy email chains and manual tracking. With a streamlined PTO management system, you can keep all requests and records in one place, making it easy to approve time off and manage employee schedules efficiently.

    • Quick Approvals – Manage PTO requests fast.
    • Clear Records – Access all time-off data easily.
    • Team Sync – Keep schedules aligned effortlessly.

    Custom Time-Off Policies

    Every company has unique needs, and your PTO policies should reflect that. Customize your time-off rules to match your team’s structure, ensuring fairness and clarity while maintaining flexibility.

    • Flexible Rules – Tailor policies to your team’s needs.
    • Clear Guidelines – Keep everyone informed.
    • Smooth Management – Set rules that work for all.

    Real-Time Transparency

    Give your employees the confidence to plan their time off without uncertainty. By providing real-time access to balances and request statuses, you create a more transparent and trusting workplace.

    • Instant Access – Check balances anytime.
    • Live Updates – Track requests in real time.
    • Boost Trust – Keep everyone informed.

    INTEGRATIONS

    Add Time Tracking to the Apps You Use Every Day

    Sync TrackingTime with the tools your team uses every day to fit their work habits. This way, they can keep track of every minute without switching between apps.

    Check out +50 integrations
    • This app is a lifesaver! With TrackingTime, I can easily set project timelines and track my team's progress. The ability to create detailed timesheets and business reports for clients is a game-changer.

      on nachonacho.com

    • TrackingTime was incredibly convenient to use; its simple design made it accessible to anyone. The features were outstanding and the reports provided invaluable insights into my own productivity.

      on capterra.com

    • TrackingTime keeps my team and projects on track. Saves us hours of headaches and facilitates working remotely. Top notch.

      on nachonacho.com

    testimonials - great reviews

    Trusted by All Kind of Clients

    We believe that our clients' success is our success, and we are committed to doing everything we can to help them achieve their goals. We're proud to assist them with their daily struggles to improve their workdays, and we appreciate their positive feedback.

    time tracking app

    Track Time, Not People

    Simplify
    Attendace Management


    Sign in with Google

    FAQ

    Frequently Asked Questions

    Get answers to all your questions about our service and plans.

    How many paid vacation days are employees entitled to in the Netherlands?

    Dutch law mandates a minimum of 4 times the number of days an employee works per week. For a full-time worker, that’s at least 20 paid vacation days annually, excluding public holidays.

    Is vacation leave mandatory in the Netherlands?

    Yes. Annual paid leave is a statutory right under Dutch labor law. Employers must ensure that employees take at least their minimum vacation within six months of the following year.

    Do public holidays count as vacation days in the Netherlands?

    No. Public holidays are separate from paid vacation. Whether you are entitled to a day off on a public holiday depends on your employment contract or collective agreement.

    What is the statutory vacation accrual rule in the Netherlands?

    Employees earn vacation days based on the hours they work. By law, for every month worked, they accrue approximately 1.67 vacation days, leading to a minimum of 20 days per year for full-time workers.

    Does Dutch labor law apply to remote workers employed in the Netherlands?

    Yes. If a remote worker is employed under a Dutch employment contract, they are covered by Dutch labor law, including statutory paid leave entitlements.

    Can vacation days be carried over in the Netherlands?

    Yes. Vacation days can be carried over but expire 6 months after the end of the year in which they were accrued, unless a longer period is agreed upon in the employment contract or CBA.

    Can unused vacation days be paid out in the Netherlands?

    Vacation days cannot be cashed out unless the employee leaves the company. Upon termination, any unused leave must be compensated financially.

    Do part-time employees get paid leave in the Netherlands?

    Yes. Part-time employees earn vacation proportionate to the number of days they work. A part-timer working three days a week earns 12 statutory vacation days annually.

    Are extra-statutory vacation days common in the Netherlands?

    Yes. Many Dutch employers offer additional leave beyond the statutory minimum as part of employment packages or under collective labor agreements (CAOs).

    What is the holiday allowance in the Netherlands?

    Dutch employees are entitled to a holiday allowance of 8% of their gross salary. It is usually paid in May or June and is separate from vacation days.

    Are employers required to track vacation days in the Netherlands?

    Yes. Employers are legally required to maintain accurate records of vacation accrual and usage for each employee to comply with Dutch labor regulations.

    Can Dutch employers refuse vacation requests?

    Employers may only refuse a vacation request if there is a serious operational reason, and the employee must be informed in writing within two weeks of the request.

    What happens to vacation leave during illness in the Netherlands?

    Sick employees continue to accrue vacation days while on medical leave. They are also allowed to use vacation while ill, provided both parties agree.

    Do Dutch companies need to include leave policies in employment contracts?

    Yes. Dutch employment contracts or collective agreements should specify the number of vacation days, holiday allowance details, and any additional leave entitlements.

    Is it legal to have a “use-it-or-lose-it” policy in the Netherlands?

    Yes. Statutory vacation days expire after 6 months unless otherwise agreed. Employers must inform employees of the expiration in advance to enforce the policy legally.