Introduction
On Jan. 1, 2024, the legal minimum hourly wage wasintroduced in the Netherlands. This ended the system where the minimum wage was calculated on a monthly basis, depending on the length of the work week. This change to the minimum hourly wage ensures more equality between workers with different contract hours. This blog explains exactly what has changed, what the current minimum hourly wage amounts to, and the implications for employers and employees.
From minimum monthly wage to minimum hourly wage
Until 2023, a legal minimum wage applied in the Netherlands on a monthly basis. The hourly wage thereby depended on the number of hours an employee worked per week. Someone who worked 36 hours received more per hour than someone who worked 38 or 40 hours per week, while the monthly wage was the same.
As of 2024, this disparity was eliminated. Since then, one fixed gross minimum hourly rate applies, regardless of the number of hours in the work week. This means that employees who work 40 hours per week, for example, are no longer disadvantaged compared to colleagues with shorter work weeks.
What is the minimum hourly wage in 2024?
For workers age 21 and older, the statutory minimum hourly wage as of Jan. 1, 2024:
- €13.27 gross per hour
Lower amounts apply to younger workers, based on fixed percentages of the adult minimum wage. The exact amounts depend on age and are reset every six months.
For employees with longer work weeks, this change works out positively. Someone who previously earned €11.51 per hour on a 40-hour workweek will now receive €13.27. This amounts to a wage increase of over 15%, a substantial improvement in the income position.
Impact on employers
Employers must carefully review and adjust their payroll records since the introduction of the minimum hourly wage. Payment below the legal minimum is not allowed. If they do, they run the risk of:
- Post recoveries and back payments
- Fines from the Netherlands Labor Inspectorate
- Liability in wage claims
Thus, employers should be alert to collective bargaining agreements, contract hours and proper application of the minimum wage in new and existing employment contracts.
What do employees need to know?
Employees do well to critically examine their paychecks. Does the number of hours worked match the amount paid? Is the minimum hourly wage correctly applied? Especially in industries with a lot of part-time or flexible employment, it is important to understand entitlements based on the minimum wage.
On-call workers and workers with varying hours are also entitled to the fixed minimum hourly wage since 2024, regardless of their schedule. If this is not applied correctly, an employee can claim back pay.
Conclusion
The new minimum hourly wage ensures fairer pay between workers with different work weeks. Employers should adjust their wage policies accordingly, while employees should be alert to correct payment. The introduction of the minimum hourly wage is an important step towards more transparent and equal employment conditions policies in the Netherlands.
This blog was written by mr. Stijn Blom, employment lawyer at Arbeidsadvocaat.nl B.V. Stijn has extensive experience in employment law and supports entrepreneurs and employees on a daily basis with a variety of employment law issues. From dismissal cases to drafting watertight contracts and regulations - with his practical and personal approach, he helps employers and employees move forward. Want to know more? Visit Stijn's page.
Arbeidsadvocaat.nl is happy to think with you if you have questions about minimum hourly wages. Please feel free to contact us .
April 2025
