When it comes to employing third-country nationals (TCNs) in Netherlands, many European employers assume that securing an EU work and residence permit is enough. On paper, it may look like everything is covered: the employee is legally allowed to work, the company is compliant and the risks are managed. But in reality, this creates a situation of false security.

Behind this façade, employers may unintentionally be violating Dutch law, exposing themselves to fines, operational delays and reputational damage. Worse still, it creates an unequal playing field between businesses that follow the rules and those that don’t.

The 90-Day rule: A hidden compliance gap

Under EU rules, employees with a valid work and residence permit issued in another member state can be posted to Netherlands. This authorization grants the right to work, but it does not automatically grant the right to reside.

Dutch law imposes an additional requirement: once a TCN stays in Netherlands for longer than 90 days, they need a Dutch residence permit. This rule is clear, but in practice, it is often overlooked. Many employers assume the EU permit is sufficient and fail to arrange the Dutch residence permit until problems arise.

This gap between EU and Dutch requirements creates uncertainty. Employees may be lawfully working, but unlawfully residing which may result in a legal contradiction with very real consequences.

Consequences of overlooking residence rules

Employers who rely solely on EU permits run several risks:

Fines and penalties from Dutch authorities.
Interrupted projects, as employees may be forced to leave Netherlands despite valid EU work authorization.
Reputational damage, especially as compliance issues become more visible in the media.
Unfair competition, as some companies cut corners while others invest in compliance.

This is where the concept of false security becomes dangerous. A company may believe it is fully compliant, but in fact, it is building its operations on fragile legal ground.

An unequal playing field

The impact goes beyond individual companies. When some employers fail to arrange Dutch residence permits while others strictly comply, the result is an unequal playing field.

Compliant companies carry higher costs and administrative burdens.
Non-compliant companies may gain a short-term advantage by ignoring the rules.

This undermines fair competition and damages trust in cross-border labor markets. It also creates uncertainty for employees, who risk being caught in the middle of legal disputes.

A changing policy environment

The Dutch government has already announced its intention to tighten oversight of posted workers and address loopholes in the current system. Stricter enforcement is expected, making it even riskier for employers to rely on incomplete compliance.

Employers who act proactively will not only avoid penalties but also strengthen their reputation as reliable, responsible partners in international employment.

How CIS helps employers stay ahead

At CIS, we help companies move beyond false security by ensuring full compliance with Dutch residence law. While your EU permits cover the right to work, we handle the Dutch residence permits required for employees staying longer than 90 days.

Our fully digital, automated platform streamlines the process from start to finish: collecting documents, filing applications with the IND and tracking approvals. This ensures that nothing slips through the cracks: no missed deadlines, no surprises and no unnecessary risks.

By partnering with CIS, you gain more than compliance. You gain:

Peace of mind, knowing your workforce is secure.
Operational continuity, without project delays.
A level playing field, where your company competes fairly and confidently.

Final thought

False security is no security at all. In today’s environment of stricter oversight and rising compliance expectations, overlooking residence permits is no longer an option.

CIS helps employers eliminate uncertainty, reduce risks and focus on what truly matters: running their business.

Discover how we can simplify compliance for your company.