Why residence and work permits are not the same

Why residence and work permits are not the same

When companies post employees across borders, immigration compliance is often seen as a single, unified process. You obtain a work permit and everything else is covered, right? In reality, the situation is far more complex. In Netherlands, the right to work and the right to reside are governed by separate legal frameworks. For Third-Country Nationals (TCNs), this distinction is critical and overlooking it can expose employers to serious risks.

Work permits vs. residence permits

A work permit (or an EU-issued work and residence permit) determines whether an employee is legally allowed to perform services in a member state. It is typically managed under EU regulations for freedom to provide services or national labor market rules.

A residence permit, on the other hand, regulates whether that same employee is legally allowed to stay in Netherlands for longer than 90 days. Even if the right to work is valid under EU law, Dutch immigration law imposes an additional requirement: a Dutch residence permit for anyone staying beyond the initial 90-day window.

Why the distinction matters

This difference may appear subtle, but its impact is anything but. Employers who focus solely on the EU work permit often overlook the residence requirement until it’s too late. Consequences include:

  • Employees being forced to leave Netherlands despite valid work authorization.
  • Potential fines or penalties for the employer.
  • Project disruption, as valuable staff are no longer available.
  • Reputational risks with clients and authorities.

The challenge is that residence and work authorizations are managed by different frameworks, making it easy for one to slip through the cracks.

How CIS closes the gap

At CIS, we specialize in ensuring compliance with Dutch residence law. While your company arranges the EU work and residence permits, we take care of the Dutch residence permits required after 90 days.

Our fully digital platform manages the entire process: collecting documents, communicating with the IND (Dutch Immigration and Naturalisation Service) and submitting applications accurately and on time. The result: your employees can continue their assignments without interruption and your business avoids unnecessary legal and operational risks.

Final thought

Compliance in cross-border employment is not just about the right to work. Without the right to reside, your employees and your projects remain vulnerable.

CIS helps employers bridge this critical gap, ensuring that Third-Country Nationals (TCNs) remain both authorized to work and legally allowed to stay in Netherlands.

Curious how this applies to your workforce? Reach out to us.

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