The composition of a Works Council Netherlands plays a crucial role in representing employee interests within organisations. Comprised of elected employee representatives, the Works Council serves as a bridge between management and the workforce, ensuring that employees’ voices are heard, and their rights are upheld.
Table of Contents
The Goal of the Works Council Netherlands
In the workplace the Works Council Netherlands represents employees’ interests in discussions with the entrepreneur regarding company policies, working conditions, and other relevant employment matters. The entrepreneur will start a consultation process with the Works Council when the company is proposing decisions that affect employees, such as organisational changes, and changes or introduction of new policies related to employment matters.
The purpose is to benefit both the employer and employees, through the representation in the workplace and a having a forum in which constructive feedback can allow the business to progress. The Works Council’s rights and interests in the Netherlands are solely intended to protect employees in the working environment.
Composition of the Works Council Netherlands
The Dutch Works Council is made up of the Chair, Vice Chair, Secretary and Works Council members.
The Works Council may set up any committees which the Works Council may reasonably be deemed to require in order to perform its duties and shall inform the entrepreneur accordingly. Examples of these committees are Health & Safety (Arbo) Committee, People & Performance Committee, Finance & Pension Committee and Diversity, Inclusion & Communication.
Works Council Threshold in the Netherlands
In the Netherlands, companies with staff of at least 50 individuals per business entity are legally required to establish a Works Council. Companies operating in the Netherlands with multiple business entities, each with 50 or more employees, will have to establish a Works Councils per each entity.
For businesses that do not meet the Works Council threshold in the Netherlands, alternative forms of staff representation, such as staff meetings or “personeelsvergadering” in Dutch, are worth exploring. When employing fewer than 50 individuals, staff representation is not legally mandated, although it is highly recommended.
The Number of Works Council Members
The composition of the Dutch Works Council is described in article 6 of the Works Councils Act Netherlands. There is a minimum of 5 and a maximum of 25 members sitting in the Works Council. The number of members is depending on the number of employees in the company:
- with 50 to 100 employees, there shall be 5 Works Council members.
- with 100 to 200 employees, there shall be 7 Works Council members.
- with 200 to 400 employees, there shall be 9 Works Council members.
- with 400 to 600 employees, there shall be 11 Works Council members.
- with 600 to 1000 employees, there shall be 13 Works Council members.
- with 1000 to 2000 employees, there shall be 15 Works Council members.
- and so forth, with an additional 2 members for every further 1,000 employees, up to a maximum of 25 Works Council members.
In the Rules of Procedure [OR-reglement], the Works Council may, with the permission of the entrepreneur, decide upon a different number of members.
