Cases of underpayment, inaccurate timekeeping, and lack of insurance coverage for workers have been discovered following a recent re-inspection of a Romanian employment agency and the Dutch agricultural companies using their services in the southern Netherlands, according to preliminary findings from the Dutch Labor Inspectorate.
The inspection was carried out in tandem with the Social Insurance Bank, taking place simultaneously in both the Netherlands and Romania as part of a cross-border enforcement initiative that includes the Dutch Tax Authority and the UWV (Employee Insurance Agency).
At the Dutch worksites, Romanian temporary workers were interviewed regarding their work hours, wages, and overall employment conditions. Dutch client companies (employers) were required to submit administrative records and time logs.
Meanwhile, inspectors in Romania reviewed the employment agency’s operations to ensure compliance with regulatory standards. The European Labour Authority (ELA) supported this international investigation, facilitating the collaboration with the Romanian labor inspectorate.
In Romania, inspectors checked to ensure that Romanian workers being posted to the Netherlands were being deployed in line with the WagwEU law (Dutch law on labor conditions for posted workers in the European Union).
Findings revealed that the Romanian employment agency had incorrectly registered with the Romanian Chamber of Commerce, allowing it to bypass the licensing requirements for employment agencies in Romania. As a result, the agency does not hold the necessary permit, meaning it was not authorized to conduct employment activities in Romania in the past and will not be allowed to operate in this capacity in the future.
During the Dutch inspection, officials located 20 temporary workers on-site, though records show that over 50 Romanian temporary workers are employed by the agency. It also appears that required social insurance contributions are not being correctly paid for the workers stationed in the Netherlands. This could impact the collection and allocation of social insurance contributions by the Dutch Tax Authority and the registration of employment relations within the UWV’s Polis Administration.
The investigation will continue in cooperation between Dutch and Romanian authorities, and any necessary measures will be taken against the employment agency and the Dutch client companies involved.
source: Dutch Labor Inspectorate
image: copy rights free pixabay Ben Kerckx
