Scope of Application of a CAO in Amsterdam
The scope of application of a Collective Labour Agreement (CAO) defines which employers, employees, and sectors in Amsterdam are subject to its provisions. This scope determines whether a CAO is mandatory for your employment situation in the capital. It is essential because a CAO sets minimum standards for wages, working hours, and vacation days—but only if your work falls within the Amsterdam-specific scope of application.
Definition and Explanation of the Scope of Application
A CAO is an agreement between employer organizations and trade unions regarding employment conditions, with particular relevance to Amsterdam’s dynamic labour market. The scope of application precisely outlines who and what is included, varying by sector—such as hospitality in the canal district, healthcare in hospitals, or retail on the Kalverstraat. This scope is defined within the CAO itself, based on criteria like industry, job function, or workplace location in the city. If your employment contract falls within these boundaries, your employer must follow the CAO rules, unless otherwise agreed. In Amsterdam, with its diverse economy, this ensures consistent standards but may also create disputes over ambiguous boundaries—think of freelancers in the creative sector or part-time workers in hospitality. Understanding this helps Amsterdammers know their rights. This article explores the CAO in relation to your employment contract; for more basics, see our piece on CAOs and employment contracts. For local advice, contact the Amsterdam Legal Helpdesk.
Legal Framework
The scope of application of a CAO falls under the Dutch Act on Collective Labour Agreements (WCAO), with direct implications for Amsterdam workplaces. Key articles include:
- Article 1 WCAO: Defines a CAO as a written agreement on employment conditions between employer and employee organizations.
- Article 3 WCAO: Makes the CAO binding for signatories and for employers and employees within the Amsterdam scope of application.
- Article 7 WCAO: Covers the general binding declaration (AVV), which can make a CAO mandatory for an entire industry—including non-members—after ministerial approval, relevant for sectors like Amsterdam’s hospitality industry.
The Dutch Civil Code, Book 7 (BW), particularly Article 7:613 BW, links individual contracts to CAOs if the employer is affiliated with the negotiating organization. The scope of application must be clearly stated in the CAO; if unclear, the Amsterdam District Court can assess it based on intent and local practice.
Practical Examples
Consider a job in Amsterdam’s hospitality sector: the Hospitality CAO covers 'all work in hospitality businesses in the Netherlands, including hotels along the Amstel, restaurants in the Jordaan, and cafés on the Leidseplein.' As a chef in a De Pijp restaurant, you fall under it and benefit from minimum wages and premiums for late shifts.
In construction: the Construction CAO applies to 'employees in civil engineering, road, and water construction, and related professions,' such as renovations in the city. A carpenter on a Zuidas construction site falls under it, but an office administrator at an Amsterdam construction firm may not, depending on the CAO’s specifics. This creates mixed cases in the city’s dynamic construction market.
For freelancers in Amsterdam, it’s more complex. As a freelancer working for a hospitality business, you may fall under the CAO via the 'disguised employment' test (DBA Act), but you are often excluded unless explicitly mentioned. The Municipality of Amsterdam provides information on local freelance rules.
Rights and Obligations
Employees’ Rights
Within the scope of application in Amsterdam, as an employee, you are entitled to:
- Minimum CAO standards, such as salary, vacation days, and pension accrual, tailored to the urban economy.
- Protection against worse contract terms; the CAO takes precedence (Article 7:613(2) BW).
- Access to CAO disputes via the subdistrict court at the Amsterdam District Court.
Employers’ Obligations
Employers in Amsterdam must:
- Apply the CAO to relevant staff.
- Clearly explain how the scope of application applies in contracts.
- Ensure non-members also follow the CAO if an AVV applies.
Employees must respect CAO rules, such as schedules, but can negotiate better terms without falling below the minimum.
Comparison of Scopes of Application
CAOs in Amsterdam have sector-specific scopes. Below is an overview table:
| CAO | Scope of Application | Example in Amsterdam |
|---|---|---|
| Hospitality | All hospitality businesses in the Netherlands | Waiter in a Jordaan café |
| Construction | Construction and infrastructure work | Carpenter on a Zuidas project |
| Healthcare | Hospitals and nursing homes | Nurse at OLVG |
| Retail | Stores and online shops | Cashier on Kalverstraat |
This table highlights industry focus; always consult the latest CAO and check with the Amsterdam Legal Helpdesk for local nuances.
Frequently Asked Questions
Am I covered by the CAO if my employer is not a union member?
Not necessarily. It is binding only if the employer is a member or an AVV applies. Otherwise, general law applies; individual union membership does not directly help. Contact the Amsterdam Legal Helpdesk for personalized advice.
What if the scope of application is unclear?
The Amsterdam District Court can rule based on the CAO text and practice. Consult a lawyer or union; in Amsterdam, local support is available.
Can a CAO’s scope of application change?
Yes, through renegotiation or AVV. Employers must inform Amsterdammers about changes, which may impact city sectors.