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What is a Permanent Contract Agreement

What is a permanent job contract? and how you write an employment agreement contract for a permanent employee? this article guides you by an example.
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What is a permanent job agreement?

A permanent job agreement continues until the employee or employer terminates it. A permanent contract is also referred to as an indefinite contract.

Permanent contract example

1- Employer details
Name: [Company Name]
Address: [Location address]
[Postcode and city]

The employer is represented by:

Name: [Initials and surname]
Hereinafter referred to as the employer.

2- Employee data
Name: [Initials and surname]
Address: [Living address]
[Postcode and city]
Date of birth: [Date of birth]
Citizen service number: [BSN number]

Hereinafter referred to as the employee.


Employer and employee agree the following:

3- Employment contract details
The employee enters into employment with the employer on [date] on the basis of an employment contract for an indefinite period in the position of [job title].
Choose one of the following options:

- No collective labor agreement (CAO) applies to the employment contract.

- The collective labor agreement (collective agreement) [name collective agreement] applies to the employment contract. The employee receives a copy of the collective agreement upon commencement of employment.

4- Trial period
Choose one of the following options:

- There is no probationary period.

- There is a probationary period of [description duration probationary period, a maximum of two months], counting from the moment of employment. The employer or employee can immediately terminate the employment contract during the probationary period.

5- Working hours and location of work
The employee works [full-time / part-time] for [aantal] hours a week. The employee works [description working days / working hours per day / per week]. The work is usually carried out [description where work is being done].

6- Wages and holiday allowance
The wage is $ [gross wage amount] gross per [wage period]. The wage is paid out before the end of the wage payment period. The holiday allowance amounts to 8% of the gross annual salary. This is accrued in proportion to the duration of the employment contract in the period from 1 June up to and including 31 May. The holiday allowance is paid in the month of June. The employer provides a wage specification (pay slip) for each wage payment period.

7- Vacation days
Choose one of the following options:

- Employee is entitled to [aantal] vacation days with pay per year. These are accrued in proportion to the duration and scope of the employment contract.

Employee is entitled to [aantal] vacation hours with pay per year. These are accrued in proportion to the duration and scope of the employment contract.

8- Pension
Choose one of the following options:

- There is no mandatory pension scheme.

- Employee falls under the mandatory pension scheme of [name of pension scheme]. The employer informs the employee about the content and conditions for joining the pension.

- Employer and employee agree on a voluntary pension scheme. This includes [description of pension agreements].

9- Termination of employment contract
The employee can terminate the employment contract with due observance of a notice period of one month. The employer may terminate the employment contract with due observance of a notice period of one month. If the employment contract lasts five years or longer, the employer will observe the longer statutory notice period. The cancellation takes place at the end of the month.

10- Confidentiality
The employee is obliged to maintain the confidentiality of all data about the company, business operations and customers of the employer that he knows or can reasonably suspect is confidential. This obligation also applies after termination of the employment contract.

11- Other agreements
You can record the other agreements here. You can think of:

- Travel allowance
- Expense allowance
- Provision of mobile phone, notebook and other assets
- Lease car
- Competition clause
- Relationship clause
- Education, courses, etc. to be followed
- Method of reporting sick and inspection requirements
- Collective insurance
- Contribution to the health insurance premium


12- Signing

This employment contract is drawn up in duplicate.

City: [City Name] City: [City Name]
Date: [Date of signature] Date: [Date of signature]

Employer's signature Employee's signature
See also: Components of the Job Agreement Letter

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