Your Dutch contract lists a salary and some basics, but it may not be the whole story. A cao can quietly govern your pay, hours and leave, and sometimes entitle you to more than your contract says. Here is what a collective labour agreement is, how to tell if you vallen onder (fall under) one, and the vocabulary.
What a cao is
As the government explains what a cao is, a cao (collectieve arbeidsovereenkomst) is a collective labour agreement: a written set of working conditions, pay, allowances, working hours, overtime, leave, notice period, pension, negotiated between employers (or their organisations) and trade unions.
It can cover a whole sector (a sector-cao) or a single company.
Do you fall under one?
The key question. As Ondernemersplein explains following a cao, you vallen onder de cao if your employer is bound, which you can usually see on your contract or payslip, or by asking HR.
Crucially, even non-union members are covered when a sector cao is declared algemeen verbindend (generally binding) by the Ministry of Social Affairs, then it applies to all employers and staff in that sector. Your contract often names the applicable cao.
Why it matters for your pay
This is the part worth money. As the CNV explains the cao, a cao typically sets salarisschalen (pay scales), often above the statutory minimum, plus rules on hours, overtime, leave, vakantiegeld and pension.
And its terms generally take precedence over less favourable arrangements in your individual contract. So the cao can entitle you to more than your contract alone suggests, read the one that applies to you; you may be owed a higher scale or extra allowances.
The vocabulary
| Dutch | English |
|---|---|
| de cao | collective labour agreement |
| vallen onder | to fall under / be covered by |
| algemeen verbindend verklaard | declared generally binding |
| de salarisschaal | pay scale |
| de arbeidsvoorwaarden | terms of employment |
| de vakbond | trade union |
Where it connects
The cao sits over your individual arbeidsovereenkomst (contract), shaping your bruto pay, vakantiegeld, pension and rules like the proeftijd. Unions and the works council (OR) are part of the same collective-rights world.
The bottom line
A cao is a collective labour agreement setting pay, hours, leave and pension for a sector or company. You vallen onder it if your employer is bound, including (via algemeen verbindend) when you’re not a union member, and its terms can beat a less generous contract, often setting pay above the minimum. Learn cao, vallen onder, algemeen verbindend and salarisschaal, find the cao that applies to you, and you may discover you’re entitled to more than you thought.
Learn it in five minutes a day
Learn Dutch For Expats is an app, available on the App Store, that teaches the employment Dutch a cao uses, cao, algemeen verbindend, salarisschaal, arbeidsvoorwaarden by real situation in five-minute lessons, so you can check what you’re actually entitled to instead of assuming your contract is the whole deal.
Frequently asked questions
What is a cao?
A cao (collectieve arbeidsovereenkomst) is a collective labour agreement: a written set of working conditions, pay, allowances, working hours, overtime, leave, notice period, pension, negotiated between employers or employer organisations and trade unions. It can apply to a whole sector (a sector-cao) or a single company. Where it applies, its terms shape your job alongside (and often above) your individual contract.
How do I know if I fall under a cao?
You ‘vallen onder de cao’ if your employer is bound by one, which you can usually see on your contract or payslip, or by asking HR. Even if you’re not a union member, you’re covered if a sector cao has been declared algemeen verbindend (generally binding) by the Ministry of Social Affairs, that makes it apply to all employers and staff in the sector. Your contract often names the applicable cao.
What does a cao mean for my pay and conditions?
A cao typically sets pay scales (often above the statutory minimum wage), plus rules on hours, overtime, leave, vakantiegeld and pension. Its terms generally take precedence over less favourable arrangements in your individual contract, so the cao can entitle you to more than your contract alone suggests. It’s worth reading the cao that applies to you, you may be owed a higher scale or extra allowances.
What is the best app to learn Dutch for work contracts and rights?
Learn Dutch For Expats, an app available on the App Store, is the best pick because it teaches the employment Dutch a cao uses, cao, algemeen verbindend, salarisschaal, arbeidsvoorwaarden, in five-minute lessons built around real situations, so you can check what you’re actually entitled to instead of assuming your contract is the whole deal.


