Working via an Employment Agency: How Phase A, B and C Contracts Work

If you work in the Netherlands through an employment agency, like Level One Uitzendbureau, you don’t start with a permanent contract right away. Instead, the law uses a phase system. This system is designed to give you flexibility at the beginning, and more security the longer you work.

There are three phases: Phase A, Phase B and Phase C.
Below we explain in simple language what each phase means, which contract you get, and what this means for your income and security.

  • Please note: progression through the phases and the continuation of employment are always dependent on factors such as the availability of work, demand from clients, business circumstances and the employee’s performance.

Phase A – Starting Phase (with agency clause)

When are you in Phase A?

You start in Phase A when you begin working via an employment agency.
This phase lasts for a maximum of 52 worked weeks.

What kind of contract do you have?

  • Often an on-call contract (zero-hours contract)
  • The contract includes an agency clause (uitzendbeding)

What does the agency clause mean?

If there is temporarily no work at the client company, the contract can end immediately.
This gives flexibility in the start of your employment, especially when work depends on seasonal or changing demand.

Important to know about Phase A

During Phase A:

  • There is no guarantee of a minimum number of working hours
  • Work availability depends on client demand and operational needs
  • Assignments may start and end at short notice

What are the benefits in Phase A?

  • ✅ You can start working quickly in the Netherlands
  • ✅ You gain work experience and income
  • ✅ You begin building pension (according to ABU rules)

Phase A is about getting started and finding a good match between you, the job and the company.

 Phase B – More Stability and Security

When do you move to Phase B?

After completing 52 worked weeks in Phase A, you may move to Phase B.
Continuation into Phase B depends on the availability of work, business circumstances and satisfactory performance.

What changes in Phase B?

  • ❌ No agency clause anymore
  • ✅ You receive fixed-term contracts
  • ✅ More job security

You can receive:

  • A maximum of 6 fixed-term contracts
  • Over a period of up to 3 years

What does this mean for you?

In Phase B, contracts have a fixed duration. This means your employment does not end immediately if work temporarily decreases. However, contract renewal and continuation remain dependent on operational and organizational factors.

Benefits of Phase B:

  • ✅ More financial security
  • ✅ Clear contract periods
  • ✅ Stronger position as an employee
  • ✅ Continued pension build-up

Phase B is meant to give you stability, while still keeping some flexibility.

 Phase C – Permanent Contract

When do you reach Phase C?

If Phase B is completed (by reaching the maximum number of contracts or maximum duration), and if work and organizational circumstances allow, you may enter Phase C.

What does Phase C mean?

  • An open-ended (permanent) contract with the employment agency
  • ✅ No end date
  • ✅ The highest level of employment continuity within the phase system

Benefits of Phase C:

  • ✅ Long-term income security
  • ✅ Strong position with banks, landlords and authorities
  • ✅ Full employee protection under Dutch labour law
  • ✅ Continued pension and employment benefits

Phase C means you have a permanent contract with the agency. This offers the most stability, but work availability can still depend on business and economic conditions.

Why Does This Phase System Exist?

The phase system exists to:

  • Give people quick access to work
  • Allow agencies and companies flexibility at the start
  • Reward long-term commitment with more rights and security

In general, the longer you work via the same agency, the stronger your employment position can become — provided that work remains available and expectations on both sides are met.

Important to Know: Gaps Between Jobs

How does it work now? (2026)

In 2026, the current rules still apply:

  • If you do not work via the same employment agency for more than 6 months, you restart again in Phase A.
  • Short breaks of less than 6 months do not reset your phase.

This means that longer breaks can still affect your contract phase.

What will change from 2027?

From 1 January 2027, the rules become much more favorable:

  • The gap period will be extended to 5 years (60 months).
  • You will only restart in Phase A if you have not worked via the same agency for more than 5 years.

In short:
From 2027 onward, short or medium breaks will no longer push you back to Phase A, giving you much more continuity and job security.

In Summary

✔ Phase A: Start working, flexible, first experience
✔ Phase B: Temporary contracts, more certainty
✔ Phase C: Permanent contract, maximum security

Each step forward means more protection, more stability and better future opportunities.

We Are Here to Support You

Working in another country comes with many questions. At Level One Uitzendbureau, we believe it is important that you always understand:

  • What contract you have
  • What phase you are in
  • What this means for your income, rights and future

If you have questions about your contract or phase, please contact your coordinator. We are happy to explain everything personally, in a way that feels clear and comfortable for you.

Together, we help you build a secure future while working in the Netherlands.

Disclaimer
This blog is intended to provide general information about working through an employment agency in the Netherlands. No rights can be derived from this text. Your individual employment contract and the applicable collective labour agreement (CAO) are always leading. Rights, obligations and contract phases may differ based on personal circumstances and applicable regulations.