Enforcement and Sanctions for Non-Compliance with Minimum Wage Regulations in Utrecht

The Inspectorate SZW strictly enforces compliance with the minimum wage in Utrecht, including end-of-year bonuses. Violations result in fines ranging from €2,000 to €12,000 per employee, which are doubled in cases of recidivism (Obstruction Act). Priority is given to vulnerable sectors such as hospitality, cleaning, and retail in Utrecht’s city center and areas around Utrecht Central Station. In 2023, 450 fines were imposed in the Utrecht region, totaling €2.5 million in sanctions. Businesses in Utrecht’s shopping streets, such as Hoogstraat or Oudegracht, initially receive a warning, followed by an on-the-spot inspection. Employees can report violations anonymously via the national hotline or locally at the Utrecht UWV office. The Public Prosecution Service pursues criminal prosecution in cases of intent, with recent cases involving Utrecht snack bars. Administrative procedures take an average of 6 months; appeals can be lodged with the CBb. Example: A Utrecht hospitality chain paid €300,000 following underpayment of seasonal workers. Advice: Conduct internal audits and train payroll administrators, particularly for flexible workers in the Domstad. Digitalization via eHerkenning simplifies reporting to the Municipality of Utrecht. For international employees from VSNU universities or expat communities, regulations from the False Self-Employment Act apply. UWV Utrecht reclaims back pay within 5 years. Trends: The Inspectorate SZW is using AI tools for wage control in the region. Entrepreneurs: Invest in compliance to prevent reputational damage in Utrecht. Legal assistance is recommended via FNV Utrecht or VNO-NCW Midden.