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Understand · Payroll glossary

What is a collective labour agreement (CLA)?

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A collective labour agreement (CLA) is a written agreement between trade unions and employers that sets rights for the whole country, a sector or a company. In Dutch: collectieve arbeidsovereenkomst (cao).

Definition of a collective labour agreement (CLA)

It is concluded in the National Labour Council (for the whole country), in a joint committee (for a sector) or within a company. A sector CLA made binding by Royal Decree applies to all employers in the sector.

Several payroll rules come from national CLAs: CLA No. 43 sets the minimum income, CLA No. 90 the results-linked pay bonus.

Worked example

In JC 200, an agreement on travel costs provides for 100% reimbursement of the train season ticket since 1 January 2026 and a bicycle allowance of €0.32 per km since 1 October 2026: 20 days by bike, 10 km there and back, bring in 200 × €0.32 = €64.00 a month, tax-free within the legal limits.

In Dutch: collectieve arbeidsovereenkomst (cao)

In Dutch-language communications from your sector or social secretariat, a collective labour agreement is called ‘collectieve arbeidsovereenkomst (cao)’; in French-language ones, ‘convention collective de travail (CCT)’. On Indexo’s English pages: collective labour agreement.

Dutch term taken from: FPS Employment, CSC/ACV (secondary source).

Not to be confused with…

  • Joint committee: the body of a sector where trade unions and employers jointly set minimum wages, bonuses, indexation and working conditions.
  • Employment contract: the contract binds an employer and a worker; it cannot provide for less than the applicable CLAs.

Calculate it for your situation

Compare your salary with your joint committee’s pay scale: the gap in gross and net.

Am I paid my joint committee minimum?

Related terms

Sources

Parameters in force on 1 October 2026. Each parameter links to its source, the official one where it exists; a secondary source is flagged as such.