11 tips if you get a visit from the labor inspectorate

The hospitality industry is a sector with major labor risks. That's why the Social Affairs and Employment Inspectorate (SZW) pays extra attention to the industry. 11 tips for getting through an inspector's visit unscathed.

The inspector of the Inspectorate SZW is authorized to enter any workplace. Taking objects for further investigation is also permitted. The inspector must be able to identify himself. The employer has the right to ask for proof of identity when an inspector is at the door. Thus, for some forms of investigation, for example, a consent order from the examining magistrate is first required to be able to execute certain powers.

Hospitality industry labor inspection: what are they watching for?

In the hospitality industry, the Inspectorate SZW pays particular attention to the following risks: violation of working and rest periods, especially among young people, labor exploitation, underpayment and illegal employment. Employers and employees are obliged to provide an inspector with all requested information and intelligence. In far from all cases it is possible to hand over all information immediately. It is customary to ask for a period of time in which to provide the information. If you fail to comply with the request for information within that period, the inspector may draw consequences by imposing a fine.

You always receive written confirmation of the sanction and you are informed of the measures you need to take. The inspector randomly checks in a subsequent inspection whether you have taken the measures. If not, the inspector will impose new, more severe sanctions. You can appeal a decision of the Inspectorate SZW. That appeal is lodged with the Minister of Social Affairs and Employment.

Here's what you can do to get ahead of fines

Before you face a visit from the Inspectorate SZW, you can already take action. On its website www.zelfinspectie.nl, the Inspectorate SZW lists common situations in the hospitality industry. Using a checklist, you can check whether the cleaning company you hire is complying with the rules. People from outside the EU must have a work permit Both the cleaning company and the hirer, the hospitality company, must check this. If it is violated, both will be fined. On the website you can also check whether your occupational health and safety policy is in order, how to deal with hazardous substances, how to prevent accidents and what rules you must comply with against undesirable behavior.

What fines are imposed?

Recently, some hotels and restaurants in Amsterdam received tons of fines. They involved illegal labor, undeclared work, underpayment, benefit fraud and violation of the Working Hours Act. The inspector can impose the following penalties:

• Making an agreement on lifting the violation
• An official warning. (For minor, administrative violations)
• Making a demand for compliance with the law. A demand specifies in writing what legal provision has been violated plus a time limit within which it must be remedied.
• Notification of an administrative fine. The inspector makes a fine report immediately if there is a serious violation or if an inspection reveals that a previous violation has not been removed. The fine ranges from several thousand to tens of thousands of euros.
• Issuing an order to stop work immediately. In cases of serious danger, the inspector may order the work to stop, or prohibit work from starting.
• An official report. The inspector, as an investigating officer, may issue an official report when criminal offenses are found. This is done for criminal offenses (very serious offenses or accidents resulting in permanent injury or death) and multiple repeat offenses. It is handled by the Public Prosecutor's Office.
• Notification of a penalty payment. This must involve unwillingness on the part of the employer. Every period within which such an obligation (order) is not fulfilled, a penalty is forfeited.

11 tips if you get a visit from the labor inspectorate

Tip 1. Ask about the reason for the visit and also ask about any authorizations or claims regarding the visit.

Tip 2. Don't answer questions unless you know 100% that it is the right answer. When in the slightest doubt say, "I'm not sure, can I come back to that question?

Tip 3. Provide only information that is requested.

Tip 4. Make sure you store and pass along sensitive information in separate and preferably encrypted compartments to best protect employee and customer privacy.

Tip 5. Contact an advisor/lawyer if belongings are seized, sanctions threatened or other measures imposed. That way you can object or take other action in time.

Tip 6. Designate someone within the organization to be called in when an inspector visits to speak to the inspector and manage the visit.

Tip 7. Make your own notes of what happens or is said during the investigation. If there is wrongdoing or a violation, sometimes the inspector will immediately point out what things need to be improved. Writing down those comments will help you get started right away.

Tip 8. At the end of the visit, ask at what time a written confirmation can be expected and what, in broad terms, the content and possible sanctions will be and what follow-up steps the inspector expects, so that you can anticipate them in advance.

Tip 9. Take into account short deadlines to file views, objections, ask the court for an opinion et cetera after receiving written reports or sanctions imposed.

Tip 10. Make sure that important documents such as a workplace accident record, sick leave policy, risk inventory and evaluation are in a fixed location so that you can access these documents immediately when requested.

Tip 11. The Works Council has a so-called right to be accompanied during a visit by the Inspectorate SZW. Agree which of the Works Council members wants to assume the role of point of contact and fulfill the right to be accompanied when an inspector visits.