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Welcome to our quarterly employment update. This update contains a selection of the most important employment law developments in the Netherlands, with respect to:
Laws and regulations
Case law
Other developments
1. Legislation
Fall of the Schoof Cabinet
Since June 3, 2025, the Schoof Cabinet has been demissionair, meaning it is serving as a caretaker government. In this capacity, it limits itself to handling only urgent matters and traditionally refrains from making any controversial decisions. Elections are not expected to take place until the autumn. In the meantime, the House of Representatives has prepared a list of controversial topics. Currently, there are no bills or topics from the Ministry of Social Affairs and Employment included on the list. However, in the coming period, members of parliament may propose additional topics to be added.
More Security for Flex Workers Act
On May 19, 2025, the Minister of Social Affairs and Employment (SZW) submitted a bill to increase security for flex workers (Wet Meer zekerheid flexwerkers) to the House of Representatives. The main changes are:
Consecutive fixed term contracts
Stricter rules will limit how many consecutive fixed-term contracts an employer can offer; the so called “chain rule”. An employer can currently offer an employee up to three temporary contracts within a period of three years. If they exceed this, the contract becomes permanent. A break of more than six months resets the count. The new bill proposes extending this break period to five years.
The current option to deviate from the chain rule through a collective labor agreement (CLA) will be removed. Deviation from the maximum number of contracts will only be allowed in cases involving multiple successive employers.
Exceptions will apply for students and seasonal work.
On-call contracts
Zero-hours and min-max contracts will generally no longer be allowed. They will be replaced by bandwidth contracts, which require a minimum number of working hours greater than zero. Employers may ask employees to work up to 30% more than the agreed minimum hours.
Exceptions will apply for minors, school pupils and students.
Temporary agency work
Temporary agency workers will be eligible for a permanent employment contract sooner. The maximum flexible period will be reduced from 5.5 years to 3 years. In addition, the equal pay requirement will be strengthened. All employment conditions for temporary agency workers must be at least equivalent to those of regular employees.
The intended date of entry into force is January 1, 2027. The amendment to the equal pay requirement will enter into force on July 1, 2026.
Act on Clarifying Assessment of Employment Relationships
On July 7, 2025, the Minister of Social Affairs and Employment (SZW) submitted the bill on Clarifying the Assessment of Employment Relationships and Legal Presumption (WetVerduidelijking beoordeling arbeidsrelaties en rechtsvermoeden - WVBAR) to the House of Representatives. The bill aims to reduce false self-employment and provide a framework, so workers and employers have greater clarity about their legal status.
The bill sets out criteria for determining whether someone is working ‘in the service of’ an employer. This is the case if:
the work is performed under work-related or organizational instructions by the employer, and
the worker does not perform the work for their own account and risk, or performs the work to a lesser extent for their own account and risk compared to the instructions referred to under a.
The government proposes to further define these main elements through indicators in a general administrative order (AMvB). The Explanatory Memorandum lists the following indicators:
Indicators pointing to working as an employee (work-related and organizational control)
The employer is authorized to give directions and instructions regarding the manner in which the worker must perform the work, and the worker is required to follow these.
The employer has the ability to monitor the worker’s activities and is authorized to intervene.
The work is performed within the organizational framework of the employer’s organization.
The work has a structural character within the organization.
The work is performed side-by-side with employees who carry out similar activities.
Indicators pointing to working as a self-employed person (working for own account and risk)
The financial risks and results of the work lie with the worker.
The worker ensures a recognizable and independent execution of the work.
The worker possesses specific education, work experience, knowledge, or skills that are not structurally present within the employer’s organization.
The assignment is of short duration and/or involves a limited number of hours per week.
Characteristics indicating entrepreneurship on the part of the worker (outside the employment relationship) for similar activities (external entrepreneurship).
In addition, the bill introduces a legal presumption of employee status. Self-employed workers who earn less than €36 per hour will be able to claim that they are employees and claim the associated rights. If the self-employed worker invokes this presumption, it is then up to the employer to demonstrate that there is in fact no employment relationship and that the work is being performed as a genuine independent contractor. With this legal presumption, the legal position of low-paid self-employed workers is strengthened, and false self-employment is reduced.
If the House of Representatives approves the proposal, the bill will proceed to the Senate. If the Senate also approves, the bill is scheduled to enter into force on July 1, 2026. The bill does not contain transitional provisions. This means that, once the bill comes into effect, it will apply immediately.
Labor Posting Admission Act
In an effort to address malpractices in the temporary employment sector, particularly those affecting migrant workers, the Dutch government is set to introduce a new regulatory framework. Starting in 2026, the Labor Posting Admission Act (Wet toelating terbeschikkingstelling van arbeidskrachten - Wtta) will mandate that all temporary employment agencies obtain authorization from the Minister of Social Affairs and Employment before they can provide employees.
On April 15, 2025, the House of Representatives adopted the bill. The bill is currently being considered by the Senate.
EU Works Council Directive
On May 28, 2025, the European Parliament, Council and Commission have reached a political agreement on the long-anticipated revision of Directive 2009/38/EC on European Works Councils. The compromise text published on 2 June 2025, reflects the outcome of interinstitutional negotiations. This agreement is widely expected to mark the final stage of the content of the legislative draft, with only minor amendments likely during the formal adoption. An overview of the changes is included in our recent blog post on this subject.
The revised directive is anticipated to enter into force by the end of 2025 or early 2026. The Member States must then transpose its provisions within two years. In most cases, the new provisions will not apply until one additional year after the end of the transposition period. This means that, for most practical purposes, the new regime will not become applicable before late 2028, thereby giving employers and employee representatives sufficient time to review, renegotiate, or initiate new agreements in line with the revised minimum standards.
Internet consultations
In our continuous effort to keep you informed on legislative developments, we wish to highlight the current consultation phase for upcoming legislation. This phase is an important step in the legislative process, allowing stakeholders to review and comment on proposed bills.
Self-Employed Persons Act (Zelfstandigenwet): This concerns a draft private member’s bill proposed by the political parties VVD, D66, CDA, and SGP. The aim is to put an end to the uncertainty and unrest surrounding the status of self-employed workers. The core of the draft bill is the introduction of a clear statutory assessment framework for determining when a worker can operate as a self-employed person. This assessment framework consists of two tests: the self-employment test and the working relationship test. The draft bill was open for consultation until June 23, 2026.
EU Pay Transparency Directive Transposition Act (Wet implementatie Richtlijn loontransparantie mannen en vrouwen): The Directive 2023/970/EC aims to strengthen the principle of equal pay for equal work between men and women through transparency and enforcement mechanisms. This directive must be implemented by the member states by June 7, 2026. The draft Bill, which is currently under consultation, amends the existing Equal Treatment of Men and Women Act (Wgb), as well as the Works Councils Act (WOR) and the Labor Allocation Act by Intermediaries (Waadi). The Dutch government decided not to include any additional measures in the draft Bill other than those strictly necessary for implementation of the Directive. Further information is included in our blog post on this draft bill. The draft bill was open for consultation until May 7, 2025.
2. Case law
We have made a selection of the most significant recent employment law cases for employers, from the following courts:
The Supreme Court (Hoge Raad)
The Court of Justice of the European Union (CJEU)
Supreme Court: Cleaners working via Helpling were temporary agency workers
This case concerns cleaners who, through the Helpling platform (which was declared bankrupt on January 10, 2023), performed cleaning work in private households. The central question is whether the cleaners had a standard employment contract or a temporary agency work contract (uitzendovereenkomst) with Helpling, or whether they had an employment contract with the households themselves. The Court of Appeal ruled that there was a temporary agency work contract between Helpling and the cleaners, with the households acting as hirers. The Advocate General was of the opinion that a private household cannot act as a hirer and that the cleaners had an employment contract with Helpling.
The Supreme Court ruled that neither the legislative history nor the structure of the law indicates that the assignment of a temporary agency worker can only take place within the context of the profession or business of the hirer. Therefore, according to the Supreme Court, the Court of Appeal was entitled to rule that households can act as hirers and that, in this case, there was a temporary agency work contract between Helpling and the cleaners. As a result, the decision of the Court of Appeal stands.
Practice note: This ruling demonstrates that digital work platforms focusing on services for private individuals can, under certain circumstances, qualify as temporary employment agencies. This means that even if the work is performed for private individuals, there can still be a temporary agency work contract within the meaning of Article 7:690 of the Dutch Civil Code.
As of July 1, 2025, the statutory minimum hourly wage will be €14.40 gross (previously €14.06 gross).
Spring Memorandum 2025
On April 17, 2025, the government sent the Spring Memorandum 2025 to the House of Representatives. The key points for employers are:
Reduction of unemployment benefits
As of 1 January 2027, the maximum duration of unemployment benefits (WW) will be reduced from 24 to 18 months (currently 24 months). This will also result in a reduction of the maximum benefit period for the wage-related WGA benefit.
Increase of youth minimum wages
The youth minimum wage for 16- to 20-year-olds will be increased. This increase will take effect as of January 1, 2027.
Age
Current percentage
Percentage as of 2027
20 year
80%
87,5%
19 year
60%
75%
18 year
50%
62,5%
17 years
39,5%
50%
16 years
34,5%
40%
15 years
30%
30%
Payroll taxes manual 2025
The Netherlands Tax Administration (Belastingdienst) published its updated Payroll Taxes Manual 2025 on March 28, 2025.
