In 2025, the Dutch government introduced new measures to increase protection for agency, on-call, and fixed-term employees, while at the same time increasing the scrutiny on the engagement of self-employed (zzp) contractors. These changes will impact any business that hires contract or temporary staff.
The reform is designed to reduce long-term job insecurity among flexible workers and close loopholes that allow disguised self-employment. However, for employers and agencies, this means:
- Faster transitions from temporary to permanent employment.
- Higher employer liabilities around termination, sick pay, and benefits.
- Stricter oversight of self-employed (zzp) workers and agency contracts.
Key changes
Fixed-Term and Agency Contracts
- Limits on the number of consecutive fixed-term contracts before permanent status applies to 3 extensions total.
- Restrictions on “revolving door” contracts (re-hiring after short breaks).
- Greater parity in pay and benefits between agency and direct employees.
On-Call and Zero-Hour Work
- On-call work will be replaced with “basic contracts” offering guaranteed minimum hours and pay.
- Employers must provide predictable schedules and clearer notice periods.
Self-Employed (ZZP) Oversight
- The Dutch Tax Authority will have increased resources to investigate false self-employment.
- Stricter criteria for determining if a worker is genuinely independent.
- Businesses using freelancers may face higher compliance risks and potential reclassification.
These changes, while introduced to improve the protections for the labour market, have impacted the ability of clients and agencies to secure the flexible labour they require to operate. These changes have imposed a higher cost to engage the labour and reduced the ability to engage temporary workforces for longer-term projects.
Looking Ahead
The Dutch labour market is shifting toward long-term employment security and reduced flexibility abuse. While this may raise short-term administrative and cost pressures, it also creates opportunities for compliant, transparent recruitment and payrolling models.
Firms that adapt early by strengthening compliance, adjusting pay structures, and partnering with a trusted EOR partners will be best placed to maintain client confidence.
