Dutch employment law: legislative update july 2026
Right before the Summer, the Dutch legislature continues to move at pace. This article provides an overview of thirteen significant legislative developments in Dutch employment law that are currently in various stages of the legislative process or have recently come into force. Below, you will find a summary of the status of the (draft) legislation on the following topics:
- Platform Work Act
- Leave Act
- Bill to modernise non-competition clauses
- Bill on Staff Retention during a Crisis
- Bill implementing the Pay Transparency Directive
- Act on the Introduction of a Legal Presumption of an Employment Contract Based on an Hourly Rate — published in the Bulletin of Acts and Decrees
- More Security for Flexible Workers Act
- Act amending reintegration obligations for small and medium-sized employers
- Abolition of compensation for transition payments upon dismissal due to long-term incapacity for work and business closure
- Omnibus I — amendments to the CSRD and CSDDD
- Introduction of a mandatory code of conduct on undesirable behaviour cancelled
- Provision of Personnel (Accreditation) Act
- Act on Basic Insurance against Incapacity for Work for the Self-Employed (BAZ)
- Platform Work Act – online consultation from 29 June 2026 to 24 August 2026
This Act implements the Platform Work Directive (EU) 2024/2831. The Act aims to improve working conditions and the protection of personal data in platform work. Among other things, it introduces a legal presumption of employment status for individuals carrying out platform work, restricts the processing of personal data by automated systems, and stipulates that important decisions must always be taken by a human being. The Platform Work Directive must be transposed into Dutch law by 2 December 2026 at the latest.
2. Leave Act – online consultation from 29 June 2026 to 10 August 2026
The Leave Act will replace the Work and Care Act (WAZO). The leave arrangements in the proposal are divided into three pillars:
- Parental leave: this includes maternity and childbirth leave, (supplementary) birth leave and (paid) parental leave;
- Care for relatives: short-term and long-term care leave have now been merged into care leave;
- Personal leave: short-term absence leave.
In addition, the formalities for the various types of leave have been harmonised where possible. For example, most parental leave schemes now have a six-month take-up period, and the requirements regarding the notification of leave and the application for benefits have been harmonised. The intended date of entry into force has not yet been announced.
3. Bill to modernise non-competition clauses – submitted to the Council of State for advice
On 29 June 2026, the Dutch Minister announced that the Bill to modernise non-competition clauses (Wet modernisering concurrentiebeding) will be submitted to the Advisory Division of the Council of State (Afdeling Advisering van de Raad van State) for its opinion.
The proposed legislation, which was subject to public internet consultation in March and April 2024, aims to substantially reform the rules governing non-compete clauses in employment contracts in the Netherlands. The key changes proposed under the bill are as follows:
- Maximum duration: A non-compete clause may be agreed for no longer than one year.
- Mandatory justification: Employers will be required to substantiate the compelling business or service interests that justify a non-compete clause in all employment contracts, not only in fixed-term contracts, as is already the case under current law, but also in indefinite employment contracts.
- Geographical scope: Employers will be required to specify in the clause the geographical area to which the restriction applies.
- Compensation obligation: If and for as long as an employer holds an employee to a non-compete clause, the employer must pay the employee compensation equivalent to half a monthly salary for each month that the restriction remains in force.
The final text of the bill will not be made public until after the Council of State has issued its advisory opinion. The bill is expected to be submitted to the House of Representatives towards the end of 2026.
4. Bill on Staff Retention during a Crisis – submitted to the House of Representatives on 4 May 2026
This Bill aims to support viable businesses in retaining as many employees as possible during a crisis that falls outside the scope of business risk. Businesses experiencing a reduction in work of at least 20% over a two-month period may make use of various measures set out in the bill. These measures include, for example, redeployment of employees, reduced pay and wage subsidies. These may be applied for a maximum period of six months.
The intention is for the bill to come into force on 1 January 2029.
5. Bill implementing the Directive on pay transparency between men and women – submitted to the House of Representatives on 20 May 2026
This bill implements the Pay Transparency Directive (EU) 2023/970 and is intended to ensure that employees gain a better understanding of pay differences between men and women in their workplace. Employers will be obliged to use objective and gender-neutral systems for job evaluation and job classification. Furthermore, employers will no longer be permitted to ask job applicants about their previous salary during discussions on terms of employment or during recruitment procedures. In addition, organisations with more than 100 employees must report periodically on pay differences between female and male employees. The Directive was due to be implemented by 7 June 2026 at the latest, but this deadline will not be met in the Netherlands; consequently, the intended date of entry into force is now 1 January 2027.
6. Act on the Introduction of a Legal Presumption of an Employment Contract Based on an Hourly Rate – published in the Bulletin of Acts and Decrees (Staatsblad 2026/158)
The Bill on Clarification of the Assessment of Employment Relationships and Legal Presumption (VBAR), which aimed to provide clarity on whether a worker is employed or self-employed, was amended by an memorandum of amendment in such a way that only the section on the legal presumption remains, on the basis of which workers with an hourly rate of less than €38 (reference date 1 January 2026) can claim that they are employees rather than self-employed workers. The intention is for the Bill to come into force before the end of this year. Through a Self-Employed Persons Act based on a draft bill submitted online by Members of the House of Representatives in May 2025, the government will provide greater clarity for workers regarding the assessment of their employment relationship. This Act has not yet been published.
7. More Security for Flexible Workers Act – passed by Parliament
The More Security for Flexible Workers Act was passed by the House of Representatives on 12 May 2026 and by the Senate on 7 July 2026. Broadly speaking, the Act provides for the following:
- The chain provision is being tightened in that the current six-month interval, after which a new chain of temporary contracts may commence, is being replaced by a three-year interval (in the original proposal this was five years, but this has been reduced to three years following an amendment adopted by the House of Representatives).
- In principle, on-call contracts (zero-hours contracts, minimum/maximum contracts) will be replaced by bandwidth contracts with a quarterly hour standard with a limited bandwidth of up to 30%; the maximum agreed working hours may not exceed 130% of the minimum agreed working hours.
- For temporary agency work, phase A is shortened to 52 weeks and phase B to 2 years. Furthermore, the overall terms and conditions of employment for temporary agency workers must be at least equivalent to those of employees directly employed by the hirer.
The intended date of entry into force for the provisions relating to equivalent terms and conditions of employment for temporary agency workers is 31 December 2026. The intended date of entry into force for the remaining measures is 1 January 2028.
8. Act amending the reintegration obligations in the second year of sickness for small and medium-sized employers – submitted to the House of Representatives on 8 April 2026
This Act proposes that small and medium-sized employers (up to and including 100 employees) be given the option, subject to certain conditions, to allow employees who after one year of sickness are unable to return to their own job with the employer, to be reintegrated only with another employer (track 2), thereby terminating reintegration with their own employer (track 1). The obligation to continue paying wages remains in force throughout the entire 104-week period. The Act is due to come into force on 1 January 2030.
9. Abolition of compensation for transition payments in the event of dismissal due to long-term incapacity for work and business closure
The bill submitted to the House of Representatives on 10 December 2025 aimed to abolish the compensation scheme for dismissal due to long-term incapacity for work for medium-sized and large employers. Following an amendment memorandum dated 2 June 2026, the bill has been amended such that the entire compensation scheme will be abolished, including for small employers in the event of dismissal due to long-term incapacity for work. The option for compensation in the event of the cessation of business due to the retirement or death of a small employer will also be abolished. The legislative amendment is intended to come into force on 1 January 2027.
10. Omnibus I amends the CSRD and CSDDD
The EU Omnibus I package (Directive (EU) 2026/470), which entered into force on 18 March 2026, amends both the CSRD and the CSDDD by significantly narrowing their scope, easing the reporting burden and reducing the trickle-down effect of obligations on smaller companies. This means that the Act Implementing the Sustainability Reporting Directive (which implements the Corporate Sustainability Reporting Directive – CSRD – (EU) 2022/2464), tabled in the House of Representatives on 13 January 2025, will be amended. The Corporate Sustainability Due Diligence Directive (CSDDD – (EU) 2024/1760) is being implemented in the International Responsible Business Act (Wifo); following an online consultation process in November/December 2024, the Wifo is now open for online consultation in simplified form as part of the Omnibus I package from 3 July 2026 to 2 August 2026 inclusive. For a more detailed discussion, see: Omnibus: simplified CSRD an CS3D – Van Doorne.
11. Introduction of mandatory code of conduct on undesirable behaviour cancelled
In a letter dated 8 June 2026, Minister Aartsen of Work and Participation announced that the bill to amend the Working Conditions Act regarding the introduction of a mandatory code of conduct on undesirable behaviour, which was open for online consultation from 17 February to 23 March 2025, will not be tabled in the House of Representatives, in line with the government’s aim to reduce regulation.
12. Provision of Personnel (Accreditation) Act – published in the Bulletin of Acts and Decrees (Staatsblad 2025/385)
The Provision of Personnel (Accreditation) Act (Wtta) introduces an admission scheme for companies that supply staff, such as temporary employment agencies and secondment agencies (suppliers). They may only supply workers with authorisation from the Dutch Labour Supply Market Authority (NAU). Companies that hire staff (hirers) may only work with admitted suppliers.
Key dates:
- 1 November 2026 to 31 December 2026: suppliers can register for the transitional scheme via the NAU.
- 1 January 2027: the Wtta comes into force. Start of the transitional year.
- 1 May 2027 to 30 June 2027: labour hire agencies can apply for their mandatory authorisation via the website of the NAU.
- From 1 July 2027: the NAU will begin assessing admission applications.
- From 1 July 2027: hirers can check the NAU’s public register to see whether a supplier has been admitted, has been granted an exemption or is covered by the transitional arrangement.
- From 1 January 2028: the Dutch Labour Inspectorate will begin enforcing compliance with the admission requirement.
13. Act on Basic Insurance against Incapacity for Work for the Self-Employed (BAZ) – submitted to the House of Representatives on 20 March 2026
The BAZ provides for insurance against incapacity for work for the self-employed up to state pension age, up to a maximum of the minimum wage. There is a two-year waiting period. The premium amounts to 5.4% of profit and is capped at €171 gross per month (this amount is based on the 2025 minimum wage and is increased annually). Self-employed people may switch to a private insurer each year. The insurance is not compulsory for self-employed people who already have (private) insurance or for directors who are major shareholders. Nor are self-employed people who also work as employees, and are therefore adequately insured against incapacity for work, covered by the basic insurance.
The BAZ is not expected to come into force before 2030.