The year 2025 will be marked by the introduction of new legislative proposals in parliament. We’ll provide a brief overview of these proposals in this update.
Proposal to Improve the Stability of Flexible Workers
This draft law aims to provide more job security for employees while maintaining flexibility for employers. Key measures include:
- The abolition of zero-hour contracts and minimum/maximum contracts.
- Instead of on-call contracts, there will be fixed base contracts specifying the minimum number of hours employees are guaranteed. Employees must remain available for at least 30% more than their standard hours but can refuse calls outside this time.
- The transition of temporary workers to permanent contracts will be expedited by shortening phase A from 78 weeks to 52 weeks and phase B from four to two years.
Finally, the gap in the chain regulation will be extended from six months to five years, aimed at preventing “revolving door” practices where employers rehire employees on temporary contracts just after the expiration of a previous one.
Proposal to Clarify Employment Relationships and Legal Presumption
The draft proposal seeks to clarify the classification of employment relationships. It focuses on the ‘in service of’ criterion under Article 7:610 of the Dutch Civil Code. According to the new draft, this criterion will be met in the following cases:
a. The work is performed under the substantive direction of the employer; or
b. The work or the employee is organizationally embedded in the employer’s organization; and
c. The employee does not perform the work for their own account and risk.
Additionally, new provisions will introduce a legal hierarchy and the possibility to include further clarifications and weighting factors in a general administrative measure. A legal presumption will also be introduced. If the hourly wage is less than €32.24 (as of July 1, 2023), it will be presumed that the work is performed under an employment contract.
Proposal to Modernize Non-Compete Clauses
The draft law seeks to tighten the rules surrounding the use of non-compete clauses by:
- Limiting the duration of non-compete clauses to a maximum of one year;
- Requiring a geographical limitation;
- Requiring employers to justify the business interest for a non-compete clause in the employment contract (for both fixed-term and indefinite contracts);
- Mandating that employers pay employees a compensation of 50% of their last earned monthly salary for the duration of the non-compete clause’s enforcement.
Proposal to Amend Reintegration Obligations in the Second Year of Illness for Employees of Small and Medium Employers
This proposal introduces the possibility for small and medium-sized employers to end first track reintegration after the first year of illness, with the employee’s consent or approval from the Employee Insurance Agency (UWV). This means the employer no longer needs to keep the employee’s position available. If the employee fully recovers in the second year, both parties must make efforts to help the employee return to work with another employer. The obligation for continued salary payment and reintegration during the 104-week period remains unchanged.
Proposal to Regulate the Placement of Temporary Workers
This proposal introduces an accreditation system for staffing agencies. Only staffing agencies that have been approved by the Minister of Social Affairs and Employment will be allowed to operate in the market. To be approved, agencies must provide proof of financial security amounting to €100,000. Periodic checks will be conducted to ensure that accredited agencies comply with the regulations.
Initiative Proposal for Bereavement Leave
This initiative proposal aims to establish paid bereavement leave of at least five working days for employees with minor children whose partner or child passes away.
Most of these proposals will be submitted to parliament this year, with the aim of coming into effect on January 1, 2026. We’ll keep you informed!