Ahead of the Dutch general election in November, the Dutch Federation of Private Employment Agencies (ABU) announced six recommendations related to reforming the labour market.

Last month, the Dutch government collapsed and the ABU’s director stressed that labour market reforms in the country ‘must fully continue’.

According to the ABU, the Netherlands faces challenges. ABU highlighted the country’s structural tightness in its labour market as persistent shortages have had a negative effect on economic growth.

“The shortage also affects the ambition to make the Netherlands more sustainable, to build more homes and to be able to provide sufficient quality care,” the ABU stated. “We cannot make successful transitions without sufficient professionals.”

The ABU also noted an imbalance between society and the labour market. It added that social security and opportunities are increasingly unevenly distributed.

“Too many people cannot (fully) participate in the labour market,” the ABU stated.

According to the ABU, these challenges require substantial investments in the labour market. The Federation also highlighted that temporary employment and payroll companies play an important role in the labour market and are ‘part of the solution’.

The ABU published six recommendations:

1.     Make sure there is sufficient space for well-arranged temporary work and payrolling.

2.     Ensure a level playing field and well-regulated freelance work.

3.     Take steps towards a contract- neutral social system. This system would offer security to all workers, regardless of the contract form.

4.     Provide robust, enforceable rules and invest in enforcement. These rules would focus on flexible work.

5.     Invest in the labour market and come up with a plan for tackling the shortage. 

6.     Provide direction on labour migration and come up with a guiding vision.

“The need for migrant workers will only increase in the future,” the ABU stated. “While there is a political taboo on labour migration in our country, Germany, among others, has long since started to attract labour migrants. We especially ask for a vision of the future on labour migration.”

The Dutch parliamentary elections will take place on 22 November.