External hiring in the Netherlands more regulated, burden or blessing?

The Dutch market for hiring external workers is in a phase of evolution. Recent developments, including the lifting of the enforcement moratorium regarding the deployment of independent professionals (ZZP), the upcoming implementation of the Temporary Employment Agency Work Act (Wet Terbeschikkingstelling Tijdelijke Arbeid – WTTA), and also the recently concluded ABU/NBBU Collective Labour Agreement (CAO), mark a period of re-evaluation and perhaps an improvement of the playing field.

The termination of the enforcement moratorium concerning the deployment of ZZP professionals requires all stakeholders to renew their focus on the applicable laws and regulations. Although the regulations themselves have not changed, the lifting of the enforcement moratorium necessitates a careful assessment of current hiring practices. Compliant deployment of independent professionals, within the established frameworks, remains a valid and valuable option for organisations. In other cases, both the hiring organisation and the professional will need to seek a suitable alternative contract form. The emphasis should be on a transparent and correct application of the prevailing frameworks, effectively preventing sham constructions.

In parallel, the implementation of the WTTA is compelling temporary employment agencies to prepare for an impending certification obligation. This concerns not only traditional employment agencies but also other companies that make personnel available, such as brokers, MSP providers, and consultancy firms. This development implies a transition period for all these organisations, during which processes and structures must be critically reviewed. Although the implementation requires operational adjustments, it also offers a unique opportunity to strengthen professionalism and reliability within the sector.

A third significant factor influencing market dynamics is the recently concluded ABU/NBBU CAO. The new agreements regarding, for example, equal pay in this CAO strengthen the remuneration position of workers who fall under the CAO. For the agencies, a challenge lies in achieving a workable implementation. Hiring clients can likely anticipate an increase in hourly rates. Should the Collective Labour Agreement be declared generally binding, it will have an impact on the entire flexible work sector.

The synergy between these developments can make a significant contribution to separating reputable market players from less scrupulous actors. This results in several potential benefits for the entire chain:

  • For professionals (employees and ZZP professionals): Greater certainty regarding employment conditions, contractual agreements, and compliance with laws and regulations. This contributes to a fairer and more transparent working environment.
  • For hiring organisations: An increased level of confidence in the selected external hiring partners. The assurance of working with certified and reliable organisations reduces risks and promotes quality service provision.
  • For reputable temporary employment agencies: A fairer competitive landscape where quality, compliance, and transparency are the distinguishing factors. Certification offers the opportunity to showcase their own professionalism and distinguish themselves from inferior providers.

The coming period requires a proactive and constructive attitude from all parties involved. Dialogue, knowledge sharing, and a commitment to transparency and compliance are essential to realise the intended positive effects. The challenges that these developments bring simultaneously offer a good opportunity to create a healthier and more sustainable basis for the deployment of both temporary and permanent labour in the Netherlands. We see this course correction as an important step towards a more mature and reliable market, where quality and integrity are central.

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