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Dutch organisations advised to review for ‘false self-employment’ risk


Organisations in the Netherlands have been urged to review whether the people working for them are to be classed as employees ahead of anticipated reforms and following a change in tax enforcement practices in the country.

Amsterdam-based Stephanie Dekker and Floor Hintzen of Pinsent Masons said that, ahead of the general election later this year employment status remains a major political issue.

Currently, a demissionary cabinet – a form of caretaker government – is operating in the Netherlands. This follows the collapse of the previous coalition government earlier this summer. A general election is scheduled for October 2025.

Dekker and Hintzen said that both the demissionary cabinet and other members of the Dutch parliament, spanning four different political parties, are behind two separate proposals regarding the assessment of employment relationships that they said employers should monitor the progress of.

On 7 July 2025, the demissionary cabinet submitted a revised version of the Assessment of Employment Relationships and Legal Presumption Bill (Wet VBAR) to the House of Representatives (Tweede Kamer). The move, Dekker and Hintzen said, confirms that the demissionary government continues to actively pursue labour market reform, even after the coalition government’s collapse.

The Wet VBAR is aimed at clarifying when a worker qualifies as an employee or a self-employed person. For this purpose, a structured assessment framework has been proposed. The framework is based on two core elements: indicators of authority and control, suggesting employment, such as instructions, supervision, and organisational integration; and indicators of working at one’s own account and risk, suggesting self-employment, such as financial risk, entrepreneurial behaviour, and independence.

Dekker and Hintzen said a significant change in the amended Wet VBAR is to criteria designed to help employers distinguish whether someone who does work for them is self-employed or an employee. The specific change means external entrepreneurship is now explicitly referenced as a primary criterion for self-employment, rather than only being decisive when other indicators are inconclusive. Dekker and Hintzen said the change aligns with the Dutch Supreme Court’s ruling in the Uber/FNV case in February this year.

The amended bill also includes a legal presumption of employment for individuals earning under €36/hour, as at 1 January 2025. This, Dekker and Hintzen said, shifts the burden of proof for showing someone earning less than that amount is self-employed onto organisations that engage those individuals.

Although politically sensitive, the bill was not classified as controversial by the House of Representatives, meaning the caretaker cabinet may continue working on it. The law is currently scheduled to enter into force on 1 January 2026.

In parallel, however, members of the Dutch parliament from the parties VVD, D66, CDA and SGP have proposed the Self-Employed Persons Bill (Zelfstandigenwet) as an alternative to the revised Wet VBAR. The Zelfstandigenwet is a draft bill currently under public consultation. If introduced into law, it would introduce a three-step assessment for determining whether someone may legally work as a self-employed person: first, a self-employment assessment, focusing on external entrepreneurship; second, a working relationship assessment, for evaluating the presence or absence of hierarchical control; and third sector-specific legal presumptions, allowing for stricter rules in sectors like education, construction, and healthcare.

For individuals to qualify as self-employed under this alternative approach, they would need to demonstrate that they have made adequate provisions for disability insurance and retirement. The intention of the contracting parties is the starting point under this proposed model.

Dekker and Hintzen said the two legislative tracks reflect a broader shift in Dutch labour policy towards reducing false self-employment while preserving space for genuine entrepreneurship.

Dekker said: “With two parallel legislative tracks now in motion, organisations should closely monitor developments, assess their current engagement models, and identify where risks of self-employment claims may exist within their organisation. Early preparation will help mitigate compliance risks.”

Hintzen added: “In this context, it is also relevant that the Dutch tax authority’s enforcement moratorium with regard to misclassified self-employment relationships ended on 1 January 2025. This significantly increases the urgency for organisations to review and, if necessary, adjust their working arrangements.”

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