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Dutch Government Introduces New Labor Market Policies to Protect Workers and Businesses

April 30, 2023 at 7:55 pm, No comments

The Dutch government has announced a comprehensive package of new rules and policies designed to protect the future of the Dutch labour market. The package includes several measures to safeguard workers, attract talent, and encourage employees to work more hours, while also providing additional protection to entrepreneurs and businesses.

Protection of workers

The government plans to ban zero-hour contracts, replacing them with fixed basic contracts that explicitly state a minimum number of hours.
Workers with temporary contracts will be subject to tighter rules, and employers will only be able to recruit past employees after a period of five years has passed. This aims to prevent revolving door constructions, where workers go from temporary contract to temporary contract for an extended period.

Protection of entrepreneurs and businesses

The government is introducing a mandatory affordable insurance package for self-employed people without employees to protect them during periods when they are unable to work due to illness or injury.
A new system will be introduced to help small companies replace absent workers. This will allow companies with up to 100 employees to get clarity after one year of illness about whether they can structurally replace the employee.
A new scheme called the Crisis Scheme for Personnel Retention will support employers affected by a crisis of calamity that falls outside of the entrepreneurial risk, such as the coronavirus pandemic. This scheme will allow employees to be transferred to a different position or work reduced hours for up to six months while retaining their right to unemployment benefits.

Future-Proof Labour Market

The Dutch government hopes these changes will encourage more balance in the labour market and ensure a future-proof and better balanced workforce.
The government plans to introduce all new policies over the course of the next three to four years, subject to passing by the House of Representatives (Tweede Kamer).
The government believes that a secure job ensures that employees can plan for the future, and this package of measures aims to ensure a labour market that is better balanced and future-proof.

Overall, the Dutch government's new package of rules and policies seeks to create a more balanced and future-proof labour market. These measures aim to protect workers, safeguard businesses, and encourage a more stable and predictable work environment. The government hopes that these changes will increase certainty and stability for employees and entrepreneurs while improving the overall competitiveness of the Dutch economy.

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