More Dutch Companies Fill Job Vacancies with Workers from Outside the EU

In the first half of 2024, Dutch companies have significantly increased their reliance on workers from outside the European Union (EU) to fill job vacancies. According to the Employee Insurance Agency (UWV), there have been 18,800 applications submitted by companies to bring non-EU workers into the Netherlands during this period. This surge highlights a growing trend in the Dutch labor market, reflecting both the challenges and strategic decisions companies are making to address labor shortages.

Increase in Applications for Non-EU Workers in the Netherlands

The spike in applications for non-EU workers is notable, especially when compared to the previous year. Throughout 2023, the UWV received 20,900 such applications. The fact that just in the first six months of 2024, the number has already reached 18,800 indicates a sharp increase in demand for non-EU labor. This suggests that the trend may continue to rise as the year progresses.

This increase is occurring against a backdrop of fluctuating migration trends in the Netherlands. In 2023, the country experienced a drop in skilled worker migration, yet the ongoing labor shortages have prompted businesses to look further afield. With Statistics Netherlands (CBS) reporting a staggering 450,000 job vacancies currently open, it’s clear that the Dutch economy is facing a significant shortage of skilled workers. This shortfall is likely driving companies to seek talent from outside the EU to meet their operational needs.

Rise in Applications to Hire Asylum Seekers

In addition to non-EU workers, there has also been a marked rise in applications to hire asylum seekers within the Netherlands. From January to June 2024, there were 5,600 applications to employ asylum seekers, a substantial increase from the 2,000 applications recorded for the entire previous year. This trend underscores the difficulties that Dutch companies are encountering in finding sufficient staff within the country, pushing them to consider alternative labor sources.

Challenges for the UWV in Processing Applications

The increase in applications has put significant pressure on the UWV, the agency responsible for processing work permit applications for non-EU workers. Dutch law requires that companies seeking to hire non-EU citizens, including those from the United Kingdom, Switzerland, China, India, and other distant countries, must obtain a work permit through the UWV.

However, the sheer volume of applications has led to delays in the processing times. The UWV, which typically aims to process these applications within five weeks, has struggled to meet this deadline due to the high demand. This has prompted the agency to issue warnings to employers about potential delays, which could impact their hiring timelines.

Conclusion

The rise in applications to hire non-EU workers reflects the broader challenges facing the Dutch labor market. With a significant number of job vacancies and a shortage of skilled domestic workers, Dutch companies are increasingly turning to non-EU citizens and asylum seekers to fill the gaps. However, this trend also places additional strain on the UWV, which is tasked with ensuring that the influx of non-EU workers is managed efficiently. As the labor market continues to evolve, it remains to be seen how these dynamics will shape the future of work in the Netherlands.

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