Dutch Staffing Sector: Recovery Pushed Back to 2026
The Dutch flexible employment market — which includes temporary work agencies, secondment agencies, and payroll services — has faced two years of falling hours. That decline seems to have stopped in 2025, but according to forecasts, a real rebound won’t arrive until 2026.
Why recovery is delayed
Even though the economy is improving, businesses remain careful in their use of flexible staff. Ongoing geopolitical tensions, tighter regulations, and structural shortages in the labour market are holding back growth.
End of bogus self-employment changes the market
At the start of 2025, the government restarted enforcement against bogus self-employment. Many freelancers who were effectively working as employees can no longer continue under self-employed contracts. This shift has pushed companies to either hire these workers on permanent contracts or bring them in via staffing agencies. Data from Statistics Netherlands shows that in the second quarter of 2025, more than a third of freelancers stopped working independently, with over half of them moving into permanent or flexible jobs.
Labour shortages still the biggest problem
Nearly half of Dutch staffing firms report shortages — both in their own teams and in the pool of temporary workers. This bottleneck limits the supply of new temps and slows overall growth. Agencies are responding by investing more in training and development to attract and retain staff, but mismatches between available skills and market demand remain a challenge.
New laws make temp work costlier and less flexible
The More Security for Flex Workers Act, scheduled to take effect on 1 January 2026, will give temporary agency workers the same rights as employees on permanent contracts. This includes pensions and transition payments. The law is meant to ensure that temporary contracts are only used for short-term peaks or sick leave, not for ongoing work. For employers, this will make temp workers more expensive and reduce flexibility.
A need for change in the industry
Given the combined pressures of economic uncertainty, regulatory tightening, and staff shortages, many staffing companies will need to rethink their strategies. Instead of focusing only on traditional temp placements, agencies are encouraged to broaden their services — such as offering training, career guidance, and support for older workers or those needing reskilling. By acting as HR advisors and mobility facilitators between sectors, staffing firms can build stronger client relationships and provide greater long-term value.
