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This year 2026 marks a significant shift in employment and labour laws in the Netherlands. Changes to Dutch employment law, payroll rules and related business legislation affect organisations at different times. This overview explains the legal developments, their status and the preparation required by organisations.
For employers, management and HR professionals this article provides you with applicable labour law changes relevant to HR and employment practices to support you prepare for what lies ahead.
AT A GLANCE
Applicable Dutch Labour Law Changes 2026
Statutory Minimum Wage Netherlands
Status: Applicable.
Date: January 1, and July 1, 2026.
On January 1, 2026 the Dutch statutory minimum wage will increase for employees aged 21 and over, rising from EUR 14.40 per hour to EUR 14.71 per hour. Minimum youth wages will increase by the same percentage.
Update July 1, 2026: The statutory minimum wage for employees aged 21 and over increased to EUR 14.99.
The hourly minimum applies irrespective of whether the working week is 36, 38 or 40 hours.
Employer actions: Update employment contracts and payroll processes in case currently the statutory minimum wage is paid, to reflect the new wage levels for employees.
Find more information: Government of the Netherlands Minimum Wage Amounts.
Pension Transition and Possible Compensation
Status: Applicable pension legislation; implementation depends on the pension arrangement..
Dates: Transition plans for pension arrangements administered by insurers or premium pension institutions must be submitted by October 1, 2027. The overall transition deadline is January 1, 2028.
The Future Pensions Act [Wet toekomst pensioenen] changes the Dutch pension system. Employers whose arrangements have not yet transitioned must complete the necessary preparations with their pension provider and employee representatives.
The transition may disadvantage particular groups of employees, including some employees in their forties and fifties. Compensation depends on the pension arrangement and the agreed transition plan. There is no universal entitlement to a one-time pension boost, and the amount, timing and form of compensation vary by arrangement.
Employer action: Confirm the transition timetable with the pension provider or adviser. Review the transition plan, any compensation arrangements and employee communications. Identify the applicable employee consultation, Works Council consent and individual agreement requirements before implementing changes.
Find more information here: Netherlands Pension System 2026: The Future Pensions Act.
Expat Scheme: Adjustment 30% Facility
Status: Applicable, subject to individual eligibility and transitional rules.
Date: In 2026, the maximum tax-free percentage remains 30%. From 2027, it generally falls to 27%, subject to transitional arrangements.
The Dutch government has reversed the previously introduced phased reduction of the tax-free allowance under the 30% facility, also known as the expat scheme or 30 percent ruling conditions.
Employees who used the scheme before 2024 generally retain the 30% maximum and the existing salary threshold framework for their remaining entitlement. Employees who first used the scheme in 2024 generally move to 27% from 2027 but retain the existing salary threshold framework. Employees who first used the scheme from 2025 are subject to the 27% maximum and higher salary thresholds from 2027. Salary thresholds remain subject to annual indexation.
Key actions: Review each employee’s start date under the scheme, remaining entitlement and applicable transitional arrangements before updating payroll or communicating changes.
Maximum Transition Payment
Status: Applicable annual indexation.
Date: January 1, 2026.
The maximum statutory transition payment [transitievergoeding] in 2026 is EUR 102,000 gross. Where the employee’s gross annual salary exceeds this amount, the maximum is one gross annual salary. The cap does not mean every departing employee receives that amount; the statutory calculation and entitlement rules still apply.
Employer action: Use the 2026 limit in termination calculations and budgeting. Check the salary components included in the calculation rather than relying solely on basic monthly salary.
Mileage Allowance 2026
Status: Applicable under an approved policy decision; associated legislative amendment pending.
Date: Retrospective effect from January 1, 2026.
The maximum tax-free mileage allowance for 2026 was initially EUR 0.23 per kilometre, unchanged from 2025.
Update May 2026: Under an approved policy decision, employers may now reimburse up to EUR 0.25 per kilometre tax-free, with retrospective effect from January 1, 2026.
Employers who have already reimbursed EUR 0.23 per kilometre may pay the additional EUR 0.02 per kilometre retrospectively without treating it as taxable salary. The higher tax-free limit does not automatically require employers to increase their allowance.
Employer action: Review the travel policy, employment agreements and supporting mileage records. Agree any retrospective payment and apply the relevant payroll correction method. Qualifying mileage reimbursements within the applicable limit fall under a targeted exemption within the work-related costs scheme.
For more information read our article here: 2026 Mileage Allowance in the Netherlands.
Labour Tax Credit Netherlands 2026: Positive Impact Part-time Employees.
Status: Applicable.
Date: January 1, 2026.
n 2026, the Netherlands introduces important reforms in the labour tax credit [arbeidskorting]. The Dutch government boosts support for part-time employees. By lowering income thresholds and indexing them to the minimum wage, the credit applied is a deduction but results in a net salary increases.
The maximum labour tax credit for someone below State Pension age throughout 2026 is EUR 5,685. The actual credit per employee depends on earned income and the applicable calculation and personal circumstances.
Employer action: Check that payroll uses the correct 2026 tax tables. Explain individual payslip changes without promising the same benefit to all employees.
More information can be found here: Labour Tax Credit Netherlands 2026: Positive Impact Part-time Employees.
Cybersecurity Act Netherlands: EU NIS2
Status: Applicable.
Date: August 15, 2026.
The Dutch Cybersecurity Act implements the NIS2 framework. The Act imposes strict cybersecurity obligations on organisations that operate in critical industries, where service disruptions could cause significant societal or economic harm. These industries include, but are not limited to the Dutch public sector, banking and financial markets, energy, transport and logistics, health care, digital and IT providers.
Employer action: Establish whether the organisation is in scope and who owns compliance. HR may need to support the organisation’s response through employee awareness, relevant training and the allocation of responsibilities, working with management, IT and legal teams.
More information can be found here: Cybersecurity Act Netherlands: EU NIS2 Implementation in 2026.
Equivalent Employment Conditions Temporary Agency Workers
Status: Applicable.
Date: December 31, 2026.
Under the More Security for Flexible Workers Act [Wet meer zekerheid flexwerkers], temporary agency workers must receive at least equivalent employment conditions to comparable workers employed directly by the hiring organisation. Relevant collective labour agreement arrangements may already affect the position before the statutory start date.
Employer action: Review secondment/agency arrangements and provide accurate information about relevant employment conditions. Confirm how equivalence is assessed and implemented with the agency.
Yes. Add this to both articles, identifying it in the 2027 article as a measure effective since 31 December 2026.
Presumption of Employment for Self-Employed Workers: ZZP
Status: Adopted legislation.
Date: December 31, 2026.
The law introducing a presumption of employment based on an hourly rate [Wet invoering rechtsvermoeden van arbeidsovereenkomst op basis van een uurtarief] strengthens the position of lower-paid workers engaged as self-employed contractors [zzp’ers].
Workers earning at or below the applicable statutory hourly threshold can invoke a legal presumption that they work under an employment contract. The organisation engaging them must then rebut that presumption by demonstrating that the relationship is not an employment relationship.
Employer action: Review self-employed contractor arrangements, particularly those at or below the applicable threshold. Assess how the work is performed in practice and address potential misclassification rather than relying solely on contractual labels or increasing the hourly rate.
EU Cyber Resilience Act: Security Requirements Digital Products
Status: Adopted EU regulation, directly applicable in the Netherlands, with phased application.
Dates: Reporting obligations apply from September 11, 2026. The main requirements apply from December 11, 2027, subject to transitional provisions.
The Cyber Resilience Act [Regulation (EU) 2024/2847] introduces cybersecurity requirements for covered hardware and software products made available on the EU market. It establishes obligations for manufacturers, importers and distributors, including requirements concerning product security, vulnerability handling and conformity assessment.
Manufacturers must report actively exploited vulnerabilities and severe incidents affecting the security of covered products. These reporting obligations already apply from September 2026.
The regulation is separate from NIS2 and the Dutch Cybersecurity Act. It concerns digital-product security rather than general employment rights. Organisations that only purchase or use covered products do not automatically acquire manufacturers’ obligations.
Employer action: Establish whether the organisation manufactures, imports or distributes covered products. Assign compliance responsibilities and identify any implications for staff training, internal reporting procedures and coordination between product, IT, legal and HR teams.
EU Pay Transparency Directive Netherlands (Status Pending)
Status: Pending Dutch legislation, commencement date to be confirmed.
The Dutch government intends the implementing legislation to take effect on January 1, 2027, subject to completion of the legislative process. This is later than the EU transposition deadline June 7, 2026.
Read more about the Netherlands Delays EU Pay Transparency Directive or about the EU Pay Transparency Directive (EU) 2023/970.
Employee Discounts on Company Products Abolition (Status Pending)
Status: Applicable tax exemption; abolition proposed.
Date: Existing exemption applies in 2026. Proposed abolition from January 1, 2027.
Employers can provide qualifying employee discounts on products from their own business under a targeted exemption within the work-related costs scheme [WKR]. The exemption covers discounts of up to 20% of the product’s market value, with a maximum total exempt discount of EUR 500 per employee per calendar year. Qualifying discounts do not use the WKR discretionary budget.
The government proposes abolishing this separate exemption from January 1, 2027, subject to parliamentary approval. Employee discounts could continue, but their tax treatment would change.
Employer action: Check compliance with the current exemption and assess the potential impact of abolition on employee benefits and the WKR budget.
More information: WKR Netherlands: Tax-Free Employee Benefits and Allowances.
CSRD Reporting EU: Mandatory Reporting on Corporate Sustainability (Status Pending)
Status: EU amendments adopted; Dutch implementation and commencement arrangements pending.
Starting 2024, large public-interest entities with more than 500 employees, including listed companies, banks and insurance undertakings, were required to report under CSRD.
Companies were originally expected to publish their first CSRD report in 2026, covering the 2025 financial year. This reporting timetable has since been postponed, and the EU has narrowed the scope.
Update: Under the amended EU framework in February 2026, reporting principally applies now to organisations that meet both of the following two criteria:
- more than 1,000 employees;
- net annual turnover exceeding EUR 450 million.
Dutch legislation is still being finalised to implement the CSRD and the amended EU rules.
The revised thresholds apply from the 2027 financial year, with reports published in 2028. Dutch legislation implementing these changes is still being finalised, including the treatment of companies that fall outside the revised scope for financial years 2025 and 2026.
More information can be found here: CSRD Reporting EU: Mandatory Reporting on Corporate Sustainability.
Proposed Employment Law Changes without Confirmed Commencement Dates
While these proposals below are not yet confirmed, these bills may or may not come into effect as the date still unknown, pending approval by the Dutch First and Second Chamber.
Sick Leave Obligations Second Year: Replacement Employee: Effective Date of Law Unknown
A proposal would give small and medium-sized employers flexibility during the second year of employee sickness by focusing entirely on re-integration with a different employer (Track 2). Employers would no longer be required to hold the employee’s original role open. The 104-week wage payment obligation remains unchanged.
Mandatory Confidential Advisor: Effective Date of Law Unknown
The proposal concerns access to a Confidential Counsellor [vertrouwenspersoon] for unwanted workplace behaviour. Employers must distinguish the proposed appointment requirement from existing responsibilities to address psychosocial workload and provide a safe working environment. Companies with ten or more employees may be required to appoint mandatory Confidential Counsellor.
More information can be found here: Mandatory Confidential Counsellor in the Netherlands.
Mandatory Bereavement Leave: Effective Date of Law Unknown
The Netherlands has no general statutory provision for bereavement leave. Only a limited number of Collective Labour Agreements (CLA) address this issue and companies (not covered by a CLA) might refer in their Employee Handbook to Special Leave.
The proposed Bereavement Leave Act [Wet invoering rouwverlof] would establish paid leave for specified bereavement situations in families with minor children. The parliamentary summary describes at least five working days where the relevant conditions are met. It is narrower than a general entitlement following every death of a partner or child.
Mandatory Code of Conduct: Effective Date of Law Unknown
The proposal would require employers to introduce a code addressing unwanted behaviour such as bullying, sexual harassment, discrimination, aggression and violence. Employers with ten or more employees would be required to adopt a Code of Conduct addressing undesirable behaviour in the workplace. Undesirable behaviour includes, but is not limited to, bullying, sexual harassment, discrimination, aggression, or violence committed by colleagues or supervisors.
Non-Compete Clauses: Effective Date in Dutch Civil Code Unknown
Proposal is aimed to limit non-compete clauses by restricting the duration (only 1 year after termination of employment) and geographical scope. Employers would need to justify non-compete provisions in indefinite contracts based on a compelling business interest and provide compensation to employees adhering to such clauses.
Company Doctor’s Advice in UWV Reintegration Assessment: Date of Law Unknown
The proposal would make the company doctor’s medical advice leading in UWV’s assessment of an employer’s reintegration efforts after two years of employee sickness. It aims to give employers greater certainty when following that advice.
This would not remove the employer’s reintegration obligations or prevent UWV from assessing whether sufficient reintegration efforts were made. It is a separate proposal from the reform concerning second-year reintegration with another employer.
Preparing Your Organisation
Human in Progress supports employers, HR teams and Works Councils with the organisational implications of Dutch employment law developments. The detailed guides below provide further context for individual topics. For each relevant legal development, ensure you assign an owner, record the legal status and date, and identify any payroll, contract, policy, training or employee consultation work required.
Employment Law Changes 2027
These proposed legislative changes with effective date unknown in 2026, remain subject to confirmation. Human in Progress will update this article as further developments are confirmed. For the employment law changes in the Netherlands 2027 read our article here: Dutch Employment Law Changes 2027
More Information
- 2026 Mileage Allowance in the Netherlands.
- Labour Tax Credit Netherlands 2026: Positive Impact Part-time Employees.
- Netherlands Pension System 2026: The Future Pensions Act.
- Public Holidays 2026 Netherlands: Overview & Guidance.
- Cybersecurity Act Netherlands: EU NIS2 Implementation in 2026.
- Compensation Transition Payment Netherlands Abolition.
- CSRD Reporting EU: Mandatory Reporting on Corporate Sustainability.
- Gain Understanding of the EU Pay Transparency Directive.
- EU Law Tracker 2027: Updates, Application Dates and Actions.
