Netherlands: New Development in Approach to Self-Employment Legislation – Proposal for the Self-Employed Persons Act (Zelfstandigenwet)

In this publication, we have regularly highlighted the issues and developments surrounding the approach to false self-employment. For some time, Dutch legislators have been working on new legislation to clarify the classification of employment relationships. Now, there may be a further development. On 3 April 2025, a new private member’s bill has been submitted: the so-called ‘Self-employed Persons Act’ (In Dutch: Zelfstandigenwet). Read below for more information on the content and status of the private member’s bill.

The Dutch legislature is currently working on a bill intended to clarify the legal position of self-employed workers: the Clarification of Employment Relationships Act (Wet Verduidelijking Beoordeling Arbeidsrelaties, VBAR). We previously discussed this in our newsletter: New Legislative Proposal to Combat False Self-Employment – Palthe Oberman

During the public consultation, the proposal received critical feedback from various stakeholders, including employers’ organisations and associations representing self-employed individuals. The Council of State also issued a critical opinion on the draft.

The entry into force of the bill has been delayed, as announced in Netherlands: Postponement of Clarification of Assessment of Labour Relations and Legal Presumption Act – L&E Global

A recent development is that several parties in the House of Representatives have submitted an alternative proposal: the Self-Employed Persons Act (Zelfstandigenwet).

 

The Self-Employed Persons Act

With the Self-Employed Persons Act, politicians have opted for an approach based on entrepreneurship. The main points of the initiative proposal are as follows:

• A three-step assessment will be carried out before work commences.

1. First, the ‘self-employed test’ will be used to determine the extent to which a worker can be classified as an entrepreneur.
2. Next, the working relationship assessment is carried out, which looks at the degree of freedom an entrepreneur enjoys in the performance of their work.
3. Finally, a sectoral legal presumption is introduced in sectors where there are many bogus self-employed workers. Examples include construction and healthcare.

• The risk of reclassification of the employment relationship will lie with the entrepreneur themselves rather than with the client.
• Entrepreneurs will be required to have provisions in place for both incapacity for work and retirement.

 

Status of the bill

The Self-Employed Persons Act is not yet in force, and it remains uncertain whether it will be adopted. A majority in the House of Representatives is still required before the legislative process can begin. The next step is expected to be a public consultation, allowing stakeholders to provide input. The goal is to submit the bill to the Council of State for advice before the summer of 2025.

Current Legal Framework for Determining the Working Relationship (Employee or Self-Employed)

As of now, the legal framework used to determine whether a working relationship qualifies as employment or self-employment remains based on the criteria established in the Deliveroo ruling. These criteria include:

• The nature and duration of the work;
• The extent to which the work and working hours are determined by the employer or the worker;
• The degree of integration of the work and the worker within the organisation;
• Whether the worker is obligated to perform the work personally;
• How the contractual arrangement between the parties was established;
• The manner in which remuneration is determined and paid;
• The amount of remuneration;
• Whether the worker bears commercial or entrepreneurial risk; and
• Whether the worker presents themselves as an entrepreneur.

Under Dutch law, the assessment of the working relationship is based on a “holistic approach” (holistische benadering). This means that no single factor is decisive. Instead, the overall picture formed by all relevant circumstances is what matters. The more the relationship exhibits characteristics typically associated with employment, the more likely it is that the individual will be classified as an employee, even if they are formally engaged as an independent contractor.