Five important changes to employment law in 2026

Employment law will undergo several changes in 2026. These changes will have direct consequences for employers, HR professionals, self-employed professional and employees. Below, we list the five most important changes for you.

1. Equal terms of employment for temporary workers

As of 1 January 2026, the remuneration of temporary workers will change significantly. The current hirer's remuneration will disappear and be replaced by the principle of equal pay. This means that, from day one, temporary workers will be entitled to a package of employment conditions that is at least equivalent to that of employees in a comparable position at the hirer's company. This applies not only to wages, but also to allowances, leave, working hours, pensions and other employment conditions. Employers must provide the temporary employment agency with full and transparent details of their terms and conditions of employment. If they fail to do so or provide incorrect information, they may be held (jointly) liable. This change requires careful preparation and coordination between the hirer and the temporary employment agency.

2. New law for self-employed professionals and employees (VBAR Act)

The VBAR Act (Clarification of the Assessment of Employment Relationships and Legal Presumption) is expected to come into force in the course of 2026 and will replace the DBA Act. This Act introduces a clearer assessment framework to determine whether someone is working as an employee or as a self-employed professional. It will look at elements such as the relationship of authority, entrepreneurial risk and integration into the organization. In addition, there will be a legal presumption of employment, particularly in the case of low hourly rates. In such cases, the client instructing the self-employed professional must demonstrate that there is no employment contract. The VBAR Act thus increases legal certainty, but also places more responsibility on clients instructing self-employed professionals.

3. Stricter enforcement of false self-employment

From 1 January 2026, the Dutch Tax Administration will fully enforce the rules on false self-employment. The assessment criteria will not change, but enforcement will become stricter. This means that, in addition to corrections and additional assessments, penalties for offences can also be imposed in cases of intent or gross negligence. Furthermore, corrections can be made retroactively to 1 January 2025. Although the 'soft landing' from 2025 will continue in part, the risk for clients instructing self-employed professionals will increase significantly in 2026. It is therefore essential to properly substantiate, record and regularly reassess employment relationships with self-employed professionals.

4. Higher maximum severance payment

In 2026, the maximum severance allowance that an employer must pay upon dismissal will increase to €102,000 gross (or one year's salary if that is higher). The severance allowance remains payable from the first working day and applies in the event of dismissal at the employer's initiative or if a temporary contract is not renewed. The increase could make dismissal considerably more expensive, particularly in the case of higher salaries and longer periods of employment. This underlines the importance of a good dismissal policy and timely considerations regarding contract renewal.

5. Abolition of wage cost subsidy for older employees

As of 1 January 2026, the wage cost subsidy (LKV) for older employees (aged 56 and above) will be abolished for employment contracts that started on or after 1 January 2024. The LKV will continue to apply to employees who joined the company before that date. This means that the financial advantage of hiring older employees will decrease, which may have consequences for recruitment and personnel policy. Employers would be wise to take this into account in good time when making new appointments and cost forecasts.

If you have any questions about these changes, please do not hesitate to contact us.