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Tuesday, 6 May 2025 - 11:10

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Number of self-employed stabilizing after drop tied to stricter hiring rules

The total number of self-employed workers without employees in the Netherlands remained virtually unchanged in April, according to new data from the Kamer van Koophandel (KVK). As of April 30, 1,772,647 individuals were registered as self-employed without staff in the Dutch trade register, a modest increase of just 1,800 compared to the previous month.

The KVK Self-Employment Monitor for April 2025 shows that while overall figures have stabilized in recent months, the sector continues to shift. The number of self-employed workers without employees dropped by 700 in the healthcare sector and by 149 in construction. Most other sectors showed slight growth. Compared to April 2024, the number of self-employed workers closing their businesses increased by 2,400, a rise of 24 percent. Meanwhile, new registrations fell by 3,450, or 19 percent, continuing a downward trend seen in previous months.

A separate KVK study among 500 self-employed workers and 500 clients reveals broad awareness of the government's intensified enforcement of the Deregulation Assessment of Employment Relations Act (DBA), which aims to curb false self-employment. Nine out of ten freelancers said they do not consider themselves to be working under a sham contract, but only half of clients agreed. “The fact that 90 percent of self-employed workers don’t see themselves as falsely self-employed, while clients often disagree, highlights persistent uncertainty,” said Joris Knoben, professor of strategy and entrepreneurship at the Tilburg School of Economics and Management.

Knoben said that after years of growth, the sector has reached a plateau. “We’ve now had a few months of a stable number. In healthcare, and to a lesser extent in construction, we’re seeing declines, but slight growth in other sectors is keeping the total steady. I expect this relatively stable situation to continue for a few more months. In sectors such as home care and childcare, the number of self-employed workers without employees is likely to keep falling,” he said.

Both freelancers and clients expressed mixed reactions to the intensified enforcement. Half supported the government’s efforts to address false self-employment. But the consequences are being felt. One-third of self-employed workers said they are concerned about the impact on their businesses, and nearly half worry about losing their entrepreneurial freedom, fewer assignments, and declining income. Two out of five clients voiced concerns over increasing bureaucracy, staff shortages, and managing busy periods without freelance support.

According to the study, 50 percent of self-employed workers and 80 percent of clients have already noticed the effects of enforcement. Freelancers reported difficulty securing contracts, increasing legal complexity in agreements, and more questions from clients about their employment status. Twelve percent said they had received offers to switch to traditional employment. Among clients, 21 percent said they had offered jobs as employees to freelancers. Many also reported being more cautious when hiring and receiving more inquiries from freelancers about legal classification.

Ten percent of self-employed workers said they have either stopped or are considering ending their businesses due to the stricter rules. Still, more than three-quarters said they had never considered quitting, either because they want to remain entrepreneurs or believe they are in full compliance. On the client side, one in three is considering halting or has already stopped hiring freelancers. Another 22 percent said they are exploring alternative hiring methods, while nearly half reported no changes. Two out of five clients said they would likely return to hiring freelancers more often if enforcement were to stop.

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