Dutch business layoffs expected to be highest in years despite low unemployment rate

Dutch companies are cutting jobs at a pace not seen in years, even as the country’s unemployment rate remains low. In 2025, 42 percent more reorganizations were announced than in the previous year, affecting nearly 25,000 workers. Notable examples include Tata in IJmuiden, which initially planned to cut 1,600 jobs but reduced that to 1,200, and ABN AMRO, which plans to cut more than 5,000 jobs over the next three years, De Telegraaf reported.

The surge in layoffs spans multiple sectors, with business services, metal, and chemical industries reporting the highest numbers. UWV labor market expert Rob Witjes noted, “We haven’t received so many notifications in a decade.” Most companies said cost-cutting and efficiency, rather than automation or AI, are driving the layoffs, with only 2 percent citing AI as the main reason.

The increase in reorganizations follows warnings from labor unions such as CNV. At the same time, bankruptcies decreased in 2025, with around 2,000 companies closing, affecting nearly 20,000 workers, showing that many employers are acting preemptively to avoid insolvency.

Despite the uptick in layoffs, the broader unemployment picture remains stable. The national jobless rate stood at 4 percent at the end of 2025, though the number of people receiving unemployment benefits grew nearly 10 percent over the year, reaching almost 200,000.

Certain groups remain particularly exposed. Young workers under 25 enter the benefits system more frequently, while older workers over 55 tend to remain unemployed longer after layoffs. Witjes emphasized that while the labor market is tight overall, “companies need to take extra steps to integrate older employees back to work.”