New legislation alert: Senate approves stricter rules for the labor leasing market (Wtta)

The Dutch Senate has approved the Labour Provision Admission Act (Wet toelating terbeschikkingstelling van arbeidskrachten, Wtta). Under this new legislation, employment agencies and other labor providers will only be allowed to supply workers if they hold an official admission (permit). The aim of the Act is to improve the protection of workers – particularly labour migrants – and to ensure a level playing field within the sector.

Key points of the Act

• A permit requirement applies to all labor providers as of 1 January 2027. Registration must be completed with the Dutch Labour Leasing Authority (Nederlandse Autoriteit Uitleenmarkt, NAU).
• Enforcement by the Dutch Labour Inspectorate will commence on 1 January 2028.
• Fines will apply to labor providers operating without a permit, as well as to hiring companies that make use of non-admitted agencies.
• To obtain admission, labor providers must, among other requirements:
  • submit a Certificate of Conduct (VOG);
  • pay a security deposit of €100,000;
  • demonstrate compliance with existing labour legislation, such as correct payment of the statutory minimum wage.

Role of the NAU

The Dutch Labour Leasing Authority will assess applications for admission, designate inspection bodies and collect signals from the market. The NAU will begin its work in 2026, opening the registration portal for labor providers at that time.

Background

The Wtta implements key recommendations of the Advisory Committee on the Protection of Labour Migrants (the Roemer Commission). In addition, the government has introduced further measures such as expanding the Labour Inspectorate and establishing multiple support points for labour migrants. Additional legislation is currently before the Senate to make the criminal prosecution of severe exploitation of labour migrants easier.

Recommendation for temporary work agencies and hiring companies

We advise organisations that supply or hire workers to assess in good time whether they – and the agencies they work with – will meet the new admission requirements. Please contact us if you have any questions or would like a legal compliance review.