Looking back at 2024: Bovib director Bart Smals on the limits of salaried employment and the 'right not to be salaried'

As a former VVD MP and now director of industry organization Bovib, Bart Smals is committed to the rights of the self-employed and the position of the intermediary industry within a rapidly changing labor market. In conversation with Sem Overduin, Corporate Affairs & Public Policy Manager at HeadFirst Group, Smals highlights the lack of a legal framework for modern working and shares his vision for the future. He advocates more freedom of choice: "Going into paid employment is a right, but the right not to do so should be better guaranteed." What does the expiring enforcement moratorium mean for the self-employed and intermediaries? And where will the Bovib be in five years? In this interview, Smals looks back at the zzp dossier in 2024, shares his insights and takes a critical look ahead to 2025.

You've been with the Bovib for a few weeks now. How do you like it so far?

Very good. There are actually two reasons why I like it so much. First of all, my interest in the labor market file has never gone away and at the Bovib I can take that further. In addition, the Bovib is an organization that is growing fast, building on that is fantastic. The organization is becoming more and more visible and I feel responsible to continue that line. There is a lot of work to do in the area of representing the self-employed, who often fall between the cracks. A clear legal framework for this is still lacking and I would like to contribute to that as director of the Bovib.

What was your main reason for joining Bovib?

The way the labor market is currently legally structured no longer reflects reality. The labor market is becoming more flexible, but there is no good legal framework to support that. Wage employment is no longer taken for granted for workers; the Bovib is responding well to this change.

What do you think is Bovib's role in that labor market and in the social playing field? 

Simply put: connecting supply and demand, like an oil man. The Bovib fulfills a modern role within the coalition of industry associations that support the flexible labor market. The need for flexible work comes not only from companies, but also from workers themselves. Bovib members open up the labor market and support clients in complying with laws and regulations.

Under your leadership, where will the Bovib be in five years?

I hope that we will then have a solution to the need for modern and flexible working, and that false self-employment will have been effectively addressed. The Bovib will then play a crucial role in connecting supply and demand and supporting clients, suppliers and self-employed workers.

The enforcement moratorium expires on Jan. 1, 2025. Do Bovib members know what awaits them?

I don't think anyone really knows. Everyone is looking for clarity, but the various rulings and rules - such as the Deliveroo judgment and comments by the minister and state secretary - do complicate things. The goal is to prevent false self-employment, and Bovib members are doing their best to do so. The problem is that no one at the front end, from the ministry to the Tax Office, can really say when you are compliant. Ideally there would be a traffic light model that you can rely on, rather than a situation where you have to wait and see, but we have to deal with this situation.

What do you notice about members leading up to January 2025?

Members are busy having conversations with clients and trying to advise on hiring policies based on the Deliveroo ruling. It is good that these talks are now being held and that Bovib members are taking a proactive role. Bovib members are professional organizations and take that responsibility.

As a former House member, how do you view the House's response to the enforcement plans of the Cabinet and the Internal Revenue Service?

The Chamber is right to be critical. The enforcement moratorium was put in place in 2016 because there was no clear legislation, that still hasn't changed. The Supreme Court has further colored the case law with the Deliveroo ruling, but it is really up to the legislature to provide clear legislation. In the Netherlands you have the right to work as an employee, but also the right not to. That deserves a good legal framework.

Did the end of the enforcement moratorium play a role in your political work?

Sure. At my first debate, MP Senna Maatoug of GroenLinks asked why the VVD, nota bene the party of enforcement, was so against enforcement of the DBA law. My answer was simple: if there is no clear law, you can't enforce it. I am in favor of enforcement, but only if there is a good legal framework. When even the judiciary says "approach it holistically," the answer is often "it depends.

As a VVD MP, you were critical of the VBAR and the role of entrepreneurial criteria. How do you currently view the VBAR?

When I was in the Chamber, I thought it was important to stand up for the right to free choice: you should be able to choose to be an entrepreneur. That should be reflected in the VBAR. The Borstlap Commission stated: 'fixed less fixed and flex less flex' - more balance in the labor market by making fixed contracts more flexible and flexible contracts more secure. But the way the VBAR looks now, it hardly matches that vision anymore. That's a shame. The right to entrepreneurship must be guaranteed. The VBAR should not force people into being employees if people do not want to be.

You also spoke out as a member of parliament about the representation of zzp'ers in the polder, for example in the SER. Why is that important?

I am a great supporter of the polder model because it brings different interests together to then reach solutions. But the interests of some groups, such as the self-employed, are not sufficiently taken into account. For a well-functioning polder it is essential that all interests are represented. I am therefore pleased that the SER now has seats for the self-employed - so they finally get a voice in decision-making.

Would the Bovib benefit from greater zzp representation in the polder?

Yes, definitely. The Bovib is growing and becoming more visible. A greater representation of zzp'ers would be good. Of course, the Bovib is not a union for the self-employed, but the self-employed are an important part of the labor market and the services provided by our members.

2024 has been an eventful year for the self-employed. What was a highlight for you?

Then I would like to go back a little further than 2024. In late 2023, Josette Dijkhuizen became a crown member of the SER because of her expertise on the self-employed. That is a step in the right direction, to give the interests of the self-employed a better place in the polder. Within the SER, after all, important long-term decisions are made regarding socio-economic policy in our country.

And a low point?

That the VBAR, in almost unchanged form, was sent to the Council of State. As a member of Parliament, and several parties with me, I was critical of the content of the VBAR. In my opinion, too little was done with it at the time. The Internet consultation in the fall of 2023 also produced many critical - and at the same time valuable - responses. The Council of State has now come out with a critical opinion and is bouncing the ball back. This could have been prevented at an earlier stage by making changes to the bill.

What do you expect from 2025 in this area?

I hope that the enforcement on false self-employment will mainly tackle the rogue parties and will protect vulnerable self-employed people. Especially at the base of the labor market the problems occur. That segment deserves extra attention and hopefully enforcement on labor relations will contribute to that in a positive way.

This interview is part of a series, in which in recent weeks the Public Affairs team has interviewed several experts closely involved in issues surrounding the self-employed and the labor market. The series consists of six interviews, which will be published in the coming weeks.

Questions about this? Please contact us.

Sem Overduin
Public Policy & Affairs Manager
Sem.Overduin@headfirst.nl

Oifik Youssefi
Public Affairs Officer
Oifik.Youssefi@headfirst.nl

Maaike van Driel
Head of Legal
Maaike.vanDriel@headfirst.group

Thomas ten Veldhuijs
Senior Legal Counsel
Thomas.tenVeldhuijs@headfirst.nl

by evavoskuil

Talent Monitor | ICT labor market in figures 2024 - 2025

ICT labor market in figures 2024 - 2025

Since the 1990s, ICT professionals have been at the forefront of the labor market. From introducing work-life balance to pioneering online platforms such as LinkedIn, ICT professionals have always been at the forefront of labor market innovations. Now the sector is in a critical transition phase that could affect not only the ICT market itself, but the broader labor market. Find out what this means for employers, employees and (self-employed) ICT professionals.

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Cabinet goal unachievable: no 1 million ICT workers by 2030

While the government is aiming for one million ICT workers in the Netherlands by 2030, new research by labor market data specialist Intelligence Group and HR-tech service provider HeadFirst Group suggests that this goal is far out of reach. Even in a scenario of explosive growth, the Netherlands would have a maximum of 862,000 ICT workers by 2030. In more likely scenarios, the number is much lower still: between 628,000 and 783,000. Marion van Happen, CEO at HeadFirst Group nuances, "We don't have to meet the set target because AI can take over certain roles of ICT workers."

Read the entire press release here

What will you learn from this report?

In this detailed Talent Monitor, we chart current trends in the ICT labor market:

  • How the long-term growth in the number of ICT workers is slowing down and the role of AI in this change.
  • The high employment rate of ICT workers, both salaried and self-employed.
  • Declining Demand: The declining demand for ICT workers and how this affects recruitment strategies.
  • What employers are doing differently now to attract ICT workers, including the impact of the DBA law.
  • How specific ICT skills are key to both the current and future job market.
  • What rising rates mean for freelancers in the industry.
  • As AI and globalization change norms, what can we expect from industry dynamics?

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By Natasja Spooren-Wassenaar

What is false self-employment and how do you prevent it? 

In an ever-changing and dynamic legal landscape, it is critical that both self-employed individuals and clients have a clear understanding of what false self-employment entails and what consequences this can have. There is false self-employment when a worker works for a client as a self-employed person, while in the actual situation there is an employment contract. The client and contractor are jointly responsible for shaping the employment relationship correctly.

Here are the key points to consider if you want to position yourself as a self-employed person, or if you are a client working with self-employed people.

1. Legal definition of false self-employment 

Sham self-employment occurs when a self-employed person is ostensibly self-employed, but when the facts and circumstances point to an employment contract. Whether an agreement should be regarded as an employment agreement depends on all relevant facts and circumstances taken together. These include (1) the manner in which the work and working hours are determined, (2) the embedding of the work and the worker in the organization, and (3) to what extent the worker runs entrepreneurial risk. In practice, there are other criteria and indications that weigh in determining the employment relationship. Should an assignment contract with a freelancer nevertheless be qualified as an employment contract, this will have tax and legal consequences for both the freelancer and the client.

The main testing framework for this comes from existing case law and, in particular, the Deliveroo judgment. The Supreme Court has formulated several points of view that are relevant when assessing the employment relationship. It is important for self-employed persons and clients to be aware of these criteria and indications. On Friday, November 1, the Tax Office published a document entitled 'Explanation of assessment of working relationships'. This document further explains which legal principles and case law are important when assessing a working relationship.

To enshrine these viewpoints in law, political Hague is working on the draft bill Verduidelijking Beoordeling Arbeidsrelaties en Rechtsvermoeden (VBAR).. The law aims to create a clearer distinction between employees and the self-employed and give vulnerable workers at the base of the labor market (under €33 per hour) a better legal position. Consideration of this bill in the House of Representatives and the Senate has yet to take place. You can read more about it here.

2. Risks to the worker in false self-employment 

For the self-employed person themselves, the risks can be great if there is false self-employment. Consider:

  • Recoveries of tax benefits: when the tax authorities correct the employment relationship, tax benefits such as the self-employment deduction and the SME profit exemption can be recovered;
  • Fines and surcharges: the client may also face possible fines and surcharges of payroll taxes, as the self-employed person is subsequently considered an employee.Fines cannot be recovered from the zzp'er, after-tax payroll taxes can. However, in the Parliamentary letter of September 6, the government has announced that it will be lenient in the distribution of fines. For that reason, organizations that demonstrably take steps against false self-employment will not be fined in 2025.

3. Working on self-employment

To avoid false self-employment, it is essential to meet various criteria and elements associated with self-employment. These criteria include:

  • Entrepreneurial risk: make sure you bear the financial risk for your business and the work you do. Commercial risk is part of entrepreneurship;
  • As a self-employed person, make sure you make business investments of some magnitude. Consider investments in business equipment such as a laptop or investments in courses and training;
  • Make sure that you actually behave as an independent entrepreneur in economic and social life. Consider the number of clients you have and an active role in acquiring new clients;
  • It is important to actually implement contractual agreements in practice. Practice is leading, not agreements on paper. In legal jargon in legal jargon.

By meeting these criteria, self-employment can be demonstrated and prevent the Inland Revenue from qualifying the employment relationship as an employment contract.

4. All facts and circumstances count 

It is important to understand that the assessment of self-employment is a weighing of all the facts and circumstances. There is no single decisive criterion; the employment relationship is looked at holistically, or in other words, the total context of the employment relationship is considered. This means that model agreements are useful, but only when they are actually observed in practice. As indicated above, the Inland Revenue and judges look beyond the paper reality: the facts and circumstances in the workplace are ultimately decisive in assessing the employment relationship.

Conclusion

Bogus self-employment is a complex and important issue. For both self-employed workers and clients, it is essential to be aware of the legal definition, the risks, and the steps that can be taken to ensure proper qualification of the employment relationship. Carefully considering all relevant facts and circumstances and encouraging entrepreneurial criteria are crucial to actually working as an independent contractor.

HeadFirst Group finds it important to inform clients and freelancers about the latest political-social developments. Watch our webinar back about the lifting of the enforcement moratorium and how to prevent false self-employment.

HeadFirst Group's Public Affairs team closely follows political and social developments. Our experts are ready for you - leave your details and we will contact you.

Questions about this? Please contact us.

Sem Overduin
Public Policy & Affairs Manager
Sem.Overduin@headfirst.nl

Oifik Youssefi
Public Affairs Officer
Oifik.Youssefi@headfirst.nl

Maaike van Driel
Head of Legal
Maaike.vanDriel@headfirst.group

Thomas ten Veldhuijs
Senior Legal Counsel
Thomas.tenVeldhuijs@headfirst.nl

by coenspecken

How much weight does a warning actually carry?

A warning can be given as early as the first offense, but its impact depends on who gives the warning, the severity of the offense and even the external circumstances. You understand: there is no one-size-fits-all answer. This begs the question: what is the value of a warning from the Tax Office for clients who, often unknowingly, employ self-employed workers in the "wrong" way? Marion van Happen, CEO of HeadFirst Group, responds to the latest developments and the previously passed motion.

As of Jan. 1, 2025, the enforcement moratorium will expire, and with it "the designation," an instrument used by the Internal Revenue Service to give clients the opportunity to adjust the working relationship with a self-employed person within a certain period of time. During the debate on the zzp dossier on Sept. 12, several MPs expressed concerns about the expiration of this instrument. This led to an adopted motion by MP Aartsen (VVD), supported by several groups, on the 'warning' instrument. At first glance, this appears to be a new instrument, but it is important to realize that warnings have long been part of the inspectors' toolbox. The difference is that, thanks to the adopted motion, the warning is likely to play a more prominent role in enforcement policy.

The power of warnings

Although a uniform warning is difficult to define, warnings are always customized and contain reasonableness. Van Happen says the following about this: "The Tax Administration must give the market room to learn, adapt and engage in dialogue. Warnings should not degenerate into a purely bureaucratic tool, but should give organizations the opportunity to work seriously on improving the correct assessment of an employment relationship, without immediately being confronted with fines or additional taxes. Active cooperation with the market is therefore a key focus within the Enforcement Plan for Labour Relations of the Tax and Customs Administration. This cooperation between government and market is something we warmly welcome and we take our responsibility where we can."

Collaboration is key

The recently published document 'Explanation of Assessment of Labor Relations. Decision and consideration framework' makes it clear once again that the practical facts and circumstances on the shop floor are leading in assessing the employment relationship. All relevant facts and circumstances must then be considered and assessed as a whole. This is complex and does not always provide the clarity one is looking for. It is therefore not surprising that in recent weeks much has been about the so-called "soft landing," whereby the Tax Administration should not immediately "punish" organizations without first giving them the opportunity to improve the situation.

 

Van Happen: "The warning should in fact be an invitation to improvement, whereby clients can work step by step on compliance with the rules surrounding the hiring of self-employed workers. Not every violation requires harsh sanctions; often dialogue and adaptability is sufficient. When warnings are used to encourage this learning process, this instrument within the enforcement policy can contribute to a fairer, more transparent and workable market, with sufficient room for flexibility and independent entrepreneurship.

A constructive collaboration

At HeadFirst Group, we see the warning as an opportunity to work together with the tax authorities to create a market in which "mistakes" are part of the learning process, without immediately leading to financial consequences. By focusing on customization, reasonableness and communication, we can create a labor market in which both clients and intermediaries and self-employed are compliant and successfully cooperate with each other.

HeadFirst Group's Public Affairs team closely follows political and social developments. Our experts are ready for you - leave your details and we will contact you.

Questions about this? Please contact us.

Sem Overduin
Public Policy & Affairs Manager
Sem.Overduin@headfirst.nl

Oifik Youssefi
Public Affairs Officer
Oifik.Youssefi@headfirst.nl

Maaike van Driel
Head of Legal
Maaike.vanDriel@headfirst.group

Thomas ten Veldhuijs
Senior Legal Counsel
Thomas.tenVeldhuijs@headfirst.nl

by benthe

Opinion of Advocate General De Bock: limited significance of entrepreneurial criteria in assessing employment relationship

"Important, but not decisive," is how Attorney General (AG) Ruth de Bock judges the importance of personal entrepreneurial criteria in assessing the employment relationship. Indeed, the first thing to consider is criteria within the employment relationship, not the person of the worker himself.

Entrepreneurial criteria outside employment relationship not decisive

In September 2024, De Bock issued an important opinion issued to the Supreme Court on the assessment of labor relations. This opinion may play an important role in the case between Uber and FNV. The opinion relates to the application of the so-called personal entrepreneurial criteria when assessing whether an employment relationship should be considered an employment contract. With the opinion that the AG gives is in line with the draft bill Verduidelijking Beoordeling Arbeidsrelaties en Rechtsvermoeden (VBAR), which is currently with the Council of State for advice. De Bock advises that the entrepreneurial criteria outside the employment relationship - such as the number of clients the worker has and actively making acquisitions to acquire orders - should should play only a limited role in qualifying a labor relationship. According to her, the key question should remain whether there is an employment relationship and therefore criteria within the employment relationship, such as a relationship of authority between the worker and the worker. The opinion of De Bock underlines that a formal reliance on self-employment may not be decisive if the actual working conditions point to an employer-employee relationship, after all, labor law is mandatory. Important to note: the AG's opinion is not binding and the Supreme Court therefore does not have to adopt it. In the judgment on Deliveroo the Supreme Court did not follow the advice of the AG either.

Supreme Court still to come up with final ruling

In the case between Uber and trade union FNV, the Amsterdam Court of Appeal postponed its ruling by asking May 2024 preliminary questions to the Supreme Court about the Deliveroo-ruling. In the Deliveroo-judgment of March 24, 2023, the Supreme Court mentioned several criteria and points of view that are relevant for determining whether a working relationship should be considered an employment contract. One of those criteria concerns the entrepreneurship of the person himself, in this case the drivers. The court now asks the Supreme Court to clarify this criterion. A literal interpretationhet Deliveroo-ajudgment it might be possible that in the case of two Uber drivers doing the same job, one has an employment contract and the other does not. The court wants to know from the Supreme Court whether this is indeed meantmeant by het Deliveroo-arrest.

Important ruling for the zzp file

The ruling of the Supreme Court, which may choose to adopt or disregard De Bock's opinion, will be decisive for the future and the role of self-employed persons in the labor market in the Netherlands. The Supreme Court's final answer to the preliminary questions may have major consequences for the position of self-employed persons in the labor market and the question of when an employment contract exists. The Supreme Court's opinion will also undoubtedly weigh in on the political debate on the draft VBAR law.

HeadFirst Group's Public Affairs team closely follows political and social developments. Our experts are ready for you - leave your details and we will contact you.

Questions about this? Please contact us.

Sem Overduin
Public Policy & Affairs Manager
Sem.Overduin@headfirst.nl

Oifik Youssefi
Public Affairs Officer
Oifik.Youssefi@headfirst.nl

Maaike van Driel
Head of Legal
Maaike.vanDriel@headfirst.group

Thomas ten Veldhuijs
Senior Legal Counsel
Thomas.tenVeldhuijs@headfirst.nl

by evavoskuil

Successful fourth edition of the Labor Market Gateway

On Tuesday, October 15, members of parliament, journalists, civil servants and experts gathered again in Nieuwspoort for the fourth edition of the Labor Market Gate. This time the topic on the agenda was 'the connection between education and the labor market'. Although the subject is of great importance to employers and educational institutions, it is not yet high on the political agenda. All the more reason to exchange views with all stakeholders.

Lifelong development

"We really need to accelerate on the Lifelong Development dossier," stated ROC Mondriaan board chairman Hans Schutte. Led by Hans Biesheuvel, former chairman of ONL for Entrepreneurs, Schutte entered into a conversation with Maurice Limmen, chairman of the Association of Universities of Applied Sciences. Two gentlemen with a clear vision on the issue and a rich career in the field of education. Limmen came with strong words towards the cabinet: "I call the education plans from the coalition agreement worrying. What strikes me is a lack of notion of retraining and upskilling from one sector to another, a vision on this is completely lacking."

Especially in professions where labor is in high demand - such as engineering, healthcare and ICT - it appears that there are too few qualified people to meet this demand. This problem is exacerbated by technological change and an aging workforce. All in all, this is putting increasing pressure on these sectors.

Educational institutions come along with difficulty

The speakers indicated that educational institutions are struggling to respond properly and effectively to the rapidly changing labor market. This is due to complex regulations, limited flexibility in curricula and a lack of cooperation with industry. Moreover, budget cuts in education are creating additional bottlenecks. To close this gap, the need for better cooperation between educational institutions, businesses and government was emphasized: the so-called triple helix. Companies must be actively involved in designing training so that it is better aligned with practice. The government can play an important role by adjusting regulations and offering financial incentives to promote Lifelong Development.

Long-term study penalty and labor shortages

Another concern was the so-called lanxiety study penalty, which may cause students who take longer to complete their education to be discouraged from further specializing in fields where there are major shortages. The issue of how the nearly half a million people out of work can become active in the labor market again was also addressed. Following this, Maurice and Hans entered into conversation with MPs Mikal Tseggai (GroenLinks-PvdA), Daan de Kort (VVD) and Rosanne Hertzberger (NSC). All these discussions about the cuts in education, the influx of international students and Lifelong Development made for a lively discussion, where clear contrasts could be seen between the coalition and opposition parties.

Do you have questions about the Labor Market Gateway? Our experts are ready for you - leave your details and we'll get back to you.

Questions about this? Please contact us.

Sem Overduin
Public Policy & Affairs Manager
Sem.Overduin@headfirst.nl

Oifik Youssefi
Public Affairs Officer
Oifik.Youssefi@headfirst.nl

Maaike van Driel
Head of Legal
Maaike.vanDriel@headfirst.group

Thomas ten Veldhuijs
Senior Legal Counsel
Thomas.tenVeldhuijs@headfirst.nl

by evavoskuil

Central government launches public campaign to tackle false self-employment

As of Jan. 1, 2025, the Tax Administration's enforcement moratorium will expire. From then on, companies and organizations that hire self-employed workers when in fact they are employed risk an additional tax assessment or fine. As part of the lifting of the enforcement moratorium, the Ministry of Social Affairs and Employment has launched a public campaign. The campaign is aimed at clarifying the rules around labor relations, with the goal of helping clients and contractors understand when someone is self-employed and when employment is involved.

Central to the campaign is a new website, on which clients and self-employed people can find information and tools. An important part of this is the so-called "choice tool." This tool consists of ten questions that help self-employed people determine whether they are actually working on an assignment as a self-employed person or whether there are still many elements that belong to employment. The selection tool, however, does not give a binding judgment and offers advice to start a conversation about the right contract. The website also lists 10 characteristics that indicate self-employment and 10 that fit with being an employee. For example, it looks at whether a self-employed person bears commercial risk, makes their own investments and decides how the work is done. Characteristics of salaried employment include structural work within an organization, fixed working hours and a commitment to effort. What is important here is that no single characteristic is decisive; all factors must be considered in conjunction, which sometimes makes the assessment complex.

The website does not provide any new insights. The examples of ten concrete situations being worked out were already found in the Explanatory Memorandum of the draft law Verduidelijking Beoordeling Arbeidsrelaties en Rechtsvermonden (VBAR). Furthermore, the webpage refers to the web module, but this web module does not take into account the viewpoints and elements from the Deliveroo judgment. In response to the public campaign and the website, MP Thierry Aartsen (VVD) asked written questions to the ministers Van Hijum and Idsinga.

We advise and support our clients and independent professionals on the basis of a framework based on the viewpoints and elements arising from the Deliveroo judgment. In consultation with both parties, we look for an appropriate solution, which may differ per situation. If you would like to know more about this, please contact us.

by evavoskuil

DGA construction not a solution to false self-employment

With the lifting of the enforcement moratorium on Jan. 1, 2025, many self-employed workers have questions, "Can I continue my current assignment? Can I continue to work for the same client(s)?" With changing legislation and misleading information in the media, there is much confusion, especially about how to avoid "false self-employed" status. An often mentioned solution is to set up a limited liability company and appoint yourself as a DGA, but this is a misconception. In this article, we explain the real situation.

Other rates

The tax authorities do not recognize the term 'zzp'; for tax purposes, a self-employed person without staff is seen as a sole proprietorship or a private limited company (bv). The report 'Grip op het zzp-dossier', conducted by knowledge platform ZiPconomy on behalf of HeadFirst Group and ONL voor Ondernemers, shows that in 2023 one in ten zzp'ers had a bv, while nine in ten had a sole proprietorship. With a sole proprietorship, the entrepreneur is personally liable for debts of the company.

With a PLC, this liability basically remains with the PLC itself and not with the directors or shareholders. Setting up a PLC can also have tax advantages, because different tax rates apply. Whereas with a sole proprietorship you pay income tax in box 1, with a PLC you pay tax in box 2. It is agreed, however, that these tax benefits only become relevant at a minimum annual profit of €100,000 to €200,000.

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Mock security

Professionals and consultants regularly advise self-employed people on social media to set up a private limited company and appoint themselves as director and major shareholder. This would protect them from the risks of false self-employment. However, the Inland Revenue assesses the nature of the employment relationship, regardless of the legal form. 

Practice rather than legal form

The fact that a person works through a private limited company does not automatically mean that there can be no false self-employment. It ultimately revolves around the "facts and circumstances in the performance of the work. The practical situation is leading, making it important to actually behave as an independent contractor.

The Deliveroo ruling

In the Deliveroo ruling, the Supreme Court listed ten important points for determining whether there is a true employment contract. These must always be considered in conjunction; there is no fixed order or point that outweighs the others. What matters is the overall picture of all the facts and circumstances. Together, they give a good picture of the working relationship and determine whether an employment contract exists. 

At HeadFirst Group we advise and support our clients and independent professionals on the basis of a framework based on the points of the Deliveroo judgment. In consultation with both parties, we look for an appropriate solution, which can differ per situation. 

Laws and regulations are constantly changing. Find out how this affects your external hiring. Our experts are ready for you - leave your details and we'll get back to you.

Questions about this? Please contact us.

Sem Overduin
Public Policy & Affairs Manager
Sem.Overduin@headfirst.nl

Oifik Youssefi
Public Affairs Officer
Oifik.Youssefi@headfirst.nl

Maaike van Driel
Head of Legal
Maaike.vanDriel@headfirst.group

Thomas ten Veldhuijs
Senior Legal Counsel
Thomas.tenVeldhuijs@headfirst.nl

by evavoskuil

Talent Monitor | European self-employed under the microscope: Trends, growth & diversity

European self-employed under the microscope: Trends, growth & diversity

The European labor market is in flux. With nearly 20 million self-employed spread across several countries, there are big differences in how this group develops. The Netherlands leads the way with unique trends in flexible work, but how do we compare to the rest of Europe?

The Talent Monitor offers an in-depth analysis of the European self-employed market, sharing insights you shouldn't miss.

Download report

Increasing number of self-employed people under 30 in the Netherlands, Belgian numbers actually decreasing

Over the past five years, the number of self-employed people under 30 in the Netherlands has increased significantly, accounting for 12.7 percent of the total number of self-employed people in our country. This places the Netherlands among the top European countries, along with countries such as Malta, Slovakia and Lithuania. In contrast to the Netherlands, Belgium - at almost 4 percent - has actually seen a decline in the number of young self-employed people. This is shown in the most recent Talent Monitor, a joint study by labor market data specialist Intelligence Group and HR-tech service provider HeadFirst Group.

Read the entire press release here

What can you expect in this report?

  • A unique comparison between the Dutch labor market and the rest of Europe.
  • Find out why older and highly educated self-employed people dominate, and why younger people are less likely to become self-employed.
  • Analysis of the growing role of women in the self-employed market and its link to emancipation.

Who should read this report?

  • Legislators: To place the Dutch labor market in a broader European perspective.
  • Clients with international ambitions: To develop an effective European recruitment strategy.
  • Zzp'ers: To understand how unique the Dutch zzp is compared to other European countries.

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By Natasja Spooren-Wassenaar

Tighter, frugal, fast: what will change for the self-employed in 2025?

Anyone who listened to the Speech from the Throne live will undoubtedly have noticed King Willem-Alexander's length and tone. For example, he summarized the cabinet plans for 2025 as "strict, austere and fast. The labor market was also mentioned: the cabinet wants to make efforts to solve the shortage in various ways. Wage employment must become more attractive and everyone must have the opportunity for lifelong development through retraining and further education. But what about the self-employed? We list the most important plans and changes.

Taxes for the self-employed

Self-employed people will pay slightly more tax on average in 2025 if their profits remain the same. This is due to a number of changes in taxes. For example, the self-employment deduction will be further reduced to €2,470 per year in 2025. In 2024, this was the self-employment deduction was still €3,750. Reducing the self-employment deduction is intended to ensure a fiscally level playing field between the self-employed and employees.

Furthermore, as an entrepreneur in the income tax, you are entitled to the SME profit exemption. This exempts part of your profits from income tax. The plan was to reduce the exemption from 2025 to 12.07% (previously this percentage was 13.31). Nevertheless, the percentage in 2025 drops slightly less, to 12.7%.

These adjustments ensure that entrepreneurs have to pay taxes on a larger portion of their profits. At the same time, the cabinet is trying to support low incomes by, for example, increasing the rent allowance and the child-related budget.

Box 1: Income from employment, benefits and home ownership

The classification of Box 1 will be changed to three brackets instead of two. The distribution of the brackets and percentages is as follows:

  • On income up to €38,441, you will pay 35.82% tax, which is lower than in 2024.
  • On income between €38,441 and €76,817 you will pay 37.48%, a slight increase from 2024.
  • For income above €76,817, the rate remains 49.5%.

Lower incomes benefit from the lower rate in the first bracket, while higher incomes pay more tax due to the higher rate in the second bracket.

Box 2: Income from stock ownership

Are you operating in a private limited company? If so, the bv must pay corporate income tax each year. Do you have more than 5 percent of the shares and also work in this bv? Then you are a director-large shareholder (DGA). As a DGA, you face taxation in box 2 of the income tax. In 2025, the following changes will be made:

  • On dividends up to €67,804, you pay 24.5%, equal to 2024.
  • On dividends above €67,804, the rate drops from 33% to 31%.

If the rate in Box 2 goes down in 2025, it may be more attractive for entrepreneurs to wait to pay dividends.

Box 3: Income from savings and investments

Do you have savings or investments? Then you will pay no tax on your assets up to €57,684 in 2025. Do you have more assets? Then, just like this year, you will pay 36 percent tax on the return the tax authorities expect you to make in 2025. We call this a notional return.

No deductibility of donations in corporate taxes

As of Jan. 1, 2025, donations to charities are no longer deductible from corporate income tax (vpb). This applies to donations to non-profit organizations (ANBIs) or support foundations SBBI. Gifts by a company to an ANBI at the request of a shareholder with a substantial interest are considered a profit distribution, on which income tax (box 2) and dividend tax must be paid.

Emission-free cars: discount on road tax

The government is encouraging the switch to emission-free cars with rebates on motor vehicle tax (mrb) until 2029. The scheme is as follows:

  • From 2026 to 2029, a 25% discount applies;
  • Starting in 2030, this discount will expire.

Evaluation of tax entrepreneurial schemes

Over the past six months, an evaluation of several tax entrepreneurship schemes, such as the self-employment deduction and SME profit exemption, has been conducted. Research firms SEO and Dialogic, commissioned by the Ministries of Finance and Economic Affairs, concluded that these schemes have limited effectiveness in stimulating entrepreneurship and social benefits. While no firm conclusions on effectiveness could be drawn, they found that the cost of the schemes is relatively high relative to their effectiveness. This raises questions about possible reforms of these schemes.

Status of legislative proposals

The above cabinet plans are part of the 2025 Tax Plan. The measures are contained in several bills. The Lower and Upper Houses must still approve the bills before the plans can take effect. They will vote on the Tax Plan 2025 in November and December.

by marjoram