Do you deploy staff (temporarily) at client locations in the Netherlands? If so, it is important to consider the upcoming admission of temporary agency work act, the so-called "Wet toelating terbeschikkingstelling arbeidskrachten" (Wtta). This legislation, expected to enter into force on 1 January 2027 (with enforcement from 2028), will fundamentally change the way organisations can deploy and supply staff. 

Although the legislation may initially appear to target staffing agencies, it is important to emphasise that its scope is much broader. Other forms of supplying labour may also fall within its scope, including secondment, project-based deployment and international mobility. In practice, the greatest impact for many organisations will not necessarily lie in supplying staff, but rather in hiring them. Examples include consultancy firms, IT service providers and international organisations deploying staff in the Netherlands. For these organisations, it is important to gain timely insight into the impact of the Wtta.

What is changing? 

With the introduction of the Wtta, the legislator is introducing a mandatory licensing system. This means that organisations may only supply workers if they hold an official licence issued by the authorities. At the same time, organisations hiring staff may only engage with parties that hold such a licence. For many organisations, the greatest impact lies on the hiring side. Companies that hire staff will have an active duty to verify compliance and face risks if they work with non-licensed parties.

Whether an arrangement qualifies as the supply of labour is determined based on the factual situation. A key factor is whether an individual works under the supervision and direction of the client. As a result, the legislation has a broad scope in practice and may also cover arrangements that are not contractually structured as secondment or agency work. 

Why this legislation? 

The Wtta has been introduced in response to structural issues within the labour market, including underpayment, non-compliance with employment conditions and avoidance of tax obligations. These risks have become particularly visible in relation to the use of migrant workers.

Based on the recommendations of the Roemer Committee, the legislator has opted for a system in which access to the market is assessed in advance. This shifts the focus from enforcement after the fact to control at the front end, with the aim of creating a level playing field and improving worker protection. 

When does the Wtta apply to your organisation? 

The Wtta applies to all organisations that supply workers to third parties, regardless of whether this is their core activity. This means that organisations that only occasionally deploy staff at client locations may also fall within scope. In practice, this is relevant for consultancy firms, IT service providers and international organisations deploying staff in the Netherlands. Foreign entities are also within scope where they supply workers in the Netherlands.

Organisations hiring staff have a clear responsibility. They may only engage with parties that hold a valid licence and must actively verify this. As a result, the impact of the Wtta extends across the entire supply chain. 

Are there any exceptions? 

The legislation includes a limited number of exceptions, which are applied strictly. An organisation may fall outside the scope of the Wtta where it supplies labour only to a limited extent. This requires that, cumulatively: 

• Revenue from supplying workers amounts to less than 10% of total turnover; and  
• This revenue does not exceed €5 million per year.  

This threshold is explicitly based on revenue, not payroll costs.

In addition, an exception may apply in cases of so-called collegial lending, where workers are supplied at cost price and the supply of labour is not the primary purpose. Exceptions may also apply to specific sectors or training arrangements, with further details to be set out in secondary legislation. 

The security deposit: direct financial impact 

An important element of the Wtta is the obligation to provide a security deposit. This amounts to €100,000 for a full licence and €50,000 for a provisional licence, for example for start-up entities.

The deposit must be paid upfront and is not freely available to the organisation during the period of the licence. It serves as financial security for, among other things, employee wage claims, tax obligations and potential sanctions.

This means that the introduction of the Wtta may have a direct impact on an organisation’s liquidity and financing structure. For established and demonstrably compliant organisations, an exemption from the obligation to provide a security deposit may apply under certain conditions. This is particularly relevant for organisations that have been active for several years and can demonstrate compliance with tax and integrity requirements. 

Timeline and transitional regime 

The implementation of the Wtta will take place in phases. In 2026, the licensing system will be opened and applications can be submitted. From 2027, the licensing requirement will apply and from 2028, active enforcement will commence.

Existing organisations may continue their activities, provided that they apply for a licence in time. Many organisations currently hold an SNA certification. While this remains relevant, it does not automatically result in a licence under the Wtta. However, it may support the assessment, as certain compliance elements overlap. 

What does this mean for your organisation? 

The Wtta may have significant implications for both suppliers and hirers of labour, with the impact for hirers often being underestimated. Organisations supplying staff will need to assess whether they fall within scope, comply with additional requirements and potentially provide a security deposit.

For organisations hiring staff, this means that they must:

• Actively verify whether suppliers hold a valid licence;  
• Reassess existing contracts and arrangements;  
• Consider obligations within supply chains, including onward supply.  

Non-compliance may result in fines, withdrawal of licences, suspension of activities and reputational damage. 

How can you prepare? 

Given the impact and broad scope of the legislation, it is advisable to assess your position at an early stage. This starts with analysing your activities, reviewing contractual arrangements and determining whether there is a supply of labour within the meaning of the legislation.

It is also important to assess whether your organisation complies with relevant requirements in relation to payroll, administration and tax obligations. 

How can we support you? 

As a payroll and advisory partner, we support both domestic and international organisations in their activities in the Netherlands. We assist in assessing the impact of the Wtta, reviewing your current position and implementing processes that comply with the new requirements. 

More information? 

If you would like to understand what the Wtta means for your organisation or wish to prepare in a timely manner, please contact Brian James via BJames@rsmnl.nl, Guido van Ankum via GvanAnkum@rsmnl.nl of Sonja Matzedda-Boogaard via SMatzedda@rsmnl.nl. We would be pleased to assist you.