Why the WTTA?
The Act on Admission for the Provision of Workers stems from years of problems and signals from practice. With the law, the government wants to ensure that all parties that provide workers — such as temporary employment agencies and secondment agencies — act reliably, are financially sound and act in accordance with the law. The main reasons for this are:
1. Prevent abuses at temporary employment and secondment agencies
There are thousands of small or shady agencies operating that lend out workers from home and abroad under poor conditions:
- too low or incorrect wage payment,
- poor housing,
- evasion of taxes or social security contributions,
- unclear contracts.
These agencies ruin the reputation of the entire sector and drive down the rates of honest players.
2. Prevent unfair competition
Legitimate agencies and secondment firms that comply with the rules have higher costs than rogue parties that evade the rules. The WTTA ensures a level playing field, where only licensed parties are allowed to participate.
3. Addressing the lack of oversight and transparency
Until now, almost anyone could start a temp agency — without a license or strong oversight. The government wants all links in the chain to be traceable and controllable. With the WTTA, a central licensing requirement is being introduced, linked to supervision by the Dutch Labour Inspectorate.
4. Realizing protection of workers
The law protects not only employees, but also self-employed persons who work through intermediaries:
- more certainty about correct payment,
- less risk of exploitation, sham arrangements or abuse,
- clarity about rights and obligations.
5. Working on broader labour market reform
The WTTA forms part of a broader labour market reform, together with:
- the Act clarifying the assessment of employment relationships and the legal presumption (about sham self-employment);
- the cabinet's future policy on the self-employed (about independence and security);
- and the strengthening of enforcement by the Labour Inspectorate.
Together, these measures should ensure more balance between permanent and flexible work.
Why only in 2027?
The law is not expected to enter into force until 1 januari 2027. All lenders must then have registered for admission before 1 juli 2027. Enforcement by the Labour Inspectorate finally starts from 1 januari 2028.
This postponement of the introduction and enforcement is mainly the result of concerns in the senate about the feasibility and proportionality of the law. Several parliamentary groups voiced sharp criticism of the impact on bona fide companies and the risk of unnecessary regulatory burden. There is therefore additional (feasibility) research underway into which authority can practically carry out the admission system, now that it appears the intended organization (Dienst Justis) largely cannot handle the package of tasks. The ministry is now exploring alternatives and expects to provide more clarity in the coming months about how the system will ultimately be arranged.
Is your organization already compliant?
The introduction of the WTTA is an opportunity to make your organization future-proof.
Would you like to know how your organization or network can prepare for this? Or perhaps a no-obligation conversation about how we help your supply chain become compliant, transparent and future-oriented. Then contact Arno Pronk via this link .
Together we are building a fair labor market where everyone can work with confidence.
