The Dutch cabinet withdrew part of its planned freelancer law in late 2024. The stated reason was clarity. The practical effect was confusion.If you run a small business and hire freelancers, you probably felt some relief when the announcement came through.
One less regulatory shift to track. One less reason to freeze hiring decisions.But here's what didn't change: enforcement against false self-employment resumed in full on January 1, 2025. The tax authorities are now actively checking whether freelancers are genuinely independent or should be treated as employees.
The law that disappeared was meant to clarify the boundary. The remaining enforcement is what you need to manage.
What the Cabinet Withdrew
The government removed a section of the proposed Zelfstandigenwet that was supposed to define when someone qualifies as truly self-employed. The intention was to reduce market uncertainty.
That uncertainty was real. Over the past year, many small companies delayed projects or avoided hiring freelancers entirely because the rules appeared to change every quarter.
But the cabinet's decision to withdraw part of the law doesn't mean the underlying risk has disappeared. It means you're still operating under the present framework, and that framework is now being enforced.
What Enforcement Looks Like in Practice
Since January 2025, the Belastingdienst has been conducting audits and issuing assessments for schijnzelfstandigheid (false self-employment). According to TreasuryXL, a small number of tax assessments have already been issued, mainly in the construction and infrastructure sectors.
If the tax authorities determine that a freelancer should have been classified as an employee, you're responsible for:
- Unpaid payroll taxes
- Employer social security contributions
- Penalties up to 100% of the unpaid tax amount
- Interest charges on retroactive assessments
The Dutch Tax Authority has limited retroactive enforcement to January 1, 2025, unless you acted intentionally or with clear negligence. That means you won't face penalties for periods before that date except in cases of deliberate violation.
But employment law claims weren't covered by the enforcement moratorium. Freelancers still have the option to claim employee rights, sick leave, unemployment benefits, and pension participation, dating back further than January 2025.
The €38 Hourly Rate Threshold
One piece of the legislation is still moving forward. The government proposes that freelancers earning up to €38 per hour would get stronger legal protection. If they earn less than this threshold, companies hiring them will face a greater risk that these freelancers will be reclassified as employees, increasing the employer's responsibility to prove true independence.
If a freelancer in that category claims they were effectively working as an employee, the burden of proof shifts to you. For freelancers below the €38 per hour threshold, you must actively demonstrate that the working relationship is genuinely independent.
Failing to do so increases your risk of tax and legal consequences.For small companies that rely on lower-paid freelancers, the €38 threshold requires extra attention.
Assignments under this rate now carry a higher risk of being challenged as employment, so you should carefully document the independence of these relationships and reassess the structure of such contracts.
What Determines Real Independence
The tax authorities don't rely solely on your contract language. They look at how the work is organized:
- Does the freelancer decide how the work is done?
- Do they have multiple clients?
- Can they refuse assignments?
- Do they use their own tools and workspace?
- Are they integrated into your main operations?
If a freelancer works exactly like a staff member, attends daily team meetings, uses your equipment, follows your schedule, and has no other clients, the relationship looks like employment. The law will treat it that way.
Recent case law has confirmed that integration is an independent criterion in determining employment classification, even if you have an approved model agreement in place.
What You Should Do Now
Don't freeze hiring. Focus on these compliance basics:Review freelancer relationships. If the structure resembles employment, address it before audits.Ensure contracts show real independence, autonomy, and multiple clients.Keep compliance records.
Demonstrate concrete steps taken to prevent false self-employment.
Watch the €38 threshold. If you regularly hire freelancers below that rate, prepare for the burden of proof to shift. Ensure independence is genuine and documented.Monitor which sectors are audited. Adjust processes if construction or infrastructure trends expand.
Bottom Line
The cabinet is still searching for the right legal framework, but the practical principle remains steady. When a working relationship looks like employment in real life, the law will treat it that way.
Small adjustments now (clear roles, definite agreements, and genuine independence) often prevent much bigger problems later.
The law that disappeared wasn't the one creating the risk. The ongoing enforcement is what you need to manage.
