The Dutch job market is poised for a steady expansion, with a promising outlook indicating the creation of 88,000 new employment opportunities in 2024, representing a 0.8% growth rate.
This upward trend is expected to continue in 2025, with an additional 85,000 jobs forecasted to emerge.
A surge in job opportunities is anticipated in the healthcare, welfare, and specialist business services sectors, says Rob Witjes, a seasoned expert at the benefits agency, highlighting the areas that will drive the nation’s economic growth.
Despite the positive outlook, Witjes noted that the rate of job growth is slowing compared to previous years. “The growth is there, but it is slowing down and will be significantly lower than in previous years,” he said.
The brakes have been put on the job market’s rapid expansion, as a slowdown in economic growth and a crippling shortage of skilled workers have made it difficult for businesses to scale up their operations.
In a tale of two economies, healthcare, welfare, and specialist business services are gearing up for a hiring spree, while agriculture, construction, public administration, industry, and transport and storage face a grim outlook, with jobs set to stagnate or decline. The driving force behind this growth is a surge in demand, rather than simply filling vacant positions.
Rob Witjes sheds light on a pressing concern: a prolonged labor market squeeze, where job openings outnumber job seekers, a phenomenon unprecedented in historical records. “This protracted state is exacting a toll on companies, forcing them to think outside the box to stay afloat,” Witjes notes.
The UWV (the Employee Insurance Agency) predicts that vacancies will grow by 0.7% in 2024 and 0.8% in 2025, amounting to approximately 1.5 million vacancies per year. This represents about a 15% increase compared to 2019, the last full year before the coronavirus pandemic. However, staff shortages are expected to persist due to an aging population and a dwindling supply of graduates.
Read also: Dutch PM Rutte Set To Retire From Politics After Election
The Netherlands’ plans to limit immigration would not help labor shortages, according to Witjes. The new coalition’s manifesto demands for tighter border controls, swifter expulsions, restrictions on family reunification, and adjustments to temporary residence provisions.
The right of permanent residence is planned to be abolished, and labor immigration will be more strictly regulated, including the residence of foreign students.
The government is set to incentivize the use of the Dutch language in higher education, while also adjusting the housing policy to ensure a more equitable distribution of social housing resources, no longer giving preference to refugees and asylum seekers.
Nigeria’s economic landscape is witnessing a significant upswing in certain sectors, paving the way for skilled professionals to capitalize on emerging opportunities.
But the looming tightening of immigration rules may cast a shadow on the prospects of those aiming to relocate to the Netherlands for professional, personal, or academic pursuits.
Even as Dutch companies seek to recruit international talent to address labor gaps exacerbated by an aging population, they’ll need to navigate a new landscape of stricter regulations that demand rigorous compliance from foreign workers.