Companies in the Netherlands are experiencing a shortage of labour and are therefore increasingly turning to workers from outside Europe, with a rise in asylum seekers working in and contributing to key sectors, according to figures recently published on national news outlet NU.nl.

The Netherlands Bureau for Economic Policy Analysis (CPB) notes that the economy plays a significant role in immigration flows. More migrants come to the Netherlands when the economy is doing well, and there is emigration when the economy is in decline.  Companies are increasingly recruiting workers from outside Europe to address labour market shortages, particularly in hospitality, construction and healthcare industries.

The Employee Insurance Agency (UWV) - the Dutch organisation responsible for distributing employee insurance and supporting job seekers - reports that in the first half of 2024, 18 800 applications were submitted by companies seeking to employ workers from outside the EU. This is nearly equivalent to the total number of applications received in 2023, which was 20 900.

Asylum Seekers at Work

Since November 2023, asylum seekers in the Netherlands are allowed to work for more than 24 weeks per year, which helps to address labour market shortages. As a result, companies are increasingly hiring asylum seekers, with the number of hired asylum seekers rising from 2 000 in 2023 to 5 600 in the first half of 2024. This provides a valuable source of labour and simultaneously promotes their integration into society. The Netherlands often supports foreign workers through the provision of various integration programmes, including language training, cultural integration programmes, and legal assistance.

Economic Impact

With the right policies, migrants can successfully integrate and make a valuable contribution to the economy. They fill vacancies, contribute to innovation, and enhance productivity. Other EU countries are facing similar labour market shortages and are also looking to hire migrants who can improve the economic stability of their country in the long term.