News item | 10/30/2025 | 14:01
The cabinet has decided that employers may charge a maximum of 25% of the minimum wage for housing costs. The planned phase-out of this scheme as of January 1, 2026 will not take place. There is a risk that the phasing out of withholding currently has more disadvantages than advantages for the migrant worker.
The protection of migrant workers is paramount. The government has therefore decided not to start phasing out the withholding option at this time. The proposal will also not now be sent to the Council of State for advice.
An earlier exploration shows that there are different aspects to the scheme in practice. The scheme increases the dependence of migrant workers on employers and can contribute to an undesirable revenue model. On the other hand, the scheme makes it easier for migrant workers and employers to arrange housing.
In addition, this scheme allows the government to impose requirements on the quality of the home. For example, the employer may only withhold money for housing if the home is certified. By abolishing the scheme we will lose this form of supervision.
The phasing out of the scheme may lead to the situation of migrant workers worsening due to the current position on the housing market. The government also does not want to phase out the scheme now because other measures aimed at protecting migrant workers in relation to housing are not yet in effect.
At the same time, the government is working to strengthen the position of migrant workers by reducing the dependence of migrant workers on their employers and limiting undesirable revenue models. For example, there are Work in NL information points to inform migrant workers about their rights. The bill for the authorization of the provision of labor (Wtta) improves the position of vulnerable workers, in particular migrant workers. In addition, the Minister of Housing and Spatial Planning (VRO) is working on a bill to improve rental protection for migrant workers.