The Netherlands is poised to strengthen its fight against labor exploitation through a legislative amendment that introduces the concept of “serious disadvantage” as a punishable offense. This move, spearheaded by outgoing Minister of Social Affairs Eddy van Hijum and outgoing Minister of Justice David van Weel, aims to address the inadequacies of current criminal law in effectively tackling serious cases of labor exploitation.

The existing legal framework requires proof of coercion, such as detention or forced labor, to prosecute exploitation under the umbrella of human trafficking. The proposed amendment seeks to lower the threshold for criminal prosecution by targeting employers and temporary employment agencies that exploit the vulnerable positions of employees for their own profit.

The change comes in response to concerns that only the most egregious cases of labor abuse fall under criminal law, leaving many other exploitative situations unaddressed. Examples of exploitation often involve a combination of factors, including structural underpayment, inadequate housing, excessive working hours, and confiscation of personal documents.

To illustrate the issue, Van Hijum cited a case where a worker endured long hours and low wages but was acquitted because the court deemed it “very poor employer practices” rather than labor exploitation. The introduction of “serious disadvantage” as a punishable offense aims to prevent such situations by encompassing financial disadvantage due to underpayment and poor working conditions like long hours or restricted freedom.

The consequences of the legislative change could be significant. Individual employers or recruiters could face personal prosecution, whereas many cases are currently settled with fines for the company involved.

The penalties for “serious disadvantage” include a maximum prison sentence of 6 years and a fine of approximately 100,000 euros. The maximum prison sentence for exploitation as it currently exists in the law remains at 12 years.

By expanding criminal law, the government hopes to enable the Labor Inspectorate to pursue investigations more effectively and deter exploitative practices among employers and employment agencies. The legislative amendment is expected to pass through the Senate.