The Netherlands and Global Tech Talent Part 3: How the New Government May Reshape Tech Talent and Migration Policy in 2026

With 2026 underway, the Netherlands is navigating political and economic transition. A new minority coalition has taken office at a time when pressure is mounting on the systems that support international talent. Employers across the tech sector continue to face persistent skills shortages, alongside evolving immigration rules and stricter compliance requirements.

Part 1 of this blog series provided an overview of the policy shifts and challenges facing the Netherlands in 2025. Part 2 examined policy proposals around education, retention and streamlined pathways for specialised tech workers.

Building on that foundation, Fragomen’s team analysed the new coalition agreement alongside the immigration policy shifts announced throughout 2025. This third instalment summarises the key developments emerging from that analysis and explores the impact on employers and talent in industries that the new government has identified as key sectors.

Why This Update Matters Now for Tech Employers

With the coalition holding only 66 of 150 parliamentary seats, policy implementation will depend on securing opposition support for each measure. Political dynamics throughout 2026 and beyond will determine what gets approved and implemented.

After months of negotiations, Democrats 66 (D66), People's Party for Freedom and Democracy (VVD) and Christian Democratic Appeal (CDA) presented their 67-page agreement in late January titled Aan de slag (Getting to Work). For immigration and global mobility firms and companies active in industries that heavily depend on international talent, like semiconductors or advanced manufacturing, the core question is: What does this mean in practice?

What Is Happening to the 30% Ruling/Expat Tax Benefit in 2026?

The coalition agreement confirms that the 30% ruling will remain unchanged in 2026. According to the coalition agreement:

“De Nederlandse economie is mede sterk vanwege toonaangevende grote bedrijven, die kiezen voor groei en een duurzame toekomst in Nederland. We versoberen de expatregeling niet.” (The Dutch economy is strong in part because of leading large companies that choose growth and a sustainable future in the Netherlands. We will not reduce the expat scheme.)

From 2027, new applicants will see a reduction to 27%, well below the 30-20-10% phased reduction discussed in 2024.

The 30% ruling has been politically debated for years. Current developments signal policy stabilisation. For companies making long-term decisions about, for instance, where to locate R&D teams or build pilot lines, this stability is important.

Potential Changes to HighSkilled Migration and Knowledge Migrant Routes

The Kennismigrant (Highly Skilled Migrant) Scheme continues to evolve. In mid-2025, the outgoing government proposed:

• Raising salary thresholds, especially for applicants under 30
• Tightening sponsor compliance
• Increasing scrutiny of financial health and stability for companies applying for erkend referent (recognised sponsor status)

Effective 1 January 2026:

• Recognised sponsors must prove actual salary payments with bank statements or batch payment records; payslips alone are no longer sufficient.
• The Immigration and Naturalisation Service (IND) and other agencies, like the Labor Inspectorate, are conducting more frequent audits. Companies should ensure their payroll systems and documentation are current.
• Companies placing personnel (including consultancy and recruitment agencies) must verify Stichting Normering Arbeid (Labour Standards Foundations) registration, which is actively audited. Non-compliance can result in warnings, fines, or loss of recognised sponsorship. Fragomen expects targeted audits to continue in the next few years.

Operational Considerations for HR and Mobility Teams

This shift is part of a wider European pattern. Housing shortages, public service pressures and political dynamics are creating momentum for more selective immigration policies in various locations.

However, even with the proposed changes, the Highly Skilled Migrant Scheme remains open and accessible, and among the best in class in Europe. Companies can still bring talent but must meet higher compliance standards and maintain thorough documentation. For employers hiring international engineers or researchers in 2026, this means:

• Tighter compliance checks
• Documentation that goes beyond payslips
• Closer coordination between HR, payroll and immigration partners

This is particularly critical for semiconductor and advanced technology companies, where delays can quickly affect engineering timelines and production planning.

Fragomen supports fast-growing tech employers by helping them put these IND-ready workflows in place so they can reduce risk, maintain predictable hiring timelines and give their international employees a smoother experience in a more regulated environment.

Impact on Tech Employers in Strategic Sectors

The coalition agreement positions digitalisation, AI, semiconductors and digital infrastructure as one of four core strategic domains for industrial policy. As HSD Foundation notes:

“Digitalisation is no longer regarded as a supporting policy area, but as a strategic instrument that directly impacts national security, economic strength and the democratic rule of law.”

Key commitments include:

• Alignment with the EU Chips Act and Important Projects of Common European Interest (IPCEI)
• Strengthening Brainport Eindhoven and other innovation clusters
• Mobilising private investment alongside public funds through the National Growth Fund
• Building technological niches where the Netherlands can lead internationally

The coalition signals a shift from a “pilot country” to a “scale-up nation”, supporting companies past proof-of-concept stages.

Infrastructure Bottlenecks: Electricity and Housing

Grid congestion remains a significant bottleneck for semiconductor fabs, data centres and advanced manufacturing. The coalition’s plans include:

• “Het Aansluitoffensief – Acht doorbraken voor beter benutten van het net” targeting potentially 5–10 gigawatts of additional grid capacity by 2030, and potentially 10–20 gigawatts by 2035
• A new Crisiswet Netcongestie (Crisis Law for Grid Congestion) to accelerate permitting
• 40 gigawatts of offshore wind via Contracts for Difference and improved interconnection with neighbouring countries

This is an important development for companies active in semiconductor manufacturing or considering cleanroom capacity in the Netherlands.

Housing shortages continue to impact talent attraction and placement. As Nederlandse Omroep Stitchchting (NOS) reported, the coalition is targeting large-scale development with streamlined permitting processes. The coalition agreement specified:

“Minstens 30 grootschalige nieuwbouwlocaties van nationaal belang verspreid over het land. Dat kunnen nieuwe wijken zijn, maar ook nieuwe steden.” (At least 30 large-scale new constructions of national importance across the country. These can be new neighbourhoods, but also new cities.)

Two-thirds of new housing aims to be affordable, with EUR 1 billion annually from 2029–2035 dedicated to affordable housing construction.

While this will not resolve immediate hiring and housing challenges in 2026–2027, the focus is on building more, faster and with reduced legal obstacles.

Recommended Actions for Employers

Companies hiring international talent in strategic sectors should note:

• The Netherlands remains competitive: The 30% ruling is stable and the Highly Skilled Migrant and recognised sponsorship schemes are tightening, but certainly not closing. The government is explicitly prioritising semiconductor and innovation as strategic sectors.
• Fundamentals of the Dutch value proposition remain strong: English-language work environments, proximity to other European markets, competitive salaries, significant expat tax benefits, established innovation ecosystems (Brainport, Amsterdam, Delft, The Hague).
• Compliance requirements are rising: Beyond standard recognised sponsor obligations (duty to inform, duty of care, administrative requirements) companies must now maintain proof of actual salary payments. Companies with tax challenges, payroll problems or compliance gaps will face increased scrutiny. The IND is actively enforcing the new standards and employers may expect a continued increase in administrative or on-site audits. Internal systems and documentation practices require immediate attention.
• Infrastructure and scaling focus: Grid capacity expansion, permitting reform and scaling-up support indicate that the coalition understands that manufacturing and innovation require more than R&D subsidies.
• Housing remains a friction point: Employers relocating talent to Amsterdam, Eindhoven or Rotterdam will continue to face challenges and should consider working with a trusted relocation provider.

Business travel is also changing: The European Union’s Entry-Exit System (EES) was launched in October 2025, with European Travel Information and Authorisation System (ETIAS) following in 2026. Employers with frequent business travellers should factor these new border control systems into travel planning.

The Broader Context: Minority Government and Industry Implications

As a minority coalition, the Dutch government’s political dynamics throughout 2026 will influence whether grid expansion happens on schedule, whether housing construction accelerates and certainly whether immigration enforcement remains proportionate.

The Netherlands faces a familiar tension: maintaining its position as a global innovation hub and the gateway to Europe while managing domestic pressures around migration, housing and public services. But the government is not abandoning sectors that drive significant economic value. For tech talent and technology companies, the proposed changes are workable and Fragomen is ready to help employers and individuals navigate these changes.

How Fragomen Supports Tech Talent Strategy Under Policy Shifts

Managing the Dutch immigration system can be challenging, especially with the shifting compliance requirements for highly skilled migrants. Fragomen provides guidance and support to help companies implement IND-ready workflows, maintain proper sponsorship documentation and coordinate HR, payroll and immigration processes, helping employers onboard international talent efficiently and confidently.

Need To Know More?

For questions regarding immigration to the Netherlands or other related queries, please contact Client Engagement Manager Soraya Driessen at [email protected].

This blog was published on 19 February 2026, and due to the circumstances, there are frequent changes. To keep up to date with all the latest updates on global immigration, please subscribe to our alerts and follow us on LinkedIn, Twitter, Facebook and Instagram.