According to the national statistics agency CBS, the Netherlands has achieved a ratio of 120 individuals employed for every 100 individuals not participating in the workforce.
Two decades ago, the employment landscape displayed a lower figure, with only 96 individuals engaged in work for every 100 individuals who were either too young, dealing with health issues, deliberately not employed, or retired.
The notable transformation in this ratio has been attributed to the faster growth rate of the working population in comparison to those not engaged in employment, as per the CBS.
In 2007, the working population officially exceeded the number of jobless individuals, marking a significant turning point, as reported by the CBS. While a minor decline was observed during the financial crisis in the mid-teens, the trend has since shown consistent growth.
When focusing solely on the demographic aged 15 to 75, which aligns with the ILO definition of the working-age group, the employed population outnumbers the unemployed, with figures reaching 9.7 million compared to 3.6 million.
Between 2003 and 2023, the working population expanded by 1.8 million individuals, while the count of individuals either voluntarily unemployed or unemployed due to circumstances beyond their control decreased by 150,000.
This surge in the working population can be partly attributed to the increase in individuals aged 45 to 75 who remain employed, largely influenced by government initiatives aimed at postponing retirement.
As of 2022, the average retirement age stood at 65 years and eight months, nearly a year younger than the official state pension age. This signifies a significant shift from two decades ago when people retired more than four years before being eligible for AOW benefits.
Furthermore, the active participation of women in the workforce has also contributed to these changes. Photo by Phil Whitehouse, Wikimedia commons.