Why are working conditions important and what laws pertain to this?

Good working conditions are the backbone of any successful organisation. They create a pleasant workplace and promote the health, safety and well-being of temporary workers. This is important as a satisfied person is often more productive.

But what exactly are good working conditions, why are they so important and how are they legally safeguarded? We at HeadFirst delve deeper into this: discover how organisations can protect and motivate freelancers through legislation and good labour practices in this article.

What are good working conditions?

Working conditions refer to everything related to the physical, mental and social aspects of work. This includes, for example, a safe workplace without unnecessary risks, a healthy work-life balance and a supportive work environment where freelancers feel valued and involved. Good working conditions thus go beyond simply a desk and a chair. It is an environment where one can perform optimally without incurring physical or mental harm.

But how do companies ensure that these conditions are good? Through legislation that provides organisations with guidelines to ensure safe and healthy workplaces. The Netherlands has important laws in this area that guarantee safety and emphasise the responsibility of employers.

The Working Conditions Act is the basis of Working Conditions in the Netherlands

The Working Conditions Act (known as the Arbowet) is perhaps the most well-known law when it comes to working conditions in the Netherlands. This law was introduced in 1980 and forms the basis for all other regulations regarding safety and health in the workplace. The Arbowet places the responsibility for safe working conditions primarily with the employer. The role of the freelancer in complying with safety rules is also addressed in this law.

The Occupational Health and Safety Act is designed as a “framework law"

This means that it contains general guidelines that are further developed into specific guidelines for each sector or type of work. These guidelines can cover issues such as ergonomics, hazardous substances, work pressure and personal protective equipment (PPE). Some of the key issues covered by the Occupational Health and Safety Act include health and safety, absence prevention and occupational health and safety services.

Employers must ensure that temporary workers are not put at unnecessary risk and that the workplace meets certain safety requirements. The law requires companies to prevent absenteeism, for example by having a good policy on work pressure and stress. Employers must also cooperate with a health and safety service or company doctor to promote health and safety in the workplace.

The Occupational Health and Safety Act is a dynamic law that adapts to changing circumstances and new insights into health and safety. For example, in recent years there has been an increasing focus on mental health and risks of burnout and work-related stress.

The Working Hours Act

In addition to the Occupational Health and Safety Act, the Working Hours Act is an important law when it comes to ensuring good working conditions. This law regulates the maximum working and rest times so that one does not become overworked. The Working Hours Act mainly applies to sectors where long working hours are common, such as healthcare and transport, but it also applies to other professions.

The Working Hours Act provides protection by requiring employers to strike a healthy balance between working time and rest time. This means, for example, that self-employed workers are entitled to a break once they have worked a certain amount of time and that there are limits on how much overtime a person may work.

What does this law mean?

In principle, an interim worker may not work more than 12 hours per shift and no more than 60 hours per week. There are also minimum rest periods between shifts, for example, a minimum of eleven hours of rest between two working days. Persons under 18 years of age fall under stricter rules, to prevent them from being overworked.
The Working Hours Act is thus there to ensure a healthy work-life balance and to protect one from excessive work pressure. The law provides protection against physical exhaustion and helps prevent mental exhaustion by ensuring adequate rest.

The DBA Act

The Assessment of Employment Relationships Deregulation Act (DBA) was introduced in the Netherlands to combat bogus self-employment. Bogus self-employment occurs when someone is officially hired as a self-employed person but actually does the same work as a permanent employee. This arrangement was often used to circumvent employer obligations such as social security contributions and payroll tax.

The DBA Act stipulates that self-employed individuals must truly be independent and should not have a business relationship with their client. This prevents self-employed individuals from working without social protection, such as continued payment during illness and access to social security. For organisations, this means they must make clear agreements and ensure that the hired self-employed individuals actually operate as self-employed. Read more about what is important for flexible hiring.

The impact of good working conditions

Scientific research convincingly shows why good working conditions are important for temporary workers and organizations. For example, an analysis by TNO and CBS studies on labor and social security show that satisfied interim workers are significantly more productive, where dissatisfied interim workers are actually less productive. These figures translate directly to the business results and success of organizations.

The financial benefits to organizations are also substantial. One of the most immediate effects is the significant drop in absenteeism. Organizations that excel in their working conditions see less absenteeism on average, which translates to cost savings that can reach thousands of dollars per year. These savings come from direct absenteeism costs as well as avoided replacement costs and productivity retention.

Employee retention thanks to good working conditions

The benefits are also clear in the area of employee retention. Companies that invest in optimal working conditions experience significantly lower employee turnover. This means savings in recruitment and selection costs and also the retention of valuable knowledge and experience within the organization. The cost of recruiting and onboarding new employees can be as much as €20,000 per position - an investment that good working conditions reduce.

An often underestimated benefit is the impact on innovation and creativity within organizations. In a work environment where interim employees feel safe and valued, they are more likely to share innovative ideas and contribute constructively to improvement processes.

A systematic approach is important

Realizing these benefits requires a systematic approach. Successful organizations implement thoughtful workplace policies that go beyond meeting legal obligations. They actively involve employees in designing and improving the work environment and invest in high-quality facilities and materials. They also provide comprehensive psychosocial support, from coaching to mentoring programs.

The return on investment from these efforts is impressive. This return comes from a combination of increased productivity, reduced absenteeism, lower staff turnover and improved customer satisfaction. There is also a significantly lower risk of workplace accidents and associated claims.

Good working conditions are more than legal requirements

Proper workplace conditions are the foundation of an organization. An optimal work environment boosts productivity and also contributes to the mental and physical health of self-employed workers. By investing in safe and healthy working conditions, organizations demonstrate their commitment to the well-being of their staff.

This creates a virtuous cycle. Satisfied employees are more loyal, absentee less and actively contribute to organizational goals. Modern organizations therefore see good working conditions not as a cost, but as a strategic investment in their most important capital: their people. At a time when the battle for talent is intensifying, this can make the difference between a successful organization and one that lags behind. Good working conditions are therefore no longer a luxury, but necessary within every organization.

Why are good working conditions so important?

Investing in good working conditions provides an organization with many benefits. For example, a safe and pleasant workplace ensures that interim workers feel valued and engaged. This leads to higher productivity and a lower risk of absenteeism. Interimmers who feel comfortable perform better and are sick less often. This leads to lower costs and higher profitability for the organization.
Compliance also contributes to a positive image of the organization. A company known for its good working conditions attracts talent more easily and keeps its employees happy longer. At a time when employers are competing for the best talent, a positive company culture and work-life balance can make all the difference.

Self-employed people who feel valued and protected are more motivated and loyal, which makes the organization stronger in the long run. Good working conditions are thus more than a legal obligation, but also a smart business strategy that contributes to a sustainable and successful organization.