Because of the credit crunch the situation on the labour market in the Netherlands is rapidly deteriorating. The number of applications for dismissal is rising explosively and politicians in The Hague are even discussing massive redundancies. Based on the latest estimations by the CPB, the Netherlands Bureau for Economic Policy Analysis, unemployment is increasing fast up to 4.5% in 2009 and 6.5% in 2010. Temporary agency workers and fixed term contract workers will be the first victims. The employment agencies are already struggling with an acute collapse in demand. Also, temporary contracts are not extended in troubled companies. Expectations are that healthy temporary workers and unemployed will be able to find work again. However, in this group there is also a large representation of vulnerable, usually poorly educated employees with a chronic disorder or work disability.
