25,000 Jobs at Risk as Netherlands Turns to AI to Save Billions

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AMSTERDAM, Netherlands – The Dutch government plans to reduce its central government workforce by an estimated 25,000 full-time positions by 2035, as it seeks to save billions of euros through administrative reforms, simpler regulations and greater use of artificial intelligence (AI).

The plan, announced on Monday, October 26, sets an initial savings target of €900 million in 2027, rising to €3.5 billion annually from 2035. The government says the staffing reductions will be spread over several years rather than implemented at once.

State Secretary for Kingdom Relations and Effective Government Eric van der Burg said the reforms would require the government to reconsider how it operates and which responsibilities it should retain.

“We cannot keep doing what we have been doing,” Van der Burg said, describing the goal as a government that is “simpler, smarter, and smaller.”

AI is part of a wider government overhaul

The cabinet plans to outline how artificial intelligence can help public institutions improve productivity in early 2027. However, the proposed job reductions extend beyond the introduction of AI, with the government also looking at standardising information technology systems, simplifying procedures and reducing unnecessary administrative work.

The government has yet to publish a detailed breakdown showing how many positions will be affected in each ministry. Those decisions are expected to be developed through further planning, with the spring budget update set to provide more detail on the distribution of savings.

Police and defence are among the areas exempted from the cuts, meaning other parts of the central government will face the task of identifying savings through operational changes, reduced responsibilities or staffing adjustments.

The government has also signalled plans to reduce the number of advisory bodies and committees, arguing that a simpler administrative structure could help reduce costs and improve decision-making.

Civil service expansion adds pressure for reform

The proposed reduction comes after a period of substantial growth in the Dutch public sector. The number of government officials reached approximately 160,000 at the end of 2025, about 41 per cent higher than in 2018, according to the figures cited in the government’s announcement.

The expansion has raised questions about whether the government can maintain effective public services while reducing administrative costs. Previous governments had also pledged to limit the growth of the civil service, but staffing numbers continued to rise.

The new plan therefore combines efficiency measures with broader choices about the scale and scope of government activity. Officials have acknowledged that productivity improvements alone may not deliver all the savings required, making reductions or changes to some government functions part of the process.

Job cuts will be phased in over several years

The 25,000 figure refers to an estimated reduction in full-time equivalent positions by 2035. It does not mean that 25,000 employees will immediately lose their jobs or that every position removed will be replaced directly by AI.

The eventual impact will depend on decisions by individual ministries, including how work is reorganised, whether departing employees are replaced and which services or responsibilities are scaled back.

The government’s approach also reflects a broader push to simplify regulations and reduce administrative burdens on citizens, businesses and public institutions.

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