The Dutch government plans to reduce its central government workforce by approximately 25,000 full-time positions by 2035 as part of a major efficiency drive that will include greater use of artificial intelligence (AI) and efforts to reduce public spending.

The proposal, announced on October 26, 2026, is expected to reduce the civil service workforce by about 16 per cent from its current level of approximately 160,000 full-time equivalent positions. The government aims to make public administration smaller, more efficient and less costly over the next decade.

According to reports, the initiative is expected to help the government achieve annual savings of €3.5 billion by 2035, following a target of approximately €900 million in annual savings by 2027.

AI to Support Government Efficiency

Artificial intelligence is expected to play a role in improving productivity across government departments. Dutch officials intend to use digital solutions, standardised information technology systems and simplified administrative procedures to reduce the amount of work required to deliver public services.

State Secretary for Effective Government Eric van der Burg has indicated that the government can no longer continue operating in the same way and must make difficult decisions to create a simpler and more efficient public administration.

Detailed targets and savings plans outlining how AI will contribute to the government's productivity drive are expected in the first quarter of 2027.

However, the government has yet to provide a complete breakdown of the departments or specific positions that will be affected by the proposed workforce reductions.

Police and Defence Excluded From Cuts

The proposed reductions are not expected to affect all government institutions equally. Police and defence are among the sectors excluded from the planned cuts.

Other public institutions, including the tax administration, immigration services and employment benefits agencies, have not received blanket exemptions, raising questions about how the reductions could affect the delivery of essential public services.

The government is also considering simplifying regulations, reducing office space, standardising technology systems and reviewing the number of advisory councils and committees as part of its wider cost-cutting programme.

The plan does not necessarily mean that all 25,000 positions will be eliminated through immediate dismissals. The final approach will depend on how individual departments implement the reductions, including decisions about whether vacant positions need to be filled when employees leave.

Growing Debate Over AI and Employment

The Dutch government's proposal adds to the wider international debate about how artificial intelligence could reshape employment and public administration.

Governments and businesses are increasingly exploring AI to automate routine tasks, improve service delivery and reduce operating costs. However, the Netherlands' plan illustrates how efforts to increase productivity through technology can also lead to significant changes in workforce requirements.

The main challenge will be balancing efficiency and public spending objectives with the need to maintain reliable government services and protect the quality of public administration.

Further details are expected in 2027, when the government outlines its specific AI productivity targets and explains how the proposed savings will be achieved.