The labor market in 2024: 5 changes
Now that we are in 2024, it is an interesting time to think about what might happen to jobs in the near future. Things have changed rapidly in recent years, and the Dutch financial jobs market is expected to undergo some significant changes in 2024. In this blog, we will talk about several topics related to the jobs market, including the 30% rule, sustainability, and expansion of FinTech.
1. Potential changes to the 30% ruling:
The 30% ruling is a tax incentive that offers highly skilled foreign professionals a 30% discount on their taxable income for the first five years of employment in the Netherlands. However, this regulation will be changed. The 30% ruling will change to a 30/20/10% ruling over up to 60 months. Currently, employees receive a 30% tax-free allowance for 60 months. With the change, they will get 30% tax-free for the first 20 months, 20% for the next 20 months, and 10% for the last 20 months.
2. Growing focus on sustainability:
Sustainability is becoming an increasingly important consideration for financial institutions, as both customers and regulators draw more attention to environmental and social issues. By 2024, we can expect more financial institutions to adopt sustainable practices such as incorporating ESG (environmental, social, and governance) factors into their investment decisions and developing green financing products.
3. Continued expansion of FinTech:
FinTech companies, such as Klarna and Revolut, are disrupting the traditional financial sector by using innovative technologies to offer new and more efficient financial services. We can expect a continued expansion of FinTech in 2024, with these companies continuing to innovate and gain market share.
4. Increased demand for data analytics:
Financial institutions generate vast amounts of data about their customers, products, and operations. To understand this data and gain valuable insights, there is a growing demand for data analysts with expertise in data mining, statistical analysis, and machine learning.
5. Increasing automation and artificial intelligence:
As AI and automation technologies become more advanced, we can expect more routine tasks in finance to be automated. This could lead to job displacement in some areas, but also create new opportunities for skilled young professionals with expertise in AI and automation.
Ultimately, the Dutch financial job market in 2024 is expected to remain dynamic and challenging. Young professionals who can adapt to new technologies, embrace sustainability practices, and develop strong data analytics skills will be well-positioned for success.
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