Dutch Cabinet Plans 25,000 Job Cuts by 2035, With AI Tipped to Boost Productivity

The Dutch government has announced plans to eliminate 25,000 full-time jobs by 2035 as part of a cost-cutting drive that will also see it lean on AI to boost productivity.

According to the cabinet, the effort aims to shave 900 million euros (around $1 billion) in costs by 2027, with that figure climbing to 3.5 billion euros (approximately $3.9 billion) by 2035. Police and defense agencies will be excluded from the cuts.

How exactly AI will be deployed to save money remains unclear. The government said the cabinet will set out goals and savings plans for using AI to work more productively in the first quarter of 2027.

State secretary Eric van der Burg wrote to parliament that the overall push is meant to make the government "simpler, smart and smaller." Dutch outlets had reported earlier this year that AI was being considered as part of cost-saving efforts, and van der Burg has said he wants to apply AI even more broadly after several initiatives were already established across government sectors.