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Netherlands

Background information on industrial relations in Netherlands

• 21 Dec 2007
  Netherlands: Rise in employment participation rates of women and older people

  The government has identified women and older people as target groups for increased labour market participation. For this reason, the government and social partners decided to establish a taskforce at their June 2007 summit. Figures published in the autumn of 2007 show that participation rates have increased for both target groups. The Dutch Trade Union Federation and the think tank Equality believe the level of participation could be increased further.

• 20 Dec 2007
  Netherlands: Impact of the working time directive  on collective bargaining in the road transport sector — Netherlands

  This is the Dutch contribution to the Comparative analytical report on the Impact of the working time directive for the road transport sector on collective bargaining

• 18 Dec 2007
  Netherlands: Social partners divided over government budget

  The Confederation of Netherlands Industry and Employers is largely negative about the government’s budget agreement which was published in September 2007. The Dutch Trade Union Federation responded with greater enthusiasm, albeit with some reservations. The employers are highly critical of increasing the financial burden on companies, while the trade unions would like to see greater investment in active labour market policies.

• 18 Dec 2007
  Netherlands: Government introduces pregnancy and maternity leave scheme for self-employed

  In August 2007, the Minister of Social Affairs and Employment resolved the impasse related to the public pregnancy and maternity leave scheme by deciding to establish such a scheme for self-employed individuals. The minister’s decision comes despite a court ruling in July that the Dutch state does not have to establish such a scheme. The Dutch Trade Union Federation, which was one of the parties in the court case, is in full agreement with the minister’s decision.

• 18 Dec 2007
  Netherlands: Employers flout labour law by hiring illegal workers

  The opening of Dutch borders on 1 May 2007 to employees from new EU Member States has not discouraged employers from hiring workers illegally. It thus remains necessary to check for illegal employment and impose fines where it occurs. By the autumn of 2007, the organisation that monitors compliance with the collective agreement for temporary agency workers had uncovered major breaches of the agreement at 33 companies and imposed fines totalling €1 million.

• 16 Nov 2007
  Netherlands: Industrial relations in the postal sector — Netherlands

  This is the Dutch contribution to the comparative analytical overview on Industrial relations in the postal sector.

• 16 Oct 2007
  Netherlands: Monitoring of disability benefit claimants triggers return to work

  A quarter of all disabled employees in the Netherlands find work within eight months of being re-examined under the Occupational Disability Insurance Act, according to a study commissioned by the Administrative Institute for Employee Insurance Schemes. However, the work found by these individuals is usually of a temporary nature. Based on the study results, the Dutch Trade Union Federation questions the effectiveness of re-examination within the scope of the act.

• 15 Oct 2007
  Netherlands: Call for relaxed entry rules for qualified non-European workers

  In March 2007, the Social and Economic Council (SER) called for a relaxation of the restrictions on the migration of so-called ‘knowledge workers’ from countries outside the EU. Apart from simplifying the policy and streamlining its implementation, the SER suggests introducing supply-driven migration. The council believes that the Netherlands’ restrictive policy is damaging the competitiveness of the national economy, and argues that all parties will benefit from more skilled labour.

• 15 Oct 2007
  Netherlands: Trade union extends membership to self-employed workers

  In the summer of 2007, the Christian Trade Union Federation (CNV) opened its ranks to self-employed workers. By taking this measure, CNV is following the Dutch Trade Union Federation, which took the lead in making membership available to self-employed persons. Representation by CNV does not cover wages, but does affect health and disability insurance, pregnancy benefits and pension provisions.

• 01 Oct 2007
  Netherlands: Representativeness of the social partners: Agricultural sector – Netherlands

  The aim of this representativeness study is to identify the respective national and supranational actors (i.e. trade unions and employer organisations) in the field of industrial relations in the agriculture sector in the Netherlands. In order to determine their relative importance in the sector’s industrial relations, this study will, in particular, focus on their representational quality as well as their role in collective bargaining.

• 17 Sep 2007
  Netherlands: Crackdown on breaches of minimum wage law

  Since May 2007, the Labour Inspectorate has had the authority to impose fines on employers who pay their employees less than the statutory national minimum wage. This follows amendments to the Minimum Wage and Minimum Holiday Allowance Act, which aim to improve compliance with the act. Up to now, employees had to take formal action themselves in order to address the problem of low wages; in practice, few did so.

• 17 Sep 2007
  Netherlands: Social partners agree measures to increase labour market participation

  In June 2007, the Minister of Social Affairs and Employment signed an agreement with the social partners and municipalities as part of a successful summit focusing on increasing labour market participation – particularly among unemployed women, older employees and people of foreign extraction. In response to the government’s proposal a week later to relax dismissal law, the Dutch Trade Union Federation has announced plans to prepare for industrial action.

• 13 Aug 2007
  Netherlands: Significant wage increases across all sectors

  In the spring of 2007, the Dutch Trade Union Federation anticipated a further collective wage increase. The 3% increase agreed on in both the public and construction sectors appears to have set the trend, with some sectors gaining even more than trade union demands. As the General Industrial Employers’ Association had predicted that the increases would be more modest, it must now recognise that economic recovery is fuelling higher wage increases.

• 13 Aug 2007
  Netherlands: Union proposes giving non-standard workers right to more training

  The Christian Trade Union Federation has proposed the idea of offering non-standard or flexible workers the right to more training, to strengthen their position in the labour market. The proposal has been backed by a majority of the Dutch House of Representatives. The Labour Party would like to expand this right to include all employees but the government is opposed to a statutory obligation in this respect. Employer organisations have also responded negatively to any statutory right.

• 26 Jun 2007
  Netherlands: New Working Hours Act places fewer restrictions on working hours

  On 1 April 2007, the new, simplified Working Hours Act came into force, providing for less restrictive practices in relation to the length of the working day and scope of the working week. In addition, the concept of overtime has been abolished and the social partners may, within certain statutory limits, reach non-standard agreements. The act has generated mixed reactions from the social partners.

• 26 Jun 2007
  Netherlands: Majority support for open borders from 1 May 2007

  The Dutch House of Representatives voted in favour of completely opening the labour market to workers from new Member States as of 1 May 2007. However, the Green Left Party and the Labour Party demanded further guarantees in terms of equal pay for equal work, and proper housing and working conditions for these workers. To win the parties’ support, the Minister of Social Affairs and Employment agreed to explore supplementary protection measures.

• 18 Jun 2007
  Netherlands: New collective agreements for civil servants and towage workers signed following strike action

  In April 2007, a new collective agreement to cover civil servants was signed in the wake of industrial action. Similarly, the ongoing conflict at the maritime company Smit Internationale has been resolved bu the signing of a new collective agreement for towage workers. The collective agreement for civil servants provides for a wage increase of more than 10% over a three-year period, while the agreement at Smit Internationale provides for wage increases in line with the rate of inflation.

• 13 Jun 2007
  Netherlands: Industrial relations developments 2006 - the Netherlands

  2006 was a politically turbulent year, but industrial relations were not at issue. In previous years economic growth slowed and fundamental changes in social security cast a shadow over the relationship between the social partners. The union federations pursued their policy of pay moderation, even though the economy has now given its first signs of recovery. Agreement between the social partners was reached on essential issues, such as the requirements of a knowledge-based economy and employment growth as the best means of coping with the consequences of an ageing population. Disagreement between the social partners centred on changes in dismissal law.

• 28 May 2007
  Netherlands: Representativeness of the social partners: Telecommunications sector – Netherlands

  Statistical data the telecom sector appear to have a highly confidential character in the country. The Central Bureau for Statistics is not allowed to publish sector-related data. However, it appears that the number of companies in the sector has increased significantly over the last 10 years. There are a number of unions active in the telecommunications sector whose domains may overlap. On the employers’ side, ICT-Office is the branch association of IT-Telecom, office and internet companies in the Netherlands. Collective bargaining usually takes place at company level whereas density is very low on both sides.

• 28 May 2007
  Netherlands: TNT Post to cut up to 7,000 jobs

  In April 2007, TNT Post announced a new reorganisation of the company, which will lead to the shedding of some 7,000 jobs by 2010. The need for restructuring has been fuelled by dwindling post volumes as well as liberalisation of the postal services market, bringing increased pressure on terms and conditions of employment. The trade unions and government are concerned at the scale of the job losses.

• 28 May 2007
  Netherlands: Labour force participation top of agenda in unions’ talks with new cabinet

  The three main trade union federations have proposed their points of interest for the participation dialogue with the Dutch cabinet. Both the social partners and cabinet agree that increasing the level of labour force participation is an important issue. However, differences of opinion arise on which other items of the proposed agenda are relevant for discussion. Employer organisations have noted the absence of dismissal protection in particular on the trade unions’ agenda.

• 28 May 2007
  Netherlands: Anonymous job application trial to be extended due to success

  The initial results of a controversial trial involving anonymous job applications in the Nijmegen area have proved favourable for people of foreign extraction. Results reveal that foreign workers have a better chance of being invited for an interview when their applications are anonymous. Due to its success, the trial is now being extended. Although employers believe that foreigners should have the same opportunities in principle, this does not appear to be reflected in practice.

• 18 May 2007
  Netherlands: Gender and career development — Netherlands

  For thirty years the government has had a policy in place for promoting women in the higher ranks of organizations, companies and public bodies. Progress has been made, in particular in the last fifteen years. EU initiatives stimulated the Dutch government to increase its efforts and to formulate target figures. Important barriers have been overcome, others have shown to be persistent. The government and NGO’s have taken a leading role and individual employers participated. The social partners at central level have participated in developments.

• 15 May 2007
  Netherlands: Age balance principle in collective redundancies

  In March 2006, the age balance principle came into effect regarding collective redundancies. The principle replaces the ‘last in, first out’ seniority-based principle with respect to restructuring. Trade unions are satisfied with the change as this will create more of a balance in cases of collective redundancy. The Social and Economic Council (Sociaal-Economische Raad, SER), which represents the social partners, will issue its recommendation in spring 2006 on the changes in dismissal law. However, the social partners are divided on this issue.

• 03 May 2007
  Netherlands: Staff association loses court appeal over bank outsourcing

  In February 2007, the ING bank outsourced its mail and document processing operations to the new company, Astron. Subsequently, a staff association at the bank appealed to the courts, claiming that Astron, which has also taken over a large number of ING’s employees, does not offer the same terms and conditions of employment as the bank. At the end of 2006, ING, Astron and the trade unions had reached agreement on the transition of around 800 employees due to the outsourcing operation. Following preliminary relief proceedings at the start of March 2007, the courts rejected the employees’ claim, thus recognising the legitimacy of the agreed social plan.

• 03 May 2007
  Netherlands: Towage workers strike in demand of wage increase

  At the end of February 2007, towage workers at Smit Internationale resorted to strike action, demanding an 8% wage increase. The company’s management board and trade unions failed to reach agreement in the collective bargaining rounds. The trade unions’ demands are high because they believe that the employees should share in the company’s success. However, the management believes that it is already being sufficiently generous. The towage workers initiated strikes lasting several days at a time. In the third week of March, agreement was reached on a process of arbitration.

• 10 Apr 2007
  Netherlands: Social partners welcome coalition government’s agreement

  The new government presented its coalition agreement at the beginning of February 2007. The agreement concluded by the Christian Democratic Alliance, the Labour Party and the Christian Union has received a positive response from the social partners. Employer organisations are pleased with the additional resources for stimulating business, while trade unions are enthusiastic about the attention given to the creation of new jobs.

• 19 Mar 2007
  Netherlands: Court ruling on dispute over shareholder powers in aviation company

  On 17 January 2007, the enterprise section of the Amsterdam Court of Appeal ruled on a dispute between two hedge funds and the company Stork, which is active in the areas of aerospace, food systems and technical services. Stork’s works council and the trade unions sided with the management in defending the company against a takeover. Neither of the two main parties to the dispute achieved a complete victory; the proceedings were regarded as a test case in relation to the increased rights of company shareholders.

• 19 Mar 2007
  Netherlands: Court rules against introducing minimum wage for 13–14-year-olds

  In November 2006, the Court of Appeal ruled that 13 and 14-year-olds do not have a right to a statutory minimum wage. Such young people should not be encouraged to work, but rather encouraged to pursue their studies. Thus, the trade unions’ demand was rejected, even though the lower courts had earlier ruled in favour of such a move. The statutory system regulating minimum wages is age-graded: for full entitlement to the minimum wage, an employee must be aged between 23 and 65 years, and be working at least a third of normal hours. However, according to some collective agreements, the entitlements may apply to workers aged 18 years. The Labour Inspectorate monitors compliance in this regard. The most recent survey conducted by the inspectorate in 2004 shows that only a limited number of employees receive wages below the minimum level.

• 26 Feb 2007
  Netherlands: Government officials take industrial action over pay

  In January 2007, government officials took action to campaign for a better collective agreement than that being offered by the Minister of Internal Affairs. The issue mainly revolves around pay, which – according to employees of national administration bodies and their trade unions – lags behind the salaries of their colleagues in municipal bodies and of the police force. So far, however, the Minister of Internal Affairs is standing firm despite industrial action disrupting the country’s public services.

• 26 Feb 2007
  Netherlands: Support from employers not adequate for partially disabled employees

  Partially disabled employees are not receiving the agreed level of support from employers when seeking a job, a report published by the Labour Foundation has found. Employee representatives responded angrily to the fact that promises made by employers in this respect in 2004 have not been honoured and in light of the fact that many partially disabled people face unemployment. However, employer organisations have asserted that while employers agreed to make every effort to this end, the results of such efforts are beyond their control. Finding alternative positions within small and medium-sized businesses has proved to be particularly difficult, even though cross-sector initiatives show that this problem can be overcome.

• 19 Feb 2007
  Netherlands: Deadlock in negotiations on dismissal legislation

  Employer and employee representatives in the Social and Economic Council (SER) have failed to reach agreement on changes to legislation on dismissal. Although the council promised a cabinet recommendation by the end of 2006, it concluded in December that agreement could not be reached among the parties. For the time being, this means that an SER recommendation will not be forthcoming supporting a reform of dismissal legislation linked to higher unemployment benefits and the reinforcement of employability.

• 19 Feb 2007
  Netherlands: Trade unions reject proposal to downgrade older workers

  At the end of 2006, the three umbrella employer organisations indicated that they would like to abolish the system whereby older employees automatically earn more than their younger counterparts. In response, the three main trade union organisations expressed dissatisfaction with this proposal. While they do not object to demotion on a voluntary basis, the trade unions are not in favour of such a measure being part of structural wage policy.

• 19 Feb 2007
  Netherlands: Collective agreement reached at container company following wildcat strike

  At the start of 2006, the Allied Unions (FNV Bondgenoten) reached a collective agreement in principle at Europe Container Terminals (ECT), a container operator based at the Port of Rotterdam. However, the trade union members did not favour the proposed level of flexibility and rejected the agreement. A wildcat strike followed immediately in response to a revised agreement. The court deemed the strike unlawful and instructed the union to consult its membership properly. In December 2006, following a referendum, a narrow majority of the FNV Bondgenoten membership base approved the revised collective agreement.

• 19 Feb 2007
  Netherlands: Lack of agreement on proposals to minimise gender pay gap

  At the end of January 2007, a conference took place to discuss the draft recommendations of a committee established to devise policy recommendations on how to reduce the wage gap between men and women. The committee, in which the employers and trade unions are strongly represented, was originally established by the Minister of Social Affairs at the start of 2006. However, the committee has failed to reach overall agreement on its draft recommendations. For example, a recommendation to increase wages in the healthcare and education sectors was abandoned because the employers considered that the measure did not contribute to resolving the issue of wage discrimination.

• 15 Jan 2007
  Netherlands: Parliamentary balance swings in favour of left-wing after elections

  Parliamentary elections held on 22 November 2006 in the Netherlands have significantly changed the political balance. Right-wing parties have been weakened by the elections, while the left has been strengthened. The Confederation of Netherlands Industry and Employers responded cautiously to the election outcome; the Dutch Trade Union Federation expects the outcome to reinforce socially oriented politics in the Netherlands.

• 09 Jan 2007
  Netherlands: Trade unions give mixed response to plans to simplify law on dismissals

  The election manifesto of the Christian Democratic Alliance includes plans to simplify dismissals legislation. This has prompted a mixed response from the Christian Trade Union Federation (CNV) and the Dutch Trade Union Federation (FNV). The CNV has rejected the plan outright, while the FNV now accepts some of the proposals. The Confederation of Netherlands Industry and Employers, which is in favour of a more flexible dismissals law, has welcomed the FNV’s recent willingness to negotiate.

• 09 Jan 2007
  Netherlands: Call for anonymity in job applications to counter discrimination

  In the autumn of 2006, the chair of the Social and Economic Council expressed his support for the idea of anonymous job applications, in an effort to further diversify the workforce and to combat discrimination against ethnic minorities and older workers. A pilot project in relation to anonymous job applications is currently being monitored in one municipality. In addition, the Labour Party has submitted a plan of action containing proposals directed at activating diversity policy. While the Dutch Trade Union Federation views such initiatives favourably, it also recognises that the responsibility for decisions related to the recruitment of employees ultimately rests with the employers.

• 09 Jan 2007
  Netherlands: Union federations seek to exclude trade union from collective bargaining process

  Both the Dutch Trade Union Federation and the Christian Trade Union Federation in the metalworking sector are seeking to exclude their fellow negotiator, the De Unie trade union, from collective bargaining rounds. In particular, the two trade union federations disapprove of De Unie’s concluding collective agreements, to which they themselves cannot agree. Moreover, De Unie’s representativeness is under question in the sectors where it has concluded independent collective labour agreements.

• 09 Jan 2007
  Netherlands: Union advocates better social security cover for self-employed

  The Dutch Trade Union Federation (FNV) is attempting to close gaps in social security by negotiating with insurance companies on collective pensions and occupational disability insurance schemes for self-employed individuals without staff. FNV is also urging politicians to ensure that legislation, such as the new pensions act, takes self-employed workers without staff into account. As many as 50% of such workers do not appear to have taken out any pension and/or occupational disability insurance, generally because of the high costs involved.

• 04 Jan 2007
  Netherlands: Increasing women’s labour market participation through childcare provision

  The issue of childcare facilities for children featured prominently in the pre-election campaigns of November 2006. Almost all of the major political parties proposed some form of basic day care facility; even the Dutch Trade Union Federation put forward its own proposal. Increasing the level of women’s participation in the labour market is an important motivating factor in this context. The proposals have been made against the background of recent studies, which show that career prospects have deteriorated for women who work part time and who take leave to provide care.