The largest Dutch trade union federation, the FNV, which represents around 1.2 million workers, has tabled an above-inflation wage demand of 2.5% for 2013. Employer associations have described the wage demand as irresponsible. The Netherlands’ second largest association of unions, the Christian Trade Union Federation (CNV) which has more than 350,000 members, has not yet made its own wage demand although it has advocated the moderating of the highest incomes.
The largest Dutch Trade Union Federation (FNV), has tabled a wage demand of 2.5% for 2013. This slightly exceeds the expected rate of inflation of 2% for 2013. FNV’s draft employment conditions memorandum, which forms the basis for negotiations with employers, differs little from last year’s document. The wage demand then was also 2.5%.
In half of the 500 collective labour agreements concluded in 2012, the average wage increase was 1.8%. Since there have been no wage increases in the public sector, this means that wages in the private sector are now rising more sharply than civil servants’ salaries.
The Christian Trade Union Federation (CNV) also announced its draft employment conditions policy. Although the policy does not ask for a specific pay rise, it does emphasise the federation’s belief in the need for a fair distribution of increases. It says if wage demands for employees governed by the collective agreement are to be moderate, the same policy must be pursued for wages above the collective agreement level.
The CNV would like to see agreements with companies and sectors focused on a cohesive remuneration policy applicable to both executive staff and those governed by collective agreements. In order to achieve this, the FNV even envisages bringing higher incomes back within the scope of collective labour agreements.
The FNV’s Vice-Chair and collective bargaining coordinator, Catelene Passchier, insists the wage demand for 2013 is economically responsible and socially necessary. Consumer spending power will be bolstered, she says, without bringing undue pressure on employers. In sectors facing particularly difficult situations – such as construction – the FNV has lowered its wage demand and the federation stresses that it understands that job retention is essential for its membership base.
Employer associations, including the Confederation of Netherlands Industry and Employers (VNO-NCW) and the Dutch Federation of Small and Medium-Sized Enterprises (MKB-Nederland) have criticised the FNV’s wage demand, describing it as irresponsible. According to the employer representatives, the trade unions are failing to take account of the economic crisis. Over 2012, it is expected the Dutch economy will decrease by 0.2%.
The FNV also wants a cut in the number of flexible contracts. With unemployment high, the FNV says it would like to reach agreements on job security within companies and sectors.
The trade union federation is calling for fewer flexible contracts and fewer minimum-term contractual agreements. The FNV dismisses such contracts as messy. It wants a worker’s experience to be a factor when subsequent contracts are renegotiated.
As far as possible, the federation wants to see employees with flexible contracts being promoted to full-time employment, as well as being given preference when applying for vacancies. The FNV believes everyone should be able to progress to employment on a full-time contract within a year. It says its policy would strengthen the position of young people in the job market.
These views do not make the FNV popular with employers who – especially while facing economic difficulties – hope to fall back on flexible working arrangements that reduce their financial risks.
The FNV also hopes it can work alongside employers to find innovative solutions to help redundant employees back into work. The federation wants to see much more being done to look after workers facing redundancy, and to make sure that workers who lose their jobs do not remain unemployed for long in the wake of reorganisations or bankruptcies.
The CNV supports this and highlights employee mobility, through the offer of meaningful support by making it possible, for example, for employees to retain personal development budgets when leaving a company. The CNV also warns against the shortcomings of ‘new-style working methods’, where the ‘never-ending nature of work’ increasingly threatens work–life balance.
Employer associations are not opposed to the proposals that will increase employee mobility and, in fact, see this as particularly important in the light of predicted staff shortages. They are, however, keen to limit the responsibility of employers for moving workers from one job to another.
On the question of raising the retirement age, the FNV refers back to the pension agreement reached by the social partners in 2011(NL1112029I). This agreement was cut back further, based on the agreement the outgoing cabinet reached with a number of opposition parties to conclude the budget for 2013.
The FNV now wants to see the accelerated increase in the retirement age for physically demanding jobs repaired as far as possible.
The FNV could attempt to achieve this through collective agreements, but hopes that the new cabinet will propose a more flexible retirement age with extra compensation for lower income brackets. The federation wants workers in physically demanding jobs to be able to stop work at the age of 65, although employees who are willing and able to work longer would be given an opportunity to do so.
Marianne Grünell, University of Amsterdam