“Higher wages are just a recipe for more unemployment ‘- Financieele Dagblad

The arguments of the Dutch Central Bank (DNB) to let wages rise strongly is ‘nonsense’. That says Cees Oudshoorn employers’ organization VNO-NCW. “Higher wages are just a recipe for more unemployment,” he warns. “From underpayment is no question at all.

Cees Oudshoorn (Photo: MKB Netherlands)

the unions FNV and CNV embrace precisely DNB’s view that there must be an end to the wage restraint in the Netherlands. According to a study published Thursday by the central bank, the compensation of employees and self-employed retarded more than necessary, given the rising corporate profits. At the expense of purchasing power which economic growth is tempered.

Labour

VNO-NCW rejects that conclusion by DNB. According Oudshoorn is not true that real wages have lagged behind. “If you want to judge that you should look into labor,” he says. “They run very precisely synchronized to each other.

The business lobby acknowledges that the purchasing power is left, but blames it on the excessive difference between labor costs to the employer and the net income for the employee. “That which has grown wedge is a drag on purchasing power,” says Oudshoorn. “Tax cuts are the only route, but that is the way of politics.”

Minister Lodewijk Asscher of Social Affairs and Employment However, this does not respond to the DNB study. The minister wants to study thoroughly the investigation, a spokesman says.

Self-employed individuals

FNV director Gijs van Dijk

Dutch Height

Volgens trade union FNV it is high time that the rewards are screwed up. “Employers and principals have more room to raise wages and prices for professionals,” says Gijs van Dijk, Vice President, FNV. “Especially to stop the underpayment of freelancers.”

Not only employers and clients should therefore make a step forward, but also the government should act, says the union. It is far too easy for employers to cash in on the tax benefits when hiring freelancers rather than hire people

Wage cost subsidy

” the tax benefits are more often used in reducing the hourly, which is contrary to the intent of the tax benefit, “said Van Dijk. “In this way, the outright wage subsidy and state aid.

VNO-NCW, however, opposes the equalization of self-employed and workers. “The increase in the number of self-employed is logical given the high labor costs and inflexible labor contracts,” says Oudshoorn. “If you are the rules for self-employed is just as rigid, you create only more unemployment.”

According to the unions is however made it indefensible that especially large companies sharply higher profits in recent years, but experts there hardly benefited. saw shareholders or increase significantly their funding Examination of DNB. At the same time the government screwed back the tax on corporate profits sharply while workers pay more and more taxes.