In 2013, at least €12 billion will be saved to bring the budgetary gap down to the European standard (3 percent, as opposed to 4.7 percent in 2011). Without support from Geert Wilders’ right-wing populists (see our dispatch No. 120268), the Liberals and Christian-Democrats, in power since 2010, have found other allies in Parliament. An agreement was signed on April 26 by Jan Kees de Jager, Christian-Democratic Minister of Finance and centrists from D66, Groenlinks’ green party and Christen Unie’s Christians. It provides for a pay freeze for some civil servants (teachers, firefighters and police, who haven’t had a raise in two years) and for increased flexibility for layoff regulations, which employers have been requesting for over 10 years – the modalities still need to be defined. This was a concession in principle in return for maintaining 38 months of unemployment benefits. Besides, retirement age will start increasing in 2013 when it should have gone from 65 to 66 in 2020 and then 67 in 2025. VAT goes from 19 up to 21 percent and health insurance is going to cost families twice as much, causing them to loose 3 buying power points in 2013. The labor party didn’t support the agreement, and neither did the Dutch Labor Federation (FNV), and their reaction was negative.
2020 and then 67 in 2025. VAT goes from 19 up to 21 percent and health insurance is going to cost families twice as much, causing them to loose 3 buying power points in 2013. The labor party didn’t support the agreement, and neither did the Dutch Labor Federation (FNV), and their reaction was negative.
The FNV says employers are getting off lightly. They will not be subject to a temporary increase in corporate tax, which was contemplated for a while. Besides, the country’s biggest union cri
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