Netherlands: coalition in power presents pension reform

Gradual increase of retirement age. On October 16, the Christian Democrats and the Labor Party, in power, reached a compromise on the increase in retirement age. It will go from 65 to 66 in 2020, in one time like employers wanted, and then to 67 in 2025. All workers aged 55 and more on January 1, 2010 will be spared by the reform. Unions obtained a major deal: it will still be possible to retire at 65 in 2021 for people who worked for 16 years in a row after their 50th birthday, in 2022 for 17 years and so on. Those who stop working before official retirement age will see their basic pension (AOW) and supplementary pension decreased for the rest of their lives. The AOW will be cut by 8% for the highest wages and 6.5% for the lowest. “Experts assume that, in the long run, this will help save four billion euros annually, but they don’t know if the Central Planning Bureau (Centraal Planbureau, CPB) has already calculated everything” writes the Het Financieele Dagblad financial daily. Employers of people performing arduous work will have to give them easier tasks after 30 years of career. If they refuse, employers will have to pay a special bonus allowing employees to retire at 65.
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) has already calculated everything” writes the Het Financieele Dagblad financial daily. Employers of people performing arduous work will have to give them easier tasks after 30 years of career. If they refuse, employers will have to pay a special bonus allowing employees to retire at 65.

Few positive reactions. The Federation of Dutch Trade Unions (FNV), the largest confederation in the country, is still against the reform. “This is about money, not about people” Agnes Jongerius, FNV general se

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