Netherlands: limiting union power in the offing

The restructuring, planned for the summer 2012, of the country’s key trade union, the Federation of Netherlands Unions and Allies (FNV), is opening the possibility of limiting unions’ power.  Indeed, a majority of MPs is in favor of a bill presented on December 14 by Geert Wilders’ right-wing populist Freedom Party (PVV).  This bill, backed by both parties in power – the Christian Democratic Appeal (CDA) and the Liberal Party (VVD) provides that the collective agreements negotiated by the trade unions should only be binding for the entire sector if a majority of employees supports the agreement.  In short, this system would let workers who are not affiliated with a trade union could have a say.  In the Netherlands, a minority of employees is unionized – 1.9 million out of 9 million active workers.  The bill, introduced by PVV MP Ino van den Besselaar was given a positive welcome in Parliament, which already wanted to add flexibility to the collective agreements and allow businesses to avoid wage increases because of the crisis (see our dispatch No.  110736).  Henk Kamp, Minister of Labor and Social Affairs, is going to work on a reform and present a bill early next year.