Lack of benefits threatens economy: Business assoc.

Today Business association AWVN is presenting a plan to Prime Minister Mark Rutte to reform the social security system.

According to the plan, everyone who works must be insured against unemployment and illness, have a mandatory supplementary pension and receive money for schooling. This includes the 1.2 million freelancers.

"People who are uncertain rein in their spending and that is not good for the economy and employment," says Harry van de Kraats, director of the AWVN. If people have more security, they spend more money. This ensures growth in the economy and employment opportunities.

Thus far trade unions and scientists are reacting cautiously positive to the proposal of a basic system for all workers. Employers find that something must be done about the growing division, but also want companies to be more flexible.

The plans must be worked out in consultation with politics and trade unions. The AWVN is not mentioning any amounts, but to keep things affordable benefits would go down. Those who want more, can take out additional insurance.