DNB president Knot calls for better enforcement of the use of migrant workers

The President of De Nederlandsche Bank (DNB), Klaas Knot, thinks the Netherlands would do well to better enforce the existing regulations for hiring foreign workers, such as the laws against underpayment. Currently, there are still many poorly paid jobs for migrant workers in the Netherlands. According to Knot, their added value is low, while the social burden is high.

On the talk show WNL op Zondag, Knot explained that the tight labor market is forcing people to make choices about what is still possible in the Netherlands and what is not. "I think we all agree that you like to have an economic activity that contributes as much as possible to our prosperity," he said.

"If you look at the number of migrant workers in the Netherlands, about half of them are paid the minimum wage or below and are housed in poor conditions," the DNB chief continued, referring to figures from the Labor Inspectorate. "This causes social hardship for the local population and the surrounding communities. These are all things that are not at the expense of the employer in question, but it puts a strain on things that are scarce in the Netherlands, while the added value is not very high. At the end of the day, it's all about enforcing the laws that are already in place."

Knot added that he did not favor naming "winners and losers." "But the government is the market's master," he said.

President van de Nederlandsche Bank Klaas Knot pleit voor een stevig financieel kader in een programkabinet. "De Kamer weet elkaar te vinden als het gaat om leuke dingen voor de mensen, maar weet de Kamer elkaar ook te vinden als het gaat om pijnlijke keuzes?" #WNL pic.twitter.com/Uuz4oUXq3U

— WNL Op Zondag (@WNLOpZondag) March 17, 2024

In the same broadcast, he expressed the hope that the new Cabinet, whose formation is still being negotiated, will handle the budget in a disciplined manner. For example, the Netherlands is facing major investments in connection with climate change and the aging population. To have sufficient financial leeway for this, Knot said that the Netherlands should not allow the budget deficit to rise above 2 percent.

President van de Nederlandsche Bank Klaas Knot adviseert de formerende partijen om de oploop van het begrotingstekort te beperken tot twee procent. "Investeer ook vooral in de woningmarkt en denk kritisch na over welk type migratie je wilt hebben." #WNL pic.twitter.com/VRnwKiQCTx

— WNL Op Zondag (@WNLOpZondag) March 17, 2024