Most Dutch employers have not raise commuting reimbursements after fuel policy change
Most Dutch employers have not increased commuting reimbursements despite a government tax-free allowance boost aimed at easing high fuel costs, leaving the vast majority of workers without extra support as gasoline prices continue to rise, AD reports.
The Dutch cabinet raised the tax-free commuting allowance by 2 euro cents to 25 cents per kilometer, applied retroactively to Jan. 1. The government said the measure was meant to ease pressure from higher fuel prices and estimated it could offset about 30 cents per liter of gasoline for necessary commuting. Despite that policy change, only 5 percent of workers received a higher commuting allowance from their employer, while 95 percent saw no increase, according to a survey by trade union CNV of 1,800 members.
Fuel costs remain elevated. The average recommended price for a liter of gasoline is 2.52 euros, about 25 cents higher than before the attack on Iran. Economists at Rabobank expect prices could rise to 2.82 euros this summer, and the International Energy Agency has warned of further increases.
CNV said many workers depend on cars to get to work and have few alternatives. “Two-thirds of workers depend on a car to be able to work. And often there is no alternative,” Jolanda van Zwieten from CNV told AD, pointing to workers in home care, childcare, and education who cannot easily work from home.
The union also said commuting reimbursements are often low. About 12 percent of workers receive no reimbursement at all, and one in three gets less than 23 cents per kilometer. Overall, 80 percent are paying more out of pocket, and 40 percent say they are struggling financially due to fuel costs.
Employer group AWVN said the government change increases costs for companies and should be handled in collective labor agreements. “A higher reimbursement naturally means higher costs for an employer. The government decision looked sympathetic, but employers are left with the bill,” said spokesperson Jannes van der Velde.
