Labor union insists on 14.3% pay raises next year; Minimum wage bump to €14/hour

Workers covered by the FNV labor union should get a pay increase of 14.3 percent next year, the union said. The union said it will use the year-to-year national inflation rate published for October as its starting point for new collective bargaining agreements. It also wants to see the minimum wage rise to 14 euros per hour.

The 14.3 percent salary increase is necessary to “maintain people’s purchasing power” by 2023, the union said. Going forward, it wants minimum pay raises linked to inflation to happen automatically so workers do not lose the ability to pay their bills and lead a similar lifestyle from year to year.

Company profits have also jumped in the last 18 months, said Zakaria Boufangacha, a vice-president at FNV. “As a country, we have become a bit richer since last year. Our members should see a fair share of that,” Boufangacha stated. “But they are deteriorating considerably and in doing so they are once again paying the bill for a crisis.”

He noted that, for many employees, “a significant wage surge is urgently needed” because these workers are barely able to make ends meet. “We see that wages are rising steadily. However, it is still too little to structurally repair the fall in income.”

The union said it will continue to push efforts as many collective bargaining talks continue through the end of this year. The labor shortages many organizations are facing is in the union’s favor, FNV said. “We have momentum. There is scarcity. People will walk away if they can earn more elsewhere.”

Additionally, the union will lobby for an increase in the hourly minimum wage. The figure currently stands at 10.14 euros per hour based on a 40-hour work week. FNV wants to see that total jump to 14 euros per hour, with a similar increase in pension and benefits payments.

The union will hold a rally on 26 November at the Olympic Stadium in Amsterdam. During the event, which is part of its “The Netherlands deserves better!” campaign, the union will call for more permanent jobs, and for the government to take a new look at taxes on assets and corporate profits. It also wants the government to create more guarantees for affordable energy.