Social Pacts in Netherlands: Agenda 2002 - Collective Bargaining Agenda for the Years Ahead

Period: 1997

Negotiating Parties: Social partners represented in the Foundation of Labour (Stichting van de Arbeid, STAR): Federation of Netherlands Industries, Netherlands Trade Union Confederation, Federation of Christian Employers in the Netherlands, Confederation of Christian Trade Unions in the Netherlands, Royal Netherlands Federation of Industries, Trade Union Federation for Intermediate and Higher Employees, Federation of Christian Industries in the Netherlands, Catholic Farmers and Market Gardeners Association in the Netherlands, Royal Netherlands Agriculture Committee, Christian Farmers and Market Gardeners Association in the Netherlands.

Objectives of the pact: Setting the agenda of collective agreement for the medium term.

Matters agreed:

• Wage setting and determination of employment terms.
• Responsible wage determination at the industry and company level.
• Collective agreements: providing organising principles and guidelines for wages and employment terms. 
  • Need to create further scope in collective agreements for flexibility to allow room for company specific considerations.
  • Introduction of flexible and motivating pay policies.
• Training and career guidance.
• Need for employers to invest more of their resources in skill upgrading of employees.
• Promotion of training as a permanent activity.
• Upgrading of employees’occupational qualifications as shared responsibility of employers and employees.
• Development of an integral employability policy.
• Recommendation to introduce special measures for long-term job seekers, including the introduction of lower wage scales.
• Working hours / work and family care.
• Further promotion of differentiated work hour patterns and part-time work.
• Introduction of care leave arrangements.
• Improvement of affordable child-care facilities.
• Older workers.
• Encouragement for older workers to stay longer in the labour market.
• Improvement of the employability of older workers.
• Introduction of measures against the discrimination of older workers.
• Combating stress and work pressure.
• Social partners are urged to investigate the causes of work pressure and adopt a course of action to improve the situation.
• Limiting excessive overtime work.
• In this context, policies to deal with absenteeism should be sought.

Institutions involved: Foundation of Labour (Stichting van de Arbeid, STAR)

Background: Since the “A New Course” agreement, the Netherlands had enjoyed good economic growth and a reduction of fiscal deficits and public debt. Enterprise profits rose and jobs were created.  Yet, labour market participation rates were still considered to be low.  Long-term unemployed, disabled and older workers did not benefit from the general employment growth.  This agreement was drawn to tackle these remaining problems of the Dutch labour market. 

Comments: This agreement was built on the previous “A New Course” agreement.  However, social partners felt the need that this new agreement had to reflect the changing economic and social situation by emphasising continued investment in the ability of the economy to adapt to rapid change.