Netherlands -Collectively agreed wages and old age -July 30, 2014

The bureau for Economic Policy Analysis CPB investigated the anatomy of older workers’ wages. In the public sector, CPB finds no evidence of a wage cushion.

The bureau for Economic Policy Analysis CPB investigated the anatomy of older workers’ wages. Central research question was whether the wage cushion, defined as the difference between actual wages and (maximum) contractual wages as stipulated in collective labour agreements, contributes to the fact that wages continue increasing at older ages. In the public sector, CPB finds no evidence of a wage cushion. Wage scale ceilings set in collective agreements are guiding for older workers’ wages, and workers earning a contractual wage equal to a wage scale ceiling are not compensated with higher additional wages. In the private sector, wage scale ceilings are less restrictive and workers earning a contractual wage exceeding the highest wage scale ceiling experience higher contractual wage growth.

English: http://www.cpb.nl/en/publication/do-wages-continue-increasing-at-older-ages ...       

 

For more information, please contact the editor Jan Cremers, Amsterdam Institute for Advanced Labour Studies (AIAS) cbn-aias@uva.nl or the communications officer at the ETUI, Mariya Nikolova mnikolova@etui.org. For previous issues of the Collective bargaining newsletter please visit http://www.etui.org/E-Newsletters/Collective-bargaining-newsletter. You may find further information on the ETUI at www.etui.org, and on the AIAS at www.uva-aias.net.


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