- The Netherlands: wage flexibility and collective bargaining
- EIROnline: European industrial relations observatory on-line
- Document type
- Faculty of Law (FdR)
- Hugo Sinzheimer Instituut (HSI)
In the Netherlands, the incidence of variable payments systems (VPS) and performance-related pay (PRP) gradually increases. Most forms of VPS are covered by collective bargaining, with the exception of share and option schemes. Virtually all agreements only allow upward variability. Employers and the government very much support the spread of VPS, while unions are less reluctant to accept VPS than they were in the past. VPS is more prominent in retail banking (predominantly single employer agreements) than in manufacturing (predominantly multi-employer agreements).
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