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Economic crisis forces Dutch unions to adapt to new realities
The main Dutch trade union federations announced last weekend that it will dissolve and reorganize into nine trade union to try to resolve a long dispute over pensions which crippled the Dutch trade union movement for most of the year.
Surprising movement is a sign that the economic crisis and drastic changes in the labor market force changes in the traditional Dutch union, much admired "polder model," says financial newspaper "Financial Times".
After days of intense negotiations at a country hotel, the two main union federations Netherlands, FNV and FNVBondgenoten have aunt, unexpectedly, that will dissolve and reform under a new name, "New Labour movement." The two organizations have entered into a fierce dispute last summer following an agreement on national pensions, an agreement negotiated by Agnes Jongerius, controversial leader of the FNV.
According to the polder model, national wages and benefits agreements on employment of employees and employers are subject to negotiation between the main trade unions and employer groups, as they are ratified by the government. The system is considered a long time, as an international model for balancing job security and industry needs, and is credited in part for the low rate of unemployment in the Netherlands, even after the outbreak of the crisis.
But, like other world trade union movement, the Dutch polder model has undergone pressure to adapt to a global economy, becoming more competitive and a more flexible workforce. The crisis erupted this year when union pension funds were affected by the prolonged financial crisis, forcing the unions to renegotiate pension.
Agnes Jongerius, leader of the FNV, has negotiated a new pension arrangement, this summer, with groups of employers, employees agree that limit the ability to leave early retirement and grew gradually, retirement age. This agreement was attacked virulently by many union members and Henk van der Kolk and President of the other big union federation, FNV Bondgenoten. Older workers are dissatisfied with raising the retirement age, while younger workers consider that their benefits were cut so you can keep those of the elderly.
These misunderstandings have created a strong conflict between van der Kolk and Jongerius, both, however, showed wisdom, agreeing to give up duties in the dissolution of these structures and create a trade union movement in November.
While the structure of "New Labour movement" is not yet clear, union leaders said that it will provide individual unions in different work areas much greater freedom to negotiate with employers. A more flexible system will appeal to young workers and of the self, who preferred to avoid participating in the trade union movement, which has weakened the unions.
Membership in the trade union movement has fallen from 28% to 21% of workers between 1995 and 2010, according to Central Bureau of Statistics of the Netherlands.
Paul de Beer, professor of labor market relations at the University of Amsterdam believes that lowering trade union members and their increasing age were long-term causes of the reorganization.
"The trade union movement was facing a long defensive, reacting to the proposals of others rather than to impose its own agenda. The number of members decreases, which implies a loss of bargaining power, "he said. "In times of economic distress, these problems can only be sharp ', said Professor Beer.
De Beer believes that the risk of "New Labour movement" is that, due to a less centralized structure to lose its importance in national economic negotiations.
"Polder model becomes famous," confirmed Jules Theewes, labor market economist for SEO Economic Research in Amsterdam. And government, and employees see further, this model as important, he added. "The main idea is to get a unanimous agreement between employers and employees to prevent companies to negotiate and renegotiate constant and not to bother with strikes. Polder system provides more certainty. But changes in the labor market push in the opposite direction, "warned Theewes.
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