Net wage increases, against employers' costs

By: Together Abroad 08-01-2016 1:05 PM
Categories: * Daily employment news, Business news,
Most Dutch workers will be able to spend a little more this year. This is thanks to the cuts in taation made by the Government. This means almost all Dutch employees will see an improvement in the condition of their wages. In addition, employers' costs are also falling this year higher.

Minimum wage earners receive will recieve a net increase of 76 euros per month. Those who earn the dutch average income, 2816 euros per month will benefit by an extra 69 euros per month. However, those who earn around one and a half times the average income will miss out on these advantages. They will only gain a net increase of 6 euros per month from the change in tax benefits.

The changes to the tax benefits, the tax rates and the classification of the tax bands means that employees are held more favourably in this regard. This is especially the case for civil servants. Officials who make three times the average, will see a net increase of 111 euros per month.

In addition to this, employers' contributions are incidentally higher. ADP claims that companies generally will spend more on employee insurance premiums than last year. Some premiums go up, some will go towards contributions. On balance, this means slightly higher costs. Only the construction sector has seen a decrease in employers' contributions.
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