AWVN: Dutch salaries experience sharpest increase in 13 years
Employee salaries in the Netherlands rose by an average of 3,4 percent in April - the sharpest increase recorded in 13 years - partly as a result of the severe staff shortages being observed across a number of different sectors and industries.
Employee salaries in the Netherlands rise by 3,4 percent
According to employers’ association AWVN, salaries agreed upon in collective labour agreements in April were, on average, 3,4 percent higher than in March. These latest figures mean that, so far in 2022, Dutch salaries have risen by an average of 2,9 percent.
Last month, 26 new collective labour agreements were reached, bringing the 2022 total to 141 and affecting approximately 1,9 million people working in the Netherlands. While AWVN explains that the April figures “[strengthen] the upward trend in wage agreements that started in spring 2021,” the association notes that this trend might not continue into May as a result of rising production costs and deteriorating economic forecasts as a result of the war in Ukraine.
Dutch companies hoping to attract more workers
AWVN attributes these increases to “the very rapid turnaround of economic growth into contraction and contraction into growth in 2020 and 2021,” but highlights current staff shortages as playing a key role in accelerating the rate at which salaries are rising.
The Netherlands continues to face a growing labour crisis. At the end of April, a record number of over 400.000 job vacancies were being advertised across various key sectors, while the number of unemployed continues to fall. Several companies have already decided to increase salaries and adjust work contracts in order to become more attractive to job seekers in the current hugely competitive market.
While these wage increases are promising, Dutch salaries are still not able to keep up with the rising cost of living and the high rate of inflation. Food banks across a number of Dutch cities have noticed an increase in the number of registrants over the past few months. Since January 2022, the number of families having to rely on food banks has increased by 15 percent, or around 6.000 households.