• BEE winners and losers

    Creating real change and real jobs requires a new ideology, says Gerhard Papenfus.

  • Governance matters

    Addressing risk well and timeously can be a source of growth, says Ian Mann.

  • Road to riches

    Taxpayers keep funding structures with big plans but who knows what efficacy, says Mandi Smallhorne.

See More

Dutch minister wants banking pay cuts

Feb 11 2013 10:29 Reuters

Related Articles

Netherlands stops budget aid to Mozambique

Netherlands forced into nationalisation

New chief for the IEA

Shares down as eurozone fears grip investors

Lagarde leads race for top IMF job

Sylvania Platinum CEO, execs take pay cut

Amsterdam - Dutch Finance Minister Jeroen Dijsselbloem wants all bank employees to take a pay cut in return for the state support that has been given to most of the country's biggest banks, he told a local newspaper in an interview published on Monday.

Dijsselbloem, who is also chair of the Eurogroup of eurozone finance ministers, nationalised the Netherlands' fourth-largest bank and insurance group, SNS Reaal, ten days ago. 

ABN AMRO was nationalised and both ING and Aegon were bailed out by the state in 2008.  

The bank rescues and high salaries earned by senior bankers have prompted a public outcry at a time of budget cuts and austerity measures.

"We have saved jobs partly thanks to state support. Therefore I think it is reasonable for employees to also make a contribution," Dijsselbloem told De Telegraaf, the Netherlands' largest circulation newspaper.

"It is true that banks' collective labour agreements are quite generous, also for regular employees. I think there is every reason for banks' collective labour agreements to be more sober, and it really has to happen now," he said.

Dijsselbloem wants the labour agreements between unions and employer groups, which usually cover one or several years, to be severed and adjusted, he told the paper.

Dijsselbloem has no power to lower salaries in a specific sector. He can levy specific taxes on banks, though not their employees.

"I want the sector to take action on its own. Society wants a clear signal. I will put pressure on this," he said.

Dijsselbloem last week defended in parliament the annual salary of €550 000 ($735 900) for the newly appointed SNS Reaal chief executive, Gerard van Olphen, saying the pay was needed to attract a qualified banker.


Follow Fin24 on Twitter, Facebook, Google+ and Pinterest.

salary cuts


Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Add your comment
Comment 0 characters remaining

Company Snapshot

We're talking about:


Johannesburg has been selected to host the Global Entrepreneurship Congress in 2017. "[The congress] will ensure that small business development remains firmly on the national agenda and the radar screen of all stakeholders, the Small Business Development minister said.

This is the most expensive burger in the world!

You won't believe how much someone was prepared to pay for this burger!


Luxury living

Exclusive food items that WILL break the bank
Top 10 most expensive homes in the world
You can permanently live on a ship and sail the world!
These are the richest people on the planet!

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

How will you manage Vodacom’s price hike for contracts?

Previous results · Suggest a vote