All data is delayed
See More

Dutch minister wants banking pay cuts

Feb 11 2013 10:29
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 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
Comments have been closed for this article.

Company Snapshot

We're talking about:


Marketing is a big concern in SA's small business community, followed by a lack of confidence and partnering with the wrong people, according to a survey.

Money Clinic

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

Voting Booth

The 25 basis points interest rate increase is:

Previous results · Suggest a vote