Workplace Report March 2016

European news

Deal agreed in ‘Big Metal’


After months of negotiations and a series of strikes, Dutch unions and employers have finally agreed a new pay settlement for the 140,000 people employed in the metal and electrical industry.


The deal, which covers the motor industry, shipbuilding, foundries and other engineering sectors, and is known as “big metal”, runs for 37 months until 1 June 2018 and provides for staged pay increases worth a total of 5.9%.


The first increase of 2.1% comes on 1 April this year, followed by 1.25% on 1 January 2017, a further 1.0% on 1 August 2017 and a final 1.55% on 1 January 2018. 


In addition, employees get two one-off payments, worth 0.5% of annual pay in July 2016 and 0.6% in March 2017.


With inflation currently at 0.6% (February), the deal represents a real-terms pay increase. However, employees have been waiting for this for a long time, as the previous settlement ran out at the end of April 2015.


As well as pay increases, the settlement gives employees greater control over their own working time, with the possibility of moving to a four-day week.