Netherlands placed 7th in wage costs ranking

26th August 2004, Comments 0 comments

26 August 2004 , AMSTERDAM — The Netherlands is in seventh place on a list of industrial countries ranked according to wage costs, new research indicates.

26 August 2004

AMSTERDAM — The Netherlands is in seventh place on a list of industrial countries ranked according to wage costs, new research indicates.

Each employee in the Netherlands cost their employer on average EUR 23.20 per hour, with Norwegian workers costing the most, EUR 28.15.

The cost of hiring an employee includes the salary as well as taxes and premiums the employer and employee pays directly to government agencies.

The German research found that Danish workers are ranked second in terms of wages, costing employers there an hourly average EUR 27.33, news service NIS reported on Wednesday night.

Germany is split up in the survey with West Germans (EUR 27.09) coming in third. East Germans are ranked 16th at EUR 16.86 per hour.

According to the research bureau Institut der deutschen Wirtschaft (IW), the top 10 nations in terms of wage costs are European countries.

The Swiss are ranked fourth, followed by the Finns and Belgians. Dutch workers earn the seventh highest wage costs, ranking in front of Austria, Luxembourg and 11th-placed France. The US is ranked 12th.

Despite the ranking, Dutch workers earn less that US nationals on a gross basis, but employees are still cheaper in America. This is because social premiums and pension costs in the US are much lower than the Netherlands.

Social premiums and pensions figure prominently in countries such as the Netherlands.

An IW spokesman told Expatica that total labour costs rose in the Netherlands 2.8 percent last year as wages rose 2.5 percent.

Wages rose in the US by 4.7 percent compared with about 3 percent in Europe, but this was offset on a comparative basis due in part to the depreciation of the US dollar.

[Copyright Expatica News 2004]

Subject: Dutch news

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