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Cut jobless benefit entitlement, says OECD

Thursday 11 March 2010

The Netherlands should cut the length of time people can claim unemployment benefit (ww) to encourage the jobless to find new work, the Paris based OECD organisation said on Thursday.

In addition, the Netherlands would be sensible to cut its programme of mortgage tax relief, which would allow income tax to be reduced, the organisation said.

The recommendations are contained in a report into the growth prospects of western economies.

Although some improvements have been made, 'employment protection legislation remains overly strict, restrictions on shop opening hours continue to hinder competitive pressures, and excessive unemployment benefit duration undermines the job-search incentives of the long-term employed,' the organisation says.

'The global recession has left deep scars,' said OECD secretary general Angel Gurría. 'The only way to begin healing them is by taking effective action now to help our economies recover their lost potential.'

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Readers' comments

Always the same, tired recommendations from the status quo...can we make them redundant? Then cut their entitlement of course...

By CW | March 11, 2010 11:44 AM

Well, well, well. Nice of the OECD to be so concerned with the jobless rate in NL....the lowest in the EU. Trade and current account surpluses for the last 10 years + etc, etc. Nice to be lectured by a Mexican expert on balanced budgets and long term investments.

By Russell Thompson | March 11, 2010 10:13 PM