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Minister denies calling for pay rises to boost the economy

Friday 18 January 2013

Social affairs minister Lodewijk Asscher has denied calling for pay rises to boost spending power and the economy, as reported by the Financieele Dagblad on Friday.

The paper says Asscher made the comments in a newspaper interview.

‘It is not up to me to formulate wage demands, but it would help if the Dutch had more spending power,’ the Financieele Dagblad quotes him as saying. ‘And that can be done via wage developments.’

Stressing he did not want to interfere in ongoing pay talks, Asscher said: ‘We know that more spending power comes either from higher wages or from economic growth. It cannot just come from The Hague [the government].'

Denial

However, a spokesman for Asscher later told Nos television the minister had not made the comments attributed to him.

'Asscher said that wage moderation sometimes has disadvantages, but that is all he said,' the spokesman stated. In addition, the minister does not consider it to be his role to formulate wage demands.

The current coalition agreement includes a freeze on civil service pay.

The ministry has called on the newspaper to print a correction.

© DutchNews.nl



 

Readers' Comments

Spending power would increase if things weren't so bleeding expensive over here. Reduce the scope and rate of BTW if you want us to have more spending power.

By Mr Me | 18 January 2013 9:21 AM

The newspaper should stand by the quote if it is indeed factual. It's an important point that the media show its independence from the government and that it is free from intimidation and collusion.

By Quince | 18 January 2013 11:04 AM

Off course he is right. The only advantages that cuts brings is good numbers for the governments but it is a short solution. The consequences of that is a even worst recession. In order to have a economy growth you must give more spending power to the people... it is very simple.... HELLLOOOO

By Jose | 18 January 2013 12:18 PM

@Jose: Heh. And because of this, the people that actually HAVE money are saving it because it does indeed seem to be getting worse.

By Stupid | 18 January 2013 6:16 PM

Several times I asked myself how austerity measures & reducing spending power can help an economy in trouble.

So far I cannot fathom any benefit from such actions, only a pilot ejecting from the plane without a parachute. Whoever is running the show, please pass this on, cheers :)

By The visitor | 19 January 2013 11:57 PM

 
 
 
 
 
 
 
 
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