Trade unions on Thursday slammed suggestions by a government think-tank that jobless benefits should be reduced to encourage older people to take up low-paid jobs.

‘The CPB is correct to raise the issue of the problems facing older people on the jobs market,’ said Maurice Limmen, chairman of the CNV union federation. ‘But this idea completely misses the point.’

The FNV called on the government to ensure older people do not face discrimination in finding work. ‘You do not solve [the problem] by cutting the income of people who are already dealing with difficulties,’ chairman Ton Heerts is quoted as saying.

The government’s macro-economic think-tank said earlier on Thursday that the longer someone is out of work, the more their unemployment benefits should be cut.

WW benefit is currently 75% of the person’s last earned salary for two months, followed by up to three years at 70%. There is a maximum ceiling of just under €2,800 gross per month.

The CPB says reducing benefits over time would stimulate people to lower their salary expectations when looking for a new job. This would have a particular impact on older workers who have high salary expectations, the agency says.

High wages

However, a CPB researcher told broadcaster Nos she did not know if older people were rejecting jobs because the salary was not high enough. ‘I don’t precisely know but you do see that their wage demands remain high,’ she said.

Some 31% of the long-term unemployed are over the age of 55 although they only account for 18% of the working population.

To encourage more employers to take on older workers, the CPB suggests introducing wage subsidies which employers can claim. This has been effective in Britain, the CPB says.

It also recommends cutting the perks which older workers get, such as extra holidays.