NIS News Bulletin
 House Divided On Public Sector Incomes
 

THE HAGUE, 01/10/05 - The Lower House is divided on the way in which top incomes in the public sector should be reined in. The centre-left D66 government party and the leftwing opposition want a requirement that nobody in this sector may earn more than the premier. The Christian democrats (CDA) and conservatives (VVD) however consider regulation is going too far.

The cabinet is also against compulsion. "Direct intervention is the last rough remedy that you should want," according to Home Affairs Minister Johan Remkes. If the cabinet sticks to its refusal, D66 will introduce its own bill. It is uncertain whether this could command majority support, because the position of Pim Fortuyn List (LPF) and small Christian party ChristenUnie is still unclear.

The cabinet announced earlier it would use the premier's salary (around 130,000 euros a year) as the maximum for political officials (mayors, provincial governors) and civil servants. But for the semi-public sector, the cabinet does not wish to go further than the requirement to make salaries public. D66 and the leftwing parties believe that this will change nothing. They point out that many hospital and housing corporation directors currently already earn substantially more than the premier.?

 
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