Maatschappijleer Ch. 4 – Samenvatting Lotte van den Heuvel Tm
For people that do not work:
- student grants
- benefits (uitkeringen)
Workforce = people that are able to work
Work is:
- With a certain effort
- Using one’s capacities
- Possibly with help of tools, computers, etc.
- Within a socially-regulated need
- The aim to deliver a product of service
Even cooking and vacuum cleaning are forms of work.
Maslow’s pyramid: basic needs
Self
development
Gaining appoval
and recognition
Need to belong
Safety and security
Physiological needs
Work ethic = the value people attach to work
 Middle ages: work is a necessary evil
 Calvinism: work is a moral duty; it’s a punishment and a benefit
 Liberalism, socialism: work is a social duty
Work is both a social duty and self-development.
High education mostly results in high salary and status.
Social position = place on the ‘social ladder’ - gender (sekse)
- family situation
- appreciation of work
- social environment
Social inequality = some people having a higher status/salary than others and
unequal division of wealth, power and social privileges.
Social satisfaction = the layered structure of society where the relationships between
the social classes is based on social inequality.
Social mobility = the possibility to climb up/slip down the social ladder.
Maatschappijleer Ch. 4 – Samenvatting Lotte van den Heuvel Tm
Employers and employees are dependent on each other; they’re social partners.
They make agreements: labour relations (arbeidsverhoudingen):
- Wages
- Sickness benefits
- Staff participation and employment
- Company cars
Work meeting (werkoverleg) = discussion of progress between managers and
employees. The manager eventually decides.
Work council (ondernemingsraad) = for businesses with more than 50 employees. It
has only advisory power when it comes down to business economics, merges
(fusies), take-overs and company reorganisation.
It has power of:
 Co-determination; personal manners
o Holiday planning
o Pay systems
o Procedures for assessing job-applicants
Wok participation (medezeggenschap) = employees are allowed to take part in
corporate decision-making. And employees select members of the work council who
represent them.
The national trade union federations (vakcentrales): - Federatie Nederlandse
Vakverenigingen (FNV)
- Christian CNV
- Unie MHP
Aims of trade unions:
- Terms of employment (arbeidsvoorwaarden): negotiations about wages,
shorter working hours, job evaluation.
- Labour conditions: particularly health, safety, welfare.
- Industrial relations (arbeidsverhoudingen): participation in internal corporate
decisions on merges and automation.
- Legal position of employees: regulations and procedures in case of dismissal.
- Social security: maintaining an acceptable level of social security benefits.
- Employment: encouraging job schemes (banenplannen).
Members can appeal to a trade union individually when there are problems in the
work place.
Employers’ organizations in response to union activities. They have fewer members
than trade unions.
VNO-NCW = Verbond van Nederlandse Ondernemingen – Nederlands Christelijk
Werkgeversverbond. Here, the focus is laid on large businesses and industries.
Aims of employers’ organizations:
- Promote interest of employees in negotiations with trade unions.
- Promote a favourable employers climate.
- Unity between members
- Give mutual support
Maatschappijleer Ch. 4 – Samenvatting Lotte van den Heuvel Tm
The trade unions and employers’ organizations meet in the Sociaal Economische
Raad (SER) and the Stichting van de Arbeid at national level.
There, they speak with independent experts (kroonleden), appointed by the
government. Trade unions and employers’ organizations discuss things in the Labour
Foundation and come to a central agreement.
Business sector = a group of similar businesses
Collective agreement (collectieve arbeidsovereenkomst CAO) = an agreement
between employers and employees on terms of employment and all other issues. All
these collective agreements have to be approved by the minister of Social Affairs and
Employment.
Generally binding = when the minister of Social Affairs and Employment thinks a
collective agreement applies to all employers and employees in a business sector,
it’s generally binding.
You may strike when:
 It’s not at odds with the law or collective agreements
 Serious collective bargaining has taken place
 The trade union has organised the strike
 It’s the last resort after all legal means have been exhausted
 It’s proportionate to its goal (don’t strike for better coffee)
 The interests of 3rd parties are not damaged
Secondary terms of employment = additional agreements in a particular business,
such as company cars, additional pension schemes, etc.
Harmony model = parties are willing to reach solutions jointly, knowing that
they’re dependent on each other. Perhaps a compromise has to be made.  CNV &
Unie MHP.
Conflict model = the emphasis is on the conflict between employers and
employees.  FNV
Polder model = within this model, parties make far-reaching deals so they see
some of their desires realized at the end.  late 1980’s
Shareholders (aandeelhouders)
Investors (investeerders)
Maatschappijleer Ch. 4 – Samenvatting Lotte van den Heuvel Tm
Liberals  hands-off style government
Social democrats  active state intervention
Christian democrats  in between
Adam Smith is the architect of free market economy and he can be seen as the first
traditional liberal. The law of supply and demand works through ‘an invisible hand’;
price mechanism.
Attractive product – limited supply – people are prepared to pay much for it – high
profit for the producer – other entrepreneurs will also make this product – competition
– fall of prices – some producers stop – less supply – slightly higher price – continue
till there is a balance
Free market economy = economy based on freely operating price mechanism
Night watchman state = ensure safety of citizens and protect their possessions,
limited role for government in economy
In the 19th century, the state had to intervene in the free market, because:
- Christian democrats wanted to protect the disadvantaged.
- Socialists wanted better living conditions and a stronger legal position for
workers.
- Liberals wanted to reduce crime.
Social laws = laws providing better circumstances for disabled, poor and elderly
people and children, etc.
Mixed-market economy = not everything was left to mechanism but there are also
government regulations.
Controlled incomes policy = not the employers, but the government decides the hight
of wages, etc.
Willem Drees – AOW
 Providing breadwinners a permanent income after their 65th birthday
Improvement of people’s welfare: National Health Service (Ziekenfonds), for children.
Social security system = ‘backbone’ of the Welfare State; people are assured of an
income in case of illness, old age or disability.
Maatschappijleer Ch. 4 – Samenvatting Lotte van den Heuvel Tm
1951, the SER formulated five important aims for the government’s socioeconomic
policy:
 Stable economic growth
 Fair distribution of income
 Stable balance of payments
 Stable price levels
 Stable labour market
Fair distribution of income:
- Tax system: people who earn a lot, pay more taxes.
- Minimum wage: based on the amount someone needs to live properly.
- Social security benefits: for people who cannot make an independent living for
themselves.
- Subsides: rent and health care for people whose incomes are too low.
Wage restraints (loonmatiging) = the minister of Social Affairs and Employment can
impose this in special circumstances on all business sectors through legislation.
Labour market = an imaginary place where those, who supply labour and those who
demand it, meet.
Sorts of unemployment:
- Frictional (frictie); employees are in between jobs and therefore unemployed
for a short time.
- Seasonal (seizoens); seasonal jobs, such as exploitation of beach pavilion.
- Cyclical (conjuncturele); in periods of economic recession.
- Structural (structurele); when work disappears structurally, for example the
transfer of parts of a business to low-wage countries.
Labour-intensive employment = for example industrial work which has moved to lowwage countries.
Characteristics of the contemporary working population:
 Young people don’t enter the labour market before the age of 20
 90% of men aged 25-60 occasionally work part-time
 80% of women aged 25-60 occasionally work part-time
 Elderly people stop working before reaching the age 65
Flexible work: for example you work at home (teleworker), you only work when your
boss needs you (stand-by employee) or you work on a temporary contract.
PvdA, VVD & CDA – positive about globalization
SP, GroenLinks, CU – more negative about globalization
Discussions on labour market: Should it be easy for foreign companies to set up
business here? Does the rise of India and China offer (dis)advantages? Is the arrival
of cheap Polish workers favourable or not? Has flexible employment
(dis)advantages? Is it a positive development that the Dutch labour market is
becoming more even worldwide?
Maatschappijleer Ch. 4 – Samenvatting Lotte van den Heuvel Tm
Scandinavian model = combination of a flexible labour market and a social security
system. Social democrat model, like SP, PvdA and GroenLinks.
Anglo-Saxon model = liberal values and work hard, like VVD.
Rhineland/corporatist model = mixed economy. Social security is important, like CDA
and PvdA.
Comparing those three models by terms of ‘efficiency and justice’ the Scandinavian
model scores the highest, though it’s the most expensive model too.
Tasks of the government:
- Economic; combating inflation, stimulating employment, etc.
- Corporate; ensuring good public transport, clean environment, etc.
- Social; providing social security, benefits, etc.
- Welfare; social work, socio-cultural work, etc.
- Cultural; managing libraries, museums, etc.
All benefits and subsidies together form ‘social security’. The Netherlands spends
25% of the national income on benefits, which is almost as much as in Scandinavian
countries.
National insurances: AKW, ANW & AOW. Social insurances are compulsory.
The three most important employees insurances:
 WW (werkeloosheidswet)
 WULBZ (wet uitbreiding loon door betalingsplicht bij ziekte)
 WIA (wet werk en inkomen naar arbeidsongeschiktheid)
Social services = intended for people who cannot claim social insurances because
they have never worked (yet). The best-known one is Wet Werk en Bijstand (WWB).
Social assistance = temporary solution, based on a minimum amount needed for
necessary expenses. This is known as general assistance.
Supplementary assistance = in case of additional/special expenses. For example
when your washing machine breaks down.
When you’re out of work and get social assistance, you’re obliged to apply for jobs.
Employees have to pay contributions to compulsory national and employees’
insurances. If you don’t, you don’t have the right to benefits yourself and you may be
taken to court as well.