May 15, 2020
Since this week, the Cabinet has created a new support package to accommodate temporary workers who were previously virtually excluded from all schemes. They will receive an allowance of 600 euros per month, provided they can prove that they also earned at least 600 per month before the Corona crisis. The figures below show that for many temporary workers the amount will only be "a tip. A tip that must replace their entire income. Moreover, few students, who have side jobs as temporary workers, will be able to prove they meet the earning rules.
How old are the temporary workers?
In one year, more than 834,000 temporary workers work in the Netherlands.
Under 24 years of age : 37%
24 years and older : 63%
Much of this profession derives their main income from the temporary work.
What do they earn?
61% earns a base hourly wage of 1.1 to 1.3 times the minimum wage.
9% has a basic hourly wage based on of the minimum wage.
20% receives between 1.3 and 1.5 times the minimum wage.
10% earns 2x the minimum wage.
A two calculation example:
Temporary worker as main income: works an average of 30 hours per week.
Minimum wage 21+ years = €1,680 (based on 40 hours) x 1.3*) = € 2184
This temporary worker earns an average monthly salary for a 30-hour work week : € 1638
Student of 20 years
Minimum wage 20 years = € 1344 (based on 40 hours)
This student earns an average monthly salary on a 15-hour work week € 504
The above figures show that the temporary worker with the main income from flex work does not have nearly enough on the 600 euros per month from the government. From that they can pay for groceries and their fixed expenses for only a few days.
With students, it shows that, if they for less than 18 hours per week have a side job (is the majority of students), they do not meet the required income requirement of 600 euros, to qualify for the allowance.
Special Corona-WWW scheme
The industry organizatis appreciate the government's gesture to compensate temporary workers as well. This is much needed. However, they argue for a special Corona unemployment scheme. This scheme is intended to ensure that access to WW for this group of workers is relaxed. A temporary worker must then, to qualify, have worked 8 out of the 12 works preceding it (instead of 26 out of 36 weeks).
They also propose that the level of unemployment benefits be increased during a 3-month period. This benefit could be paid from employer contributions.
Protect already vulnerable group of temporary workers in times of crisis
That the crisis will take longer than thought at the beginning is now clear to everyone. The industry associations find it is therefore time to get well before this, already vulnerable, group of workers. Temporary workers make an important contribution to our economy. One therefore advocates For them not to bear the brunt of this economic crisis. They too must be properly compensated.
Retain your temps with the power of back office support
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*) average percentage of raise on minimum wage