Kingdom of the Netherlands - Netherlands : Selected Issues
IMF Staff Country Reports, May 28, 2018
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- Kingdom of the Netherlands - Netherlands : Selected Issues
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Bibliographic details
- Authors: International Monetary Fund. European Dept.
- Published: May 28, 2018
- Series: IMF Staff Country Reports
Executive summary and central finding
- This Selected Issues paper analyzes the wage moderation in the Netherlands.
- Wage growth has been subdued in the Netherlands despite tighter labor market conditions in recent years.
- Going forward, wages are expected to grow faster given higher expected inflation, foreign wage spillovers, and tightening labor market.
Drivers of wage moderation (findings)
- Cyclical factors contributed to wage moderation.
- Rising labor market flexibility may have contributed to the wage moderation in the Netherlands.
- Slower productivity growth is an important driver of wage moderation in recent years.
- Lower expected inflation is an important driver of wage moderation in recent years.
- Remaining slack in the labor market also weighed on wage growth.
Projections and outlook
- Wages are expected to grow faster going forward because of:
- higher expected inflation,
- foreign wage spillovers,
- tightening labor market.
Subjects covered
- Cross country analysis
- Greenhouse gas emissions
- Health care
- Housing prices
- Selected issues
- Transportation
- Wage bargaining
International Monetary Fund. European Dept. Kingdom of the Netherlands - Netherlands : Selected Issues, May 28, 2018.
Content in this bundle
- Country Report