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Individualised terms and conditions at Unilever

Netherlands
In May 1999, Unilever signed a new collective agreement with trade unions in the Netherlands. Starting in 2001, it will allow employees to determine their own package of terms and conditions, containing individualised elements within a clearly established framework.
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Download article in original language : NL9906148NNL.DOC

In May 1999, Unilever signed a new collective agreement with trade unions in the Netherlands. Starting in 2001, it will allow employees to determine their own package of terms and conditions, containing individualised elements within a clearly established framework.

From 2001, employees at Unilever companies in the Netherlands will be entitled to determine aspects of their own terms and conditions within the framework of the company's collective agreement. The consumer goods group reached a new company collective agreement with the trade unions involved on 28 May 1999. The new agreement covers 5,000 employees, who now also include upper middle management (formerly governed by their own agreement) and personnel from Unilever's Unox subsidiary (formerly governed by the meat sector agreement).

Under the agreement, most employees will receive a 5.25% pay increase over the period until March 2001. Unilever will also take responsibility for paying premia to fill the disability insurance "gap", following partial privatisation of the social security system. Up until now, Unilever employees themselves paid these premia. According to the unions, this means an additional pay increase of 0.5%.

Individualisation of the collective agreement's terms and conditions will initially affect working time and bonus systems. In compliance with recent national guidelines (NL9906144F), works councils and management will examine this issue at the level of the individual company. As of 1 January 2001, individual employees will be able to choose a package of terms and conditions from the collective agreement. The precise details remain a matter of negotiation between the company and the unions and, in this context, a survey of employee interests will be conducted in the near future. It would be possible, for example, for pay to be exchanged for up to five days off and for overtime to be compensated by money or time off.

Agreements on training have also been included in the Unilever agreement. All employees will receive a personal career development plan, listing individual training requirements. The company will pay for tuition, and if coursework is required for a position at Unilever, employees may attend classes in company time.

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