Low wages for teachers has led to a shortage of teaching staff, while cuts in the education system have had catastrophic consequences. The health system is on the verge of collapse. The press is full of reports of severely ill patients who are placed on long waiting lists for operations and die before receiving treatment. Others are ferried by ambulance to Germany, because the medical equipment required to deal with their complaint is lacking in Holland. While slashing taxes on employers, the government has raised indirect taxes on consumers.
Despite its record of subservience to Dutch capital, the Kok government came under intense pressure last year from the employers’ federations. Economic analyses had revealed that labour productivity in Holland was considerably lower than the European Union average. Under the impact of the global economic slowdown, major Dutch employers such as electronics giant TNC Phillips laid off thousands of workers. Economic growth in the last quarter of 2001 was the lowest since 1993, and has continued to slow into 2002. According to the OECD, “[T]hese are undoubtedly testing times for the Netherlands, with the economy moving away from sustained non-inflationary growth.”
Despite its record of subservience to Dutch capital, the Kok government came under intense pressure last year from the employers’ federations. Economic analyses had revealed that labour productivity in Holland was considerably lower than the European Union average. Under the impact of the global economic slowdown, major Dutch employers such as electronics giant TNC Phillips laid off thousands of workers. Economic growth in the last quarter of 2001 was the lowest since 1993, and has continued to slow into 2002. According to the OECD, “[T]hese are undoubtedly testing times for the Netherlands, with the economy moving away from sustained non-inflationary growth.”