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The CLA committee of FNV Recreation has agreed to supplement the CLA recreation with the option to conclude an annual hours contract. Recently, the CLA committee had already agreed to extend the CLA recreation from 1 January 2021 to 31 December 2021, without any deteriorations being implemented.
The annual hours contract is a contract in which employees work a guaranteed number of hours annually and receive a guaranteed monthly salary. This is a replacement for the Updates flexitime contracts that the Tax Office classifies as on-call contracts, which consequently turn out to be more expensive in terms of business costs. Both the employers and we are very pleased with this new contract form that can be used in 2021.
With this supplement, which can be seen as an improvement of the CLA recreation, it becomes possible for the employer to conclude an annual hours contract with the employee who currently still has a flexitime contract.
This supplement has become necessary because, within the framework of the Balanced Labour Market Act (WAB), the contract form of the flexitimers in the CLA recreation is designated by the Tax Office as an on-call contract. As a result, a higher unemployment insurance premium must be paid for the flexitimer, which is no less than 5% higher. Subsequently, FNV Recreation sent a letter to Minister Koolmees requesting confirmation that the flexitimer does not meet the definition of an on-call contract and that the lower unemployment insurance premium should be applied. However, Minister Koolmees confirmed in his letter that the Tax Office's view regarding the application of the higher unemployment insurance premium on the flexitimer is correct.
With this confirmation, we were more or less forced to supplement the CLA recreation with article 12A annual hours norm.
We expect that with this new provision in the CLA recreation, employers will offer all employees who are still flexitimers and have a permanent employment contract a new contract according to the annual hours model. After all, the employer can save 5% on the employee's salary costs. As a flexitimer, you have gained a better negotiating position and there is the possibility to agree on more hours annually than the number stated in your Updates flexitime contract.