Kralendijk, The Bottom, Saba, Oranjestad, St. Eustatius – On Thursday May the 20th, 2021, negotiators from the unions and RCN signed an agreement on adjustment of the pension scheme and the employment conditions for central government civil servants in the Caribbean Netherlands.
In order to prevent a substantial decrease in income when employees retire, the retirement age will be increased to 66 years as of 2030. In addition, the accrual of pension will be limited to a maximum annual income of $47,500 and the pension in case of disability will be modernized. With these measures, central government civil servants do not have to pay an additional premium to secure their pensions in the future.
In addition to the pension agreements, new terms and conditions of employment were agreed upon, starting in 2021 for a period of three years. This year, all central government civil servants can count on a one-time extra payment. For civil servants in high-risk professions, there will also be a structural allowance as of 2022. Furthermore, a 36-hour work week will be introduced from 2022 onwards. This should benefit the work-life balance of employees. And this also creates approximately 50 new jobs at the Central Government on the three islands of the Caribbean Netherlands. The contribution to employment was very important for RCN and the unions, especially because of the economic consequences of Covid-19.
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