The number of welfare recipients has reached a low point. In an article by Trouw, Robert Dur, Professor of Economics of Incentives and Performances at Erasmus School of Economics, explains how this has come about and what it means.
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According to Statistics Netherlands (CBS), the number of people receiving social assistance was about 407,000 at the end of March, which is the lowest number since 2013. The decrease is particularly large among young people. Professor Dur mentions the trend that the number of recipients went up in a straight line since the economic crisis, but that fortunately this has now reversed. One of the important actors that have brought this about are municipalities. 'They always look first at whether there is another option for earning a living. Now that there is so much work, municipalities will be even more inclined to steer young people in that direction and, for example, bring them into contact with employers.'
Long-term effects
Dur also underlines the possible long-term effects for the people who have now found a job: the through-flow from a job is better than from unemployment. 'That has to do with stigmatisation by employers, among other things. An employer often prefers to choose someone who already has a job rather than someone on benefit', says Dur. Finally, he places this development in a larger context: 'The discussion about inequality should not only be about work and ability, but also about well-being. It is important for people to feel that they contribute to society and have social interaction. People with work are generally better able to do that than people without work.'
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You can download the article from Trouw, 31 May 2022, above.