One in five working Dutch people see their income fall due to the corona crisis

BeFrank
15 Oct 2020

The corona crisis is hitting more and more working Dutch people in the pocket. More than 20% of them have taken a step back financially since the outbreak of the pandemic. About the same percentage is expecting a fall in income in the coming period. This is the outcome of a survey among working Dutch people commissioned by online pension provider BeFrank.

The Netherlands first found itself in the grip of the coronavirus about seven months ago. According to the figures of Statistics Netherlands (CBS), more than 300,000 jobs have been lost since then. It has now been revealed that many of the people who have held onto their jobs have felt the financial impact. Since mid-March, one in five working people has suffered a fall in their joint household income. Roughly the same number fear that their income will fall in the next few months. More and more Dutch people are becoming uncertain about their financial future. Almost 14% of the people who took part in the survey even fear losing their jobs.

Clinging to the security of a permanent contract
All this uncertainty has also prompted working people to become a little more likely to stay put. More than 22% want a new job, but have decided to put it on hold for now. This is a commonly seen trend in times of crisis. The pandemic makes people think twice about risking the security of their permanent contract for the adventure of a new job. But despite all the uncertainties, there are still people who want to take a fresh turn in their careers. More than 11% are currently seriously considering a change. The reasons given include more challenge (52%), good for my personal development (47%) and higher salary (41%).

Personal development
There are also people who see the corona crisis as an opportunity to continue their development. More than a quarter say they want to take a course to improve their performance in their current position. The reason given by 20% of the working people is wanting to study to apply for a new job. More than 12% mentioned retraining for another occupation. Nearly 17% of those surveyed have sought career advice in recent months.

Fall in turnover
It will come as no surprise that many entrepreneurs are also feeling the financial impact of the corona crisis. That is once again underlined by this survey. More than half of the companies surveyed have lost orders in recent months and another 42% are facing the coming months with trepidation. Their turnover is under threat because there is a danger of clients not returning. This has already caused some entrepreneurs to decide against continuing their businesses. Nearly 20% are seriously thinking about a salaried job. 11% of the surveyed entrepreneurs are considering work in the same sector, while more than 8% are thinking about changing careers.

The implications for your pension
Changing jobs can also have an impact on your pension, warns Jan Hein Rhebergen, BeFrank’s commercial director. “Many people don’t realise it, but a change in your salary today also means a change in your income tomorrow. If your income goes down, you accrue less pension. For that reason you should always ask yourself about the implications of a new job for your pension. What has been arranged with your new employer and is that enough?”, asks Jan Hein Rhebergen. About to change jobs? Read here the implications for your pension accrual.

About the survey
A survey commissioned by BeFrank was conducted among 1,100 working Dutch people aged 25 and above in October 2020 via PanelWizard.

About BeFrank
BeFrank has been active in the collective pension market since 2011 and is the first Premium Pension Institution (PPI) in the Netherlands. BeFrank offers online pension services, clear communication and innovative services. BeFrank is a subsidiary of the NN Group.

For more information, please contact: Isabelle van Ast | E-mail: pers@befrank.nl | Tel: 020 5621118.