Threats of protest action by the employees of Dutch potato starch producer Avebe have resulted in the company’s management offering a 3.5% pay rise.

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The new wage and conditions agreement (CAO), which will be in operational within one year, was formed after months of negotiations between Avebe and Dutch trade union FNV Bondgenoten


Anja Dijkman, from FNV, explained that Avebe planned to lay off 369 of its 1,600 employees and so the CAO will also provide a three-year job guarantee to surplus employees.