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Indexation of Minimum Wage and Automatic Adjustment of End-of-Year Payment

Minimum wage is indexed annually, automatically for end-of-year payment. 2024: €13.27/hour. Punishable if not adjusted; use Government tool for calculation. (20 words)

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Annual indexation of the minimum wage (Article 5 Wml) follows the collective labour agreement development plus 0.5% (Decree of 20 December 2023). For 2024, it rises to €13.27/hour, with pro rata end-of-year payment. Cabinet publishes by 15 December. Employers must adjust automatically; failure to do so is punishable. Historically: 2023 increase of 7.01% led to €200 extra per year. Exception for interns. Government calculation tool assists. In cases of inflation peaks, interim adjustment may follow. District Court of Amsterdam ruled on non-retroactive indexation (ECLI:NL:RBAMS:2023:HI8901). Entrepreneurs: update contracts and payslips. This prevents mass claims. Future cabinet plans: linkage to cost-of-living index. (189 words)