Education cuts loom if talks with unions on welfare reforms fail

The education budget could be cut by €1.2 billion if talks to reform social security fail to deliver enough savings, according to documents seen by NOS.

The coalition parties have agreed to scrap €6.5 billion of welfare cuts in order to get the support they need from the opposition for next year’s budget.

Some of the gap has been plugged by raising more from savers and investors, but the cabinet expects to be left with a €3 billion shortfall.

Prime minister Rob Jetten and finance minister Eelco Heinen are due to meet trade unions to discuss cost-saving reforms to the long-term sickness benefit WIA. “If the savings are less than we expect, the cabinet will identify additional measures,” Jetten said.

As a last resort the government could save €1.2 billion by not raising the education department’s budget in line with inflation, which would force it to make savings.

The move would be unpopular with Jetten’s own party D66, which campaigned to reverse the previous cabinet’s €2 billion cuts package and sees higher education as one of its flagship policy areas.

NOS reported that the prospect of having to make cuts in education was intended to put pressure on D66’s base to demand concessions from trade unions on social security.

Parliament is due to begin a two-day debate on the detailed budget plans on Wednesday.