Collective Bargaining

Workers at Ryanair have announced strike actions for the Easter holiday. The cabin crew workers decided to go on strike after the trade union representing them, cabin crew union SNPVAC, came to the conclusion that the talks with the airline, regarding constitutional and labour code rights such as paternity leave, had got nowhere. SNPVAC called the crews for strikes on Thursday, Sunday and Monday. Meanwhile, the Ryanair management told the press it had contacted all Ryanair cabin crew to ask them to put the passengers first and ignore the Easter strike call.

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Whilst the unemployment decreases, the data from the statistical office show an increase of wages over a year’s period (6.8% year on year in February 2018 to 4,599 Zloty or 1,090 euro). In recent years, the disposable income, defined as the total personal income less taxes and social security and state health insurance contributions, also improved.

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Eurofound published a document that provides an overview of wage formation systems in EU Member States. The paper summarises earlier and ongoing research. It looks at the mechanisms used to determine statutory minimum wages, the use of variable pay schemes in companies in the EU, and national systems of supplementary pay. The analysis finds that variable pay usually represents a fairly significant percentage of total salary levels, ranging from 5% to 11% in most of the countries where information is available.

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A strike in the financial services sector was averted at the eleventh hour after mediation by the national conciliator. The parties reached an agreement on the collective agreement shortly before the first three days’ work stoppage in banks was due to begin. The negotiations in the financial services sector have been going on since October last year. The existing collective agreement expired in November 2017. Key problem of the dispute has been weekend work. Both parties are now ready to open up more possibilities for banks to provide service also during the weekend. The agreement stipulates that weekend work will be agreed, in the main, according to local negotiations.

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The Labour Court recommended that workers at a cleaning firm have half of a previous 5% pay cut restored. The pay cut dates from 2013 and trade union Siptu was seeking its restoration. Siptu also wanted the restoration to be significantly backdated. In its recommendation, the Labour Court said the range of pay rates for similar work cannot be sustained in the long term. The court found that full reversal of the pay cut could not at present be sustained by the division of the company if it is to remain profitable and sustain employment levels.

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Taxi drivers in Brussels protested against ride-sharing service Uber with a 24-hour strike on 27 March. The taxi drivers blocked the entire inner city and the ring road around Brussels and the access to Brussels Airport. Around 500 taxi drivers were expected to take part in the actions. The taxi drivers have already been protesting for years against the competition from ride-sharing services like Uber. The taxi drivers’ federation claims that this is unfair competition because the ride-sharing services don’t have to deal with the same strict regulations as official drivers. The federation of taxi drivers and other federations ask for the resignation of the Brussels mobility minister who proposed a new taxi plan for Brussels that gives professional Uber drivers the same status as normally registered taxi drivers.

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Following a half day strike last month (see our February newsletter) UN staff held two more strikes in March. The workers are still protesting recent pay cuts of 3.5% that will swell to 5% in June 2018. An overwhelming majority of 89% of the workers voted in favour of the decision to go on strike against pay cuts and austerity. However, the Director General of the United Nations in Geneva Office tried to prevent the strike by sending an email to all staff stating that ‘rules and regulations provide no basis for staff members to be absent from work because of a work stoppage or strike’. In reaction to this attack on the right to strike, several trade unions expressed their solidarity.

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With tens of thousands public sector workers on strike and hundred thousand taking to the street in protests against the reform plans, president Macron has his first big test by the trade unions. The railway drivers went on strike in reaction to plans to reform the rail system and cut rail workers special employment rights. One of the fears expressed by the unions is that the rail system will be privatised (see our January newsletter). Railway unions are planning prolonged industrial action that could last until June. Besides the railway drivers also teachers, nurses, air traffic controllers and other public-sector staff went on strike accusing Macron of seeking to dismantle the state sector.

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According to a survey conducted by trade union INE/GSEE, private sector workers earn less than public sector workers and seem to be suffering more from the austerity measures that were taken after the financial crisis. In addition to wage cuts, private sector workers have to deal with more flexible labour with lower salaries.

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In a report, based on wage data of 40,000 employers, it is said that the pay differentials between the best and the poorest paid workers have increased with 5% in the last 6 years. Whilst low-paid workers were confronted with a standstill, the highest earners succeeded in substantial wage increases. Fulltime workers, belonging to the category of the 10% best paid, earned on average a monthly gross wage of 5,030 euro, an increase with 430 euro. The 10% category lowest paid received only 80 euro extra over that period, bringing the monthly gross wage at 1,790 euro. The difference widened in 2016 with 3%.

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