Collective Bargaining

Negotiations in the private energy industry were concluded with workers getting at least a 3.7% increase for the year 2009 from 1 February. The lowest paid workers in grades I and II will get 3.8%, while those in grades III to M I will get 3.75% and those in the top two grades will get 3.7% increase. These are improvements on the employers' previous offer of 3.5%/3.6%. Allowances will also increase by 3.7% and there is an agreement to set up a working group to look into working time flexibility.
English: http://www.epsu.org/cob/285; http://www.epsu.org/cob/287
German: http://www.gpa-djp.at/servlet/ContentServer?pagename=GPA/Page/Index&n=GPA_0.a&cid=1233605877011

The GDG local government union believes that improved conditions for civil servants working for the Vienna municipality provide a model that should be followed by regional governments across the country. The union argues that civil servants now benefit from a range of new provisions including an seventh week of paid leave for older workers, updated rules on working time and several measures that improve health and safety and the working environment. The GDG has also reacted strongly to recent accusations about the high levels of early retirement pensions being paid out by the Vienna municipality. The union made clear that early retirement pensions were paid out on the basis of medical reports and the level reflected the impact of onerous jobs on many of those working for the authority. The GDG also pointed out that levels of early retirement were lower in other municipalities because many services had been outsourced.
English: http://www.epsu.org/cob/285; German:
http://www.gdg.at/servlet/ContentServer?pagename=C01/Page/Index&n=C01_0.b.a&cid=1232539991176
http://www.gdg.at/servlet/ContentServer?pagename=C01/Page/Index&n=C01_0.b.a&cid=1232540019658

In January, the number of workers covered by the official "Kurzarbeitsbeihilfe" or "Kurzarbeit" (short-time support) provided by the Arbeidsmarktservice (AMS) will most likely grow to over 15,000. Talks between government and social partners have paved the way for a more flexible adoption of the current "Kurzarbeit" regulation. The government coalition parties have prepared an initiative proposal for such more flexible adoption, which will be decided upon in February. Press information suggests that the maximum term for adoption, currently one year, will be prolonged to 18 months (See also this Collective Bargaining Newsletter Year 1 No. 10).
(German: http://www.wirtschaftsblatt.at/home/oesterreich/branchen/356863/index.do; http://www.wienerzeitung.at/DesktopDefault.aspx?TabID=3858&Alias=wzo&cob=392781)

The GPA-DJP and GMTN unions, representing workers in private electricity companies, have stated that the employers' initial pay offer of just over 3% was completely inadequate bearing in mind recent pay settlements. The employers focused on the current economic climate but the unions reminded them of the substantial profits that electricity companies have made in recent years. The unions will not resume negotiations until 29 January in order to convene a meeting of works council chairs on 26 January to discuss negotiating tactics. The employers also want to negotiate over working time flexibility.
(English: http://www.epsu.org/cob/282;
German: http://www.gpa-djp.at/servlet/ContentServer?pagename=GPA/Page/Index&n=GPA_2.a&cid=1231810532141)

The G™D public service trade union has said that hospital workers should not lose out as a result of health reforms and has criticised government plans for cuts in finance. The union's president for health and social care, Johann Hable, has called for the union to be represented in discussions over health reforms in order to ensure that workers do not end up paying the price for the changes. (See also this Collective Bargaining Newsletter Year 1 No. 6).
(English: http://www.epsu.org/cob/281; German: http://www.goed.at/14823.html)

After four rounds of negotiations the public sector trade unions G™D and GdG agreed to accept a 3.55% increase for 2009 for the 350,000 public sector workers. The union boards see this as a positive result in view of the difficult economic circumstances and were determined to secure increases to pay and rejected any lump sum payments as part of the deal. Salary increases are negotiated each year and apply from 1 January. The increase also applies to other elements of pay and allowances. (See also this Collective Bargaining Newsletter Year 1 No. 8).
(English: http://www.epsu.org/cob/280; German: http://www.goed.at/14801.html; http://www.gdg.at/servlet/ContentServer?pagename=C01/Page/Index&n=C01_0.a&cid=1227275602238)

The GPA-DJP and vida trade unions have negotiated a 3.6% pay increase for the 75,000 workers covered by the BAGS collective agreement. The increase applies from 1 January 2009 and includes other salary-related payments. An important element of the deal is the agreement by the employers to take on training costs. The BAGS covers workers in involved in the care of the disabled and the elderly as well as childcare workers and other occupations. The agreement was introduced in some regions in 2004 only on the basis of setting minimum rates of pay, but its pay structure will now be applied in full and this will mean increases of 4% and higher for some workers.
(English: http://www.epsu.org/cob/280; German: http://www.gpa-djp.at/servlet/ContentServer?pagename=GPA/Page/Index&n=GPA_0.a&cid=1227275599571; http://www.vida.at/servlet/ContentServer?pagename=S03/Page/Index&n=S03_0.a&cid=1227275602291)

According to press information in December a growing number of companies is taking recourse to short-time arrangements, notably to the official "Kurzarbeitsbeihilfe" or "Kurzarbeit" (short-time support) provided by the Arbeidsmarktservice (AMS). This support can be offered for maximum three months to employers, in case of cuts in wages because of shortening working hours, provided that these cuts are due to substantial and persistent disturbances of economic activities. The level of support is derived from the unemployment benefit level. In order to qualify for short-time support, companies need to agree with the relevant workers' representatives on compensation above that level.
The largest and most frequent calls upon the Kurzarbeit arrangement stem from the steel industry, notably from the Voest-Alpine conglomerate, and from subcontractors of the car industry, but also chemical and wood manufacturers call upon the arrangement. In answer to criticasters the Metal and Textile Workers Union (GMTN) and the Union for employees in private industry, journalists, printing and paper industry (GPA-djp) have recently defended the Kurzarbeit model, as a workable and clear-cut defense line against the phasing out of employment.
(German: http://www.ams.at/sfu/14087.html; http://portal.tt.com/tt/home/story.csp?cid=1012399&sid=57&fid=21; http://www.gpa-djp.at/servlet/ContentServer?pagename=GPA/Page/Index&n=GPA_0.a&cid=1228484918298)

During the night of 5-6 November the joint negotiation team of the Metalworking, Textiles and Food-processing Union (GMTN) and the Union of Salaried Employees, Printing, Journalism and Paper (GDA-DJP) achieved pay increases for the 170,000 workers in metalworking. Their agreement, leading in Austrian industrial relations, secures wage increases of 3.8-3.9% (3.9% for the lower occupational groups), plus extra one-off payments resulting in an overall increase of 4.6%. As a consequence, the new collectively agreed minimum wage stands at Euro 1,457 per month. The unions preferred collectively agreed pay increases, but in the end settled with one-off payments, depending on the profitability (EBIT) of companies. In case of profits, the extra payment will range from Euro 100 to Euro 250. The agreement covers 12 months, backdated from 1 November 2008.
Nearly one week later, on 12 November, GMTN signed a new agreement with the metalworking crafts enterprises, covering about 90,000 blue collar workers and over 23,000 apprentices in more than 15,500 firms. The agreement includes increases by 3.8% in the collectively agreed minimum wage, bringing this to Euro 1,453 monthly, and in the apprentices' remunerations, and an increase in effectively paid wages by 3.6%, with an additional on-off payment of Euro 80. The agreement will enter into force on 1 January 2009.
(English: GMTN messages via EUCOBAN network of European Metalworkers' Federation; German: http://www.gmtn.at/servlet/ContentServer?pagename=GMT/Page/GMT_Index&n=GMT_1.a&cid=1222795102403)

The federal accountancy service (Bundeshaltungsagentur - BHAG) is one of a number of agencies that have hived off from the central administration and now operate with more independence although still owned by the state. The G™D public service union has negotiated a separate collective agreement covering the BHAG that includes a new pay structure as well as a wide range of other provisions on leave, sick pay, sabbaticals, travel allowances and trainees' pay.
(English: http://www.epsu.org/cob/273; German: http://www.goed.at/14740.html)