Collective Bargaining

The European Committee of Social Rights has published its annual conclusions on the articles of the European Social Charter relating labour rights. Some of the key conclusions of 2018 were that only a relatively low number of European countries have ratified the right of workers and their families to have a decent standard of living. In a number of states the statutory minimum wage is too low in comparison with the average wage. With regard to the right to organise and the protection against sexual harassment at work the Committee concludes that several countries still have a long way to go in order to comply with labour rights. Conclusions per country are also provided.

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A number of flights was cancelled as a result of a meeting of air control employees. The unions Vida and GPF (Gewerkschaft der Post und Fernmeldebediensteten) are unsatisfied with the offer the employers made. The main issue is about workload and hence recruiting new employees is necessary the unions claim. In the meantime airline companies urge that parties go back to the negotiation table. They and their passengers are the ones who suffer from the conflict involuntarily.

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A 10 day strike at a Hankook tire plant in the country ended when a pay deal was reached with the VDSZ, the trade union representing chemical workers. The 10 day strike was the longest strike in the 116-year history of the VDSz. The strike actions in which some 1700 workers participated cut the plant’s production by 75%. The overall gains negotiated for workers combine different improvements that add up to an average of 18.5% increase. The settlement includes a 6% increase in shift allowance for all, improvement to the annual personal bonus, improvement of the seniority loyalty bonus, and fair distribution of wage increases.

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Public figures have published an open letter to express their discontent with plans to make the country’s second pillar pension funds voluntary. The letter was signed by various high profile people including analysts, economists and entrepreneurs from a range of institutions broad enough to include all of the country’s major important universities, banks, ministries, investment funds, industrial associations, trade unions and think tanks. They believe that at this moment there is no viable alternative to a pension system based on saving money and dismantling it would mean the creation of a large financial burden for coming generations. Instead of the reforms that are being discussed now they urge politicians to improve the second pillar by making it more effective.

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The government sat down for talks with teachers’ unions amid a protracted dispute over pay. The president recently appealed to the government and teachers to hold talks and try to resolve the dispute. The head of the Polish Teachers’ Union (ZNP), told reporters that up to 90% of employees in schools nationwide were ready to support an all-out strike, which the union wants to begin on April 8, 2019 just before key exams at various levels of education. Teachers represented by the ZNP have warned they will launch a strike of unlimited duration unless the government increases their wages. The Trade Unions Forum (FZZ) demands the same monthly pay raise. Meanwhile, the Solidarity union wants teachers’ monthly pay to rise a lesser amount. The education ministry has said that it began carrying out a government plan to raise teachers' pay. According to the ministry the spending on teachers' salaries is set to increase by 16.1% from September 2019 onwards.

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Workers at shipbuilder Uljanik organised yet another strike, again in demand of unpaid wages. According to the workers they have worked for 6 to 7 months without receiving wages. Government, that owns some 25% of the shipbuilding company, still has to come with a decision on the future of the company. Earlier this week the government said it would take more time to decide whether to place Uljanik into bankruptcy or to restructure the business.

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Following the strikes in the public sector last month (see our February newsletter), the countries’ largest teachers’ union federation organised a national protest in demand of higher wages. ETUCE stands in solidarity with the teachers and states that the teachers demand concrete and tangible improvements. They should not be punished and suffer unfair treatment for having provided quality service during times of recession and budget cuts in education. The ETUCE writes that they support FNE, FENPROF and SINDEP in their demand to the Portuguese government to stop making small concessions and commit to an important step in investing in teaching staff and quality education.

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The national workforce benefits from the highest hourly rate of compensation of any region in the European Union, alongside Brussels. It came out on top of an EU ranking, with workers clocking up 44 euro an hour of pay and benefits in 2016 on average. It was also far above the EU average of 23 euro per hour. The latest figures from the European Union’s statistical office Eurostat include wages, salaries and employer’s social contributions. In contrast, workers were paid below 4 euro per hour in three regions in Bulgaria (Severe tsentralen, Severozapaden and Yuzhen tsentralen), and one region of Romania (Nord-Est).

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Workers at Royal Dutch Shell’s Pernis refinery will organise industrial action if Shell does not meet their demands for a pay raise. FNV and CNV trade unions are demanding a 5% wage hike per year but so far Shell is only offering a 2.5% wage hike for 2019 and a 2% wage hike for 2020. The current collective agreement has expired 1 March 2019. Both trade unions stated that the workers at refinery will determine the shape and timing of possible actions at the beginning of next week.

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The country’s hotel industry is facing severe labour shortages but on the reason behind the shortages opinions differ. According to employers in the sector there simply aren’t enough workers that can and are willing to work in the sector. They urge government to relax current regulations that prevent foreign non-EU college students from working on the island in the touristic season. The trade unions, on the other hand, have a different view on the matter. They accuse employers of willingly deregulating labour relations in order to keep the costs as low as possible. According to the unions the solution for the labour shortages lies in the hands of the employers. If they were willing to pay decent wages and offer normal working conditions more people would apply for jobs in the hotel sector.

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