Collective Bargaining

Planned changes to staff pensions prompted 14 days of strike action at 64 universities in February and March 2018, and more strikes were planned. University employers withdrew plans which the University and College Union (UCU) said would have left members £10,000 a year worse off in retirement. Strike actions end after staff voted to accept an offer to reopen negotiations with employers over their pensions. Both sides agreed a joint expert panel to re-evaluate the pension scheme.

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Radio station Lánchíd Rádió as well as the opposition daily newspaper Magyar Nemzet have shut down on 10 and 11 April 2018. The European Federation of Journalists (EFJ) is appalled by the developments following Orbán’s electoral win, which further narrows media pluralism in the country. There are strong suspicions the closing down is politically motivated. At the EU level, the European parliament’s committee on civil liberties, justice and home affairs (LIBE) recommended in a draft report to trigger Article 7 procedures against Hungary, the strongest possible sanction against a member state.

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Tension between regular taxi drivers and Uber drivers spiked in Istanbul, with a series of violent attacks and demonstrations carried out by the regular drivers. The head of the Istanbul Taxi Drivers Union went as far as stating that ‘Uber is terrorist and its users are traitors’. The United Taxi Drivers Association (İTEO) has opened a law suit against Uber protesting what they see as unfair competition. In reaction to the tensions, local authorities proposed a system envisaging the administering of all taxis from one centralised system.

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The State Revenue Service estimates that the proportion of unreported pay in the construction sector in 2016 was 24,4%. A slight increase compared to 2015 when a 24,1% unreported was estimated for the construction sector. The construction sector is important for the country’s economy, employing 23,089 taxpayers or 6.6% of all taxpayers. The unreported pay in the construction sector lead to a 54-million-euro budget loss in unpaid taxes.

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Following the collapse of Toys R Us and Maplin, which has affected 5,000 jobs, several retailers have confirmed plans for a restructuring process called a company voluntary arrangement (CVA). The CVA-process, which is designed to help struggling companies stave off insolvency, must be approved by creditors including landlords. The plans could involve the closure of hundreds of stores. Fashion chain New Look announced in March 2018 an expected maximum of 980 redundancies out of a workforce of 15,300, and chains like Marks & Spencer, Debenhams and House of Fraser are also closing store space. The latest in the row, is carpet retailer Carpetright that has confirmed plans to close 92 stores, with the potential loss of 300 jobs, in a restructuring process designed to stave off administration.

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Trade union OGBL cannot back up the extension of Sunday opening hours. The union claims that extending opening hours would lead to staff being forced to cover shifts spanning the entire week and infringe on personal lives without sufficient financial reward. Allowing retailers, including shops, food businesses and commerce, to choose their opening times over a longer time-frame and have the option of being open for longer on Sundays would have negative repercussions for the work-life balance of workers in the industry.

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Industrial action looms at Aer Lingus after an emergency motion from the Fórsa trade union conference. This happened after the airline announced it was unilaterally withdrawing from a new dispute resolution process. Fórsa union views this as a breach of the collective agreement between workers and management. An Internal Dispute Resolution Board (IDR) was set up in 2016 at the request of Aer Lingus management in a bid to reduce conflict and avoid industrial action. In March 2018, Aer Lingus notified the union that it was withdrawing from the IDR. Union delegates at the conference voted in favour of a motion that urges the union to take what steps it deems appropriate to ensure Aer Lingus honour the terms of the IDR agreement.

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Deutsche Post that employs 130,000 employees concluded an agreement, which introduces a possibility of choosing between salary increases or free time. The agreement with trade union Ver.di includes a pay increase on 1 October 2018 with 3%, and on 1 October 2019 with 2.1%. Once implemented, it will run for 28 months, until May 31, 2020. The remuneration for trainees will improve between 3 and 4% in 2018 and between 2.2 and 3% in 2019. Ver.di also agreed with Deutsche Telekom, a branch of the telecommunications group which serves individuals and companies in the country, on a compromise for the 55,000 employees. Ver.di negotiated pay improvements between 4.8% and 5.2%. Moreover, workers will see their working time reduced, thanks to an additional 14 days of paid leave per year. The agreement will be valid for 26 months.

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Trade unions in the textile sector pledged their joint support for an international initiative led by IndustriALL Global Union and brands and retailers to achieve living wages in the textile and garment sector. In most garment and textile producing countries, including Turkey, workers’ wages are currently set well below a living wage. The textile and garment sector are an important part of the economy with Turkey being among the top textile and garment producing countries in the world.

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A survey carried out by the Central bank of Lithuania shows that 1 in 2 firms intend to raise salaries for their workers in 2018. The bank predicts that the average monthly salary will grow by 6.7% this year and by further 6% in 2019. According to the prime minister the average monthly salary may reach the 1,000-euro mark in 2019. In the fourth quarter of 2017 this was 884.8 euro a month.

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