Collective Bargaining

In its bilingual magazine, trade union OGBL formulates a clear demand for an improved statutory minimum wage. Currently, the minimum monthly net wage for a 40-hour working week is 1727 euro, whilst the poverty-threshold is estimated at 1860 euro. This means that minimum wage earners belong to the working poor. OGB refers to a study of the statistical office that calculated the level of 1900 euro net as being the necessary income for a decent, but modest live. With a widening gap between rich and poor, the statutory minimum wage is also part of a policy that should tackle growing inequality.

Read on: in French and German …

Trade union GWU could come to an agreement with Air Malta for the workforce at the ground handling services. The agreement was the third to be concluded by the airline with different unions, having previously closed deals with engineers and cabin crew. The agreement reached with the GWU that leads to pay increases will see 450 ground handlers being hived off in a new state-owned company, named Air Malta Aviation Services, with the same conditions. The company will be created in 2018 and will include check-in desk workers from the airport’s departure lounge. It will service Air Malta, but also seek new business.

Read on: in English …

Following a deadlock in the collective bargaining, a bank workers’ strike will go into effect. The trade unions and the employer representatives could not find common ground on terms and conditions of weekend work. The National Conciliator, who is facilitating the dispute negotiations, said that there was no agreement in sight. The unions representing the workers want banks to agree on the terms and conditions for weekend duty in broader local negotiations. However, employers want to be able to call on staff to work weekends after discussions with personnel. Adding provisions for weekend work to current agreements involves settling pay. Banking sector employees say they prefer steady salary increases similar to other private firms in the financial sector. However, employers want greater say in determining personal pay rises.

Read on: in English …

Kaufland, the country’s largest retailer, announced that it increases gross wages so that net amounts don’t drop. In addition to that, the retailer will increase the gross monthly minimum wage in the company to RON 2,800 (605 euro) for commercial workers, from 1 March 2018. The amount includes both food vouchers as well as Christmas and Easter gift vouchers. At the same time, management and the trade unions at automotive Dacia announced an increase of the gross wages by 20%, starting 1 January 2018, in order to avoid that the workers’ net salaries drop after the social contribution transfer to employees. Due to a decree, social contributions will be fully transferred from employers to employees from the beginning of 2018.

Read on: in English …

The office for economic policy analysis CPB published a policy brief dedicated to the economic perspectives with graphs and data. The economy will grow by some 3.1% in 2018, the second year in a row of plus 3% growth. Unemployment will continue to fall, but the wage increases are still moderate. However, higher wages will be needed in order to attract personnel. Improvement of real wages translates into higher purchasing power and the increase in the number of jobs will lead to a higher disposable income for households.

Read on: in English … The report: in Dutch …

A ruling from the Court of Justice of the European Union (CJEU) concluded that Uber is a transport company and not a digital service as the company had argued. In its ruling, the CJEU said that a service whose purpose was to connect, by means of a smartphone application and for remuneration, non-professional drivers using their own vehicle with persons who wish to make urban journeys must be classified as a service in the field of transport in EU law. The verdict comes after Transport for London (TfL) deemed Uber unfit to run a taxi service and refused to renew its licence in September 2017. Trade union GMB welcome the verdict as a support for London’s position.

Read on: in English (1) … in English (2) … The ruling: in English …

The government has launched a series of reform proposals. One of the proposals deals with the personal training budget (CPF). This CPF provides workers with the possibility to follow training courses in order to establish a level of qualifications or competences. The social partners currently discuss the modelling of the vocational education. The partners in bargaining have fixed a calendar for the negotiations that runs until February 2018. Trade union CFDT proposed to work out the different details in an interprofessional agreement.

Read on: in French (1) … in French (2) … The government proposals on vocational training: in French …

The negotiations at Amazon on working conditions and pay ended in a dead-end street as the company refused to show up for talks convened by the local government. The retailer is notorious for its refusal to enter into serious talks with the trade unions (see earlier Newsletters). The trade unions reacted with a call for strike and a demonstration in front of the plant.

Read on: in English …

The European Commission and the EU Social and Economic partners signed a 'European Partnership for Integration', laying down key principles and commitments to support and strengthen opportunities for refugees and migrants legally residing in the EU to integrate into the labour market. The Partnership includes principles like providing support as early as possible, ensuring that integration benefits refugees as well as the economy and society at large and ensuring a multi-stakeholder approach. Among the commitments the partners have undertaken is the sharing of best practices for labour market integration of refugees, for instance the organisation of mentoring programmes to integrate them into the workplace or facilitating the identification, assessment and documentation of skills and qualifications. They committed to promote the Partnership amongst their affiliates, and strengthen cooperation with public authorities at all appropriate levels.

Read on: in English (1) … in English (2) …

As a result of talks between the trade unions and the government, the minimum wage will increase to a monthly 736 euro, starting from 1 January 2018. The unions have long asked for wages to rise to reflect the strong economic growth and to repair the loss of salaries of the workers who lost most in the economic crisis.

Read on: in English …