Collective Bargaining

The members of the Icelandic Airline Pilots Association (FIA) have approved a new collective agreement with the Icelandair Group which will be valid until 31 September 2025.

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The government adopted a new economic stimulus package, featuring subsidies for shortened working time, vouchers for citizens to be spent in tourism facilities around the country, and favourable liquidity loans. Subsidies will be available to employers who cannot secure at least 90% of the usual workload for at least 10% of their employees, which the state would subsidise up to 20 hours weekly.

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Several slaughterhouses were hit with coronavirus outbreaks. To stop this string of infections the government banned the use of subcontractors who employ mainly migrant workers. These workers are often from Bulgaria and Romania, living in conditions that make the outbreaks almost inevitable. From January 1, 2021, abattoirs and meat-processing plants will have to employ their workers directly.

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The European Commission has proposed country-specific recommendations (CSRs) providing policy guidance to all EU Member States in the context of the coronavirus pandemic, with a focus on the most urgent challenges. The recommendations cover areas such as preserving employment through income support for affected workers, investing in people and skills, and supporting the corporate sector (in particular, small and medium-sized enterprises).

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According to data published by the national labour office the unemployment rate rose from 5.2% in March to 6.6% in April. The corona crisis hit the demand and supply chains of some factories especially hard.

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The number of jobseekers increased by 4,800 people in one year (+31.1%) and stood at 20,253 on April 30. The increase is mainly the result of a smaller outflow into employment, rather than a growth in new registrations. The seasonally adjusted unemployment rate is 6.9%.

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Several measures imposed on migrant labour by the government amid the coronavirus outbreak in March and April remain in force and unchangeable even after the emergency situation in the country due to the pandemic came to an end.

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The clothing and textile sector, a vital source of employment and revenues, has become the worst-hit industry in the coronavirus crisis. Industrial production data, released by the Turkish Statistical Institute last week, shows that clothing and textile production in March, when the coronavirus officially reached Turkey, shrank respectively by 20% and 14% from February. The industry employs some 1.3 million people in the manufacturing field, including unregistered workers, but an equally large labour force works in distribution and marketing.

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The national statistical office DZS announced that at the end of April, there were 1,527 million employed people in Croatia, or 0.8% more than in March, and the registered unemployment rate also rose by 0.8 percentage points to 9.4%. When the figures are broken down according to business activity, employment rose month on month in almost all activities, with the highest rise of 2.9% in accommodation and food service activities.

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The national statistical agency (Amt für Statistik) published data on the development of wages between 2016 and 2018. The median gross wage increased by 1.1% during that period. Women on average earned 14.7% less than men, but the gender pay gap decreased by 0.5 percentage points.

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