Collective Bargaining

The government has entered into a tripartite agreement with the social partners on a package to support companies struggling with drastic measures to curb the spread of the coronavirus that would cover 75% of employees’ salaries if they promised not to cut staff. Under the three-month aid period that will last until June 9, the state is offering to pay 75% of employees’ salaries with a maximum of 23,000 DKK (€3,082) per month, while the companies pay the remaining 25%. Employees will be obliged to take five days of mandatory vacation or time off from work.

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The Labour Minister announced measures to support jobs, workers and vulnerable groups. The measures include granting leave to workers in the private sector who have to stay home to take care of their children, unemployment pay for workers of companies which have to suspend operations or suffer a 25% reduction in turnover due to coronavirus protection measures, sickness benefits, and remuneration for those who teach in the afternoon school of the Ministry of Education.

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The government and the social partners reached an agreement on short-time working arrangements, underpinned by a budget of €400 million. This measure, which is designed to last for three months will provide financial assistance for those placed on short-time working and for workers who are laid off temporarily.

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The government is temporarily changing the first unpaid day of sick leave in response to the coronavirus. The decision means that workers will get sickness benefits from the moment they have to be absent from work due to illness, and the state rather than employers will foot the bill for the cost of the first day. Swedish law normally guarantees sick pay from the second day of illness, but concerns had been raised that employees would turn up at work despite feeling ill in order not to lose out on the first day's salary.

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Care workers from different unions picketed outside one nursing home on March 10, 2020. They protested against a lack of supplies but mainly the lack of a sufficient number of staff members. The company, active in many European countries, was accused of putting profit over proper care.

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The Chancellor of the Exchequer set out a £12 billion (€ 13.6 billion) action plan in response to the economic impact of the coronavirus (COVID-19) outbreak. The package includes measures to support public services, individuals and businesses that may be affected by the outbreak. Measures will be taken to support the self-employed, those earning below the Lower Earnings Limit of £118 (€ 134) per week and a new £500 million (€ 567 million) Hardship Fund will directly support vulnerable people.

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Women will march during a symbolic strike on Women’s Day to protest the ongoing existence of inequalities between men and women, especially in the domain of care, both paid and unpaid.

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From March 1, foreign companies posting employees must report this to the authorities because from this date on they are covered by the legal rules applicable in the Netherlands regarding minimum wage, vacation days, working conditions and rest time. If a generally binding collective agreement is in force, they are also entitled to the rights in this collective agreement.

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Trade unions in the company Mora Moravia celebrated their success after a petition signed by three quarters of the 600 workers led to a speedy conclusion of negotiations. Following the handover of the petition, a top manager of the Gorenje Group and a representative of the Chinese owner agreed on a total wage increase of around 5.5%.

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COVID-19: Emergency package to support self-employed

March, 23 2020

Together with all parties of the parliament, the government has passed a bail-out package to support the Danish economy in the extraordinary situation caused by COVID-19. The package includes a major temporary compensation scheme for the self-employed who are not directly covered by the tripartite agreement on wage compensation. The government and the rest of the parties will make sure that self-employed people experiencing a significant drop in turnover get compensation.

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The Gewerkschaft Nahrung-Genuss-Gaststätten (NGG, Food, Tobacco, Hotel and Allied Workers Union ) and the Bundesverband der Systemgastronomie (Employers Association for the systems-based food catering sector) concluded a collective agreement with a significant increase of wages. Within four years, the lowest wage group will be raised to €12 per hour and all other wages will increase by 27.7%. The agreement covers about 120,000 employees in companies such as McDonald’s, Starbucks, Burger King and Kentucky Fried Chicken.

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