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ICEM Re-Signs Global Agreement with Paper Company Norske Skog

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2 November, 2009

On 27 October in Oslo, Norway, the ICEM, together with affiliate Fellesforbundet, conducted a review of the Global Framework Agreement (GFA) with Norske Skog, the global publication and coated papers producer. Signed initially in June 2002, the agreement is considered one of the better ones that the ICEM is signatory to.

No changes were made regarding the language of the GFA last week, but the three partners did discuss several industry specific items, including company efforts to reduce operating costs of mills. Over the past 14 months, Norske Skog idled a number of paper machines and sold off entire mills, including four in China and Korea.

Christian Rynning-Tønnesen and Manfred Warda at the signing

Due to decreased demand of newsprint and directory papers, the company since 2007 has reduced its employment rolls from 10,000 to 6,000 workers, with five fewer pulp and paper mills than the 18 it had then. The company did say that at one such shutdown, the Šteti mill in the Czech Republic, it succeeded in placing 70% of the 225 furloughed workers in similar paying jobs.

ICEM, Fellesforbundet, and senior Norske Skog leadership, including President and CEO Christian Rynning-Tønnesen, did discuss new bio-fuels business opportunities that the company is working toward, as well as the upcoming, March 2010, Global Employee Forum at the firm’s headquarters in Lysaker, Norway, near Oslo.

From left: Norske Skog Chief Steward Kåre Leira, Fellesforbundet; Axel Thuve and Kristin Klitzing, Norske Skog Vice Presidents; President and CEO Christian Rynning-Tønnesen; the ICEM’s Warda; and Hans-Christian Gabrielsen, Second Vice President, Fellesforbundet

The agreement contains specific language respecting freedom of association and collective bargaining, health and safety, as well as language regarding placing a priority on permanent employment, with temporary and part-time employment based on “the same relative terms and conditions as fulltime permanent employees.”

The only change reflected the ICEM’s change of office headquarters from Brussels to Geneva. The full agreement, in English, can be viewed here.