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Job Actions Delayed as Swedish Paperworkers, Employers to Keep Talking

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5 April, 2010

Collective negotiations across all of Sweden’s work sectors were fractious over the past month, but none as much than between the Paperworkers Union, Svenska Pappers, and Skogsindustrierna, the employers’ Forest Industry Association (SFIF). Late on Thursday, 1 April, a three-member mediation panel used its option under Swedish industrial relations rules and set back by one week planned job actions that Pappers was to begin today.

The two sides had been making progress in the hours up to and beyond the 31 March midnight expiration of a prior three-year labour agreement that covers 18,000 paperworkers at 62 pulp and paper mills of ten companies.

Pappers announced on 22 March that it would impose a total overtime ban beginning at 18h00 on 5 April, as well as a blockade of temporary and agency workers onto worksites. The one-time option by the mediation panel means such industrial actions cannot begin until 12 April. The union and SFIF are expected to return to the bargaining table either late on 7 April or 8 April.

In talks that lasted late into the evening on 1 April, the two sides were closing in on a 22-month contract before the panel called adjournment and postponed the industrial action. On wages, that agreement would look much like what was achieved in other Swedish industrial talks – 3.2%.

What separates Pappers and SFIF is how the pay accord will affect the lowest-paid workers, meaning a supplement should be in order for those workers, and a reduction provision on the pension scheme. Pappers is insistent that the first part of the pay deal be made with a 2% increase on 1 April, with the remainder to take effect on 1 January 2011. An addendum also is under consideration regarding union consultation on temporary or labour agency work.

If no agreement is reached this week, the overtime ban and blockade of non-regular workers will go ahead for 12 April, with industrial action to escalate to selective strikes after that.

On 27 March, ICEM affiliate IF Metall reached agreement with Teknikföretagen, the Swedish Engineering Industries Association, covering 160,000 workers. That agreement is for 3.2% over 22 months. A centerpiece of the agreement is that employers must negotiate with IF Metall before employing temporary staff for longer than one month. The union pressed this issue because employers should not be using labour agencies while full-time workers are either on layoff or working shortened work weeks.

Also in accord with employers is the union GS, which signed a 22-month contract covering 35,000 workers in the forestry, wood, and furniture industries. Another part of GS, the graphical workers’ section, has an agreement expiring later this year.