19 April, 2010Swedish unions secure pay increases in new industrial agreements.
SWEDEN: On March 26, the Swedish federation of industry and metal workers (IF Metall) announced that they signed agreements in three industrial sectors: steel and metal, engineering and chemistry, and manufacturing.
In these agreements IF Metall reached a 3.2 per cent wage increase that would be granted over 22 months: 0.9 per cent on June 1, 2010 and 2.3 per cent by June 1, 2011. Although IF Metall believes it was difficult to achieve more they are still satisfied with this outcome given the overall wage increase is equivalent to that granted earlier to white collar workers and executives in the industry.
Despite Sweden's law on Employment Security and a national Agency Worker Agreement, the financial crisis has lead employers to sidestep these laws and agreements by reducing permanent workers and using agency workers as a solution. In these new sector agreements IF Metall has managed to secure the protection of laid off workers by banning employers use of temporary workers for six months. If this rule is disobeyed three months severance pay will be granted to the laid off worker.
Earlier, on March 20, IMF affiliates Unionen and Sveriges Ingenjörer announced that they reached an agreement with employers in the industry, chemistry and new technologies sectors for employees and executives. This agreement is valid for 18 months and applies between April 1, 2010 and September 30, 2011. It provides for a 2.6 per cent wage increase divided in three: a 0.7 per cent wage increase on June 1, 2010, a 0.5 per cent increase over the next 12 months, and another 1.4 per cent increase on June 1, 2011. It also provides for an additional 0.2 per cent increase taking account of skills evolution. The guaranteed wage increase amounts to SEK 294 (€30) and low wages have to increase at least 2.6 per cent