Breakthrough: strike averted?

Ólafía B. Rafns­dótt­ir, Head of the Icelandic Union of Commercial …

Ólafía B. Rafns­dótt­ir, Head of the Icelandic Union of Commercial and Office Workers (VR).

In a significant breakthrough, a deal is expected to be struck on a new collective wage agreement for four Icelandic trade unions by the end of the week, averting major strike action.

The Icelandic Union of Commercial and Office Workers (VR), the Commercial Federation of Iceland (LÍV), Flóabandalagið and Stéttarfélag Vesturlands have threatened wide-ranging strike action if a resolution is not found.

A wave of strike action by members of these unions threatens to paralyse important sectors of the Icelandic economy, such as tourist accommodation, flight ground handling and food retail.

It has now been announced that a draft agreement should be ready tomorrow and a definite version for ratification by Friday.

The draft agreement provides for a progressive three-year increase in the minimum wage of union members up to ISK 300,000 (approx. €2,000) by 2018.

Wage disputes remain ongoing with the Icelandic Nurse’s Association, the Icelandic Association of Academics (BHM) and the Icelandic Professional Trade Association (SGS) and strike action planned by members of these unions remains on the timetable.

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