Transparency & Corruption, Low pay/minimum wages, Ukraine, Croatia, Armenia

Trade unions across Europe have been sending messages of solidarity to Ukrainian unions as they step up their campaign against planned reforms of labour law. Proposed legislation would abolish the most important legal and social guarantees for workers and trade unions covering minimum wages, pay and leave for hazardous work, weekly rest periods, overtime pay and limits, restrictions on night work for women, dismissal rights and protection of workers with disabilities. It allows for more flexible contracts, including zero-hours and weakens trade union rights. A national day of action has been

Around 5000 protestors joined a demonstration on 14 November organised by the FPSU trade union confederation. The trade union demands concerned the draft Budget for 2020 and the Labour Code. Unions are concerned about changes to the law that deprive civil servants and public sector workers of rights to social protection upon dismissal and planned changes that contain discriminatory rules on the employment rights of employees and threatens their collective protection. The unions also have specific demands on minimum and living wages and pensions.

The FPU trade union confederation has rejected a call from the World Bank that there should be no further increases in the minimum wage until structural reforms have been carried out. The FPU argues strongly that a decent minimum wage is a basic right for workers and shouldn't be subordinated to the demands of international creditors. The current minimum wage is 5500 UAH a month (EUR 195) and is set to rise to 5700 UAH (EUR 200). The confederation says that the minimum should be a living wage and on this basis the target should be UAH 7700 (EUR 270).

On 17 October, around 20000 trade union members from both private and public sectors marched through Kyiv city centre and blocked the government quarter. The main demands of the demonstration were for investment in industry for decent jobs, raise the minimum wage to help stop emigration, not to increase utilities prices, for the state budget to allocate the equivalent of 7% of GDP to education and 5% to healthcare, to urgently pay outstanding wages to more than 100,000 workers and to stop state’s takeover of trade union property and respect trade union rights.

The FPSU trade union confederation has called on the government to raise the minimum wage to keep it in line with calculations of a living wage. It argues that in 2017 the two-stage increase of the minimum wage to UAH 3200 (EUR 104) was positive for both the standard of living and economic growth. However, this January's increase to UAH 3723 (EUR 121) was inadequate to keep pace with the living wage which had already risen to UAH 4011 (EUR 130) and was at UAH 4213 (EUR 137) by April. According to the FPSU around 20% of workers are classified as poor and the average wage at EUR 262 is only

On 12 May healthworkers in Sofia and Zagreb demonstrated over poor pay and working conditions and the crisis of understaffing. 5000 nurses, medical professionals, midwives and lab technicians joined a demonstration outside the Council of Ministers in Sofia demanding a 1500 Lev (EUR 765) minimum wage for health workers as a step towards stemming the flow of health workers out of the country. In Zagreb the call was also for improved pay and working conditions and in particular the respect for collective agreements in relation to overtime pay.

The FPU trade union confederation has called a demonstration outside parliament on 6 December with a number of key demands on the government. These include: setting the minimum wage at the level not lower than the real living wage (UAH 4023); setting the basic wage of a worker in the lowest pay grade at the level above the minimum wage; settling all outstanding wage arrears by the end of the year; reducing utilities prices; ensuring the right to affordable and quality health care and preventing any curtailing of existing worker and trade union rights in adopting a new Labour Code.

An analysis by the European Trade Union Institute shows that wage convergence between East and West in Europe was steady up until 2008. However, since then the trend has either stalled or gone into reverse. Taking national average pay as a percentage of the average across the pre-2004 EU15, Croatia and Hungary show the largest increase in the pay gap since 2008. There were also increases in Slovenia, Czech Republic, Poland and Romania.Most progress was made in Bulgaria but from a very low level (11.8%) to 17.7%, still less than a fifth of average pay in the West.