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The European Trade Union Confederation (ETUC) has highlighted that the combination of inflation and pay trends means that the living standards of European workers have still not recovered from the cost-of-living crisis. Data from the European Trade Union Institute’s Benchmarking Working Europe 2024 shows that pay, after inflation is taken into account, fell by 0.7% in 2023. Workers in Hungary (-3.8%), Czechia (-3.8%), and Italy (-2.6%) faced the biggest falls in purchasing power last year. Germany (-0.9%) and France (-0.6%) were also among the 10 member states where wages failed to catch up

New research from the European Trade Union Institute looks at the role that institutional and economic factors play in shaping wage floors and protecting workers at the low end of the wage distribution. Using data for the period 2007 to 2021, it shows that wage inequality has on average declined across the EU, primarily due to convergence between countries. In line with expectations, strong institutional support, such as statutory minimum wages with greater bite and a higher collective bargaining coverage rate, are associated with lower inequality and a better position for vulnerable workers

Trade unions, including Sanitas and Columna, have managed to secure pay increases for workers in health and social services. According to Sanitas, increases in the health sector vary according to occupation but range up to 26.8% with 20% in social assistance. The union has also been able to resolve discrepancies in salaries affecting a number of specific occupations. Meanwhile Columna has also been active in local government where it organised strike action on 19 March involving nearly 19000 workers as it tries to ensure that the pay increases that apply to health, education and social care

Following the article on Iceland, the latest in the series of articles on working time commissioned by EPSU from the Labour Research Department focuses on developments in the other Nordic countries. While several unions in Sweden have put shorter working time on the bargaining agenda (see also article on Sweden in this newsletter), there are only a few cases in social care where a shorter working week has been implemented. In Norway and Denmark the priority has been more to ensure that workers in health and care and other services have the right to full-time working although there are some

In its latest briefing on the Adequate Minimum Wage Directive, the European Trade Union Institute (ETUI) finds that the legislation is already having an impact even before it is fully transposed in all member states. According to the ETUI, the Directive’s double decency threshold for adequate minimum wages of 60% of the gross median wage and 50% of the gross average wage has already influenced developments at national level. The briefing cites examples from Bulgaria, Croatia, Germany, Hungary, Romania and the Netherlands where the double threshold or at least one element of it is being taken

Labour movement lobbying helped secure a platform work directive that should provide new rights for millions of workers across Europe. The ETUC and EPSU welcomed the outcome of lengthy negotiations and in particular the inclusion of the presumption of employment in the legislation. This means that Instead of individuals going through lengthy court action to prove they are workers, it will be up to the platforms to prove they are not employees. The directive also recognises the role of trade unions in all aspects of the platform economy, including on issues such as algorithm management. Workers

The 480,000 workers in municipalities and 140,000 workers in regional government are set to get pay increases of 4% from 1 April as a first instalment of the 6.51% (municipal) and 6.53% (regional) increases over the next two years. An additional 2% fund is available for unions to negotiate separately for different groups of workers and so the overall pay rise will be closer to 8.8% and with an expectation that the real increase overall will be 2.17%. There are also additional amounts for the lower paid. At the end of 2025 there will be further negotiations that will focus on the comparative

The Sanitas and Columna trade unions are trying to make progress on a number of fronts, including securing pay increases for workers in health, care and local government for 2024 and to negotiate sector-wide agreements in all three sectors. In local government Columna is calling for guarantees that workers will be paid according to a national pay grid and no longer covered by each local authority and it also wants agreements to cover the sector or groups of authorities and not council-by-council. Both Sanitas and Columna are also calling for a pay rise for workers in social assistance and to

Negotiations on a new agreement covering the state sector were concluded on Sunday 11 February with employees set to get a 7.4% pay increase over two years that should deliver a real increase of 2.5%. The first increase will be for 5.9% on 1 April 2024 with a further 1.3% due on 1 April 2025 and 0.2% on 1 November 2025. Additional funds have been allocated for the development of wages and other conditions in the individual collective agreements with the overall package worth 8.8%. There will be an extraordinary salary negotiation at the end of 2025 which will focus on the comparative

Tough negotiating by the Sanitas health union and effective mobilisation of its members is delivering positive outcomes. Following discussions with the government on 25 January the union says that there will be a 20% increase in the salary fund so that all employees in health benefit from an average salary increase of 20% in 2024, paid in two instalments; a 20% increase in salaries for specialized personnel in care and social work; assessment of personnel needs in the public health system and unblocking of posts; and the start of negotiations for a collective agreement covering social work

The European Union’s industrial relations research body, Eurofound, has published a report analysing hundreds of collective agreements across 24 low-paying sectors to try to determine the role of collectively-bargained minimum wage rates in protecting the low paid. The 24 sectors include residential and non-residential social care. The analysis of all the sectors found that agreements in central and eastern European Member States refer relatively frequently and explicitly to statutory minimum wages as the minimum payable rates, rather than including higher collectively agreed rates. The report

The European Trade Union Institute (ETUI) has published research covering all EU member states which warns of the impact of computerised systems on work. Potential negative effects include more unpredictable, hectic and intense work rhythms, the encroachment of paid work beyond its boundaries, longer working hours and a poorer work-life balance. The report also explores the differences in terms of job demands and resources between digitalised and non-digitalised work environments in similar jobs. The ETUI says that while the digital revolution tends to be associated with various positive

A policy brief published by the European Trade Union Institute (ETUI) looks at the role of collective bargaining in providing protection for the low-paid and the important role of government in setting a framework that protects and promotes collective bargaining. The authors found that over time, statutory minimum wages have become increasingly important, while state support for collective bargaining has declined. This is despite the fact that the report finds that state support for collective bargaining appears most successful in containing low-wage employment. The policy brief highlights

EPSU has commissioned the UK-based Labour Research Department to produce a series of articles analysing recent examples of working time reduction. The first article looks at Austria where public service unions in both private and public sectors have taken action to cut weekly working time, particularly in the large private sector agreement covering health and social care workers. The next article, to be published in February, will provide an update on the situation in Iceland and in March the focus will be on other Nordic countries. IndustriAll Europe has also produced a series of briefings