Demographic change, Low pay/minimum wages, Central government

Members of the FNV trade union are currently voting on whether to accept a new collective agreement covering central government. The deal includes a €1200 one-off payment for full-time employees to compensate for inflation paid in May this year even before the current agreement expires. On 1 July there will be an 8.5% pay increase plus €50 and an increase in the individual choice budget by 0.13% to 16.50% of the salary. A one-off payment of €800 will follow in November 2024 and a further payment of €350 on 1 July 2025. The one-off payments add up to €2350 (pro rata for part timers). The

The FSC-CCOO and UGT-SP public service federations are to declare a collective dispute with the Tax Agency which will coincide with the start of the Agency’s campaign on filing income tax returns. The dispute will raise a number of issues related to professional career development, internal promotion, strengthening the mobility agreement, telework and negotiating a new collective agreement. The unions are also concerned about plans to increase the telephone service without specifying salaries or the need to increase recruitment. They will also raise concerns around productivity and about safe

The Council of Ministers in Bulgaria has agreed to allocate BGN 180 million (€92 million) for a salary increase benefiting 53,000 state administration employees. This increase, averaging BGN 283 (€145) retroactively from 1 January, aims to address disparities in salaries within the public sector. A decree approved by the Council of Ministers outlines the allocation of a total of BGN 268 million (€137 million) in the budget for this purpose. The KNSB and Podkrepa federations actively participated in negotiations over the past three months to develop the methodology and distribution of these

Members of public sector unions have voted by a large majority to accept the pay agreement negotiated earlier this year. The agreement runs from 1 January 2024 to 30 June 2026 and provides for pay improvements worth 9.25% but because of flat-rate elements this rises to 17.3% for lower paid workers. This agreement also provides specific provisions for local bargaining, which will give trade unions the scope to negotiate up to an additional 3% of pay costs, inclusive of allowances, for particular grades, groups or categories of employee. The agreement also sees the full and final unwinding of

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

On 13 March, the International Labour Organization’s (ILO) governing body endorsed an agreement on living wages. This acknowledges that decent wages are central to economic and social development and to advance social justice. The document also says that living wages play an essential role in reducing poverty and inequality and ensuring a decent and dignified life. For the ILO, a living wage is the wage level necessary to afford a decent standard of living for workers and their families, taking into account the country circumstances and calculated for the work performed during the normal hours

The FSC-CCOO federation organised protest rallies on 20 and 21 March in its continuing dispute with the Ministry of Justice, marking almost a year since the union began a series of strike actions. The federation is seeking a salary increase for all staff in general and special bodies, negotiations on the Efficiency Law which has implications for workers’ pay and conditions, proper recognition of functions and career development. The FSC-CCOO says that the Ministry broke off negotiations on 7 March saying it would not negotiate a salary increase for all workers. The federation is also angry

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

After lengthy negotiations a new public sector pay structure is in place that means significant increases to the coefficients used to calculate salaries for different occupations. Overall public sector workers are set to benefit on average by 13.5% in comparison to pay levels in 2023. Most unions are generally happy with the new system, including the HSSMS-MT nurses’ and health workers’ union which is one of 11 to sign the public sector collective agreement. However, other unions, including teaching unions, are unhappy with the outcome and argue that the new system fails to deliver appropriate

The UGT-SP trade union and public sector federations in the CCOO confederation are calling on the government to ensure payment of the 2% pay increase across the public sector as set out in the three-year agreement 2022-24. The agreement has so far delivered pay increases totalling 7% in 2022 and 2023 and there could be an additional 0.5% on top of the 2% in 2024 depending on economic developments. The unions also want confirmation that various measures introduced as part of an austerity package back in 2012 are finally rescinded. The unions want the government to immediately begin negotiations

The PCS trade union is set to launch a ballot for industrial action on 18 March as a first step in a renewed campaign around pay, jobs and working conditions. The union has around 150,000 members in over 200 bargaining units across the civil service and has been successful in recent years in securing support for targeted strike action despite the strict UK ballot rules covering public services. The ballot will close on 13 May and there will be a special meeting of the PCS national executive on 15 May to consider the results. The union’s key demands include: a cost-of-living rise, with an

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