Collective Bargaining, Low pay/minimum wages, Precarious employment, Economic Policy
Collective bargaining stalemate in public sector
The ZSSS trade union confederation reports that some public service trade unions have expressed dissatisfaction with the government's handling of negotiations on wage disparities and the renewal of the wage system. The unions say that the government's lack of commitment to fair negotiations has resulted in a stalemate and the government's failure to provide a counter-proposal for eliminating wage disparities, despite assurances, has led to frustration among union representatives. They argue that the government's approach undermines the importance of public sector workers in maintaining the
ETUC says cost-of-living crisis is not over for millions of workers
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
ILO adopts agreement on living wages
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
Study investigates factors influencing low pay
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