Low pay/minimum wages, Denmark, Armenia

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

A number of public service trade unions are involved in negotiations with employers and the government to address pay inequality and staff shortages. In September the government set out proposals to provide DKK 3 billion (€400 million) to cover higher pay for social workers, nurses and workers in early years education and care. The government wants part of the deal to provide additional hours for part-time workers. Prison staff are also set to benefit and there is additional funding for them. These negotiations come shortly before and are separate from the normal three-yearly bargaining on the

Last month the Wage Structure Committee produce a detailed report on pay in the public services as a basis of a tripartite discussion that is due to begin in the autumn and that will have an impact on negotiations of the next three-year collective agreements in the public sector that will run from April 2024. The committee, with trade union participation, was set up in 2021 as a first step in trying to address the persistent problem of pay inequality across the public services and the major staff shortages across many occupations. The initial reaction of many EPSU affiliates is to welcome the

The FOA trade union has sent a wake-up call to politicians from all sides about the need to address pay in the welfare sector. The union brought together 1200 of its shop stewards from across the country in a two-day conference to discuss pay in health, social care and other services and to really gauge the feeling at the workplace. The message from the conference was a mounting concern that society does not recognise the value of welfare work. FOA warns of increasing frustration and discontent among workers if action is not taken. It is already extremely difficult to recruit workers to the

Municipal unions are pushing for the right to full-time work across the sector to tackle what they see as excessive use of part-time contracts. The FOA trade union has calculated the financial implications of full-time (37 hours a week) work for different occupations working different hours. For example, a social and health care assistant, who today is 41 years old, can increase their lifetime income (including all allowances and pensions) by DKK 5.3 million (over €700,000) by working full-time instead of 25 hours. Even older workers would see a real difference with a 51-year-old cleaner able

The FOA trade union, as part of a joint negotiating committee of public service unions, has submitted the main bargaining demands to employers in municipal and regional government with the focus on tackling low pay and pay inequality. The aim is for a flat rate pay increase that will be more beneficial to lower paid workers along with funding to reduce the pay inequalities suffered by occupations dominated by women. The unions also want to ensure a real pay increase that will protect purchasing power over the three years of the agreement that is set to run from 1 April 2021. Other demands

The FOA trade union is gearing up for the public sector pay negotiations over a new collective agreement to follow the current agreement that expires in March 2021. There had been some discussion about postponing the negotiations but they will now go ahead with unions expecting tough bargaining conditions. Public sector wage increases are linked to developments in the private sector and so there will be some constraints but unions are determined to secure pay rises for their members and the FOA is stressing again the need to support low paid workers who have been less advantaged by pay

The FOA public services union has warned the Vikapleje private eldercare company that it will face strike action from 15 June unless it ensures that its employees are paid in line with the municipal agreement. The company provides services for the Halsnæs municipality north west of Copenhagen and FOA has been trying for some time to negotiate an agreement with the company along the lines of those it has with many other private companies. The union estimates that Vikaplege is costing workers as much as DKK 90000 (EUR 12000) a year in lower pay and pension benefits.

The FOA public services union has strongly criticised plans by Copenhagen City Council to cut DKK 47 million (EUR 6.3 million) from the cleaning budget in its children and youth administration services. The union says that 450 workers will be affected either with reduced hours (some going from 37 to 21 hours a week) and others facing redundancy. FOA argues that this is effectively increasing the working poor, with many workers facing the prospect of doing two, three or more jobs to make ends meet. The union also argues it will impact on cleaning quality and health and safety.

The FOA public services union has very much welcomed the significant increases to pay for health and social care assistants and trainees as a result of the recently negotiated public sector collective agreements. While all workers will benefit from the the overall 8.1% increase over three years, specific increases set out in the agreements will mean that health and social service assistants will see increases of 13% over the period and trainees will get pay rises of between 14% and 19%. The union believes these are important steps in revaluing low paid jobs in the sector and also making the

A major conflict across the public sector was avoided as trade unions negotiated new agreements covering state, local and regional government workers. Some elements of the agreements are the same with an overall package worth 8.1% over three years. This figure includes a basic increase for all workers but also elements directly specifically at low paid workers and jobs predominantly done by women. An important element is the change in the rules linking pay developments to those in the public sector with the guarantee now that pay will move fully in parallel rather than only guaranteeing a part

The mediator in the public sector pay dispute has extended the official period of mediation. Unless she decides to end the mediation early then this means that the unions cannot take any strike action until 6 May and employers cannot impose their threatened lockout until 12 May. In the meantime unions are still mobilising their activists and public services union FOA organised a meeting of 2000 worker representatives which reaffirmed their determination to push for a real wage increase as well as special measures to address low pay and pay in occupations dominated by women.

At an early stage of the negotiations in local government the KL employers' organisation has said it will allocate around 500 million krone (EUR 67 million) to tackle major staffing shortages in health and social care. In December, KL and the FOA public services union issued a joint report which revealed that 73% of municipalities faced shortages of skilled staff, particularly in the field of eldercare. FOA gave a positive reaction to the news but underlined that they and other public sector unions still had key demands for tackling low pay and the gender pay gap.