Procurement, Central government, Norway

Trade unions across the three confederations – LO, YS and Unio – have negotiated changes to the main state agreement that regulates the relations between unions and the government. With many government agencies facing restructuring, the unions are pleased that the new agreement, that runs until 2025, will strengthen co-determination and ensure trade unions are involved in tackling change and the introduction of, for example, new digital tools and processes. The agreement also reinforces the commitment of both sides to address sustainability and climate change and has clearer wording around

Five of the six trade unions in the LO Kommune bargaining group agreed to back the mediation proposal for municipal workers that was finally delivered on 24 May, averting strikes across the sector. The largest union in the sector, Fagforbundet, reported that the agreement would deliver increases on annual salaries of between NOK 12000 (€1165) and NOK 16800 (€1635). The settlement was ahead of that achieved in manufacturing this year, as the unions had pushed for a better deal to allow catching up on the lower settlement in 2021. The agreement also provides for increased night and weekend

The trade unions in the state sector represented by Lo Stat, Unio and YS Stat broke off negotiations at the end of April and are waiting to see what mediation delivers on 23 May. The three groups of unions want to see action to compensate for recent pay trends where pay in the state sector has not kept pace with developments in the private sector. LO Stat unions have already set out plans for industrial action if mediation fails to deliver. Along with a general pay increase they also want to see action to reduce gender pay inequality and are concerned that the state sector’s preference for

Tough bargaining in both the state and municipal sectors have ended up in mediation as employers fail to get close to the unions’ key demands. In the state sector unions were already concerned about the increasing gap between the low and high paid and the prospect of pay increases negotiated mainly at local level were seen as increasing the likelihood that the lower paid would again lose out. Public sector unions support the system where industry settlements set a benchmark and note that last year state workers got 0.5% less than the private sector. However, they also argue that the public

Negotiations over pay are getting underway in the state and local government sectors with unions seeking to protect their members’ purchasing power and focusing on support for the lower paid. While unions agree that the system where the industrial sector sets the trend for pay bargaining is the right one, negotiations in the public sector need to address how pay trends have affected different occupations. This means there are arguments for a flat-rate increase that will benefit the lower paid, including the often undervalued groups like cleaners who have played a key role in coping with the

The Fagforbundet public service union reports that over a third of the country's municipalities have adopted a variety of measures to reduce the risk of social dumping. These include requirements to employ permanent employees, for pay and working conditions that correspond to the sector agreement in the industry and specific numbers of skilled workers and trainees. They also cover tax matters and the prohibition of cash payments, limits on the number of subcontractors, regular monitoring of contracts and the right of local authorities to audit the contractor and sub-contractors.

State sector trade unions called off planned strike action following an improved pay offer from the government. The main increase on annual salaries will be a flat-rate rise of NOK 5100 (EUR 535) while workers on higher pay rates will get a 1.25% increase. There will also be 1.9% of the paybill allocated to local negotiations. Abolition of the two lowest pay grades will help lower paid workers while there are also improvements to payments for unsocial hours and a higher threshold for pensionable pay.

Public sector unions have negotiated a new public sector-wide pension scheme that they are recommending to members who will vote on whether or not to accept the new arrangements. The scheme will be introduced from 2020 for all workers born in 1963 or later. The unions are pleased with the result which they say produces a gender-neutral scheme and will see members earning pension entitlement on all their earnings from day one of employment. There will also be early retirement provisions for those who need it.