The majority of service representatives at Harpa Concert Hall have resigned in protest over what they say is excessively generous pay for the CEO of the concert hall. The employees are outraged that they were forced to accept a wage reduction at the same time as the CEO was awarded a 20% pay rise. The management of Harpa claims the complaints are based on a misunderstanding and maintains that the concert hall pays competitive wages.
Last week local media reported that the CEO of Harpa, Svanhildur Konráðsdóttir, had received a 20% pay hike in 2017. This news caused outrage among the lowest paid employees of Harpa who had been forced to accept a wage reduction last year.
The management of Harpa argued that the CEO had not really received a raise: When she was hired the board had negotiated a pay package of 1.5 million ISK per month (175,000 USD/148,000 EUR annually). At the time all wages of public sector managers were determined by an independent government board, and the 1.5 million ISK pay was 14.6% above what the law permitted. The CEO was therefore forced to accept a wage reduction. When the law on public sector managers changed and the power to negotiated wages was transferred to the boards of government or municipal corporations the board of Harpa then raised the pay of the CEO back to 1.5 million.
These arguments failed to convince the 20 employees of Harpa who quit in protest yesterday. One of Iceland's most beloved musicians, singer Ellen Kristjánsdóttir has also pledged to boycott Harpa in solidarity with the employees.
The majority of service representatives at Harpa Concert Hall have resigned in protest over what they say is excessively generous pay for the CEO of the concert hall. The employees are outraged that they were forced to accept a wage reduction at the same time as the CEO was awarded a 20% pay rise. The management of Harpa claims the complaints are based on a misunderstanding and maintains that the concert hall pays competitive wages.
Last week local media reported that the CEO of Harpa, Svanhildur Konráðsdóttir, had received a 20% pay hike in 2017. This news caused outrage among the lowest paid employees of Harpa who had been forced to accept a wage reduction last year.
The management of Harpa argued that the CEO had not really received a raise: When she was hired the board had negotiated a pay package of 1.5 million ISK per month (175,000 USD/148,000 EUR annually). At the time all wages of public sector managers were determined by an independent government board, and the 1.5 million ISK pay was 14.6% above what the law permitted. The CEO was therefore forced to accept a wage reduction. When the law on public sector managers changed and the power to negotiated wages was transferred to the boards of government or municipal corporations the board of Harpa then raised the pay of the CEO back to 1.5 million.
These arguments failed to convince the 20 employees of Harpa who quit in protest yesterday. One of Iceland's most beloved musicians, singer Ellen Kristjánsdóttir has also pledged to boycott Harpa in solidarity with the employees.
