Restaurants and bakeries opened as usual around Iceland today after a strike was averted at the 11th hour.
The six unions representing skilled workers, including MATVÍS, the Union of Employees in the Food and Restaurant Industries, reached an agreement with SA-Business Iceland, which handles collective bargaining for the vast majority of private employers, late yesterday evening.
Read more: Restaurants and bakeries might close at midnight due to strike
The weeklong strike, which had been scheduled to start on midnight, would have affected many manufacturing companies, telecommunications and companies in the food and restaurant industries, including most bakeries and all larger restaurants, had been postponed earlier this month as unions and employers worked to reach an agreement amenable to both parties.
Couldn’t get any further at this time
Guðmundur Ragnarsson, the chairman of the Union of Marine Engineers and Metal Technicians, one of the unions who reach an agreement yesterday, told local newspaper Morgunblaðið that he was reasonably pleased with the agreement. Guðmundur stressed that both parties felt increasing pressure to reach an agreement as the deadline loomed larger: “We couldn’t get any further at this point in time.” He adds that the agreement will now be sent to union members who will vote whether to ratify the agreement. The results of the vote should be clear by July 15.
Þorsteinn Víglundsson, the managing director of SA Business Iceland, argues the agreement, which expires in 2018, is in line with the agreements struck between employers and workers at the end of May. The agreement includes a 5-7% wage increase guarantee until 2018 and will reportedly lead to rate increases of up to 28% for some groups of workers.
Agreement will hopefully not affect prices
Þorsteinn told the Icelandic National Broadcasting Service that the agreement would increase wage costs of affected businesses by 17-18%. However, he hopes companies will be able to meet these cost increases through rationalization and by increasing efficiency, rather than raising prices.
An agreement has yet to be reached in the negotiations between the state and nurses and the Association of Academics. A legislation, which was passed to end the strike, has angered many nurses who have either resigned or threatened to resign in protest.
Restaurants and bakeries opened as usual around Iceland today after a strike was averted at the 11th hour.
The six unions representing skilled workers, including MATVÍS, the Union of Employees in the Food and Restaurant Industries, reached an agreement with SA-Business Iceland, which handles collective bargaining for the vast majority of private employers, late yesterday evening.
Read more: Restaurants and bakeries might close at midnight due to strike
The weeklong strike, which had been scheduled to start on midnight, would have affected many manufacturing companies, telecommunications and companies in the food and restaurant industries, including most bakeries and all larger restaurants, had been postponed earlier this month as unions and employers worked to reach an agreement amenable to both parties.
Couldn’t get any further at this time
Guðmundur Ragnarsson, the chairman of the Union of Marine Engineers and Metal Technicians, one of the unions who reach an agreement yesterday, told local newspaper Morgunblaðið that he was reasonably pleased with the agreement. Guðmundur stressed that both parties felt increasing pressure to reach an agreement as the deadline loomed larger: “We couldn’t get any further at this point in time.” He adds that the agreement will now be sent to union members who will vote whether to ratify the agreement. The results of the vote should be clear by July 15.
Þorsteinn Víglundsson, the managing director of SA Business Iceland, argues the agreement, which expires in 2018, is in line with the agreements struck between employers and workers at the end of May. The agreement includes a 5-7% wage increase guarantee until 2018 and will reportedly lead to rate increases of up to 28% for some groups of workers.
Agreement will hopefully not affect prices
Þorsteinn told the Icelandic National Broadcasting Service that the agreement would increase wage costs of affected businesses by 17-18%. However, he hopes companies will be able to meet these cost increases through rationalization and by increasing efficiency, rather than raising prices.
An agreement has yet to be reached in the negotiations between the state and nurses and the Association of Academics. A legislation, which was passed to end the strike, has angered many nurses who have either resigned or threatened to resign in protest.
