Agreement between employers and unions to increase wages by at least 10% by 2025

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employer and unions agreed on at least one wage increase. 10% cumulatively for the next three years. Social intermediaries have managed to close a deal after weeks of covert negotiations that will be transferred to their industry and guide collective bargaining by 2025. The ‘Cadena Ser’ progressed and EL PERIÓDICO from the Prensa Ibérica group was able to confirm from the negotiating sources. The agreement, which should be approved by the top management bodies of social intermediaries next week, includes an additional 1% increase depending on the development of the CPI.

The agreement, which should be approved by the top management bodies of social intermediaries next week, includes an additional 1% increase depending on the development of the CPI. According to sources who know the tricks, if the CPI closes this year above 4%, a 5% increase in salaries is required. And if the CPI closes above 4% in 2024 and 2025, it should increase by 4%.

This CEOECCOO and UGT Laid the foundations of the Employment and Collective Bargaining Agreement (AENC), a kind of ‘contract of agreement’ which then serves as a reference for reaching agreement on salary increases in each sector. Agreed percentages of increase they are not mandatoryhowever, they serve as references and all signatory organizations agree to apply them.

According to the current inflation scale (4.1% in April) and if the agreement is fulfilled on a sectoral basis, the bases agreed between the social actors, purchasing power from the workers. Although they are due to a serious devaluation of real wages in 2022, the largest in four decades. According to the detailed sources of the negotiation, the agreed content does not contain backward formulas.

How does AENC work? For example, after that when employers and unions sit down and reach an agreement office and office contract The two sides, which made a statement that the province of Barcelona has been hanging around for months and that directly affects the payrolls of about 200 thousand people, agreed to apply a 4 percent salary increase for this year. It is not required by law and both parties can agree on higher or lower increases, but this figure serves as a reference in case of disagreement.

Second time charm

On May 5, 2022, social agents assessed that the negotiations had deteriorated due to the impossibility of reaching an agreement satisfactory to both sides and the alignment of their sectors. Coincidentally or not, on May 5, 2023 the same actors managed to sign a principle agreement on wages. AENC lay fallow for a full year and contracts renewed during these 365 days matched the strength correlation of each sector. Wage increases were higher where unions were stronger and lower where they were less organized.

Employers and unions manage to agree on a framework of stability in their relations, thereby circumventing the threat of ‘probability’.warm autumn‘ the centers staged in this final scene first day of may. The government has also been demanding a salary contract from social units for months to avoid introducing an economic destabilizing element in the current high uncertainty context. banking crisisnon-falling prices and the war in Ukraine.

What did the parties agree on?

The deal comes after both parties resign. CEOE denied any request linking wages to inflationlast year caused a breakdown of the negotiating table. And it now agrees to take on an additional point for salary increase each year based on how much the CPI rises, which will force companies to raise funds if prices rise more than agreed. Businessmen will hold an extraordinary meeting on Monday to give final approval to the deal.

And the union party significantly softened its positions. The first red line was that all deals had a salary review clause, meaning companies had to equalize salaries to prices at the end of the year, regardless of the amount of base increase they agreed on. From there, they moved on to a mixed offer where additional increases were partly due to prices and partly to prices. benefits And at the end of each sector, they agreed to a partial review, promising up to 1% increase depending on how the CPI ends up.

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