Neutral. This is how the negotiation unfolds within the shoe industry in the province. It affects 17,000 workers and 1,700 companies. At the negotiating table, unions such as CCOO and UGT push for wage growth tied to inflation, aiming to protect purchasing power. They advocate for a revision clause that would align salary increases with CPI movements without a cap, a stance the employers oppose.
Protest with the red boat banner. Axel Alvarez
Workers are also pressing for changes, including reducing the annual working day from its current 1,788 hours and removing flexible measures. The sector has long been tightly connected to temporary contracts, which workers seek to replace with more stable arrangements.
Employers propose an 11.5% salary increase over four years but refuse to include an unlimited CPI revision. They offer a cap at two points for CPI adjustments. This combination—unlimited revision versus a fixed cap—keeps the negotiation stalemated after months of talks.
Protests have escalated, with plans for a December 1 strike involving 24-hour stoppages across the industry if an agreement is not reached. Demonstrations earlier this week took the protest to the headquarters of the Valencian Footwear Entrepreneurs Association in Elche Business Park.
There, nearly a hundred workers, organized by CCOO and UGT, carried banners demanding a fair deal and warning that salaries must keep pace with the cost of living. They demanded a wage increase aligned with inflation and held signs reading, for a fair shoe industry contract and stable jobs, and urged a firm stand against perceived employer excesses.
Salary review clause blocks agreement of 16,500 shoe workers in Alicante
A union delegation pressed Avecal’s leadership to revisit demands, though the employer insists on stopping the CPI revision while negotiations continue. The shoe sector affects about 54,000 people across Spain, with around 17,000 workers in the Alicante province, primarily in the Vinalopó and Vega Baja regions.
Representatives advocate for a 4% wage increase this year, 3% in 2023, 2.5% in 2024, and 2% in 2025, plus a real CPI adjustment. They also seek a shorter working day and broader protections to reduce the incidence of accidents at work, citing 1,788 hours as a threshold. They propose reforming fixed and permanent contracts to reduce unnecessary flexibility in labor arrangements.
The employer counters with a 4% raise starting July 1, 2022, a figure that would exceed the 3.5% salary increase granted to civil servants in 2023. They propose 3% for 2024, 2.5% for 2024 and 2% for 2025, with revision based on the realized CPI and a cap of 2% for the period.
In summary, the proposals translate to an 11.5% wage increase, potentially rising to 13.5% if the cap is surpassed. Marian Cano, head of Avecal, calls the employer’s offer more reasonable than the government’s stance in some quarters.
After discussions, CCOO and UGT representatives met Avecal again. The talks then faced a broader cross-section of shoemaking towns in the province and even regions beyond, with some workers opposing the proposed purchasing power reductions that the employer’s offer would entail.
Besides Elche, protests spread to other footwear hubs like Arnedo in La Rioja and Fuensalida in Toledo. Workers argue that living costs rise while wages lag behind, a sentiment echoed by Carmen Palomar, CCOO Secretary General for the Vinalopó-Vega Baja area.
The unions insist the wage rise must be linked to inflation, and they reference a revision clause that would permit the increase to be aligned with CPI. Ismael Senent, UGT Secretary General for the region, stresses that workers should not be left in a precarious position amid a fragile industry climate.
No generational change
The industry has an average worker age above 55, and unions point to stagnant generational turnover as a sign of poor conditions and relatively low wages. They argue this dampens the appeal of the industry to younger workers. If a fair deal is not reached, the sector risks a prolonged decline in attractiveness, warns Palomar, echoed by Senent.
Avecal contends that negotiations must reflect the sector’s realities, stressing pandemic-related setbacks and ongoing economic uncertainty. They argue that rising living costs affect household incomes and that the sector must adapt to protect manufacturing activity and jobs. The sentiment: people will cut back on fashion consumption if wages fail to keep pace.
In the face of these tensions, there is a shared hope that a constructive compromise can emerge. The industry remains focused on balancing competitive pressures with fair remuneration, as stakeholders weigh the impact of costs, industry health, and long-term employment prospects.
Job reform pushes the state’s shoes toward 15,000 permanent workers
Despite tensions, the shoes sector is performing well externally, exporting roughly 900 million goods. Still, labor reform adds pressure as the province contemplates moving more workers into permanent status. Industry leaders warn they may resort to a collective layoff mechanism (ERE) if necessary, calling for flexibility to be preserved in the face of economic strain. They argue that rigid policies hinder the sector’s ability to respond to demand.
Carmen Palomar notes a contrasting view: some workers have been out of work for 60 days and are deemed permanent with extended leave. She cautions against treating workers as interchangeable units and argues for a more stable, predictable labor framework.
With dialogue channels strained, the salary review clause remains the sticking point. If positions do not converge, the footwear industry across Spain could embark on a 24-hour work stoppage beginning December 1 as a show of strength and to press for a swift resolution.
In the face of this, leaders in the industry stress the need to reconcile terms that sustain the sector while protecting workers’ earnings, recognizing the sector’s vulnerabilities and the broader economic environment that shapes bargaining power.