Austria: 2.3% wage increase and introduction of minimum wage in trade

After six weeks intensely bargaining, the social partners in Austrian trade, 450,000 employees, finally reached an agreement on Monday, November 29th, on a 2-2.3% wage increase depending on the wage level. Unions also managed to impose sectoral minimum wage, EUR 1,300. However, they failed to reach an agreement for the payment of overtime, the lasting bone of contention between Austrian employers and unions. A working committee should work on the issue early in 2011. (Ref. 100849)
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It’s probably the prospect of good sales with Christmas that convinced employers to defuse the strike threats unions launched two weeks ago, after the 5th round of collective bargaining failed for the 450,000 trade employees. The agreement reached on Monday provides for an increase, by stages, depending on the wage level, starting on January 1, 2010 and for a year. Employees making less than €1,500 gross a month will get a 2.3% increase (60% of employees in the sector). Between €1,500 and €1,

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