Austria: 3.5 percent wage increase in banking

On April 1, the wages of the 80,000 banking employees went up by 3.5 percent in average.  This is the result of the wage agreement signed between the GPA-djp union (private sector employees) and the Federation of Austrian Banks, represented by the leader of the Federation of Savings Banks, Michael Ikrath.  This agreement was painful as six meetings and several warning strikes were needed for it to see the light of day.  In more detail, the basic increase is 3.1 percent.  There is also a fixed €9.5 increase regardless of the level in the pay scale.  For medium wages, the total amounts to a 3.5 percent increase – 3.7 percent for apprentices and the lowest wages.  However, for the highest salaries, the increase on the payroll may not exceed €150 a month, in keeping with employers’ demands.  The GPA-djp declared itself satisfied with an agreement clearly above the inflation rate (3.3 percent in 2011) for the lowest wages.  This agreement was signed for one ear.  In 2011 and 2010, the banking industry negotiated increase of 2.3 and 0.75 percent respectively (+ a fixed monthly €15).  Besides, for the summer 2012, the new agreement provides for the opening of talks between employers and employee representatives in order to draw up a “Charter of Responsibility in the Sale of Financial Products.”