Chile: agreement between H&M management and employees that lowers working hours down to 40 per week

On 24 January, after several weeks of low-key talks, H&M Chile group (Hennes & Mauritz AB) announced the conclusion of an agreement with the H&M Chile Workers Union that includes a reduction in working hours from 45 down to 40 per week, without any reduction in salary. Information over the measure, which will come into effect on 01 April 2020, was released by several of Chile’s media, while draft legislation, which the Chambers of Deputies approved in November 2019, and which is currently under debate in the Senate (see article 11624), proposes lowering weekly working time to 40 hours for all of Chile’s workers.The agreement also intends for several improvements in working conditions that will be gradually put in place from February 2020.
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In a statement released by H&M Chile management, employees working 40 hours per week will thus be entitled to a salary of CLP 700,000 (€800), while part-time employees (working 30 hours per week) will be paid CLP 500,000 (€577) per month). Since 01 March 2019 Chile’s minimum monthly salary has been CLP 300,000 (€346).

Longer parental leave. In addition, the agreement signed between H&M management and the clothing company’s employee trade union intends for several measures geared to improving...

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