Shaky Restart to Icelandic Wage Negotiations Skip to content

Shaky Restart to Icelandic Wage Negotiations

By Yelena

State Mediator Ástráður Haraldsson
Photo: Golli. State Mediator Ástráður Haraldsson.

The first meeting in nearly two weeks between Icelandic unions and Confederation of Icelandic Enterprise (SA) was cut short yesterday, RÚV reports. The meeting began at 9:00 AM and was the first meeting since unions suspended negotiations nearly two weeks ago, calling them fruitless. The parties are meeting again today.

SA is demanding a four-year collective agreement be signed. Unions say they have agreed to the demand but ask for a clause in return that would give them a way out of the agreement if inflation and interest rate targets are not met. SA would not agree to such a clause, which was the reason negotiations were suspended.

The parties have reportedly already reached an agreement regarding salaries.

It is less than a year since the last collective agreement negotiations between SA and Efling Union were concluded after a tense and drawn-out negotiation period that involved strike actions. Unions have called on businesses and the government to take more concrete action to fight the high inflation and high interest rates that are impacting Icelandic households.

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