After a late night of fruitless negotiations between VR and SA, the Federation of Icelandic Employers, an end to bargaining may be in sight.
The Assistant State Mediator confirmed that negotiations will resume at 13:00 today, when a final contract will be signed.
The details of the final contract are not yet public, but an increased living wage in the face of inflation and rising interest rates has been talked about for some time now.
The current negotiations between VR and SA have been ongoing since November 14, but the last 24 hours have been under a media embargo, given the potentially sensitive nature of the details.
Efling Trade Union has also had a long and contentious negotiation process.
Other unions have also agreed to shorter-term contracts as a compromise in a difficult negotiating climate.
A press conference will be held later today a 14:30 in which Prime Minister Katrín Jakobsdóttir, Minister of Finance Bjarni Benediktsson, and Minister of Infrastructure Sigurður Ingi Jóhannsson will give their statements on the importance of the agreement for the labour market.
While the content of the agreement is not yet known, in addition to basic wage increases, sources suspect increased measures in child and housing benefits.