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Salary increase averts hotel staff strikes in Norway

There will not be any strikes from hotel staff in Norway, after an agreement was reached on Sunday to increase salaries and improve conditions for employees in hotels, restaurants and catering.

A bar worker
Illustration photo of a bar worker. Photo: Tangerine Chan, Unsplash

After hours of negotiation, an agreement was made between the United Federation of Trade Unions (Fellesforbundet) and the Norwegian Hospitality Association (NHO Reiseliv) on salaries and conditions for employees in hotels, restaurants and catering. 

A total of 1,250 hotel, restaurant and catering employees would have gone on strike from Sunday if the parties had not reached an agreement. 

The minimum wage in the industry was 175.47 kr per hour if you are over 20 years old, according to the Norwegian Labor Inspection Authority. (arbeidstilsynet). This has now increased to an extra 4.47 kr to 9.51 kr per hour, depending on how long you have worked in the industry and whether you work shifts.

For employees who have from 4 years experience and work 35.5 hours a week, this means a wage supplement of 9.51kr per hour, Fellesforbundet writes.

“Real wage growth for our members was absolutely crucial. Food, electricity and interest are becoming more expensive, and wages must keep pace,” chief negotiator Clas Delp said.

Changes have also been agreed on gender equality, workwear, staff training, and working conditions.

“Both hotels and restaurants must be serious and good workplaces, where people stay. We are now raising the level in the industry for everyone, as well as securing greater incentives for those who have worked longer”,  Delp said.

“People should be rewarded for staying in the job. It is the experienced in the industry who ensure competence and training for the many thousands recruited in the years to come,” Delp added.

Magne Kristensen, chief negotiator and director of working life policy at NHO Reiseliv, called it a “very demanding mediation”.

“It was an expensive settlement. Employers have gone to great lengths to find a solution and avoid strikes. We are nevertheless satisfied with avoiding conflict, as many tourism companies are still in a difficult financial situation after two years of pandemic”, he said.

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WORKING IN NORWAY

Why do Norwegians take such long summer holidays?

Summer in Norway sees offices nationwide come to a standstill as workers head out on three-week-long holidays. Have you ever wondered how summer holidays of at least three weeks became so popular?

Why do Norwegians take such long summer holidays?

Offices, cafes, shops, salons, and plenty of other business close for a few weeks in July, with other things such as public services becoming much harder to reach until the end of the month or beginning of August.

This is referred to as “fellesferie” or the “joint” or “collective” holiday when translated into English. Given how many take the holidays, large parts of Norway can feel surprisingly empty during the summer.

Syden is the affectionate Norwegian term to describe the Mediterranean destinations that are typically popular, although many will also choose to holiday in Sweden, Denmark, or a cabin in rural parts of Norway.

READ ALSO: How to enjoy summer in Norway like a Norwegian

When did Norwegians start taking such long holidays?

The practice dates back to the interwar years in Norway when employers and employee organisations agreed on a three-week collective holiday period.

This ended up being a win/win situation for both parties. For the companies, it was more practical and profitable to let all the workers take holidays at the same time and close their operations down completely.

The workers were allowed to enjoy time off when Norway typically expects (but doesn’t always get) its best weather.

The scheme made its way into other industries through collective bargaining agreements. Collective bargaining agreements have played a massive role in developing workers’ rights in Norway and continue to play an important role today.

Three-week-long holidays written into law

Workers’ rights in Norway are best described as a result of tripartite cooperation where employers, employee organisations and the government work together on matters regarding employment in the country. This is also referred to as the ‘Norwegian Model’.

This model has led to high levels of union membership in the country. Furthermore, the model has filled in gaps where there aren’t laws. For example, there is no universal minimum wage in Norway, the law only covers minimum wages in a handful of sectors.

Instead, unions strike collective bargaining agreements that cover minimum wages, working hours and conditions, and salary increases on behalf of members. Some non-members can also benefit from these to ensure that non-members don’t undercut workers in unions.

Sometimes, collective bargaining agreements covering working rights can lead to legislation later down the light. The right to annual leave in Norway began to develop around 1900, through union deals, but later through law.

Norway has its own Holiday Act these days. Under the law, workers in Norway have the right to at least 25 days of holiday per year. Some workers are entitled to more through their collective bargaining agreement.

Much like the initial right to holiday, the law was updated to allow more workers to enjoy a summer holiday. The Holiday Act means employees can demand up to three consecutive weeks off between the start of June and the end of September.

This means that even companies that do not shut up shop for the summer holidays will see large parts of the workforce disappear.

The other ten days of the year can be taken whenever you wish and can be used up in blocks or used individually.

Employers also have rights during fellesferie and can require employees to take a holiday during this period if the business reduces or closes operations during the “main holiday period.”

Workers can only refuse to take a holiday during this period if the holiday pay they have earned so far will not cover the loss of income during the holiday.

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