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New Deadline for Incomes Policy is Friday, 17th November

Negotiations difficult

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The incomes policy negotiations came to a halt on Monday, 13th November, following an extremely long and tough session which had lasted for more than 24 hours. This latest attempt to find an incomes policy solution was abandoned when AKAVA, the Confederation of Unions for Academic Professionals, insisted that their demand for a special pay award, for a group of highly qualified but low-income professionals, was met. The negotiations were not, however, driven into an impasse. Each of the trade union central organisations agreed to continue their efforts to find a route to a centralised incomes policy. The SAK Executive Council will again convene on the afternoon of Friday, 17th November. This is now the new deadline.

The demand for an additional pay award of 0.2% for highly qualified, but low paid professionals, which was insisted upon by AKAVA, has caused difficulties during the incomes policy bargaining process. AKAVA is demanding that this pay award is granted to those groups of professionals who earn less than the average Finnish salary, such as social workers, nursery teachers and librarians. However, the low paid municipal workers who are members of SAK affiliated trade unions would not benefit from this pay award, and SAK cannot accept this differentiation.

SAK has from the very beginning negotiated for an additional low-income pay award which every worker in the low income bracket would receive without reference to professional qualifications. This is aimed particularly with women in mind. Lauri Ihalainen, the President of SAK, affirmed on Monday evening that SAK has consistently maintained its approach of fairness in the pay bargaining process and has demonstrated solidarity with all low earners. In contrast, AKAVA has supported pay rises which are based on percentage terms and which would therefore favour those on higher incomes.

Agreement not far off

According to rumours which are currently circulating, on the incomes policy bargaining process, the negotiators have arrived at a consensus on a number of issues. It is anticipated that the agreement is likely to be index-linked. At the insistence of SAK, the unemployed are about to receive a small increase in their benefit. It also appears probable that the Saturday which follows Ascension Day will no longer be regarded as a full working day and that a solution, which will satisfy the trade unions, will be found.

However, until all the factors which are the subject of negotiation have been agreed, there is no agreement per se. Lauri Ihalainen was thus unable to present a negotiated agreement to the SAK Executive Council late on Monday. He is optimistic however, and is hoping that a solution for this centralised incomes policy will be found during the current week, and that each trade union will support it.

Leena Seretin

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