Textile & Leather Industries to raise wages

BharatTextile.com, 3 September 2004

Union of the Textile and Leather-processing industries and Employers have reached an agreement on a SIT 5,000 (EUR 20.85) wage increase. Both sides could go on to agree on additional wage increases for individual companies depending on last year's business results. The agreement was found satisfactory to both parties.

Whereas the general increase will stand at SIT 5,000, wages will rise by SIT 5,500 (EUR 22.94) in those companies whose added value per employee grew last year and which did not end finish the year with a loss.

Around 10,000 workers of the 25,000 employed in the sector are expected to get the higher, SIT 5,500 raise as many big companies operated successfully last year, Anton Rozman, the secretary general of the trade union said on Wednesday.

Rozman actually expects the most successful companies of the industry to give out higher raises than the agreed sum.

The trade unions had at first proposed an increase of SIT 8,000 (EUR 33.36), which they later reduced to SIT 6,500 (EUR 27.11). The employers insisted on SIT 5,000.

The negotiations were renewed after the trade union threatened to stage a strike on 31 August and 7 September.

Such a work stoppage would cause significant damage in a branch whose situation, judging by its half-year business results, is still not promising, said Joze Smole of the Chamber of Commerce and Industry (CCIS).