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A new collective agreement between VR and SA was signed on May 29, 2015. The duration of the agreement is until the end of 2018. The agreement was adopted by 73.9% of the votes cast in the vote of the deputies held from 10 to 22 June 2015. The main points of the agreement can be found below. Orlof for 2019 (50,000) and a one-time payment at the start of the new contract (26,000) should be paid by 2 May. On 22 January 2016, a new collective agreement was signed between the VR and the Icelandic trade association. The agreement is almost unanimous with the collective agreement signed yesterday between the affiliated organisations of the Confederation of Icelandic Trade Unions and the SA, which provides for the same wage changes. The agreement is based on the purchasing power of wages that increase over the lifespan; interest rates fall significantly and remain low; and the government keeps its promises. These conditions will be assessed in September 2020 and September 2021. The evaluation committee will consist of 3 union representatives and 3 employer representatives. The contract may be revoked if it fails. The minimum wage guarantee remains in the contract.

It guarantees a monthly minimum wage for full-time work, including bonuses, bonuses and additional payments. This minimum wage for full-time work will be: the timing of this signed agreement is decisive. According to the reports, the unions had postponed the strike action planned for 27 March, which is “attributed to a new basis for discussion that has just been presented on behalf of the employers` organisation”. The next day, WOW Air ceased operations and declared bankruptcy. If wage increases in the general labour market are higher in percentage than wage increases in this collective agreement, the wage adjustment guarantee increases those wages to compensate for the difference. The vast majority of VR members work in accordance with the VR and SA agreement. With this new collective agreement and new airlines catching up, it is mainly the management and tourism workers who breathe today. The new collective agreement is in effect on April 1, 2019. The monthly salary of all workers increases by 17,000kr. For full-time work and the minimum wage for full employment is now 317,000kr/month. You can see the new value chart here.

One of the most radical changes is indexed credit, a controversial banking policy, where the interest rate on a given loan can vary, among other things, on the basis of real estate values and the exchange rate of the krona. Under the new agreement, indexed pension credits over 25 years will be prohibited from 2020, with a few exceptions, and indexed consumer credits will extend their minimum term from five years to ten years. The agreement is indeed broad and goes beyond simple wage increases; it also includes amendments that are managed by the government and the Central Bank and apply from April 1 of this year to November 1, 2022. This is what it means: the agreement also involves a change in the central bank`s policy. In particular, short-term interest rates will be lowered. The central bank has been looking at the economic impact of WOW Air`s bankruptcy, but they believe it will help reduce real estate values and see considerable room to cut interest rates. This trend is likely to continue as other airlines take over the market that WOW Air previously occupied. The agreement will enter into force from January 1, 2016 until December 1, 2018. It contains significant additions to the increases that were negotiated last year. The agreement is based on a framework agreement between labour market companies of 27 October 2015 and the Pension Rights Protocol of 5 May 2011 and aims to ensure equal wage developments on the basis of a common wage policy and pension rights compensation.