Representatives of the workers of the Kragujevac-based company Fiat Chrysler Automobiles (FCA) Serbia signed an agreement on the new three-year collective contract on July 25, 2017. The contract entails salary raises in line with the official inflation rate, but also refraining from any strikes in that period.
The agreement was signed by the head of the Independent Union of FCA, Zoran Markovic, and the director general of FCA, Silvia Vernetti, and the signing was attended by Prime Minister Ana Brnabic and the ministers of economy and labor, Goran Knezevic and Zoran Djordjevic.
As the Government of Serbia reported on Monday, July 24, 2017, the agreement envisages that, each year in February, employee salaries should be brought in line with the projected inflation published by the National Bank of Serbia. In 2017, the raises will amount to 2.2% beginning with August, whereas, in 2018, salaries will be raised by 4.5%.
The agreement also envisages the payment of a half of the New Year's bonus in August, and then another half, as well as compensations for public transport costs, in December 2017.
The Commission for Technical Measurements will be established, consisting of members of the unions and the management of FCA Serbia, as well as technical experts from the seat of the company. The commission will begin its activities in September 2017.
The agreement between the management of Fiat's factory in Kragujevac and the unions secures the continued production of Fiat 500L in Serbia, as well as further dialogue between Fiat and the unions.
It was agreed for the nighttime commuting compensation to be doubled in cases when employees need to arrive to work earlier or stay at work after the regular public transport schedule ends.
The workers of FCA Serbia started striking on June 27, demanding salary raises, bonus payments, job position optimization and transport cost compensations.
The strike was stopped on July 18, following the meeting of the strikers' board with Prime Minister Ana Brnabic in Kragujevac, and the negotiations with the management started a day later with the mediation of the Government of Serbia, which has an ownership share of 33% in the factory.
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