I-Agreement. April 1, March 31, 2020

Transcription

1 I-Agreement April 1, March 31, 2020

2 In the event of disputes arising regarding the content of this agreement, the Swedish-language version shall apply.

3 Other current collective agreements and other agreements between the parties Negotiating agreements, etc. Main agreement between SAF and LO (negotiating procedures, etc.) Rules on how and when negotiations are to take place and the limitation periods that apply to disputes. Also contains rules pertaining to industrial disputes, strike, lockout, etc. Development agreement, including equality of opportunity, between SAF and LO/PTK Rules on forms of co-determination, the right to appoint an employee consultant, the opportunity for five hours of leave for trade union information on paid time. Also contains rules pertaining to the time limit of seven days for requesting central negotiations under the Employment (Co-determination in the Workplace) Act (MBL) (A table summarising the applicable negotiating procedures is provided at the end of this document). Industry Agreement the industry cooperation agreement and negotiating agreement Rules on negotiations in regard to collective agreements. Emergency planning agreement, between SAF and LO/PTK (in the event of war) Agreement that amends certain agreement terms in the event of war. Linked to the amended legislation that also then applies. Applies only in the event that Sweden finds itself at war. 1

4 Other current collective agreements and other agreements between the parties Collective agreement insurance policies Labour market no-fault liability insurance (TFA), between SAF and LO/PTK An assumption of agreement on collective agreement insurance in the event of work injury. See for more information about this insurance. Agreement on severance benefit, AGB, between SAF and LO An assumption of collective agreement insurance, severance benefit. See for more information about this insurance. Agreement on collectively agreed group sickness insurance, AGS, between SAF and LO An assumption of collective agreement insurance on compensation in the event of employee illness. See for more information about this insurance. Agreement on occupational group life assurance, TGL, between SAF and LO An assumption of collective agreement insurance, Life assurance. See for more information about this insurance. Agreement on Collective agreement pension, between SAF and LO An assumption of collective agreement insurance with occupational pension for employees, see for more information about this insurance. Agreement on Readjustment insurance An assumption of collective agreement insurance, severance benefit AGB, see for more information about this insurance. Agreement on supplemented parental pay, between Confederation of Swedish Enterprise and LO An assumption of collective agreement insurance for additional compensation for parental leave, see for more information about this insurance. TSL Employment Transition Fund between, SAF and LO Rules with benefits and assistance for those who become unemployed. See for more information about this insurance. 2

5 Other current collective agreements and other agreements between the parties Other agreements Agreement on professional training, SAF s General Group Swedish Factory Workers Association Agreement on guidelines for company-based training and internal company adult education as well as how the parties should work together on professional training issues. Agreement on Guidelines for Truck Drivers knowledge and skills, between The Swedish Industrial and Chemical Employers Association and IF Metall Guidelines and targets for the knowledge and skills of truck drivers, including the selection of training providers and guidelines for these. European framework agreement of 16 July 2002, between Confederation of Swedish Enterprise and LO, TCO, SACO et al Adoption of guidelines for distance workers. European framework agreement of 8 October 2004, between Confederation of Swedish Enterprise and LO, TCO and SACO Adoption of guidelines to identify and prevent work-related stress. Certain specific undertakings for employees who are exposed to asbestos and compensation rules associated thereto, between SAF and LO/PTK Undertakings for those exposed to asbestos and affected by resulting illness. As strict rules now apply to the handling of asbestos, these rules should be very rarely applicable today. The undertakings include recommendations on medical examinations and related compensation for certain costs as well as an agreement on non-economic damages in certain cases. Cooperation agreement between The Swedish Industrial and Chemical Employers Association and IF Metall concerning the collection of union dues Rules on the employer s obligation to assist with the collection of employees union dues for IF Metall. Statistics agreement between the Swedish Industrial and Chemical Employers Association and IF Metall Agreement on the statistical basis to be collated for salary information in general. The information may be used solely as a basis for agreement negotiations. 3

6 Contents Contents I agreement 8 Section 1 Scope of Agreement 8 Section 2 Working hours 8 Section 3 Wages 9 Item 1 Types of wage 9 Item 2 Monthly wage 9 Item 2:1 Application 9 Item 2:2 Daily and hourly wage 11 Item 2:3 Wage for part of wage period 11 Item 2:4 Calculation of wages in connection with leave other than sick leave 11 Section 4 Supplement for unsocial and staggered working hours, etc. 13 Item 1 Supplement for unsocial working hours 13 Item 2 Supplement for staggering of regular working hours 14 Section 5 Overtime work, etc. 15 Item 1 Overtime work 15 Item 2 Paid leave after overtime work 15 Item 3 Overtime compensation 15 Item 4 Attendance compensation 16 Item 5 Double-shift compensation 15 Item 6 Compensation for overtime at weekends 15 Item 7 Leave in lieu 15 Section 6 Stand-by duty 18 Item 1 18 Item 2 18 Section 7 Compensation for travel and subsistence allowance 19 Item 1 Reimbursement of travel expenses 19 Item 2 Travel time 19 Item 3 Travel time compensation 20 Item 4 Subsistence allowance and travel allowance 20 Item 5 Trip home for longer periods away 21 Item 6 Illness etc. 21 Item 7 Working abroad 21 Item 8 Illness abroad etc. 20 Section 9 Vacations 20 Item 1 Vacations, etc. 20 Item 2 Temporary employment 21 Item 3 Taking saved vacation days 21 Item 4 Scheduling of vacations in connection with intermittent part-time work 21 Item 5 Reporting sick during vacations 22 Item 6 Vacation pay guarantee 22 Item 7 Calculation of vacation pay 23 4

7 Contents Item 8 Vacation compensation 24 Item 9 Deduction for unpaid vacation 24 Item 10 Changed level of employment 24 Item 11 Disbursement of vacation supplement 25 Item 12 Vacation pay for saved vacation 25 Item 13 Vacation pay, etc. for intermittent part-time work 25 Item 14 Vacation pay, etc. in net calculation of vacation for shift work 25 Section 10 Lay-off pay 28 Item 1 General 28 Item 2 Lay-off pay 29 Item 3 Exceptions 29 Item 4 Lay-off pay in connection with working at home 30 Section 11 Wage supplement in connection with relocation of personnel 30 Section 12 Working at home 30 Section 13 Disbursement of pay 31 Section 14 Paid leave of absence 31 Item 1 Definition of and reasons for paid leave of absence 31 Item 2 Occupational injury and accidents 32 Section 15 Sick pay 33 Item 1 Right to sick pay 33 Item 2 Calculation of sick pay 34 Item 2:1 For employees paid monthly: 35 Item 3 Sickness during vacations 35 Section 16 Rules of conduct 36 Section 17 Starting and ending employment 36 Item 1 Temporary employment 36 Item 2 Sanctions etc., when employees fail to present themselves at work 37 Item 3 Order of priority and preferential right to re-employment 38 Item 4 Collectively agreed, enhanced preferential right 38 Item 5 Hiring in personnel from staffing companies during collectively agreed, enhanced preferential right period 39 Item 6 Re-employment 40 Item 7 Process regarding re-employment 40 Item 8 Collectively agreed part time for retirement purposes 41 Item 8:1 Part time for retirement purposes (semi-retirement) 41 Item 8:2 Application and notice 41 Item 8:3 Negotiation and disputes 42 Item 9 Statement of employment etc. 42 Section 18 Supervision and allocation of work, etc. 43 Section 19 Difference of opinion 43 Item 1 Negotiating procedures 43 Item 2 Industrial action 44 Section 20 Term of agreement 44 35

8 Contents 46 Appendix 1 45 List of industrial sectors 45 Appendix 2 46 Working Hours agreement 46 Section 1 Scope of Agreement 46 Section 2 Duration of regular working hours 47 Item 1 Annual Working Time 47 Item 2 Weekly Working Time 48 Item 3 National Day 48 Section 3 Scheduling of regular working hours 49 Section 4 Breaks, mealtime breaks, pauses 50 Section 5 Night rest and night work 51 Item 1 Night rest 51 Item 2 Regular working time for night workers 51 Item 3 Night work that involves special hazards 52 Section 6 Daily rest 52 Section 7 Weekly rest 52 Section 8 Exemptions 53 Section 9 On-call duty 55 Section 10 Overtime 55 Item 1 Definition etc. 55 Item 2 Working of overtime 55 Item 3 Emergency overtime 56 Section 11 Extra hours in connection with part-time employment 56 Section 12 Logging of on-call hours, overtime and extra hours 56 Section 13 Working Hours Board for the I agreement 57 Section 14 Negotiating procedures 57 Section 15 Damages 57 Section 16 Term of agreement 58 Appendix 3 59 Special rules for hourly paid employees 59 Section 1 Wages 59 Item 1:1 Minimum hourly wage 59 Item 1:2 Augmented hourly wage 60 Section 2 Shift-type supplement 60 Section 3 Overtime 61 Section 4 Travel time compensation 61 Section 5 Public holiday pay 62 Item 1 Right to public holiday pay 62 Item 2 Days with public holiday pay 62 Item 3 Amount of public holiday pay 63 Item 4 Disbursement of public holiday pay 63 Section 6 Vacations 64 Section 7 Sick pay 64

9 Contents Appendix 4 65 Rules concerning wage supplements in the event of transfer 65 Definition 65 Entitlement to transfer supplement (OPT) 65 Disbursement of transfer supplement 66 Appendix 5 67 Recommendation concerning wage supplements in connection with placement 67 Definition 67 Entitlement to placement supplement (OFT) 67 Disbursement of transfer supplement 68 Appendix 6 69 Agreement concerning part-time work 69 Appendix 7 70 Rules of conduct 70 Appendix 8 71 Agreement on employment integration 71 Section 1 Purpose of the agreement 71 Section 2 Scope 71 Section 3 Employment integration posts 71 Section 4 Wages 72 Section 5 Miscellaneous 73 Section 6 Validity period 73 Appendix 9 74 Rules on working at home 74 Item 1 Health and safety information 74 Item 2 Piece rates 74 Item 3 Determination of new piece rates 74 Item 4 Information 74 Item 5 Additional hours 74 Appendix Working hours rules applicable to the Leather and Sporting Goods industry 75 Offprint 76 Agreement on Industrial Development and Wage Formation between IKEM the Swedish Industrial and Chemical Employers Association and the Swedish Industrial and Metal Workers Union (IF Metall) for the I agreement. 76 Working hours reduction Agreement on Guidelines for Work Environment Issues 83 Extract from the main minutes of the negotiations regarding an agreement for

10 Scope I agreement Collective agreement between IKEM the Swedish Industrial and Chemical Employers Association and the Swedish Industrial and Metal Workers Union IF Metall, which applies to companies affiliated to IKEM, with the exception of those for which other collective agreements have been drawn up between the parties. Section 1 Scope of Agreement This agreement applies to companies that are affiliated to IKEM The Swedish Industrial and Chemical Employers Association, bound by the I agreement. If additional companies affiliate and have employees within the Industrial and Metal Workers Union s area and are engaged in a business which is comparable with that of other companies bound by this agreement, this agreement shall come into effect as soon as their current agreement expires. The agreement may also form the basis in regard to discussions concerning the construction of similar regulations for all employees within the company. The local parties are expected to use this agreement s opportunities to reach local agreements that are adapted to the company and the employees conditions and requirements. 1. The fact that the agreement will automatically apply to newly affiliating employers does not exclude the possibility of negotiations on specific questions being conducted at the request of either party. This may for example take place in the case of newly affiliating companies that have a specific production range. 2. For a list of some of the industries that are covered by this agreement, see Appendix 1. Section 2 Working hours Working hours rules are laid down in a separate working hours agreement, see Appendix 2. 8

11 Wages Section 3 Wages Item 1 Types of wage The type of wage may be a fixed wage (hourly wage or monthly wage) and/ or a variable wage (piece rate). The rules governing hourly paid employees are reported in Appendix 3. The monthly wage can be applied to all or certain groups of employee at the company, subject to local agreement. Local agreements can be reached on piecework. Item 2 Monthly wage Item 2:1 Application Monthly wage means a given wage that is paid per calendar month, regardless of how many public holidays and contractual non-working days there are in the month. The minimum monthly wage in the case of full working hours is as follows: The employee s minimum monthly wage in SEK from 1/ / / years of age and above 21,333 21,868 22,497 New employees 3 months 18,133 18,588 19,122 Juveniles 14,293 14,651 15,072 Employees who have one or two years of employment with the company and who have gained increased competence by means of experience and skills shall, after completion of the wage review receive a monthly wage that exceeds the stated minimum monthly wage by the following amounts in SEK: 1/ / / After 1 year s employment After 2 years employment

12 Wages 1. Increases to the minimum monthly wage stipulated in the agreement shall not affect local wage systems based on the minimum monthly wage in any other way except that the wage paid, after completion of the wage review, shall amount to the minimum wage stipulated in the agreement. 2. A local agreement can be reached for a new employee on an additional period of up to nine months on the above-stated minimum monthly wage. 3. The parties are agreed that the minimum monthly wage in the agreement does not apply to trainees. In the event of local disputes concerning wage rates for such persons, it is incumbent on the central parties to reach an agreement. Trainees means persons who, as part of a certain type of training, carry out practical work at the company. The company shall have planned this specifically for the purpose of education/training. 4. Regarding monthly earnings, the method of calculation for average earnings is applied as follows. Average earnings means both the fixed and variable wage that was earned on average during the previous three months. A local agreement can be reached on a different period or a different method of calculation. If the company has a payment by results system involving disbursement after longer periods of time, the result shall be periodised. 5. In view of the expressed wish of the employees side for more widespread use of the monthly wage system, the parties agree that this type of wage can be applied more widely. The transition to monthly wages should be possible at companies where other types of wage do not appear to be more suitable, taking into account the nature of production or other particular circumstances in the company. The Swedish Industrial and Chemical Employers Association and the Industrial and Metal Workers Union shall help to ensure that monthly wages are introduced in such a way as to promote productivity and that the monthly wages are well judged taking into account the degree of difficulty of the work and the qualifications and performance of the employees. 10

13 Wages 6. Public holiday pay is not calculated on the variable wage component. In connection with the introduction of a variable wage component, the total wage shall be adjusted so as to provide compensation for any loss of public holiday pay on the variable component. 7. The local parties can also reach agreement on employment integration posts in accordance with the regulations in the agreement on employment integration, Appendix 8. Item 2:2 Daily and hourly wage Daily wage Monthly wage x Hourly wage Monthly wage 175 For working hours other than 40 hours per week on average per calendar year, the figure 175 shall be adjusted to this number of hours. In the calculation of daily and hourly wages, variable payment by results components, if any, are not included. Item 2:3 Wage for part of wage period If employment begins or ends during the course of a calendar month, a wage per hour worked is also paid in addition to a variable payment by results wage component. Item 2:4 Calculation of wages in connection with leave other than sick leave 1. Absence for part of a day The hourly wage is deducted for each hour of absence. 2. Absence for up to five working days The hourly wage is deducted for each hour of absence. In the event of absence without valid reason in connection with public holidays and contractual non-working days, the daily wage is deducted also for public holidays and contractual non-working days. 3. Absence for more than five working days The daily wage is deducted for each calendar day that the employee is absent. Non-working days that begin a period of absence, and Sundays and public holidays that end a period of absence, are not deemed to be days of absence. 11

14 Wages 4. Absence for a full calendar month The full monthly wage is deducted, regardless of whether the absence began or ended on a non-working day. 5. Absence for temporary care of children In the event of leave with temporary parental benefit, regardless of the duration of the period of absence, the following deduction is made for each hour of absence: monthly wage x x weekly working hours In the event of absence for a full calendar month, the employee s full monthly wage is deducted

15 Unsocial and staggered working hours Section 4 Supplement for unsocial and staggered working hours, etc. Item 1 Supplement for unsocial working hours A supplement (unsocial working hours supplement) is paid for work that is scheduled at the following times, at the following rates in SEK per hour: Evenings and nights from 1/ / / From 6.00 p.m. until 6.00 a.m. except when a higher amount is stated below Sundays and public holidays from 1/ / / From 6.00 a.m. on Saturday and from 6.00 p.m. on the day before a public holiday to 6.00 a.m. on the day after the Sunday or public holiday, except where a higher amount is stated below Major public holidays from 1/ / / From 6.00 a.m. on New Year s Eve to 6.00 a.m. on 2 January From 6.00 p.m. on Maundy Thursday to 6.00 a.m. on Easter Tuesday From 6.00 a.m. on 1 May to 6.00 a.m. on 2 May From 6.00 a.m. on National Day to 6.00 a.m. on the day after National Day From 6.00 a.m. on Whitsun Eve to 6.00 a.m. on Whit Monday From 6.00 a.m. on Midsummer s Eve to 6.00 a.m. on the day after Midsummer s Day From 6.00 a.m. on Christmas Eve to 6.00 a.m. on the day after Boxing Day 13

16 Unsocial and staggered working hours Local agreement may be reached for monthly paid employees to receive an unsocial hours supplement instead as follows: Evenings and nights Sundays and public holidays Major public holidays monthly wage 480 monthly wage 300 monthly wage 150 The supplement for Sunday and day before public holiday from 6.00 p.m. is not paid the day before National Day. Item 2 Supplement for staggering of regular working hours When regular working hours are staggered and when the employee is instructed to change from one regular working hours schedule to another, the following amounts in SEK are paid as a supplement per hour for the working hours that are scheduled outside the working hours previously worked by the employee. This could, for example, apply to a change from daytime working to shift work or from the morning to the afternoon shift, in connection with deviations from the shift schedule. The supplement is paid for a maximum of three consecutive working days after the change. Supplement for staggering of regular working hours from 1/ / / Supplement in SEK The supplement is not paid for times when the worker is entitled to overtime compensation. On the other hand, the supplement is paid in conjunction with an unsocial hours supplement, if any. If a further change is made within 14 calendar days, no supplement is paid. 1. Compensation is not paid when working hours are changed as a result of the application of Section 3 of the Working Hours Agreement. 2. Compensation is not paid to employees whose job involves switching between working hours (e.g. shift replacements, employees in backup teams) or where an agreement has been reached to pay compensation of another type. Compensation is not paid together with double-shift compensation. 14

17 Unsocial and Unsocial staggered and working staggered hours working Overtime hours 3. In connection with these changes, the working hours shall be scheduled so that the individual employee, if possible, does not need to lose any working hours. Section 5 Overtime work, etc. Item 1 Overtime work The employer is entitled to require employees to work overtime. Overtime means all working hours that, in terms of number of hours per day, exceed the regular number of working hours. Notice of overtime work shall be given in good time and if possible, before the last meal break. Release from overtime work should not be denied when the employee is prevented from working, has a valid reason and requests release in connection with the request for overtime work. Regarding the calculation of overtime for which a log is to be kept, see Working Hours Agreement, Appendix 2. Item 2 Paid leave after overtime work Employees who perform overtime work between p.m. and 6.00 a.m. and who are to begin work the next morning are entitled to paid leave to rest. The duration of the leave is the same number of hours as the employee worked between the above stated times of day. Item 3 Overtime compensation In the event of overtime work, compensation is paid to monthly paid employees as follows: regular hourly wage (monthly wage divided by 175), and any variable wage component, where applicable, unsocial hours supplement and the following overtime supplement: monthly wage/420 15

18 Overtime Monthly wage means the fixed cash monthly wage including fixed supplements. In the calculation of overtime worked by monthly paid employees, only complete half-hours are included. With regard to overtime compensation in connection with the employee s change from one working-hours schedule to another (e.g. from day to shift work) the parties agree to apply the moving 24-hour period rule. This rule has the following implications: the calculation is made within a period of 24 hours, calculated from the time of day when the employee last started to work before changing to the new schedule. If within this period the employee worked more hours than applied as regular daytime working hours before the change, overtime compensation is paid for the excess hours. If some of the time will already be compensated for as overtime for some other reason, this is deducted in the calculation. Item 4 Attendance compensation An employee who is instructed to attend work on more occasions per 24-hour period than his/her regular working hours involve shall receive, for each extra occasion he/she attended, attendance compensation over and above the ordinary wage and any overtime supplement. The cut-off point for a 24-period is 6.00 a.m. Extra attendance does not include occasions when the employee is instructed to work immediately after the end of regular working hours and in this connection is given time for a short meal break or is allowed to return later at his/ her own request to carry out the work in question. Compensation for each attendance is paid in the following amounts (SEK): 1/ / / Weekdays Sundays or public holidays, contractually agreed non-working days and Saturdays after 6.00 a.m

19 Overtime Item 5 Double-shift compensation Special compensation known as double-shift compensation is paid to employees who have worked a further full shift immediately after completing a full shift (double shift). Compensation is paid in the following amounts (SEK): 1/ / / Double-shift compensation Item 6 Compensation for overtime at weekends In the case of overtime work at weekends, which takes place without any connection with emergency work and which requires the attendance of the employee during a 24-hour period involving both Saturday and Sunday or between 6.00 p.m. on Saturday and 6.00 a.m. on Sunday, a special supplement is paid in the following amounts (SEK): 1/ / / Attendance during both Saturday and Sunday Item 7 Leave in lieu Overtime work can be compensated for either in the form of overtime compensation in accordance with Section 5 item 3 or, if the employee so wishes, in the form of time off, namely, leave in lieu. Leave in lieu is conditional on the employer judging that the circumstances of the business so permit. Leave in lieu is provided at the rate of one hour for each hour of overtime. In addition, overtime supplement is paid in accordance with Section 5 item 3 and, where relevant, an unsocial hours supplement in accordance with Section 4. If leave in lieu amounts to 40 hours, overtime compensation is paid in accordance with Section 5 item 3 for any excess time, except where the local parties or the employer and the employee have agreed otherwise

20 Overtime Stand-by duty Section 6 Stand-by duty Item 1 Stand-by duty means the obligation of employees to be available outside their regular working hours and be ready to present themselves at the workplace within a prescribed time. Stand-by duty shall be allotted so that it does not involve an unreasonable burden on any individual employee. Item 2 Stand-by duty is compensated for per hour in accordance with the following (SEK per hour): Weekdays 1/ / / Monday to Friday, except when a higher amount is stated below Sundays and public holidays from From 7.00 a.m. on Saturday to 7.00 a.m. on Monday and From 7.00 p.m. the day before a public holiday to 7.00 a.m. the day after a public holiday, except where a higher amount is stated below Major public holidays from From 7.00 a.m. on New Year s Eve to 7.00 a.m. on 2 January From 7.00 p.m. on Maundy Thursday to 7.00 a.m. on Easter Tuesday From 7.00 a.m. on 1 May to 7.00 a.m. on 2 May From 7.00 a.m. on Whitsun Eve to 7.00 a.m. on Whit Monday From 7.00 a.m. on National Day to 7.00 a.m. on the day after National Day From 7.00 a.m. on Midsummer s Eve to 7.00 a.m. on the day after Midsummer s Day From 7.00 a.m. on Christmas Eve to 7.00 a.m. on the day after Boxing Day 18

21 Stand-by duty Compensation for travel and subsistence Stand-by allowance duty Compensation for stand-by duty is paid for at least 8 hours per spell of duty. The supplement for Sunday and day before public holiday from 7.00 p.m. is not paid the day before National Day. Section 7 Compensation for travel and subsistence allowance The parties recommend that a local agreement be drawn up so that the company s employees are covered by standardised regulations. Until such local agreements are made, the following applies. Where the employee is instructed to work at a different location in Sweden than where they normally work, the rules of items 1 6 shall apply, unless the local parties agree otherwise. When working outside Sweden, items 7 8 shall apply. Item 1 Reimbursement of travel expenses The employer shall specify the method of transport and pay the travel expenses of the employee as well as any transport costs for luggage and equipment. The employer and employee may agree that the employee can use their own car for work. The conditions applicable to the employee using their own car shall be agreed in advance for a specific period or trip. Item 2 Travel time Travel time providing entitlement to compensation is the time during an approved business trip that it takes to travel to the destination. Travel time during the employee s regular daily working hours is classed as working time. When calculating travel time, therefore, only those business trips which take place outside the employee s regular working hours are included. When calculating travel time, only full half hours are included. Travel time, both before and after regular working hours on any given day, shall be added together. 19

22 Compensation for travel and subsistence allowance If the employer has paid for a berth on a train or a boat during the journey or part of the journey, the hours between 10 p.m. and 6 a.m. shall not be included. The journey shall be considered to have started and ended in accordance with the regulations that apply to the calculation of subsistence allowances or equivalent by the employer. Item 3 Travel time compensation Travel time is compensated for per hour in accordance with the following: Weekdays Monday to Friday, except where a higher amount is stated below monthly wage 240 All other times From 6.00 p.m. on Friday and 6.00 p.m. the day before a non-working eve of public holiday or public holiday to 6.00 a.m. on Monday or 6.00 a.m. on the day after the public holiday monthly wage 190 Monthly wage refers to the current fixed monthly cash wage. When calculating compensation for travel time, the wages of part-time employees shall be increased to the full-time rate. Item 4 Subsistence allowance and travel allowance For business trips involving an overnight stay, a subsistence allowance shall be paid in accordance with the rules of the Swedish tax agency. Employers normally pay accommodation costs. In addition, for business trips involving an overnight stay, a travel allowance shall be paid, which when added to the subsistence allowance means that the total compensation each year amounts to the following in SEK: Total compensation in the event of an overnight stay, including tax-free subsistence allowance Full day on business 300 Half day on business

23 Compensation CORRECTION Compensationfortravelandsubsistenceallowance travel and subsistence allowance During business trips outside a person s place of work which do not involve an overnight stay, special compensation shall be paid per day as indicated below (amounts in SEK): Business trips not involving an overnight stay Full day (more than 10 hours) 150 Partial day (more than 4 but less than 10 hours) 75 If the time away is no more than 4 hours, no compensation shall be paid. If the employee receives free food, the compensation shall be reduced. Item 5 Trip home for longer periods away When the employee is working elsewhere in Sweden, the employer shall pay for a trip home for the employee every other weekend, unless such trip home would disrupt the proper progress of the work. Subsistence and travel allowances are not payable for the time spent away from the remote place of work. Item 6 Illness etc. In the event of illness while working in Sweden away from the usual place of work, a subsistence allowance shall be paid for a maximum of 20 days unless agreed otherwise. After this, compensation shall be paid for the additional costs incurred as a result of incapacity to work occurring outside the usual place of work. If the employee returns home with the agreement of the employer, compensation shall be paid for travel costs along with a subsistence allowance, unless the cost is covered by insurance or otherwise. Item 7 Working abroad Before the employee begins a trip abroad, a separate agreement shall be reached on the terms applicable. When working abroad, the employee shall be afforded the equivalent contractual and statutory insurance and pension benefits as when working in Sweden. 21

24 Compensation for travel and subsistence allowance Compensation Vacations for travel and subsistence allowance Contractual insurance and pension benefits refer to those agreements reached by the Confederation of Swedish Enterprise and LO in the general terms and conditions of contractual insurance for employees working abroad on behalf of the employer. The employer is also advised to take out special medical insurance for employees working abroad. Statutory insurance and pension benefits refer to the laws and regulations under the Swedish Social Insurance Act for employees working abroad on behalf of the employer. Item 8 Illness abroad etc. In the event of illness or accident, the employer shall pay medical expenses incurred and, if necessary, for the repatriation of the employee, unless these are compensated for by other means. In the event of death, the employer shall pay for the repatriation of the deceased employee, unless this is compensated for by other means. Section 8 This section has been deleted. Section 9 Vacations Items 1 6 apply to all employees Items 7 14 apply to monthly paid employees For hourly paid employees, see also Appendix 3 For all employees Item 1 Vacations, etc. The rules of the Annual Leave Act apply, together with the supplements and exceptions stipulated in this agreement. The provisions of the agreement do not prevent the local parties or the employer and the employee from agreeing on deviations, in those cases where the Annual Leave Act so permits

25 Compensationfortravelandsubsistenceallowance Publicholidaypay Vacations It is necessary for industrial companies to fix the main vacation so that no disruptions in production and to the business arise. Item 2 Temporary employment Temporary employment, namely employment for a given season or a certain job that is not intended to or does not continue for longer than three months, does not entitle the employee to any vacation but only to vacation compensation. Item 3 Taking saved vacation days Vacation days that have been saved shall be taken in the order they were saved. Item 4 Scheduling of vacations in connection with intermittent part-time work If an employee works part time and works for fewer than five days on average per week with no public holidays, when scheduling vacations, the number of gross vacation days (= the number of vacation days to be scheduled during the vacation year) is converted into net vacation days (= the number of vacation days that are to be scheduled on days that would otherwise have been working days for the employee). If both paid vacation days (normal vacation and saved vacation) and unpaid vacation days are to be scheduled during the vacation year, they are converted separately. No. of working days/week x no. of gross vacation days 5 = no. of net vacation days If the calculation results in a fraction, the number is rounded up to the nearest whole number. Number of working days/week means the average number of working days per week with no public holidays over four weeks or any other scheduling period in accordance with the employee s working hours schedule. If, according to his/her working hours schedule, the employee works on whole days and parts of days in the same week, the partly worked day is treated as a whole day. When the vacation is scheduled, a whole vacation day is consumed even though the employee would only have worked part of the day

26 Public Vacation holiday pay Example: Employee s part-time work is scheduled on average on the following number of working days per week No. of net vacation days (with 25 gross vacation days) If the employee s working hours are changed so that the number of working days/week also changes, the number of net vacation days not taken is recalculated to correspond to the new working hours. Item 5 Reporting sick during vacations An employee who falls sick while on vacation and requests, in accordance with Section 15 of the Annual Leave Act, that the vacation be taken later, shall immediately send a sick note to the employer. The employer can demand that the sickness be verified by a medical certificate, provided that this has been made clear either in the form of a general rule or in the individual case, no later than when the employee reported sick. If the employer demands a medical certificate from a nominated doctor, the cost of the certificate shall be refunded by the employer. Item 6 Vacation pay guarantee Employees with at least three months of cumulative employment have guaranteed vacation pay per paid vacation day in the following amounts (SEK): 1/ / / years of age and above 1,392 1,420 1,452 Juveniles 1,044 1,065 1,

27 Vacations In the case of part-time work, the guarantee amounts are converted pro rata in relation to the working hours. Such a conversion shall also be made in the event of absence for part of a day not forming the basis of vacation pay. If the employee s vacation pay per day does not amount to the guaranteed amount, an extra supplement is paid corresponding to the difference between the guaranteed amount and the employee s daily vacation pay. The vacation pay guarantee also applies to the calculation of vacation pay for saved vacation days drawn and to holiday compensation. For monthly paid employees Item 7 Calculation of vacation pay Vacation pay consists of the monthly wage that applies during the vacation together with vacation supplement. For weekly paid employees, the monthly pay is arrived at by multiplying the weekly pay by 4.3. Vacation supplement for each paid vacation day consists of: 0.8 per cent of the employee s monthly pay at the time of the vacation. monthly pay means the fixed cash monthly wage and any monthly fixed wage supplements per cent of the sum of the variable wage components disbursed during the earning year. variable wage components means: supplements for unsocial and staggered working hours, compensation for overtime, compensation for standby duty, etc. bonuses, premiums or similar variable wage components. The sum of the variable wage components for each calendar day (whole or part) of leave entitled to vacation pay shall be increased by an average daily income in the form of the variable wage components. The average daily income is calculated by dividing the variable wage components disbursed during the earning year by the number of days of employment (in accordance 23 25

28 Vacations with the definition in Section 7 of the Annual Leave Act) excluding vacation days taken and full calendar days of leave entitled to vacation pay during the earning year. The daily vacation supplement of 0.52 per cent assumes that the employee has earned a fully paid vacation. Otherwise the vacation supplement shall be adjusted upwards by multiplying 0.52 per cent by 25 and dividing it by the number of earned paid days. This is to ensure that the total value of the vacation supplement always corresponds to 13 per cent of the compensation paid for variable wage components. Item 8 Vacation compensation Vacation compensation consists of earned vacation pay that is not disbursed in connection with the vacation leave. This is calculated as 4.6 per cent of the relevant monthly pay per vacation day plus vacation supplement. Vacation compensation for saved vacation days is calculated as if the saved vacation days had been taken in the vacation year when the employment ceased. Item 9 Deduction for unpaid vacation For each unpaid vacation day drawn, 4.6 per cent of the monthly pay is deducted. Item 10 Changed level of employment In the calculation of vacation pay and vacation compensation, account shall be taken of the employee s level of employment during the earning year. This also applies to saved vacation. If during the earning year the employee had a different level of employment than at the time of the vacation, the monthly pay at the time of the vacation, shall be adjusted pro rata in relation to the employee s share of full regular working hours at the work place during the earning year. If the level of employment has changed during a current calendar month, the level of employment that applied during most calendar days shall be used for the calculation

29 Vacations Item 11 Disbursement of vacation supplement The vacation supplement of 0.8 per cent and of 0.52 per cent is disbursed in connection with the normal payday during or immediately after the vacation. Where possible, the local parties may agree that the vacation supplement shall be disbursed before the vacation. If the local parties have agreed on coincident earning and drawing years, the vacation supplement of 0.52 per cent is disbursed no later than at the end of the earning/drawing year. Item 12 Vacation pay for saved vacation When saved vacation is taken, vacation pay is calculated for the saved vacation days in the same way as for that year s normal vacation. However, when calculating the vacation supplement of 0.52 per cent, all absence, excluding ordinary vacation, during the earning year before the year the vacation is taken shall be treated as absence earning vacation pay. Item 13 Vacation pay, etc. for intermittent part-time work Vacation supplement, vacation compensation and deductions from pay for unpaid vacation shall be calculated on the basis of the number of gross vacation days. Item 14 Vacation pay, etc. in net calculation of vacation for shift work At companies where vacation days are calculated net for shift work, the percentage rates for vacation supplement, vacation compensation and deductions for days of unpaid vacation drawn are adjusted to correspond to the ratio between the number of vacation days according to the Annual Leave Act and the net number of vacation days

30 Vacations Lay-off Section 10 Lay-off pay Item 1 General When the employer, without terminating employment, is not able to provide any work on account of a lack of work, production disturbances or other such circumstances, and releases the employee from his/her obligation to attend (lay-off), compensation (lay-off pay) is paid in accordance with items Lay-offs can be made without regard to the rules governing order of priority. 2. The employee is obliged to return to work within a reasonable time after the impediment that caused the lay-off has ceased. 3. The statutory duty to consult shall be observed in questions regarding lay-offs. In these consultations, the parties shall strive for agreement regarding the extent and schedule of the lay-off. The parties should in this respect take into account the production and market situation of the company and strive for solutions that entail the least possible inconvenience for the employees affected. 4. Lay-off time is calculated in full days (working days). A lay-off caused by unexpected interruptions to production, e.g. power failures, and which is decided within one hour after the start of normal working hours is counted as a lay-off day. 5. The parties are aware that there is, in exceptional cases, within the common sphere, work that by its nature is not continuous, due to weather conditions for example, and where lay-off pay is paid only if specifically agreed upon at the time of employment. The parties do not intend either to expand or limit the prevailing application rules in these cases. If, in individual cases, (either currently or in the future) there are diverging opinions regarding the application rules, the parties shall cooperate to find reasonable solutions. 28

31 Vacations Lay-off Item 2 Lay-off pay When employees are laid off, lay-off pay is paid as follows: for employees with a fixed hourly, weekly or monthly wage: unchanged, for employees who are solely or partly paid in the form of incentive pay or bonus, piece rate or similar: their average earnings in accordance with Section 3 Item 2:1, Comment 4 for monthly paid employees and in accordance with Appendix 3, Section 1 Item 1:1, Comment 4 for hourly paid employees. If the lay-offs are scheduled for shift times or unsocial working hours, the unsocial hours supplement that would have been paid if the employee had worked during the period of the lay-off shall also be paid. Item 3 Exceptions Lay-off pay is not paid in the event of lay-offs due to: 1. the employee s own actions 2. an illegal dispute within the LO area 3. closure for the main vacation period during the year, subject to a maximum of the first 10 days laid off 4. a decision by a public authority that the employer could not have foreseen. If the employee in case 3 above has not earned enough paid vacation days to cover the days laid off and cannot be provided with work, the company shall reach a written agreement with the employee on paid leave (vacation in advance). If the employee s employment ceases within five years from the time it began, deductions from the accrued pay and/or vacation compensation may be made in accordance with the same rules as for leave of absence but based on the pay that applied during the vacation in advance. For hourly paid employees, deductions are made in the corresponding manner but on the basis of the hourly pay that applied during the vacation in advance. Deductions may not be made if employment ceases on account of 1. the employee s sickness, or 29

32 Vacations Lay-off Wage supplements Working at home 2. circumstances referred to in Section 4, third paragraph, first sentence of the Employment Protection Act (1982:80), or 3. notice given by the employer due to circumstances that do not relate to the employee personally. Item 4 Lay-off pay in connection with working at home The rules for lay-off pay apply to such homeworkers as had a monthly income (exclusive of vacation compensation, homeworking supplement and other compensation for special costs) for at least five months during the twelve-month period immediately prior to the lay-offs, and which amounted to 75 times the contractual hourly wage for new employees employed for three months. A homeworker is deemed to have been laid off when the employer, on account of lack of work, cannot provide the volume of work that corresponds to the agreed amount or could otherwise be expected. This is the case regardless of whether the homeworker has expressed a request to work at home to the extent mentioned or not. Lay-off pay per day consists of the average income per day (excluding vacation compensation, homeworking supplement and other compensation for special costs) during the previous five months if the earnings have reached the figure of 75 times the hourly pay as stated in the paragraph above. Section 11 Wage supplement in connection with relocation of personnel As far as wage supplements in connection with permanent relocations (transfers) are concerned, the rules laid down in Appendix 4 apply. As far as wage supplements in connection with temporary relocations (placements) are concerned, the parties have reached agreement on certain recommendations as laid down in Appendix 5. Section 12 Working at home Working at home is subject to the rules of Appendix 9. 30

33 Disbursement of pay Paid leave of absence Lay-off Section 13 Disbursement of pay Wages are disbursed once a month or once per four-week period. Local agreements can be reached for other arrangements. In connection with the disbursement of wages, a statement of the various wage components and deductions is provided. The employer shall help to ensure that the employees wages are transferred free of charge to the bank that the individual employee wishes to use. Section 14 Paid leave of absence Item 1 Definition of and reasons for paid leave of absence Paid leave of absence means a short period of leave for no more than a day with retained pay. In the event of the funeral of a close relative, this leave may also include the necessary days for travel (up to two). Paid leave of absence may be granted in the following cases: The employee s own wedding The employee s own 50th birthday The first visit to a doctor or dentist in the event of acute sickness or accident Visit to a hospital or clinic after referral by the company doctor or by another doctor nominated by the employer. If the doctor to whom the employee has been referred requires a repeat visit, paid leave is granted for up to three such repeat visits. The death of a close relative The funeral of a close relative The burial of the ashes of a close relative The sudden and serious sickness of a close relative living at home. 31

34 Lay-off Paid leave of absence Close relative means spouse, child, sibling, parent, parent-in-law and grandparents. Spouse also means a person with whom the employee is living at the same registered address. An application for leave shall be made as early as possible. Should the employer so request, the employee shall provide evidence of the reason for the leave in advance or, if this is not possible, afterwards. Item 2 Occupational injury and accidents Paid leave is granted to visit, as directed by the employer, a hospital or a doctor for treatment of an accident that occurred at the workplace or while travelling to or from the workplace. Leave is also granted for repeat visits prescribed by the doctor. An employee who has worked part of the day and then has to leave the workplace for the remainder of the working day, on account of the occupational injury, is granted paid leave. One condition for paid leave is that an employee neither receives, nor is qualified to receive, compensation for absence from the social insurance agency or TFA. The employer also compensates verified travel expenses that are not refunded by the social insurance agency, and the cost of visiting a doctor in accordance with an established tariff, unless compensation is provided according to TFA. The same also applies to repeat visits prescribed by a doctor. The same rules also apply when an employee is summoned for an occupational health check on the recommendation of a doctor. 1. For monthly paid employees, no pay deduction is made. 2. For hourly and piece-rate paid workers, retained pay means the individual average earnings. For the calculation of average earnings, see Appendix 3, Section 1 Item 1:1, Comment In the event of sick leave, the sick pay rules in Section 15 Item 1 3 apply. 4. In the case of a work-related accident, in addition to the sick pay paid by the employer, a pay supplement shall also be paid from TFA insurance during the first sick pay period. 32

35 Section 15 Sick pay Item 1 Right to sick pay Sick pay is paid in accordance with the Sick Pay Act. In the event of absence on account of sickness or accident, the employee shall immediately notify the employer or give notification in the manner that the employer has decided. The employee is not entitled to sick pay for any time before such a notification has been submitted. The employee shall also inform the employer as soon as possible when he/she expects to be able to return to work. Such notice shall be given no later than the day before the return to work. The same applies if the employee becomes incapable of working on account of an accident or occupational injury. Sick pay, parental leave supplement, etc. Sick pay Lay-off If an employee is injured at work so that he/she is compelled to leave the workplace, the sick notice is deemed to have been submitted at the time of the accident in cases where state of health or medical treatment prevents the employee from reporting sick. The remaining part of the day is then counted as a qualifying day in those cases where the employee is incapable of working and is on sick leave the next day. Employees shall provide the employer with a written assurance that they have been sick, with information concerning the extent to which their work capacity was reduced on account of the sickness and which days they would have worked. For the purpose of providing for successful rehabilitation, it is in the mutual interest of the employer and the employee that the cause of the inability to work is determined as soon as possible. The applies in particular in regard to recurring cases of sickness. The employee is obliged to confirm his/her inability to work with a certificate from a doctor or from a dentist, as from the seventh calendar day following the sick notice. In accordance with the first paragraph, the aim of the certificate is to clarify the clinical picture. If the employee is frequently absent on account of sickness, and/or when it is feared that reasons other than sickness are behind the absence, the employer may, for a set period of time, demand that in future periods of sickness the employee verifies his/her absence with a medical certificate or some other form of 33

36 Working Sick pay at home certificate that is acceptable to the employer from the first day of sickness in order to be entitled to sick pay. If such a demand has been made, the employer may nominate the doctor or care provider which is to issue the certificate. If the employee cannot produce a certificate from the nominated doctor, there is no entitlement to sick pay. The cost of such a certificate is defrayed by the employer. The local union organisation shall be consulted prior to a demand for a first day certificate and/or nomination of doctor or care provider. 1. At the consultation, the employer shall account for the reasons why it intends to impose upon the employee a requirement to verify his/her sickness with a medical certificate and, should it be the case, the reasons for nomination and why only certificates from specific doctors are accepted in order for sick pay to be disbursed. If a doctor is nominated, the clinical picture, the place of residence, the industrial health service and the employee s practical opportunities should be taken into consideration. 2. The cost of a certificate means reasonable costs which the employee has incurred in order to obtain the certificate, including travel costs. Item 2 Calculation of sick pay Sick pay is paid for such time that the employee would have worked during regular working hours if he/she had not been sick. The first day of sick leave in each sick pay period is a qualifying day without entitlement to sick pay. 1. The parties are agreed that the implication of the Sick Pay Act shall determine which wage components and what compensation shall be included as the basis for sick pay. 2. If the employee falls sick again within five calendar days of the end of the previous period of sickness, the new period of sickness is deemed to be a continuation of the earlier one as far as qualifying days, amount of compensation and duration of the period of sick pay are concerned. 3. The number of qualifying days per 12-month period may not exceed

37 Disbursement of pay Paid leave of Sick absence pay Item 2:1 For employees paid monthly: A deduction as indicated below is made from the monthly wage for each hour the employee is absent on account of sickness. Monthly wage means the fixed cash monthly wage, including fixed supplements. During the first day of sick leave in the sick-pay period, a deduction is made of 100 % = and from the second day of sick leave until the 14th calendar day of the sickpay period inclusive, for each day with sick pay entitlement a deduction per hour is made of 20 % = Monthly wage x x weekly working hours Monthly wage x x weekly working hours Moreover, 80 per cent of the other wage components and compensation that relates to compensation for regular working hours is paid as sick pay from the second day of sick leave until the 14th calendar day in the sick-pay period inclusive. Sick leave for more than 14 calendar days: deduction from the 15th calendar day inclusive. A deduction is made for each calendar day during the absence of Monthly wage x If absence with deduction per calendar day lasts for an entire calendar month, the full monthly wage is deducted instead. Item 3 Sickness during vacations If employees fall sick during their vacations and, in accordance with Section 15 of the Annual Leave Act, request that the vacation be taken later, sick pay is calculated as if the employee had worked in accordance with item 2:1 for monthly paid employees and in accordance with Appendix 3 Section 7 for hourly paid employees. 35

38 Rules of conduct Paid Starting leave and of ending absence employment Section 16 Rules of conduct The enclosed rules of conduct (see Appendix 7) and other rules and regulations that are issued by the employer and which do not conflict with this agreement shall be carefully adhered to. Before local rules of conduct, and occupational health and safety rules are established or changed, discussions shall be held within the health and safety committee or with the local union organisation. Section 17 Starting and ending employment Pursuant to the Employment Protection Act, the following specific rules apply. Item 1 Temporary employment An agreement on temporary employment can be reached between the employer and the employee on the basis of the Employment Protection Act in the following cases. 1. An agreement for a fixed term, a given season or a given job, if this is due to the specific nature of the work. 2. An agreement for a fixed term in the case of temporary employees, trainees or for holiday work. 3. An agreement that applies for the time until the employee begins national service according to the National Total Defence Service Act that will last for longer than three months. 4. An agreement for a fixed term in the case of employment after retirement if the employee has reached an age that involves an obligation to retire with old age pension or, if there is no such obligation, when the employee has reached 65 years of age. 5. An agreement for a fixed term of no longer than 12 months with an employee entitled to collectively agreed, enhanced preferential right. If such employment continues for more than 12 months, it will become permanent employment. An agreement for a fixed term according to this item may not be shorter than one day. 36

39 Sick pay, Starting parental and leave ending supplement, employment etc. An employer who enters into an agreement in accordance with the above shall, by law, inform the local union organisation of this as soon as possible and in any case no later than within one week. However, there is no obligation to provide this information if the employment is for no longer than one month. Over and above this, agreements on temporary employment can be reached, but not for longer than 12 months, if the agreement is a written one that has been approved by the local union organisation. The intention of the parties with regard to the above is to provide more opportunities for employing workers who would otherwise be difficult to place, and to meet the company s need for temporary labour attributable to irregularities in production that either could not be foreseen or could not otherwise be avoided, as in the production of seasonal merchandise for instance. 1. The intention of the parties in rewording this clause, which was introduced in the 1983 negotiations, is to continue to apply past practice. This means, for example, that the rules regulating probationary and peak period employment are covered by the rules requiring the agreement to be in writing and to have the approval of the local union organisation, and stipulating that the employment may not exceed 12 months. For probationary periods of employment, the employment may not exceed six months. If an agreement regarding a probationary period of employment is entered into, which has been approved by the local union organisation, the agreement shall also state that the mutual notice period for terminating the agreement that is to apply during the probationary period shall be at least 14 days. Agreements regarding probationary periods of employment may be entered into for a period of no more than six months. 2. Holiday work means, as in the past, work by schoolchildren during their holidays. Item 2 Sanctions etc., when employees fail to present themselves at work Employees who leave their employment without observing the required period of notice lose their accrued pay and vacation compensation. However, the amount an employee loses may not be more than an amount that corresponds to half of the lowest hourly wage for those days of the period of notice when the employee was not present at work. 37

40 Sick Starting pay and ending parental employment leave Employees who do not present themselves at work for ten working days without having reported the reason for their absence to the employer are deemed to have resigned their employment without having observed the required period of notice. If the employee nonetheless presents himself/herself for work within a reasonable period, and then provides reasonably acceptable grounds for his or her absence and failure to report this situation, the employment relationship shall continue. In the event of absence, the employee shall be informed and discussions held with the local union organisation before the employee is informed of the above. Amounts that have been withheld are paid by the employer to the local union organisation, which shall use them for training, recreational purposes, etc. for the company s employees. Item 3 Order of priority and preferential right to re-employment The regulations in the Employment Protection Act regarding order of priority and preferential right to re-employment apply with the following amendments and additions: an agreement (a local agreement) concerning order of priority regarding terminations and preferential right to new employment respectively, may be reached between the employer and the local union organisation at the company, if this should be needed due to personnel changes as a consequence of redundancies. Such an agreement may be reached, in regard to order of priority concerning terminations and preferential right to re-employment, at the time of the termination. Before re-employment, an agreement concerning order of priority may be reached even after the point in time when the dismissal has been effected. The central parties may, when extraordinary circumstances are at hand, request a central negotiation regarding such agreement. 38 Item 4 Collectively agreed, enhanced preferential right An employee with permanent employment who has been terminated due to redundancy, and who has a preferential right to re-employment in accordance with item 3, has a collectively agreed, enhanced preferential right during a set continuous period of, as a rule, six months. The collectively agreed, enhanced preferential right applies during the same period for all terminated employees, with effect from the day when the notice period, in accordance with the Employment Protection Act, expires for those employees who have the longest notice period amongst the terminated em-

41 Starting Sick and pay ending and parental employment leave ployees. The period with collectively agreed, enhanced preferential right, may, through a local agreement, be changed to a different set continuous period. An employee who has previously had a collectively agreed, enhanced preferential right with the employer may earn a new collectively agreed, enhanced preferential right. The prerequisites for this are that the employee has been re-employed permanently and that the employee has been employed for 18 months in total during a period of 36 months following the previous collectively agreed, enhanced preferential right. In order to avoid misunderstandings, the parties note that preferential right to re-employment in accordance with item 3, as well as collectively agreed, enhanced preferential right, apply at the workplace and presuppose that the employee is sufficiently qualified for the work in question. The point in time when the collectively agreed, enhanced preferential right begins is determined solely on the basis of the statutory notice period. Any extensions of the notice period are not taken into consideration. The collectively agreed, enhanced preferential right presupposes preferential right in accordance with item 3. This means that the collectively agreed, enhanced preferential right for employees with a one-month notice period becomes four months when the notice period of the employees who have the longest notice period amongst the terminated employees is six months, unless the local parties agree that the collectively agreed, enhanced preferential right should be changed to a different set continuous period. Item 5 Hiring in personnel from staffing companies during collectively agreed, enhanced preferential right period During the time when employees have a collectively agreed, enhanced preferential right, hiring in of personnel may take place for a total of 30 working days, where this is justified due to time limitations. Hiring in personnel may also take place in order to ensure the proper continuation of production during the period in which the employer, without any undue delay, is solving the need for personnel through re-employment. Hiring in personnel from staffing companies other than in the situations referred to in the first paragraph during the period when the employee has a collectively agreed, enhanced preferential right shall be preceded by discussions between the company and the local union organisation. If, during such discussions, the local union organisation opposes the hiring in of personnel 39

42 Sick Starting pay and ending parental employment leave in favour of the need for personnel being satisfied by re-employment and the employer subsequently chooses re-employment, the provisions of item 6 shall apply. If the employer, despite the local union organisation s opposition, chooses to hire in personnel, the employer shall, as a means of restitution for the collectively agreed, enhanced preferential right, pay each of the employees who have a preferential right to re-employment in accordance with item 3, three months wages (fixed cash wage). Such compensation shall be paid to the number of employees equivalent to the number of hired in personnel. If the company has decided to close down a workplace or move a whole business or part of a business, no restrictions regarding the hiring in of personnel from staffing companies shall apply during the period when the decision to close down the workplace or move the business is being executed. Item 6 Re-employment If the local union organisation opposes the hiring in of personnel in accordance with item 5, the employer is entitled to deviate from the order of priority for re-employment under item 3 in relation to one third of the number of employees that are being re-employed, unless the local parties have previously reached a local agreement regarding the order of priority for re-employment. One third is determined through mathematical rounding. Item 7 Process regarding re-employment In order to speed up the re-employment process, the company may, as a complement to other means of contact, send the re-employment offer via mail to all or some of the group of employees who have a priority right to re-employment in accordance with item 3. The offer shall be sent to the last known address together with a request for a reply within a given period of time, however no shorter than five working days from the day the message was sent. The parties agree that the re-employment process shall be pursued promptly. In the offer, the employer shall state that the number of positions is limited and that acceptance therefore does not mean that re-employment is guaranteed. 40

43 Sick pay, Starting parental and leave ending supplement, employment etc. Once the replies from the employees have been received, the selection regarding re-employment shall be made in accordance with item 6 from the employees who have notified the company that they are willing to accept the offer of re-employment. Item 8 Collectively agreed part time for retirement purposes Item 8:1 Part time for retirement purposes (semi-retirement) Employees can apply for the right to semi-retirement from and including the month in which the employee reaches the age of 60. If semi-retirement is approved, from the time at which semi-retirement takes effect, the employee s post shall be a part-time position with the employment hours determined in accordance with semi-retirement. Preferential rights to employment with more hours under Section 25a of the Swedish Employment Protection Act shall not apply to employees who have part-time employment as a result of semi-retirement under this agreement. The parties agree that the agreement shall be adapted to the constitutional rules regarding retirement prevailing at any given time, such as tax rules relating to payments from pension insurance. Item 8:2 Application and notice The employee shall apply to the employer in writing for semi-retirement six calendar months before they wish the semi-retirement to begin. The application shall clearly state the working hours requested. When the application is submitted to the employer, the employee shall also notify the local trade union. Within two months of receiving the application, the employer shall provide its response in writing to the employee and the local trade union as to whether the application is successful or not, unless a delay is agreed with the employee. Failure to respond in a timely manner constitutes a violation of a procedural regulation and therefore does not mean that the application shall be considered to be approved. Where the application is not subsequently granted, the employer shall, where appropriate, pay SEK 2,000 1 to the affected employee for the breach of the procedural regulation. 41

44 Sick pay, parental leave supplement, etc. Rules Starting of conduct and ending employment The employer may reject the application for semi-retirement if, in an objective assessment, to grant it would entail considerable disruption to operations. Comments 1 : This amount is calculated annually using the CPI. Item 8:3 Negotiation and disputes Where the application for semi-retirement has been rejected and the employee wishes to have the application examined through the negotiation process, the employee shall inform the local trade union which is responsible for requesting local negotiation. The dispute shall then be deemed to apply to semi-retirement with 50 per cent working hours and shall be handled in accordance with Section 19 of the I agreement in accordance with the following. The question of whether semi-retirement is to be approved can be dealt with in local negotiations and thereafter, if the matter is not resolved, finally in central negotiations. If the parties are unable to reach agreement in either local or central negotiations on the issue of whether semi-retirement in accordance with the agreement can be approved without causing considerable disruption to operations, the local trade union shall, if the employee wishes to pursue the matter further, request local negotiations on the liability of the employer to pay damages for the failure to apply the agreement. Item 9 Statement of employment etc. In connection with the employee ending their employment, the employer shall, pursuant to the Unemployment Insurance Ordinance (1997:835) and upon request, issue a statement of the job-seeker s working conditions and the information otherwise required to assess the job-seeker s right to compensation (statement of employment). If the employee specifically requests it, a service certificate shall also be written. The certificate shall include information on the duration of employment and the work duties involved. The certificate can also, upon request, provide a testimonial on how the tasks have been performed. The original documents (or copies in the event that the original documents cannot be disclosed) that exist concerning the worker and which are possessed by the employer, such as certificates, licenses and training certificates obtained during employment shall be turned over to the employee. 42

45 Supervision and allocation of work, etc. Starting and Difference ending employment of opinion Section 18 Supervision and allocation of work, etc. Subject to compliance with the other provisions of this agreement, the employer is entitled to manage and allocate work and to task employees, regardless of whether or not they belong to a union. The right of association shall not be violated by either side. The employer s demand that supervisors must not belong to the Swedish Industrial and Metal Workers Union shall not be deemed to be a violation of the right of association. Supervisor means a person who is employed as the representative of the employer to manage, allocate and control the work performed by personnel who are subordinate to the supervisor and in which the supervisor does not participate himself/herself except occasionally. The provisions of this section, as well as the other provisions of the agreement, do not imply any regulation of the non-mandatory rules in the Employment (Co-determination in the Workplace) Act or of the application of Section 32 of the said Act. Section 19 Difference of opinion Item 1 Negotiating procedures Should differences of opinion arise between the local parties concerning the rules in this agreement, they shall be resolved by local negotiations in the first instance. If the local parties cannot reach agreement, central negotiations shall take place. If differences of opinion between the local parties arise for any other reason, this shall not immediately cause any disruptive intervention whatsoever in the course of the work, either in the form of strikes, blockades, boycotts, lockouts, etc., without local negotiations having first taken place. If the local parties cannot reach agreement, central negotiations shall take place. 43

46 Difference of opinion Difference Term of agreement of opinion Item 2 Industrial action Legally permitted industrial action shall not be taken if such a measure has not been decided on or approved by the main organisation concerned. Parties intending to take industrial action are obliged to notify the counterparty of such intent at least one week in advance. With regard to the handling of disputes, period of limitation and the right to take industrial action, the provisions of Chapter 2 of the main agreement between SAF and LO also apply. Section 20 Term of agreement This agreement applies from 1 April 2017 to 31 March 2020 inclusive. A party is entitled, no later than 30 September 2018, to given notice to terminate this agreement on 31 March Stockholm, 31 March 2017 IKEM The Swedish Industrial and Chemical Employers Association Lars Askelöf IF Metall Marie Nilsson 44

47 Starting and List ending of industrial employment sectors Appendix 1 List of some industrial sectors that are covered by the I agreement Factories manufacturing: Accumulators and batteries Acetylene and oxygen Adhesives Artificial flowers Awning and Venetian blind factories Biotechnology products Blu-ray discs, CDs and DVDs, cassette tapes and gramophone records Buttons Candles Car and security glass Carbon brushes Chemicals for process industries and water treatment Concrete additives Contract packaging and filling Cork Essences and extracts Feldspar and quartz industry Fishing equipment Flooring materials and wall coverings Grinding materials Hot tops Hygiene and cosmetic products Impregnation plants Laminated products Leather industry, hide, leather and fur production Leather industry shoes, gloves, leather clothing, handbags, luggage, other leather goods Light bulbs and electronic tubes Matchsticks Packaging and conversion industry Paints, varnishes, coatings, rust-proofing agents and other impregnation and surface-treatment agents Peat Pharmaceuticals and medical items Photocopier paper, etc. Plant protection and soil improvement agents Plastic products Porcelain Processing of frictional materials Rubber and re-tread factories Seals and sealing devices Soaps, detergents and cleaning compounds Soda Spectacles Sport and leisure items Stonemasonry, with the exception of assembly operations for construction Tar and charcoal Thermometers Wax cloths Wood chippings X-ray film and other film 45

48 Starting Working and hours ending employment Appendix 2 Working Hours agreement The following Working Hours agreement has been reached between IKEM the Swedish Industrial and Chemical Employers Association and the Swedish Industrial and Metal Workers Union IF Metall. As a result of the changes of 1 July 2005 to the Working Hours Act, IKEM and IF Metall have agreed on provisions regarding, among other things, the maximum working time, daily rest and working time for night workers. The supplementary provisions have been incorporated into this agreement. Section 1 Scope of Agreement This agreement replaces the Working Hours Act in its entirety. The agreement does not involve any change to the rules of the Work Environment Act relating to minors. In the event of the Working Hours Act being amended, adjustments, if any, to this agreement shall be made no later than the next agreement period. 46

49 Starting and ending Working employment hours Section 2 Duration of regular working hours Item 1 Annual Working Time Regular working hours during the year amount to: Work Daytime working Continuous two-shift working Intermittent two-shift working Intermittent three-shift working Duration of working hours 2,012 hours on average per year; 40 hours on average per week with no public holiday 1,912 hours on average per year; 38 hours on average per week with no public holiday Continuous three-shift working and underground working 1,768 hours on average per year Reallocation of regular working hours by local agreement In the case of intermittent three-shift working involving a constant night shift under the terms of local agreements and where other shifts have regular working hours of an average of 40 per week with no public holiday, regular working hours for the constant night shifts shall amount to an average of 34 hours per week with no public holiday per calendar year. Continuous three-shift working If three-shift working takes place temporarily without a break of at least 24 hours at the weekend, and this continues for more than three consecutive weeks, the work shall be scheduled or paid as continuous three-shift working from and including the fourth Sunday and with the shorter working hours that apply to such work. If at some earlier point the employer is able to judge that shift working must continue beyond the fourth Sunday, this should be notified as soon as possible. In such a case, three-shift working shall be arranged or paid as continuous from the time when such notice is given. 47

50 Starting Working and hours ending employment Local agreements on other working-time arrangements Local agreements on other working-time arrangements should be reached when this promotes the business. Such working-time arrangements may be designed to make it possible for the employee to influence his/her working time. The number of annual working hours stated refers to the regular working hours that apply to continuous employment in one and the same position according to an agreed working-hours schedule, an operational schedule and otherwise scheduled non-working shifts. One consequence of this is that the number of working hours stated applies regardless of the vacation taken by the individual employee and that working hours in individual cases can vary on account of the employment conditions of the individual employee in question. Item 2 Weekly Working Time The total working time during any seven-day period may amount to a maximum of 48 hours on average over a reference period of 12 months. Regular working time, overtime, extra hours for part-time employees and duty time are included in the total working time. Periods of paid vacation and sick leave shall be neutral when calculating the total working time. Item 3 National Day At companies where working time is calculated as hours per week with no public holiday, full-time work during daytime, intermittent two-shift work and intermittent three-shift work entitles the employee to two hours of compensation per year because National Day is a public holiday that falls on different weekdays. The same shall apply when work is organised as continuous shift work with stops during major public holidays and where work is carried on during National Day. Compensation is given pro rata for part-time employees and employees who work only a part of the year. The local parties shall agree on how the compensation is to be handled in the company. Unless the local parties agree otherwise, the compensation shall be added to the scheme for shortening the working hours in accordance with the agreement for

51 Supervision and allocation Working of work, hours etc. The introduction of National Day as a public holiday shall not affect the provisions of Item 1 regarding annual regular working hours. Section 3 Scheduling of regular working hours The regular annual working-hours schedule is established by means of a local agreement for each workplace. Such an agreement should be reached well in advance of the start of each new year. The working time can also apply for an indefinite term and be changed when needed. If the employer or the employee wish to have a different working-time schedule than as provided for in paragraph 3, an agreement can be reached directly with the employee or employees concerned. The employer shall inform the local union organisation of agreements with individual employees. Such agreements shall cease no later than one month after notice of termination by either party. The steps taken towards a reduction in working hours place greater demands to make the most effective use of regular working hours and also to adapt them in response to changing conditions. In connection with the local parties agreements on the scheduling of regular working hours, negotiations may be held at the request of either party on adjusting working hours to suit variations in the company s activities, by increasing the number of working hours for a certain period and reducing them for another. The local parties shall immediately commence negotiations if a need to change the working hours arises during the year. The negotiations shall be concluded speedily. If no agreement can be reached, daytime working hours and the hours for two-shift working shall be scheduled as follows: Daytime working: Monday to Friday inclusive, 7.00 a.m. to 4.00 p.m. with a total break of one hour. 49

52 Difference Working hours of opinion Two-shift working: Monday to Friday inclusive, with a morning shift 5.30 a.m. to 1.36 p.m. and an afternoon shift 1.36 p.m. to 9.42 p.m. with a half-hour break during each shift. In the case of daytime working and intermittent shift working, the eves of Easter, Whitsun, Midsummer, Christmas and New Year are non-working days after 6.00 a.m. (in the case of intermittent three-shift working, the non-working day is calculated from the end of the night shift in the morning). In the event of a change in the scheduling of regular working hours, employees concerned shall be given at least two weeks notice of the change. However, shorter notice may be given if the business or events that could not be foreseen make this necessary. 1. The scheduling of working hours is of great importance for the efficient use of facilities and resources and for satisfying the wishes of the employees. Greater use of more working-hours patterns provides more scope for adapting working hours to the needs of the workplace and the employee. 2. The weekly working hours stated for intermittent two-shift working do not involve any restriction on the ability to arrive at local applications, such as individually scheduled leave in lieu. The aim should be to arrive at local solutions adapted to each workplace. 3. In a week with a public holiday, regular working hours for the other days shall be the same as in the working-hours schedule for a week with no public holiday. 4. The parties have adopted the agreement between SAF and LO of 2 February 1981 concerning part-time work (see Appendix 3). Section 4 Breaks, mealtime breaks, pauses Break means an interruption in daily working hours during which employees are not obliged to remain at their places of work. The employer shall state in advance the time and duration of breaks as accurately as circumstances permit. Breaks shall be arranged so that employees do not work for more than five hours at a time. The number, duration and scheduling of breaks shall be satisfactory with regard to the working conditions. 50

53 Term Working of agreement hours If it is necessary with regard to working conditions, cases of illness or other events that could not have been foreseen by the employer, breaks may be replaced with mealtime breaks at the workplace. Such mealtime breaks are included in working hours. The employer shall arrange the work so that employees can take any pauses that are needed over and above breaks. If working conditions so require, special pauses in the work may be scheduled instead. In such cases, the employer shall state in advance the time and duration of such pauses as accurately as circumstances permit. Pauses are included in working hours. Section 5 Night rest and night work Item 1 Night rest All employees shall be free from work to rest at night. This time off work shall include the time between midnight and 5.00 a.m. Deviations from the first paragraph are permitted if, in view of the nature of the work, the needs of the public or other particular circumstances, the work must also continue at night or be carried on before 5.00 a.m. or after midnight. Deviations from the first paragraph can also be made on the basis of a local agreement. In the event of a departure from the prohibition on work at night, negotiations shall be entered into with the local union organisation well in advance. Under normal circumstances, this shall be three weeks in advance. Item 2 Regular working time for night workers The regular working hours for night workers shall on average not exceed eight hours per 24-hour period over a reference period of 12 months. 51

54 List Working of industrial hours sectors 1. If the weekly rest period falls within the reference period, the weekly rest shall not be included in the calculation of the average. Periods of annual paid vacation and sick leave shall be neutral when calculating the average working time. 2. It is the intention of the parties that the length of the reference period shall not be applied in such a manner as results in working-time schedules where extremely long working hours without sufficient rest are used over a long period of time. Item 3 Night work that involves special hazards Night workers performing work that involves special hazards or heavy physical or mental strain may not work for more than eight hours during any 24-hour period when involved in night work. Section 6 Daily rest Every employee is entitled to at least eleven consecutive hours of rest per 24-hour period. 52 Section 7 Weekly rest Employees shall have at least 36 hours of uninterrupted time off during each period of seven days. Time on stand-by duty, when the employee is obliged to be available outside of regular working hours and ready to attend at the workplace within a given time is not included in weekly rest. In order to be able to establish a suitable shift schedule in respect of continuous shift work or a schedule for duty hours and stand-by hours, as well as for overtime work, deviations from the weekly-rest rules may be made to the extent necessary. However, if a deviation is made, a weekly rest of at least 30 hours per seven-day period must be observed, with compensatory rest provided in accordance with Section 8. There is, however, no objection to applying a shift schedule that in some cases limits the weekly rest period to 24 hours on the basis of a local agreement. Under such local agreement, the employee s weekly rest of 36 hours shall be considered handled by the parties. Weekly rest periods shall as far as possible be scheduled at weekends.

55 Working hours Breaks for two seven-day periods can be combined into a single break. In the event of deviation, the break for one seven-day period can be moved to the next seven-day period. Section 8 Exemptions The local parties may agree on deviations from the provisions of Section 2 Item 2, Section 4 Items 2 3, Section 5 Item 2 and Sections 6 7, provided that the employee is compensated with an equivalent period of rest in accordance with the provisions below regarding scheduling of such rest. Temporary deviations are also permitted, if caused by special circumstances that the employer could not have foreseen, e.g. unplanned shift changes or overtime work, provided that the employee is compensated with an equivalent period of rest. Furthermore, deviations are permitted in respect of overtime work or work in connection with stand-by duty, provided that the employee is compensated with an equivalent period of rest. Scheduling of compensatory rest If, for objective reasons, the employer cannot give an equivalent rest period according to paragraphs 1 3 above in connection with the work that discontinued the rest period, the equivalent rest period for weekly rest shall be given no later than within the next fixed seven-day period and for daily rest shall be scheduled within seven calendar days. The compensatory rest for deviations from weekly rest as above shall be scheduled consecutively with the weekly rest in accordance with Section 7 during the next fixed seven-day period. The rest shall correspond to the number of hours remaining from the longest rest period during the weekly rest, up to a maximum of 36 hours. 53

56 Working hours 1. In the event of deviations from the rules on daily and weekly rest, compensatory rest shall comprise the number of hours remaining in the rest period that, as a result of the interruption, could not be given in accordance with Sections 6 7. For example, if overtime work is performed on days intended for weekly rest, resulting in the longest continuous period of weekly rest being limited to 24 hours, the interruption shall be compensated for by the weekly rest for the next seven-day period being extended by 12 hours from 36 hours to 48 hours in a continuous period. 2. In respect of work in connection with stand-by duty during several consecutive days, the equivalent rest periods for these days may be added together and scheduled within the next fixed seven-day period after the most recent stand-by duty shifts. However, this presupposes that the employee, despite the interruptions in the rest periods, has had sufficient rest during the stand-by period. No salary deduction shall be made if the employer schedules the equivalent rest period within regular working hours. If the equivalent rest period cannot be given within the next fixed seven-day period, the local parties may agree on other appropriate protection. Other appropriate protection does not mean financial compensation. 54

57 Working hours Section 9 On-call duty If, owing to the nature of the business, it is necessary for the employee to be at the disposal of the employer at the workplace to work when the need arises, the maximum number of on-call hours during a four-week period shall be 48, or 50 hours per calendar month, except where otherwise agreed by the local parties. Any time during which the employee works for the employer is not deemed to be on-call hours. Section 10 Overtime Item 1 Definition etc. Overtime means such working hours as exceed the number of regular working hours in accordance with Section 2 and on-call hours in accordance with Section 9. In calculating overtime, leave in lieu or other leave that is scheduled during the employee s regular working hours or on-call hours are deemed to be the same as completed regular working hours or on-call hours. Item 2 Working of overtime Overtime may be worked for a maximum of 48 hours over a period of four weeks or 50 hours over a calendar month, subject to a maximum of 200 hours over a calendar year. When overtime work is compensated for by leave in lieu, the overtime allowed is added to the overtime hours that have been compensated for by leave in lieu. However, this applies to no more than 100 hours per calendar year. Deviations from the first and second paragraphs may be made by local agreement. When extra overtime is needed, negotiations shall be entered into with the local union organisation well in advance. Under normal circumstances, this shall be three weeks in advance. 55

58 Working hours Item 3 Emergency overtime If a natural incident, accident or other similar circumstances that could not be foreseen by the employer have caused an interruption in the business or involve an imminent risk of such an interruption or of injury to life, health or property, overtime worked for these reasons shall not be included in the calculation of overtime in accordance with Item 2 above. The employer shall inform the local union organisation as soon as possible regarding emergency overtime work. If emergency overtime is worked for longer than two days, this shall be reported to the Working Hours Board for the I agreement. Section 11 Extra hours in connection with parttime employment Extra hours means such working hours that, in respect of part-time employment, exceed the employee s regular working hours and on-call hours in accordance with the contract of employment. The rules for calculating overtime in Section 10 Item 1 shall also apply to the calculation of extra hours. When there is a particular need for increased working hours, up to 200 extra hours over a calendar year can be worked. Extra hours may also be worked as a result of the application of the conditions for emergency overtime laid down in Section 10 Item 3. Section 12 Logging of on-call hours, overtime and extra hours The employer shall keep a log of on-call hours in accordance with Section 9, of overtime in accordance with Section 10 and of extra hours in accordance with Section 11. The employee, representatives of the local union organisation and/or the union are entitled to see these logs. If there is no local union organisation, a representative of the union branch has the same right. The log shall be kept in the manner agreed by the parties, or in accordance with regulations issued by the Swedish Work Environment Authority. 56

59 Working hours Section 13 Working Hours Board for the I agreement The Working Hours Board for the I agreement considers disputes concerning the interpretation and application of this agreement and agreements reached on the basis of this agreement, as well as issues concerning the prohibition on night-time working and extra overtime work. The Board has four members, with two appointed by each party. One of the members shall serve as chair. The chair is appointed by the parties alternately for one calendar year at a time. Each member has one vote. In the event of a tied vote, the Board may, at the request of a member, co-opt a further member. Such members are appointed jointly by the parties in advance for a period of three years. Section 14 Negotiating procedures Disputes concerning the interpretation or application of this agreement shall initially be referred to negotiations between the local parties (local negotiations). If the local parties cannot reach agreement, the dispute shall be referred at the request of either party to central negotiations. A dispute can be referred by either party to the Working Hours Board for decision. This shall be done within one month from the conclusion of the negotiations. The decision of the Board is binding on the parties unless the dispute is referred to the Swedish Labour Court no later than two months from the date of the Board s decision. Issues concerning deviations from the prohibition on night-time working and extra overtime work cannot be referred to the Labour Court for review. Otherwise, the negotiating procedures in the main agreement apply. Section 15 Damages The Working Hours Board for the I agreement is empowered to award damages for breach of this agreement or of agreements reached on the basis of this agreement. 57

60 Working hours With regard to decisions by the Working Hours Board for the I agreement on the amount and adjustment of damages in the event of illegal working of overtime, guidance is provided by the rules in the Swedish Working Hours Act. Section 16 Term of agreement This agreement shall come into effect on 1 July 1989 on a trial basis and can be terminated by either party subject to three months notice of termination, to take effect no earlier than 31 January

61 Special rules for hourly paid Working employees hours Appendix 3 Special rules for hourly paid employees Section 1 Wages Item 1:1 Minimum hourly wage The employee s hourly earnings shall amount to a minimum of: Employee s hourly earnings in SEK from 1/ / / years of age and above New employees 3 months Juveniles Employees who have one or two years of employment with the company and who have gained increased competence by means of experience and skills shall, after completion of the wage review receive an hourly wage that exceeds the stated minimum hourly wage by the following amounts in SEK: 1/ / / After 1 year s employment After 2 years employment Increases to the minimum hourly wage stipulated in the agreement shall not affect local wage systems based on the minimum hourly/monthly wage in any other way except that the wage paid, after completion of the wage review, shall amount to the minimum wage stipulated in the agreement. 2. A local agreement can be reached for a new employee on an additional period of up to nine months on the above-stated minimum hourly wage. 3. The parties are agreed that the minimum hourly wage in the agreement does not apply to trainees. In the event of local disputes concerning wage rates for such persons, it is incumbent on the central parties to reach an agreement. 59

62 Working Special rules hours for hourly paid employees Trainees means persons who, as part of a certain type of training, carry out practical work at the company. The company shall have planned this specifically for the purpose of education/training. 4. Regarding hourly earnings, the same method of calculation is applied as for average earnings in accordance with the following. Average earnings means both the fixed and variable wage that was earned on average during the previous three months. A local agreement can be reached on a different period or a different method of calculation. If the company has a payment by results system involving disbursement after longer periods of time, the result shall be periodised. 5. The local parties can also reach agreement on employment integration posts in accordance with the regulations in the agreement on employment integration, Appendix 8. Item 1:2 Augmented hourly wage When piece rates are not offered, special hourly wages or personal hourly wages may be paid for more qualified work/employees until further notice. Subject to local agreement, augmented hourly wages can take the form of a supplement for the individual employee s special qualifications, such as vocational experience, diversity of expertise, usefulness and training. Section 2 Shift-type supplement Employees on hourly wages receive a shift-type supplement per hour worked. The shift-type supplement consists of the following percentage supplements on top of the hourly wage: Shift-type supplement As a percentage Continuous three-shift work 13.8 Intermittent three-shift work 5.3 Intermittent two-shift work* 5.3 Continuous two-shift work 5.3 * applies only for working hours of 38 hours 60

63 Special rules for hourly paid Working employees hours Hourly wage means the fixed hourly wage including fixed hourly supplement or, for traditional piecework, the average hourly wage plus the piece rate during the most recent relevant pay period, excluding shift-type supplement. When the normal number of working hours is distributed unevenly between shifts, the shift-type supplement shall be distributed in a corresponding manner. For example, in the case of intermittent three-shift work, when the morning and afternoon shift involve a working week of 40 hours, while the night shift involves 34 hours, the shift-type supplement shall be concentrated entirely on the night-shift hours. Section 3 Overtime In the event of overtime work, compensation is paid as follows: regular hourly wage or piece-rate wage, any variable wage component, unsocial hours supplement, where applicable, overtime supplement corresponding to: hourly wage x 0.41 Hourly wage means the fixed hourly wage including fixed hourly supplement or, for traditional piecework, the average hourly wage plus the piece rate during the most recent relevant pay period, excluding shift-type supplement. Section 4 Travel time compensation Travel time is compensated for per hour in accordance with the following: Weekdays Monday to Friday, except where a higher amount is stated below monthly wage 240 All other times From 6.00 p.m. on Friday and 6.00 p.m. the day before a non-working eve of public holiday or public holiday to 6.00 a.m. on Monday or 6.00 a.m. on the day after the public holiday monthly wage

64 Working Special rules hours for hourly paid employees For employees with hourly wages, the relevant hourly rate is calculated using 175. When calculating compensation for travel time, the wages of part-time employees shall be increased to the full-time rate. Section 5 Public holiday pay Item 1 Right to public holiday pay Public holiday pay is paid in connection with permanent employment and such temporary employment that has lasted or is intended to last for more than one month. For an employee to be entitled to public holiday pay, the employment must continue after the public holiday. Public holiday pay is not paid to employees who are paid per week or for any longer unit of time. Public holiday pay is paid for public holidays that fall during a vacation under specific conditions. During lay-offs, public holiday pay is paid for public holidays that occur during the first four weeks of the period of lay-off. During other types of leave, public holiday pay is paid provided that the leave is for no longer than four weeks. Employees who are offered work in connection with public holidays during periods of leave lasting more than four weeks are not entitled to public holiday pay. Public holiday pay is not paid in the event of absence without valid reason for all or part of the working day immediately before or after the public holiday. Nor is public holiday pay paid in the event of absence without valid reason during the public holiday in respect of employees whose regular working hours fall on the public holiday. In connection with vacations, lay-offs and other types of leave, the days indicated are postponed/brought forward to a corresponding extent. Item 2 Days with public holiday pay Public holiday pay is paid for the following days: New Year s Day, Epiphany (6 January), Good Friday, Easter Monday, 1 May (Labour Day), Ascension Day, National Day, Midsummer s Eve, Christmas Eve, Christmas Day, Boxing Day (26 December) and New Year s Eve, pro- 62

65 Special rules for hourly paid Working employees hours vided that the day in question falls on a day of the week that is not Saturday or Sunday. Public holiday pay is not paid for days for which the employee has or could have received compensation from the social insurance agency. If, in connection with leave for study, the employee receives a state or municipal study grant entitling him/her to public holiday pay, public holiday pay is reduced by a corresponding amount. Item 3 Amount of public holiday pay Public holiday pay consists of the employee s average earnings, including any unsocial hours supplement, multiplied by the number of regular working hours per week divided by 5.0. In the case of employees who are entitled to public holiday pay and whose average hourly earnings cannot be calculated, the average hourly earnings used are those that the employee would probably have received if he/she had worked during the most recent calculation period. Public holiday pay per day is calculated after changing from full-time to parttime work, or vice versa, in the following way. The employee s average earnings are multiplied by the average number of regular working hours per week, which applied to the employee during the period immediately preceding the public holiday in question, divided by five. For the calculation of average earnings, see Section 1 Item 1:1, Comment 4. Item 4 Disbursement of public holiday pay Public holiday pay is disbursed on the payday relating to the payment period in which the first working day after the public holiday was included. 63

66 Working Special rules hours for hourly paid employees Section 6 Vacations Item 1 Calculation of vacation pay and vacation compensation For hourly paid employees, vacation pay and vacation compensation amount to 13.2 per cent of the basis for vacation pay. The basis for vacation pay shall be increased for each hour of absence entitled to vacation pay by an amount that corresponds to the average working income per working hour during the earning year. Where possible, the local parties may agree that the vacation pay shall be disbursed before the vacation. Item 2 Vacation pay for saved vacation When saved vacation is taken, vacation pay is calculated for the saved vacation days in the same way as vacation pay for that year s normal vacation. Section 7 Sick pay Sick pay is calculated as below. During the first day of sick leave in the sick-pay period, no compensation is paid. From the second day of sick leave until the 14th calendar day inclusive, sick pay is paid for each day with sick pay entitlement at 80 per cent of the employee s average hourly earnings from hourly wages and piece rate. For employees with hourly pay only, the sick pay is 80 per cent of this hourly pay. Moreover, 80 per cent of the other wage components and compensation that relates to compensation for regular working hours is paid as sick pay from the second day of sick leave until the 14th calendar day in the sick-pay period inclusive. 64

67 Part-time Transfer work Appendix 4 Rules concerning wage supplements in the event of transfer As it is in the interests of both parties to have simple and readily available rules, the local parties are urged to agree such rules. Local agreements shall be designed to avoid unnecessary additional administrative work. The central parties shall actively assist in this. Definition Transfer means a permanent move from one work area to another or from one position to another. Transfer does not mean the move of an employee from one task to another within his/her existing work area (position). Nor does it mean the move of an employee between different work areas (positions), when it is assumed that he or she shall serve, when necessary, in a different work area (in a different position). Where necessary, the above definition should be made more precise by reaching a separate agreement for each individual company. Entitlement to transfer supplement (OPT) Transfer supplement is paid to employees who, at the time of transfer, have a cumulative period of employment with the company of at least one year and whose earnings have been reduced as a result of the transfer. For employees who transfer employment between employers belonging to the same group or employees who change jobs in connection with a transfer of operations in accordance with Section 6b of the Swedish Employment Protection Act, in cases where the employment from several periods of employment is aggregated, only employment which took place within five years of the transfer date shall be included. No transfer supplement is paid for a transfer resulting from the actions of the employee. The employer shall nevertheless inform the local union organisation should such a situation arise. Nor is any transfer supplement paid if the transfer is made at the request of the employee, unless the employer has 65

68 Transfer agreed to pay a supplement in whole or in part in a specific case. In the case of a transfer on the instructions of the company doctor, a transfer supplement shall be paid unless otherwise agreed in the specific case. Calculation of transfer supplement The employee s average earnings before the transfer are compared with the wage for the work to which the employee is being transferred. If it is observed that the earnings are reduced, the employee shall receive a supplement for each hour worked during the compensation period stated below, corresponding to the reduction in earnings below. The compensation period is calculated from the payment period that occurs immediately after the payment period in which the transfer takes place. Employment at time of transfer Employees aged 50 and above with at least 10 years of cumulative employment Other employees with at least 10 years of cumulative employment Other employees with at least 4 years of cumulative employment Other employees with at least 1 year of cumulative employment Compensation period 36 weeks 24 weeks 15 weeks 4 weeks In the case of recurrent transfers the wage comparison shall, however, be made on the basis of the average earnings of the employee before the first transfer, if the interval between the transfers is shorter than 24 consecutive weeks. The transfer supplement shall not be paid when the employee is entitled to work injury benefit in accordance with the Work Injury Insurance Act. For the calculation of average earnings, see Section 3, Item 2:1, Comment 4 for monthly paid employees and Appendix 3, Section 1, Item 1:1, Comment 4 for hourly paid employees. Disbursement of transfer supplement The transfer supplement is paid on the first regular payday that occurs after the payday when the wage comparison is made. 66

69 Placement Transfer Appendix 5 Recommendation concerning wage supplements in connection with placement As it is in the interests of both parties to have simple and readily available rules, the local parties are urged to agree such rules. Local agreements shall be designed to avoid unnecessary additional administrative work. The central parties shall actively assist in this. Definition Placement means a temporary relocation from one work area to another or from one position to another. Placement does not mean the relocation of an employee from one task to another within his/her existing work area (position). Nor does it mean the relocation of an employee between different work areas (positions), when it is assumed that he or she shall serve, when necessary, in a different work area (in a different position). Entitlement to placement supplement (OFT) Placement supplement is paid to employees who, at the time of placement, have a cumulative period of employment with the company of at least one year and whose earnings have been reduced as a result of the placement. For employees who transfer employment between employers belonging to the same group or employees who change jobs in connection with a transfer of operations in accordance with Section 6b of the Swedish Employment Protection Act, in cases where the employment from several periods of employment is aggregated, only employment which took place within five years of the relocation date shall be included. 67

70 Placement Calculation of placement supplement (OFT) The employee s average earnings before the placement are compared with the average earnings achieved during the placement period. If it is observed that the average earnings are reduced, the employee shall receive a placement supplement corresponding to the reduction in earnings for each hour worked during the period of the placement, but for no longer than the compensation period stated below, calculated from the date of placement. Employment at time of transfer Employees with at least 10 years of cumulative employment Compensation period 3 weeks Other employees with at least 4 years of cumulative employment 2 weeks Other employees with at least 1 year of cumulative employment 1 week Placement supplements are not paid in the case of placements that are due to the employee demonstrably not having followed instructions given at work. However, the employer shall inform the local union organisation, which is entitled to request negotiations in the matter. 1. For the calculation of average earnings, see Section 3, Item 2:1, Comment 4 for monthly paid employees and Appendix 3, Section 1, Item 1:1, Comment 4 for hourly paid employees. 2. The parties are agreed that local agreements shall be reached to a greater extent. 68

71 Part-time Placement work Appendix 6 Agreement concerning part-time work Companies shall ensure that the working hours and earnings of part-time employees are as regular as possible. In the case of permanent part-time work, a working-hours schedule shall be drawn up, except where the specific nature of the work makes this impossible. All regularly recurring working hours shall be included in such a working-hours schedule. Statutory and contractual social benefits are, in certain cases, dependent on the duration and scheduling of working hours. Working hours of under 16 hours a week therefore mean that the right to severance contribution insurance and group life insurance is reduced. Moreover, pension benefits can be affected if working hours are under 208 hours per calendar quarter, as annual earnings must exceed a certain amount the base amount if the employee is to be credited with any pension points for supplementary pension (ATP). Part-time employees shall be informed of these rules, as well as of the other conditions of employment that apply to part-time work. Wherever practically possible, and in those cases where the employee so wishes, the part-time employee s working hours shall be arranged to enable the employee to become entitled to the above-mentioned social benefits. If there is a need to enlarge the workforce, part-time employees shall first be offered more hours. The parties are agreed that disputes concerning the application of this agreement shall be resolved by SAF and LO. 69

72 Cooperation Rules of conduct agreement Appendix 7 70 Rules of conduct 1. All employees shall assist in keeping good order at the workplace and a good relationship between the company and its employees. 2. The employee shall perform the work allotted to him or her by management and observe the rules and regulations that apply to the work in question. 3. Applicable working hours shall be adhered to punctually. If rules exist for the use of time clocks, these shall be observed. 4. Requests for leave shall be submitted as far in advance as possible to supervisors, who shall respond as soon as possible. 5. Employees shall handle machinery, tools and materials, as well as finished or semi-manufactured products, with care and attention. If damage, faults or losses occur, the employee shall immediately report this to management, even if the damage is regarded as negligible and regardless of how it occurred. 6. Rules for protection against occupational injury, harm to health and fire shall be strictly observed. The prescribed safety equipment shall be used and good care taken of it. 7. Work injuries and harm to health, as well as hazards and incidents, shall be reported without delay to management, who shall promptly take the necessary measures. 8. Alcoholic beverages and drugs shall not be consumed in or brought into the factory area. Persons who are under the influence of alcohol or drugs may not enter the factory area. 9. Smoking is only permitted in those places in the factory area where specific permission has been given. 10. Individuals who are not employed by the company require a permit to enter the factory area. 11. Notices or similar may not be put up in the factory area without the permission of the employer and then only in a designated place. If an employee wishes to put up a notice, the consent of the Board of the local union branch is also required.

73 Employment Cooperation integration agreement Appendix 8 Agreement on employment integration The following agreement applies between IF Metall and The Swedish Industrial and Chemical Employers Association. Section 1 Purpose of the agreement The industry faces a major generational change in the next few years, which will increase the need for new employees. The profession today has a greater need for theoretical training and for qualified professional experience than ever before. Measures designed to boost recruitment are therefore important in order to secure the long-term supply of expertise for the industry. In order to facilitate an effective start to working life, the parties have agreed to introduce an integration period called employment integration. The purpose of the agreement on employment integration is to encourage industrial companies to offer special integration posts to young people and others who experience difficulties in establishing themselves on the labour market, such as recent immigrants, in order to help them to work and develop in their professional life on the Swedish labour market. Section 2 Scope Employment integration posts are designed for people who lack relevant professional experience or whose experience requires assessment. Employment integration posts may be considered for people who have completed industry-related professional training at Teknikcollege, secondary school, etc. They may also be considered for other groups, such as recent immigrants, who lack such basic technical training. Section 3 Employment integration posts Employment integration posts are fixed-term employment with the following special conditions. Supported by local agreements, an employment contract for employment integration can be entered into between the employer and employee. Employment 71

74 Cooperation Employment agreement integration integration posts can be used even if there are former employees of the employer with preferential rights to re-employment. The parties therefore agree that employment integration posts do not represent a breach of preferential rights. Each employment integration post must be combined with guidance and an individual development plan relating to work tasks as well as training and integration measures. An employment integration post shall be for a fixed term. The employment term may be up to 12 months, with the option to extend by up to 12 months. Such an extension shall require the support of a local agreement or local approval. Employment integration posts can be terminated by the employer or the employee with a termination notice period of one month. Employment integration employees who have their employment terminated as a result of redundancy shall form a separate priority group. If the employee or the employer does not want the employment integration post to convert to permanent employment on standard terms within the scope of the agreement, notice of this shall be given to the other party no later than one (1) month before the agreed term expires. Where the conversion from employment integration post to permanent employment means that a former employee with preferential rights for reemployment cannot be considered for re-employment, such conversion shall require a local agreement. The local parties shall pay particular attention to the purpose of this agreement here. Section 4 Wages The wage for an employment integration post shall be equivalent to no less than 75 per cent of the minimum wage under the relevant industry agreement. For those industry-wide agreements between the parties that do not contain a minimum wage regulation (the agreement on oil refineries and the sugar agreement), wages shall apply as determined by local agreement. The local parties shall take into account the purpose of this agreement here and in particular the intention of the industry partners that the wage be no lower than 75 per cent of the minimum wage applicable within the scope of the agreement. 72

75 Employment Cooperation integration agreement Section 5 Miscellaneous Where the employment integration post does not lead to continued employment at the company, a reference shall be provided containing details of the employment period and the duties performed by the employment integration employee. The reference shall also contain a grade unless the employment integration employee specifically declines this. The industry partners shall, where necessary, through advice and discussion, ensure that errors in application are corrected and that the purpose of the agreement is fulfilled. With regard to the purpose of the agreement, any errors may result in liability to pay compensation in the event of clear and serious cases of abuse. Section 6 Validity period This agreement shall apply until further notice, with a notice period of three (3) months from either side. In the event of termination by one of the parties, local agreements made with regard to fixed-term employment posts for employment integration shall remain valid until such time as the current fixedterm employment posts for employment integration expire. Stockholm, 01 December 2016 IKEM The Swedish Industrial and Chemical Employers Association Lars Askelöf IF Metall Veli-Pekka Säikkälä 73

76 Cooperation Homeworking agreement Appendix 9 Rules on working at home Item 1 Health and safety information The employer shall give the homeworker detailed information regarding any risk of accidents and health hazards that may be associated with using the tools, machinery and materials that the employer provides. Item 2 Piece rates Compensation for homeworking shall be calculated so that the employee is able to earn a reasonable income. In this regard, account shall be taken of the special circumstances that apply to homeworking. Local agreements can be reached on piecework. In the event of disputes, Section 5 Items 1 5 of the 1994 agreement relating to Allochemical industry apply to homeworking with the exception of the rules that require a clocking-on and -off system for their application. Item 3 Determination of new piece rates When new piece rates are being determined for homeworking that is expected to be significant in volume, the supervisor shall inform the local union organisation that piece work is being provided or offered. Item 4 Information Companies with employees working at home shall continuously inform the local union organisation of the extent of the homeworking. Item 5 Additional hours If the question of increasing homeworking arises, this shall in the first instance be offered to homeworkers who are already employed and who have expressed a wish for more work. 74

77 Working Rules hours of conduct rules Appendix 10 Working hours rules applicable to the Leather and Sporting Goods industry The following special rules apply instead of the rules that apply under the I agreement with regard to the scheduling of daily working hours for companies that manufacture shoes, gloves, leather clothing, handbags, luggage, other leather goods, sport and leisure items and those that produce hide, leather and fur, with regard to the scheduling of regular working hours. Scheduling of regular working hours If no agreement can be reached, daytime working hours shall be scheduled as follows: Daytime working: Monday to Friday inclusive, eight hours +/- 12 minutes, between 6.00 a.m. to 6.00 p.m. with a total break of one hour. 75

78 Agreement Wage agreement on employment integration Offprint Agreement on Industrial Development and Wage Formation between IKEM the Swedish Industrial and Chemical Employers Association and the Swedish Industrial and Metal Workers Union (IF Metall) for the I agreement. Salaries 1. Importance of salary structure The salary structure should be a positive force in the company s business and create the conditions for all employees to develop professionally and should stimulate good work, commitment and results. In this way, the salary structure contributes to increased productivity, efficiency and profitability. 2. Common starting points Against the background of the conditions which, among other things, are listed in the industry s cooperation agreement, the parties aim to foster the companies development, profitability and competitiveness, in order to also create the optimum conditions for good salary progression and good conditions in general for the employees. The increasingly tough international competition requires targeted efforts in terms of the work organisation and skills development of the employees at companies. The success and strength of industrial companies is dependent on their ability to respond quickly to changing requirements. This ability is largely dependent on the foresight and flexibility of the companies and the employees on the aforementioned issues. All in all, this creates the need for local salary systems that stimulate both personal development and the development of the companies business. The salary structure under this agreement requires the local parties to perform a joint review of the intentions of the agreement and its application at the company. When discussing work organisation and salary systems, IF Metall s 76

79 Agreement on employment Wage integration agreement Sustainable work platform can be used as a basis. The starting points provided there are compatible with the interests of the parties. The parties have also jointly and separately developed materials that can be used. If the local parties so wish, key parties can be involved in advising on local development work. 3. Guidelines for salary determination The basis for salary determination is formed by: the nature and content of the work duties the skills required the way in which the employee meets the requirements results achieved When assessing the first of these factors, responsibility, complexity and working conditions, for example, are important. When assessing the other factors, professional skills, experience, versatility, interpersonal skills, commitment, quality, productivity and target attainment, for example, are important. The purpose of these guidelines is for professional development to result in salary progression so that greater requirements in terms of responsibility, competence, skill and performance also result in a higher salary than in the case of lower demands. Every employee should be aware of the basis on which their salary is determined and what they can do to influence their individual salary. Those who work in day-to-day operations are best placed to assess the specific requirements of the company and the employees. It is therefore for the local parties to agree on salary systems, with the above guidelines being adapted to the requirements of their own activities. Local parties must ensure that there are no discriminatory or unjustified pay differentials in the scope of the agreement. Local parties should therefore review the salary determination in order to identify and prevent discriminatory or unjustified differences in pay between employees. Where discriminatory or unjustified pay differentials are identified, these shall be corrected through the salary negotiations. 77

80 Appendix Wage agreement 8 4. Work organisation and skills development Production development requires new skills of all employees and a responsibility to participate in its development. All employees shall therefore be given the opportunity, through a range of measures, to develop the skills needed in new, changed or future duties. It is the responsibility of the companies to carry out development of their staff, organisation and technology. With regard to staff, a range of initiatives can be used. A key element is on-the-job training and work rotation. Other important training initiatives could include supervised training within the company, such as computer-aided training or courses. The duration may vary depending on the employees circumstances and the needs of the company. It is also incumbent on the individual employee to take the initiative and to feel a sense of commitment and responsibility for their own skills development. The employees ideas, from their own perspective, about their own and the company s development needs must be considered. This could involve developing knowledge and skills which can ultimately benefit both the individual and the company. Development at work takes place through a combination of initiatives related to job content, working methods, work organisation, technical support and expertise. A continuous process of change requires that both the development needs of the company and those of the employees are identified. In this regard, managers have an important task in translating the company s needs to their own team and its members. The company and the local trade unions must together put in place active development work and discuss and identify measures and initiatives that lead to the development of individuals, work organisation and the competitiveness of the company based on the intentions of this agreement. Local collaboration is built on regular discussion between the local parties on how business is developing and what staffing needs the company has. If there is a change to the way the work is organised, particular attention should be paid to skills and skills development. A good work organisation allows for variation in the work so as to avoid repetitive strain injuries and exclusion from working life. A good work organisation also satisfies the company s needs for advance planning, capacity for rapid change and increased capacity utilisation. 78

81 Wage agreement 5. The salary process and local negotiations The salary process A keystone of the salary process and of the development of the overall competence of the employees and the company is that there is a dialogue between the manager and the employee about the work situation, development needs and work performance. The dialogue should cover work duties, the work situation, skills requirements and development opportunities and be linked to individual salary progression through the local salary system. Experience shows that an effective dialogue requires an internal policy, as well as that the dialogue is a prioritised management task and that training is provided on the structure of the discussion, setting goals and monitoring results. In order to achieve the desired results, it is important that the agreed measures, such as training, are documented and monitored. This can be done, for example, by using personal development plans, which are drawn up and revised annually. The parties agree that the implementation of dialogue and skills development at companies, as well as support for individual employees own initiative for self-development, should be based on the company s business concept and long-term visions. The procedures for identifying development needs, the dialogue with the employees, the documentation and the structure of the personal development plans form an important part of a locally agreed salary system. Another important aspect is that the salary system is evaluated and continuously improved or adapted to the prevailing conditions. The parties recommend that the local parties discuss and agree on the forms of the dialogue with the employees, the documentation and the structure of the personal development plans. Such agreement should be included as an integral part of the locally agreed salary system. As part of this, the planning, implementation, time required, and monitoring, for example, of the various development initiatives can be discussed. The dialogue in the salary process between the manager and the employee forms the basis for salary determination. Agreement on salaries for the employees is subsequently reached in the negotiations between the employer and the local trade union organisation. 79

82 Wage agreement Local agreement The local parties will reach agreement on salary increases, taking into account the circumstances at the company, guidelines for salary determination under paragraph 3 above, the current salary system and the development of tasks and skills. Unless agreed otherwise, salary increases apply from the pay period that includes 1 April 2017, 1 April 2018 and 1 April Negotiation process In the negotiations, the local parties shall endeavour to reach agreement. If the local parties are unable to agree, either party may immediately, but no later than three weeks after the local negotiations have concluded, call for central negotiations. If agreement is not reached in local or central negotiations, salary increases of SEK 3.05 per hour on average for 2017, SEK 3.12 per hour on average for 2018 and SEK 3.18 per hour on average for 2019 shall be allocated in local negotiations. If agreement is not reached on the allocation, SEK 2.29 shall be awarded generally for 2017, SEK 2.34 generally for 2018 and SEK 2.39 generally for 2019, after which the employer shall allocate the remainder of the increase. The allocation of salary increases shall take place within the framework of the local salary system. If there is no agreed salary system, the allocation of salary increases shall take into account the guidelines for salary determination in accordance with paragraph 3 above. Validity period This agreement applies from 1 April 2017 to 31 March 2020 inclusive. A party is entitled, no later than 30 September 2018, to given notice to terminate this agreement on 31 March Stockholm, 31 March 2017 IKEM The Swedish Industrial and Chemical Employers Association Lars Askelöf IF Metall Marie Nilsson 80

83 Working Wage hours agreement reduction Working hours reduction A Day-time working, etc Discussions shall be held between the local parties concerning issues relating to working hours at the company. A reduction in the working hours shall apply here, unless the local parties agree on another allocation of the time, of six days for each agreement year as of 01 April 2017 for shift workers and part-time employees on a pro rata basis. Any reduction shall be scheduled in full days or part days. If local agreement cannot be reached on the rules of application, the calculation of the six days shall be made in proportion to the time worked during the previous year, calculated in the same manner as for lifetime working hours (in accordance with the central agreement between the parties of 20 October 2005). These discussions can address issues such as a flexible working hours to suit company needs and individual wishes. An agreement may be reached to convert some or all of the working hours reduction into a salary increase instead of days off. In the event of such conversion, the salary of the employee concerned shall be increased by SEK 0.75 per hour for each day that has been converted into salary. An agreement may also be reached on the conversion of the value into a premium for pension insurance for the employee. Comment 1: As the size of the working hours reduction/credit is based on the agreements on wages and general conditions of employment for the periods , , and , earlier conditions must be taken into account. Comment 2: Time that is not taken during the relevant year shall be compensated for in cash or as a pension premium in an amount corresponding to the applicable salary at the time in question. Local agreements can be entered into in situations other than under paragraph B Continuous three-shift working, in order to apply the rules pertaining to Lifetime working hours. 81

84 Wage Working agreement hours reduction B Continuous three-shift working At companies that operate continuous three-shift working, the following rules apply regarding lifetime working hours for the employees concerned: At companies where at least 20 per cent of the employees work on a continuous three-shift basis, the rules regarding lifetime working hours apply to all employees, except where otherwise agreed. Lifetime working hours The view of the parties is that the local parties should in the first instance endeavour to reach a local agreement on shorter lifetime working hours (annual working hours or pension premium) or on cash compensation within the limits defined in point 2 below. If a local agreement is not reached the following points apply. 1. Individual working hours accounts shall be developed for all employees. 2. Each working hours account is credited on 31 March each year during the remaining period of the agreement with 3 per cent of the employee s wage during the year in question (the credit is calculated in accordance with current application rules agreed between the parties). The figures for calculation of wages include compensation in connection with leave paid by the employer. As the size of the working hours reduction/credit is based on the agreements on wages and general conditions of employment for the periods , , and , earlier conditions must be taken into account. 3. The credit to the working-hours account may be drawn as paid leave, as a pension premium or as cash compensation. 4. The ability to increase the time stated in Section 10, Item 2 of the Working Hours Agreement increases in proportion to any such leave of absence taken in accordance with point 3. 82

85 Working hours reduction Work Wage environment agreement Comment 1: The employee shall decide how the withdrawal is to be made in accordance with point 3. If the employee chooses the paid leave option, the leave shall be scheduled as agreed with the employer. Comment 2: If, at the end of each year of the agreement, the employee has credit equivalent to more than 3 per cent after the 3 per cent allocation has been made, the excess shall be paid to the employee either as a pension premium or as cash compensation at the option of the employee. Agreement on Guidelines for Work Environment Issues Parties: IKEM the Swedish Industrial and Chemical Employers Association and IF Metall. The I agreement. Section 1 Common points of reference The parties agree to promote the development of a good work environment. The management of the work environment is therefore an important and integrated part of the business of the companies. A good work environment, which also encompasses the psychological and social conditions in the work environment, shall aim to achieve a low level of sickness absence, good working conditions and increased productivity, quality and profitability. The Swedish Work Environment Act and its associated regulations are important aspects of the work. The Swedish Work Environment Act, Work Environment Ordinance, other statutes (instructions, regulations or notices) issued on the basis of the Act or the Ordinance, as well as local health and safety regulations relating to the relevant business, shall be made available by every company to all its employees. Section 2 Local cooperation in the management of the work environment The cooperation of the local parties is fundamental to the management of the work environment. Work environment issues shall be managed by responsible line managers and shall be made part of the company s ordinary business. 83

86 Wage Work environment agreement It is important that the representatives of both the employer and the employees at various levels have sufficient authority and competence to play their part in the joint responsibility. Local agreements should therefore be entered into regarding the form of cooperation, in which the rules regarding the systematic work environment management and rehabilitation are important parts. Section 3 Company health service The parties agree that a suitable company health service is an important resource for companies and employees. The company health service should be designed around the various needs and demands of the individual companies. A review of the companies need for company health care is important and should be made annually. Section 4 Training The local parties shall assess the need for training and information, as well as the time and content necessary to achieve and maintain a good work environment in the company. Section 5 Negotiating procedures In case of a dispute regarding the interpretation or application of this agreement or local agreements, the negotiating procedure applies. Arbitration Board If a dispute cannot be settled by local and central negotiations, a party may, within two (2) months from the conclusion of the central negotiation, notify the counterparty that it wants the Arbitration Board to decide on the matter. The Board will then take a final decision on the matter, which is binding on both parties. The Board shall consist of two members from IKEM and two members from IF Metall. The members appointed by the parties may, if one of the parties so requests, jointly appoint an impartial chair to make a decision on the matter in question. The parties shall bear their respective costs for the Board s work. The cost of appointing an independent chair shall be divided equally between IKEM and IF Metall. 84

87 Work Working environment hours reduction Minutes Section 6 Validity period This agreement shall be in force until further notice from 1 April 2016, subject to a mutual notice period of three (3) months. Stockholm, 31 March 2016 IKEM the Swedish Industrial and Chemical Employers Association Lars Askelöf IF Metall Veli-Pekka Säikkälä Extract from the main minutes of the negotiations regarding an agreement for Section 6 Participation in induction The parties note that most companies have routines that give the local union an opportunity to participate in the induction of new employees, and that it is important for new employees during their induction to be given an opportunity to receive such information. The parties recommend that the companies give the local union an opportunity to participate in an appropriate manner in the induction of new employees. Section 7 Participation in the TSL Readjustment Programme The parties establish that it is of interest to employees who have been given notice of termination on the grounds of redundancy that, during paid working time, they are able to participate in readjustment programme activities. It is the opinion of the parties that employers who are bound by the Allochemical Agreement and have given notice of termination to employees on the grounds of redundancy, should, where this is possible without causing disruption to the business, give the employees affected the opportunity during paid working time to participate in activities financed by TSL within the scope of the readjustment insurance 85

88 Working Negotiating hours system reduction Table summarising the negotiating system* Request for local negotiations Negotiations held Negotiating procedure of the agreement Annulment of a termination of employment or a dismissal pursuant to the Employment Protection Act Damages, severance pay or lay-off pay pursuant to the Employment Protection Act Damages or other compensation pursuant to the Trade Union Representatives (Status at the Workplace) Act (FML) Section 35 of the Employment (Co-determination in the Workplace) Act (MBL) resulting from the employer seeking to avoid payment liability. Exception for unreasonable demands. Section 11 of the Employment (Co-determination in the Workplace) Act (MBL) Within 4 months of becoming aware of the issue. Within 2 years if unaware. Exception for undisputed wage receivables. Within 14 days of notice of termination or dismissal. Within 4 months of the damages occurring. Within 4 months of the damages occurring. The employer shall request negotiation if a dispute arises. The employer requests on its own initiative in the event of more important changes. Within 2 weeks of the request unless agreed otherwise Within 2 weeks of the request unless agreed otherwise Within 2 weeks of the request unless agreed otherwise Within 2 weeks of the request unless agreed otherwise Within 2 weeks of the request unless agreed otherwise Within 2 weeks of the request unless agreed otherwise *Special rules on negotiations can be found in Sections 11 14, 21, 34, and of the Employment (Co-determination in the Workplace) Act (MBL) and in Section 16 of the development agreement, for example 86

89 Negotiating system Request for central negotiations Central negotiations held Initiation of legal proceedings Within 2 months of the conclusion of local negotiations Within 3 weeks unless agreed otherwise Within 3 months of the conclusion of central negotiations Within 2 months of the conclusion of local negotiations Within 3 weeks unless agreed otherwise Within 14 days of the conclusion of central negotiations Within 2 months of the conclusion of local negotiations Within 3 weeks unless agreed otherwise Within 4 months of the conclusion of central negotiations Within 2 months of the conclusion of local negotiations Within 3 weeks unless agreed otherwise Within 4 months of the conclusion of central negotiations Within 10 days of the conclusion of local negotiations Within 3 weeks unless agreed otherwise Within 10 days of the conclusion of central negotiations Within 7 days of the conclusion of local negotiations Within 3 weeks unless agreed otherwise 87

90 Produced by IKEM Innovation and Chemical Industries in Sweden.