Settlement increases unsocial hours bonus for 7-Eleven workers

In April 1998, shortly before the main proceedings were due to begin in a Swedish court case regarding the unsocial hours bonus for employees in the 7-Eleven chain of shops, the employer agreed to sign a new collective agreement with the Commercial Employees' Union, thereby bringing the dispute to an end.

On 20 April 1998, main proceedings were due to begin in case before the Labour Court, in which the Commercial Employees' Union (Handelsanställdas förbund, Handels) had sued Small Shops Sverige AB, the company which operates the 7-Eleven chain of shops, for SEK 1 million compensation for a breach of the collective agreement (SE9703108N). On 8 April, however, the parties settled the dispute and agreed to withdraw the case from the court. A new collective agreement has been drawn up, in which the company agrees to pay its employees the same unsocial hours bonus as other employees in the retail trade.

The issue behind the dispute was whether the 7-Eleven shops are primarily grocer's shops or - as the employer claimed - rather a form of restaurant. The unsocial hours bonus is higher in the retail trade than it is for workers in the hotel and restaurant sector. Until the new settlement, Handels and Small Shops Sverige had a special collective agreement which meant that the employer could continue to pay the lower unsocial hours bonus between midnight and 06.00, providing that the shops sold only "fast food" and no "provisions" during that time, and that the provisions range was "suitably and effectively" screened off or covered. When Handels noticed that the employer was allegedly giving a very broad interpretation of the word "provisions" and continuing to sell the same goods at night as in the daytime, it sued the company.