Agreement signed for blue-collar workers in the Luxembourg steel industry

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In October 1997, the social partners signed a new collective agreement for 4,000 blue-collar workers in Luxembourg's steel industry. It runs for two years, and includes a general pay rise of 0.92%.

Trade unions and employers signed a new two-year collective agreement in October 1997 for 4,000 blue-collar workers in the steel industry. It is backdated to 1 January 1997, and will run until 31 December 1998.

The trade unions had negotiated on the basis of the existing collective agreement, demanding improvements on various points, while the employers sought a new pay structure for craft workers and proposed a profit-sharing scheme. The partners finally settled for the gradual introduction of a new pay structure covering all employees, although blue-collar workers also insisted on a short-term agreement that brought them an immediate tangible gain.

The final terms of the settlement were accepted by representatives of the LCGB union without too much difficulty, but the OGB-L had to organise two meetings (on 6 and 13 October 1997) before agreement was finally reached by a majority vote. The main provisions of the deal are as follows:

• the setting up of a joint training committee;

• the introduction of a profit-sharing bonus for blue-collar workers of between 0.25% and 1.75% of monthly pay. This bonus was already in place for white-collar workers (LU9704105N);

• an increase of the 13th month payment, currently 34% of one month's pay, to 40% from 1 January 1997 and to 45% from 1 January 1998; and

• the overall pay increase comes to 0.92%.