15.12.2022
The representatives of the management and trade union at VÍTKOVICE STEEL concluded collective bargaining and agreed on a new wording of the collective agreement for the next 5 years and on salary development and benefits for the next year. Employees' wages and bonuses will increase by a total of up to 12% if the specified criteria are met.
"Currently we are affected by high energy prices, complications in logistics and weak demand for steel products, but we did well in the first three quarters and we expect the situation to improve next year. We are working on austerity measures and concentrating on business and interesting orders. That's why we can afford to agree on such increase package," said Radek Strouhal, CEO of VÍTKOVICE STEEL.
According to the signed amendment, an average of 1,200,- CZK will be added to the wages of employees from April 1, 2023, and additional money for benefit and bonus programs. For example, they receive a summer bonus of 3,000 crowns and a Christmas bonus of 5,000 crowns upon meeting economic indicators.
"We managed to be among the first companies in the region to complete collective bargaining, and we also have an agreement for the next few years. It is important for us that employees perceive that we value and appreciate their work. Maintaining employment and security for all of them is our long-term goal, especially in the difficult times experienced by the whole of Europe. We thank the trade union for approaching the negotiations in a very constructive manner, despite frequent disagreements, and for being willing to conduct a dialogue on a wide range of topics, which eventually resulted in a final mutual agreement," added Kateřina Nogolová, HR Director of VÍTKOVICE STEEL.
The new wording of the collective agreement for the next 5 years, i.e. until the end of 2027, will bring to the company's employees, for example, an increase in all additional payments - e.g. for night shifts, risks at the workplace, keeping on emergency etc., starting in January 2023. The agreement also includes an increase severance pay in case of organizational changes and other partial adjustments mainly related to changes in the Labor Code.
After accounting for rewards, benefits and adjustments according to the new collective agreement, employees who meet all criteria will have an average of up to 12 percent more than they currently do.
"Employees can be satisfied with the resulting compromise, even though we entered the negotiations with a higher target due to high inflation. However, it is necessary to realize how difficult the time is for the industry, currently. This year showed us how the situation can be changeable and the cooperation between unions and management must work," added Roman Ďurčo, chairman of the company trade union organization and chairman of OS KOVO.
VÍTKOVICE STEEL, a. s. is a traditional European producer of rolled steel products, the largest producer of steel heavy plates in the Czech Republic and the only producer of so-called sheet piles in the Czech Republic. The company employs almost 900 people. Most of the Ostrava company's products are used in construction and engineering. The 70% of the products sold go abroad.
