Trade Collective Agreement: Renegotiations Now Threatened
The currently high inflation is causing the two-year collective bargaining agreement in trade to falter. Last year, the union and traders agreed on a staggered salary increase for 2026, dependent on inflation. However, if the inflation rate is 3 percent or more from October 2024 to September 2025, the collective agreement for 2026 becomes void. "With high probability, we will have to negotiate," said WKÖ trade chairman Rainer Trefelik on Friday.
Inflation rose in August
The rolling inflation from September 2024 to August 2025 - the basis for negotiations for the metalworkers' collective bargaining starting on Monday - is already at 2.8 percent. The inflation rate in August rose to 4.1 percent. A similarly high rate of inflation is expected for September.
Specifically, the agreed staggered increase for the trade collective agreement 2026 was as follows: Up to a rolling inflation of 2.3 percent, salaries would have been increased by 0.5 percent above the inflation rate. With an annual inflation of 2.4 and 2.5 percent, 0.4 percent would have been added. At 2.6 percent inflation, the increase would have been 0.3 percent, at 2.7 percent only 0.2 percent above inflation was planned, and at 2.8 percent only 0.1 percent. At 2.9 percent inflation, only the inflation would have been compensated. For a rolling consumer price increase of three percent or more, the social partners had agreed on renegotiations.
October brings quick estimate
Union and traders are eagerly awaiting the September inflation quick estimate from Statistics Austria on October 1. The final inflation figures will then be published in mid-October. The trade sector employs around 450,000 employees and apprentices and 120,000 workers in Austria. After several years of real sales declines, the first half of the year was somewhat better. "It is a positive signal, but not yet a trend reversal. It remains a difficult situation," said the WKÖ trade chairman in response to a journalist's inquiry.
(APA/Red)
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