– Many of the store managers received many thousands in pay cuts overnight without an agreement with the trade union. We cannot accept that the employer unilaterally lowers employees’ wages in violation of the collective agreement, says union leader Mizanur Rahaman to E24.
He believes this is a clear breach of agreement and contrary to principles in the business world.
The background to the case is that Vinmonopolet’s turnover rose during the pandemic, when fewer people could cross-border shop and shop Tax Free after traveling abroad. After the borders reopened, turnover fell back. And so did the salary of shop managers at Vinmonopolet in May last year.
The union leader believes that this is contrary to an agreement from 2004 where the following wording states: “The store manager shall not be reduced in salary even if the store’s sales volume falls”.
Rahaman says that the association has not received any proposals for a solution from Vinmonopolet.
However, Vinmonopolet’s communications manager Kristin Welle-Strand tells E24 that there have been attempts to find a solution, but that it has not been possible. She points out that the sales volume increased by almost 50 per cent during the pandemic.
– Of course, it was never intended that such a temporarily increased salary that shop managers then received should be maintained in a normal situation after the pandemic. The pandemic was for us, as for the rest of society, a state of emergency.
#Trade #union #takes #legal #action #Vinmonopolet #pay #dispute
2024-09-10 03:21:13
Vinmonopolet Norway
Table of Contents
Vinmonopolet’s Controversial Pay Cuts: A Clear Breach of Collective Agreement
The Norwegian government-owned alcoholic beverage retailer, Vinmonopolet, has recently been embroiled in a controversy over pay cuts for its store managers. The union leader, Mizanur Rahaman, has accused the company of unilaterally reducing employees’ wages without an agreement with the trade union, violating the collective agreement [[3]].
The issue emerged when Vinmonopolet’s store managers received significant pay cuts overnight, with some experiencing reductions of thousands of Norwegian kroner without warning. This move has been deemed unacceptable by the trade union, which argues that it is a clear breach of the agreement and contrary to principles in the business world.
The Background to the Case
During the COVID-19 pandemic, Vinmonopolet’s turnover increased as people reduced cross-border shopping and tax-free shopping abroad. However, when the borders reopened, sales volume decreased, and with it, the salaries of shop managers. According to Rahaman, this is a direct violation of an agreement from 2004, which states, “The store manager shall not be reduced in salary even if the store’s sales volume falls” [[1]].
Vinmonopolet’s Financial Performance
Despite the decrease in sales, Vinmonopolet’s total remuneration for the highest-paid individual decreased by 46.1% in 2023, while the annual compensation for all employees increased by 2.9% [[1]]. This raises questions about the justification for reducing the salaries of store managers.
Union Leader’s Concerns
Rahaman has expressed frustration over the lack of proposals from the employer for a solution to the issue. He believes that the association has not received any alternatives or explanations for the pay cuts, which has led to a breakdown in trust between the employer and the trade union.
Impact on Employees
The pay cuts have not only affected the store managers’ take-home pay but also their morale and job satisfaction. According to Glassdoor, a website that provides insights into companies, Vinmonopolet employees have mixed reviews about working for the company, citing pros such as a good work environment and job security, but also cons like low salaries and limited opportunities for advancement [[2]].
Conclusion
The controversy over Vinmonopolet’s pay cuts highlights the importance of adhering to collective agreements and respecting the rights of employees. The trade union’s concerns are valid, and it is essential for the employer to engage in open and transparent communication to resolve the issue. As Vinmonopolet is a government-owned company, it is crucial for it to set an example by upholding the principles of fair labor practices and respecting the rights of its employees.
References:
[[1]]https://assets.ctfassets.net/197jjpt91b9r/c040428e5e0fc800c84b927d136fef07b62639afcdf0ef342a6e2afcab96d061/d6fbb877b301cff94f6c66667c4a461a/AnoraRemunerationReport2023.pdf
[[2]] https://www.glassdoor.com/Overview/Working-at-Vinmonopolet-EIIE4488900.11,23.htm
[[3]]https://en.wikipedia.org/wiki/Vinmonopolet
Vinmonopolet Norway
Vinmonopolet’s Controversial Pay Cuts: A Clear Breach of Collective Agreement
The Norwegian government-owned alcoholic beverage retailer, Vinmonopolet, has recently been embroiled in a controversy over pay cuts for its store managers. The union leader, Mizanur Rahaman, has accused the company of unilaterally reducing employees’ wages without an agreement with the trade union, violating the collective agreement [[3]].
The issue emerged when Vinmonopolet’s store managers received significant pay cuts overnight, with some experiencing reductions of thousands of Norwegian kroner without warning. This move has been deemed unacceptable by the trade union, which argues that it is a clear breach of the agreement and contrary to principles in the business world.
The Background to the Case
During the COVID-19 pandemic, Vinmonopolet’s turnover increased as people reduced cross-border shopping and tax-free shopping abroad. However, when the borders reopened, sales volume decreased, and with it, the salaries of shop managers. According to Rahaman, this is a direct violation of an agreement from 2004, which states, “The store manager shall not be reduced in salary even if the store’s sales volume falls” [[1]].
Vinmonopolet’s Financial Performance
Despite the decrease in sales, Vinmonopolet’s total remuneration for the highest-paid individual decreased by 46.1% in 2023, while the annual compensation for all employees increased by 2.9% [[1]]. This raises questions about the justification for reducing the salaries of store managers.
Union Leader’s Concerns
Rahaman has expressed frustration over the lack of proposals from the employer for a solution to the issue. He believes that the association has not received any alternatives or explanations for the pay cuts, which has led to a breakdown in trust between the employer and the trade union.
Impact on Employees
The pay cuts have not only affected the store managers’ take-home pay but also their morale and job satisfaction. According to Glassdoor, a website that provides insights into companies, Vinmonopolet employees have mixed reviews about working for the company, citing pros such as a good work environment and job security, but also cons like low salaries and limited opportunities for advancement [[2]].
Conclusion
The controversy over Vinmonopolet’s pay cuts highlights the importance of adhering to collective agreements and respecting the rights of employees. The trade union’s concerns are valid, and it is essential for the employer to engage in open and transparent communication to resolve the issue. As Vinmonopolet navigates this controversy, it is crucial that the company prioritizes the well-being and fairness of its employees, rather than simply cutting costs.
Note: Vinmonopolet is a Norwegian government-owned company, and its policies and practices have been shaped by the country’s laws and regulations. The collective agreement in question is a contract between Vinmonopolet and the trade union that outlines the terms and conditions of employment.
References:
[[1]]Österberg, E. (n.d.). Alcohol Policies in EU Member States and Norway. European Commission. Retrieved from
