Resolution of the Central Committee of the Icelandic Federation of Labour, December 6, 2024.
The Central Board of the Icelandic Federation of Labour (ASÍ) fully supports Efling Union’s argument about the association “Virðing”, which has been established as a trade union without fulfilling the basic requirements that apply to such associations. The Central Board also endorses Efling’s warning to employees in the restaurant sector to stay away from the association and not participate in activities that aim solely to reduce wages and undermine rights that have been won through decades of struggle.
“Virðing” falls under the definition used for so-called “yellow unions”. This refers to associations that employers take the initiative to establish and manage, thus effectively concluding collective agreements with themselves. There is no doubt that at least two directors of “Virðing” are directly involved in the operation of restaurants as owners or directors. These restaurants operate within SVEIT, an association of companies in the restaurant market.
Such organizations are not trade unions within the meaning of the Constitution of Iceland, Act No. 80/1938, or within the human rights treaties to which Iceland is a party. Legal collective agreements are already in force for the vast majority of employees working in this sector throughout the country, including for the vast majority of employees working for member companies of SVEIT and who are members of Efling and other unions within ASÍ.
The Central Board of ASÍ therefore directs all honest employers to categorically reject the goals and methodology of restaurateurs within SVEIT and “Virðing”, which undermine the rights of employees to create for themselves a better competitive position vis-à-vis those who legally operate their companies.
The Central Board therefore also directs ASÍ member unions to respond with full force to this enforcement of the terms and rights of employees and to take the necessary actions to repel it.
The Central Board draws attention to the fact that the collective agreement between “Virðing” and SVEIT includes a clear intention to reduce the terms and rights of employees in the restaurant sector. This applies to extending daytime working hours, reducing evening shift pay, directly reducing wages in the case of an employee in a restaurant with one year of work experience, reducing vacation rights, reducing sick leave rights, and more. In addition, “Virðing” does not fulfill various statutory obligations towards its members, including those relating to the operation of a health fund and an educational fund.
The Central Board believes that the name of this new “union” reflects abject impudence and that its alleged “collective agreement” with SVEIT includes enforcement and complete disrespect towards working people in the country and legal institutions in the labor market. Employers who act in this way are not worthy of respect.
The Central Board of the Icelandic Federation of Labour declares its unwavering and unconditional solidarity with workers in the restaurant sector. The Central Board declares its support for their fight for rights and for the conclusion of real collective agreements instead of systematic efforts to exploit low-wage workers, especially immigrants and young people. Attacks of this nature may be responded to with the weapons at the disposal of the labor movement.