Efling announces action against 100 restaurants in SVEIT

Efling Union has sent a letter to the representatives of 108 restaurants in the capital area, which according to Efling’s latest available information are members of SVEIT, the association of companies in the restaurant market. In the letter, the restaurant representatives are informed of the actions that Efling intends to take due to the so-called collective agreement between SVEIT and the pseudo-union Virðing, which SVEIT itself is behind.

Efling has in its possession a list of SVEIT members dated September 11, 2023. That list of members was submitted in connection with SVEIT’s legal case against Efling before the Icelandic Labour Court, a case which SVEIT lost. In Efling’s letter, signed by chairwoman Sólveig Anna Jónsdóttir, the restaurant representatives are asked to send a notification to Efling if their companies are no longer members of SVEIT.

As has been clearly stated before, Virðing is a pseudo-union, controlled by employers from the ranks of SVEIT and their close family members, and not by workers. The so-called collective agreement between Virðing and SVEIT is, apart from not being under the provisions of Icelandic law, designed to restrict the rights of employees to the benefit of employers.

Because of this, Efling will take a variety of actions that directly target both SVEIT and individual SVEIT member companies. These actions are discussed in more detail in Efling’s statement below.

Efling’s letter to restaurants in SVEIT

Reykjavík, December 10, 2024

Subject: Your company’s membership in SVEIT and Efling’s actions in response

Efling Union has in its possession the membership register of the Association of Companies in the Catering Industry (SVEIT) dated September 11, 2023. The membership register was submitted by SVEIT due to a court case that the association filed in the Icelandic Labour Court against Efling and lost.

According to this membership register, which is the latest available information that Efling has, your company is a member of SVEIT. I apologize in advance if this information is incorrect. If your company is no longer a member of SVEIT, I ask you to send a notification to this effect at the first opportunity to my email address solveiganna@efling.is and I also ask you to ignore this letter.

SVEIT stands behind the company “Virðing” which has been falsely presented as a trade union. The board of directors of “Virðing” consists of employers from the ranks of SVEIT and their close family members. “Virðing” is not a union but a sham set up to deceive employees in the restaurant sector into accepting lower wages than they are entitled to according to Efling’s collective agreement with the Confederation of Icelandic Enterprize (SA).

“Virðing” has signed a so-called collective agreement with SVEIT dated 25.10.2024, in which the wages of employees in restaurants fall below the minimum wage stipulated in the collective agreement between Efling and SA, their rights are reduced in countless respects and go against the provisions of the law that guarantee employees’ rights regarding leave, illness, etc.

Efling has publicly explained all of the above, including on the union’s website www.efling.is, and I assume that the media coverage regarding this has not escaped you.

For this reason, Efling will take action that concerns both SVEIT and individual SVEIT member companies. These actions will include, among other things, the following:

  • Investigation of the legal basis for reporting individual SVEIT member companies to the police, concerning the provisions of Chapter 26 of the General Penal Code on the crime of enrichment. Violations of these provisions can result in imprisonment for up to six years.
  • Publication of the names and trademarks of SVEIT member companies.
  • An advertising campaign where special emphasis will be placed on publishing the names and trademarks of SVEIT member companies. 
  • On-site visits where employees of SVEIT member companies will be informed about SVEIT’s attacks on wages and their rights and informed about the company’s membership in SVEIT.
  • On-site actions where customers of SVEIT member companies will be informed about SVEIT’s attacks on wages and employees’ rights and informed about the company’s membership in SVEIT.
  • Support for protests and legitimate resistance by employees of SVEIT member companies on the ground against any attacks by SVEIT on wages and employee rights.
  • Support for all restaurant employees, whether they have paid a premium to Efling or not, in drawing up wage claims demanding payment of wages per Efling’s legal agreement with the Confederation of Icelandic Enterprises. Such claims will be pursued in court and Efling will publicly publish the names of companies that defraud employees of wages in this way.

Sólveig Anna Jónsdóttir 
Chairman of Efling Union