Rumania - Turkish employer refuses to sign labour agreement in alleged application of “orders from Turkey”

The company Kablutronik successfully produced cables for fridges and washing machines over the years registering a 20 per cent rise in productivity. Industrial relations also tended to be constructing at the company resulting in a collective agreement stipulating a salary raise of 12 per cent for the workers as well as other benefits such as meal and holiday vouchers. However, at the end of the bargaining process the manager refused to finalise the conclusion of the agreement and instead signed additional addendums to each individual employment contract. Although the employer explained this refusal by citing “orders from Turkey”, the real reason seems to be the company’s plan to hire more workers. The individual negotiation of work contracts would make this a much less costly investment. The company therefore seems to have resorted to weakening collective bargaining. The trade union has brought the case to court, requesting the formal recognition of the result of the bargaining process and in the meantime has called for a strike to exercise pressure on the management.

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