SUMMARY OF AGREEMENTS CONCLUDED BY TALO WITH THE GOVERNMENT OF THE ESTONIAN REPUBLIC

 

AGREEMENT ON SALARY OF EMPLOYEES OF THE ESTONIAN REPUBLIC, COVERED BY THE 1994 STATE BUDGET

The Minister of Social Affairs, Marju Lauristin, and the Chairman of TALO, Toivo Roosimaa, signed this agreement on 19 November 1993.

The eighth grade on the general wages scale was approved as an initial grade of the wages scale of employees belonging to TALO and people with secondary special education or equivalent special training. Salaries were to be regulated stage by stage:

-          In the first stage an adjustment of the wages scale took place, allowing introduction of higher wages scales in the sphere of culture, science, health care and education. From 1 January 1994 a new higher wages scale began to be introduced in the sphere of health care covered from the budget of health insurance; in the area of culture, science and education an additional remuneration fund of 25 million kroons was applied for from the state budget.

-          In the second stage from 1 July 1994 a new adjusted wages scale was applied according to new coefficients to all grades of the scale, for which extra funding of 130 million kroons was applied for in the supplementary budget of the second half-year.

 

AGREEMENT ON REMUNERATION IN 1995

The Minister of Social Affairs, Toomas Vilosius, and the Chairman of TALO, Toivo Roosimaa, signed this agreement on 23 November 1994.

In 1995 it was decided to raise the wages of employees of establishments financed from the state budget by at least 1.3 times as compared to the level predicted for the 4th quarter of 1994 – 1,600 kroons per month. In order to do so the Government devised and adopted on 1 January 1995 a new increased wages scale with 36 grades, which was introduced during the first quarter of 1995.

 

AGREEMENT ON REMUNERATION IN 1996

The Minister of Social Affairs, Toomas Vilosius, and the Chairman of TALO, Toivo Roosimaa, signed this agreement on 10 May 1996.

According to the claim by TALO, the wages of employees of establishments financed from the state budget were raised by 30 per cent in 1996. Considering the real possibilities of the state budget the government applied for allocation of an additional 50 million kroons in order to increase the wages of employees working in culture, education, science and archives. The Government reviewed the wages scale and the division of grades for 1997 based on the wages scale adjusted in 1996.

 

AGREEMENT ON CONDITIONS OF REMUNERATION IN 1997

The Minister of Social Affairs, Toomas Vilosius, and the Chairman of TALO, Toivo Roosimaa, signed this agreement on 7 October 1996.

From 1 January 1997 the remuneration fund of cultural and educational establishments entirely dependent on the state budget and the subsidy (allowing an increase in the remuneration fund) to public bodies partly dependent on the state budget, which were covered by the agreement, were increased by an average of 14 per cent. The Government of the Estonian Republic allocated 50 million kroons from their reserve capital to grant the 14 per cent salary increase for employees of the member organisations of TALO involved in education and culture.

 

AGREEMENT ON THE REMUNERATION FUND AND SUBSIDIES WAS NOT CONCLUDED IN 1998, as the demand by TALO to increase the minimum salary of specialists with higher education to 3,745 kroons per month was ignored. On 10 November 1997 the Minister of Social Affairs, Tiiu Aro, and the Chairman of TALO, Toivo Roosimaa, signed a protocol of disagreement over the remuneration fund and subsidies for the year 1998. On 27 November 1997 a warning strike took place, with the participation of 17,000 intellectuals. After that the Riigikogu added supplementary amounts to the state budget, which were not sufficient to meet the claims of TALO. On 2 April 1998 negotiations, which had been taking place through the public arbitrator, were terminated, as they had no prospect of success. At the same time it was decided that:

1.        the parties would form a joint work group in order to improve the basis of the wages arrangement of educational, research and cultural establishments. The work group would submit recommendations to the Government by 1 September 1998;

2.        the Government would seek to find options for creating a regional educational foundation in order to provide small rural schools with supplementary funding;

3.        the member unions of TALO have a right to negotiate with the ministries and institutions in their area of government in order to conclude agreements on the wage conditions of their members;

4.        negotiations on remuneration in 1999 would begin in April 1998. The parties would aim to conclude the negotiations by 1 September 1998 the latest.

 

AGREEMENT ON REMUNERATION IN 1999

The Minister of Social Affairs, Tiiu Aro, and the Chairman of TALO, Toivo Roosimaa, signed this agreement on 21 September 1998.

According to the appendices of the agreement, the Government of the Estonian Republic proposed a wages fund of 1,614.8 million kroons for employees of educational and cultural establishments (an increase in wages of about 30 per cent) and subsidies, allocations and operating costs of 1,483.2 million kroons for cultural, educational and public research establishments, which were not covered by the previous fund (an increase in wages of about 20 per cent), in the draft act of the state budget.

 

AGREEMENT ON THE BASIS OF WAGES ARRANGEMENTS

Although in spite of intense negotiations mediated by the public arbitrator the remuneration agreement for the year 2000 was not concluded, an essential development for the future was the “Agreement on the basis of wages arrangements” signed by the Minister of Social Affairs, Eiki Nestor, and the Chairman of TALO, Toivo Roosimaa, on 20 December 1999. This agreement fixed the basic principles of wages arrangements for members of TALO depending fully or partly on the state budget, which would serve as a basis for wages negotiations in future years.

 

AGREEMENT ON WAGES ARRANGEMENT REFORM IN 2001

The Minister of Social Affairs, Eiki Nestor, and the Chairman of TALO, Toivo Roosimaa, signed the agreement reached through the public arbitrator on 11 December 2000.

The parties considered it necessary to improve the wages arrangement for the members of TALO, creating a negotiation mechanism relying on social partnership, where one party consisted of TALO and its member unions and the representatives of the associations of employers of TALO members formed the other party. The partners of the negotiations are listed in the agreement.

In the process of improvement of wages arrangements, the aim was set that the minimum rate of wages for members of TALO with higher education, doing a full-time job that requires a higher education, should be at least at the level of the average national monthly salary, which by the end of 2001 was predicted to be 5,150 kroons.

Compared with the year 2000, the pay rise for teachers in general education schools and vocational schools was 15 per cent; in some higher educational establishments the average increase was 12 per cent; and for cultural workers the increase was 10 per cent.

 

AGREEMENT ON WAGES ARRANGEMENTS

The Minister of Social Affairs, Eiki Nestor, and the Chairman of TALO, Toivo Roosimaa, signed this agreement on 3 October 2001.

In drawing up a budget for 2002, the propositions on adjusting the grounds of wages arrangements made by TALO member unions, which are recognised as employees’ associations, were considered during the negotiations. The negotiations were based on the proposals of TALO member unions on minimum wage rates, which are reflected in the appendix of the agreement.

The representatives of the TALO member unions, in cooperation with the recognised federations of employers, will compile joint proposals on the minimum wage rates for 2003 by 1 March 2002. The suggestions made by social partners about the grounds for wages arrangements and the principles of a competitive wage policy which would meet their high levels of qualification will be taken into account while drafting the budget.

In the process of improvement of the wages arrangements for 2003, it will be considered that the minimum rate of wages for members of TALO with higher education, doing a full-time job that requires a higher education, should be at least at the level of the average national monthly salary, which is predicted to be 5,350 kroons by the end of 2002, and that its minimum growth in the next few years should not be less than the growth in the consumer price index predicted by the Ministry of Finance for the period under agreement.

 

 

 


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