Comment regarding the labor conflict in Satu Mare, Romania

A number of employees at Electrolux manufacturing facility in Satu Mare are currently engaged in a strike as the company and the local trade union have not been able to agree on terms for a new collective labor agreement. In response to frequently asked questions regarding this labor conflict, and to incorrect statements by some parties,
Electrolux position is as follows:

What is the cause of the conflict?

Electrolux has from the beginning of negotiations in December, 2018, been mindful of the initial requests of the trade union leaders: an increase in the base salary, higher than the inflation rate in Romania, a presence bonus, as well as private medical insurance. All these requirements were fulfilled in the company’s first proposal. However, trade union leaders have subsequently and repeatedly raised their demands to a level where Electrolux would be unable to ensure a sustainable and competitive operation in Satu Mare.

How much are you offering?

As of April 18, Electrolux offered a two-year increase of 26.4% in the total potential salary of our production employees (13.2% per year). Additionally, Electrolux offers a series of benefits such as meal vouchers, annual bonus, social contribution compensation and holiday vouchers. Furthermore, the benefits package includes compensatory salaries, retirement bonus and up to 28 days of holiday per year.

Why are you not paying “minimum wages” or “living wages” to your employees?

There has been false information to this effect repeated in some media articles and comments. Electrolux offer would already in the first year provide production employees at the Satu Mare plant with an average wage that is 70% higher than the Romanian national minimum wage. Regarding the concept of “living wages,” there is a lack of internationally accepted standards for such a measurement. Electrolux however applies the same principles in Romania as in all other Electrolux locations, closely monitoring conditions locally, and has verified it is among the top employers in Satu Mare as regards compensation. The fluctuation rate for permanent employees at the factory was less than 5% in 2018, also showing Electrolux is an attractive employer in the region.

If that’s the case, why have your employees been on strike for so long?

That is a question for the union leaders, but we want to highlight that out of the more than 900 people employed in Satu Mare, around 60% are not involved in the strike.

Why are you not continuing negotiations with the trade unions?

Electrolux is committed to the safety, wellbeing and satisfaction of all our employees. Reaching a collective agreement is therefore a priority for the company. So far, we have held over 20 negotiating sessions and the latest offer as of April 16 is evidence that we are continuing our attempts reach a constructive solution. We remain to open for further dialogue with the unions in order to resolve this situation and reach a final agreement.

For further information, please contact

Electrolux Press Hotline, +46 8 657 65 07.