Automobile Dacia thrashes out pay rise with union

Newsroom 22/02/2010 | 10:38

Automobile Dacia and its employees’ union have come to agreement during negotiations over the collective labor contract for 2010. The carmaker announced that all 14,000 employees would receive a salary increase this year of RON 300.

Dacia representatives said that top management will have a pay rise of 8 percent starting in April. All employees will receive an exceptional bonus of RON 600, which will be paid in two tranches in March and September. In addition, this year the local carmaker’s personnel will receive a bonus of RON 700 for improving the company’s results, to be paid in May.

“We have signed a final agreement regarding salaries. It was a satisfactory negotiation. After this we have to negotiate aspects such as work conditions and work safety,” said Ion Iordache, Automobile Dacia union VP.Talks between the carmaker and the union started in mid-January, with workers demanding a pay rise of RON 520 per employee.

Automobile Dacia, part of the French Renault group, sold 311,282 cars last year, up 20.5 percent compared to 2008, but sales in Romania fell by more than 50 percent to 41,862 cars, although the company succeeded in slightly increasing its share of the local market.

The carmaker recorded a RON 230.28 million profit last year, up 3.7 percent against 2008, according to figures published by the firm in a draft merger document with Auto Chassis International Romania.