Salary increase of 25% - Esmark and trade unions at Zelezara Smederevo signed new collective bargain

(Photo: zelsd.rs)

Representatives of American Esmark and representative trade unions at Zelezare Smederevo signed new collective bargain which, among other things, comprises salary increase of 25% this year and ten percent more next year.

After five-day negotiations between representatives of strategic partner and the workers of Serbian steel plant, Trade Union of metal workers, ASNS and Separate Trade Union, signed new Collective bargain which is valid 2015 to 2018.

- We agreed on salary increase of 25% now. It means to return salary amount to the one before decrease of 10 % due to crisis and additional 12,5 %. Apart from that, we agreed on salary increase of 10% more starting in 2016, Gujanicic said.

With this salary increase, salaries will practically be the same as before U.S. Steel.

The Government is waiting for the green light from the European Commission so that it could send governmental help to the steel plant and is has been negotiating with the strategic partner with respect business plan favorable for both parties.

Esmark offers investment of USD 400 m in the next five years, production start at the second high furnace and all 5000 jobs.