Federation of Enterprises in Belgium finds national protest for better wages inappropriate

Some 500 demonstrators from Belgium's three largest trade unions marched to the headquarters of the Federation of Belgian Enterprises (FEB) in Brussels on Friday morning to demand higher wages, as the prices of energy, fuels and food continue to rise. Commenting on the demonstration, the FEB said it considered the action "totally irresponsible and inappropriate in the current economic context".
Both in the Belgian capital and in other places in Flanders and Wallonia, protests were held on Friday to urge for higher wages, especially now that prices for energy and food are skyrocketing. The protests focused on the 1996 wage standard law which, according to the trade unions, puts a brake on wage increases to protect the competitive position of Belgian companies in relation to neighbouring countries.
According to Chris Vanmol, trade union secretary at the General Confederation of Christian Trade Unions, it is a "bad law" that does not take a number of issues into account.
Michaël Dufrane, Brussels regional secretary of General Confederation of Liberal Trade Unions of Belgium said that "it is our intention to obtain a reform of this law. The IPA, the interprofessional agreement that sets the wage standard for the private sector 2020-202, ensures that wages can only increase by 0.4 per cent. We understand that during the corona crisis some sectors were in great difficulty, but certainly not all of them. Today we see companies and sectors making huge profits, but with nothing in return for the workers' efforts."
The trade unions address their question to the government, but also to the employers.
"It is important that they also hear about the problems their employees are facing today," Dufrane emphasised. "It is the employees who provide the large profits through their work. Those profits must be distributed more fairly," Vanmol added.
Grégory Dascotte of the Socialist Trade Union said that "we are faced with an exceptional situation in terms of purchasing power and we need exceptional measures. The automatic indexation is not enough. It is not an increase in purchasing power."
In a reaction, the Federation of Enterprises in Belgium says it considers the action "completely irresponsible and inappropriate in the current economic context".
"We have to realise that Belgium is about the only country that still has a system of generalised automatic wage indexation in the private sector. That makes our small export-oriented economy extremely vulnerable compared to our neighbouring countries and our main trade partners. It is a pity that the trade unions do not know their history and, for the umpteenth time in the event of a major economic shock, opt for the short term: extra wages on top of wage indexation, at the expense of long-term employment," the FEB says.
"If the unions want to put an end to the wage standard and want completely free wage negotiations, that is no problem for us. So it is either the law on the wage standard and indexation, or no law on the wage standard and no automatic indexation," the FEB explained.
The unions emphasise that Friday's action is meant as an announcement of the big demonstration planned for 20 June.
(AHU)
© Belga Photo Tijs Vanderstappen - Illustration picture taken during a demonstration of the three trade unions FGTB-ABVV - ACV-CSC and ACLVB-CGSLB, in Antwerp, Friday 22 April 2022.