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Swedish unions ask for 2.6 pct wage hike in 2010
By: AFX | 02 Nov 2009 | 06:46 AM ET
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STOCKHOLM, Nov 2 (Reuters) - Two Swedish union associations called on Monday for salary increases of at least 2.6 percent in 2010 but an employers' association said the demands were unreasonable in the current economic climate. Sweden's economy is expected to contract sharply in 2009, and some companies have cut deals with unions to reduce wages by reducing hours worked rather than eliminating jobs. Union association Facken inom industri, which represents industrial workers, issued the demand during a press conference. It was repeated less than an hour later by union group LO. LO said in a statement Swedish workers should not be blamed for the country's economic crisis. "Wage hikes that are too small lead to lower consumption, and ultimately, to higher unemployment," LO wrote in a statement. Sweden's top employer organisation dismissed the request as "entirely unreasonable" given the persistent trouble in the industrial sector, repeating that it saw no room for central wages hikes in 2010. Wage negotiations between unions and employers should be completed in spring of 2010. (Reporting by Daniel Dickson and Johan Sennero, writing by Nick Vinocur) (Stockholm Newsroom, tel: +46-8-700 1017, e-mail: stockholm.newsroom@reuters.com)) Keywords: SWEDISH UNIONS/ COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved.

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