Scania has signed an agreement with the Swedish Metalworkers' Union and the white collar unions on a continued four-day week for 12,000 employees in its Swedish operations. The agreement will be valid during the first half of 2010. All employees work four day a week during the first quarter, volume-dependent
personnel also during the second quarter. The four-day week is applied without payroll deductions.
This solution is made possible by a local agreement, in which all reductions in working hours for 2010 from the nationwide collective agreements that have not already been utilised are concentrated on Fridays. The company will cover the rest of the hours, that is, the difference between the reduced working hours and complete time off.
As part of the agreement, no provision will be made to the Scania employee performance-based bonus foundation for the financial year 2009 and the guaranteed bonus amount for 2010 is being eliminated. In addition, disbursement of retroactive pay for 2009 and holiday supplement for 2010 will be delayed.
Scania undertakes not to issue any lay-off notice during the period of the agreement.
The new four-day week agreement applies to all Scania employees and managers at production, research and development units as well as administration and corporate staff units at Scania's operations in Sweden - some 6,000 white collar employees and 6,000 workshop employees in all.
The four-day week is a key element of Scania's strategy to preserve the collective competency of the company despite a very sharp decline in market demand.
The current four-day week agreement for Scania employees in Sweden has been in force since 1 June and expires at the end of 2009. This agreement was reached within the framework of the nationwide contract between the Swedish Metalworkers' Union (IF Metall) and the Association of Swedish Engineering Industries (Teknikföretagen) signed in March 2009. During the year, Scania has introduced various forms of
working week reductions for more than 2,000 employees in the Netherlands, France, Germany and elsewhere.