Trade unions have warned of potential “disruptive actions” on Black Friday as negotiations for a new collective bargaining agreement for around 430,000 retail workers and 15,000 apprentices across Austria enter their fourth round on Thursday.

If no agreement is reached, the Black Friday sales event, as well as the following Friday and Saturday, will be impacted by the disruptions. However, the exact nature of these actions remains unclear.

Limited Progress on Apprentices’ Wages

Progress has been made on wages for apprentices, with a near consensus emerging that pay for first-year apprentices should rise from €880 to €1,000. However, unions and employers remain far apart on the overall wage increase for 2025.

Lead union negotiators, Veronika Arnost and Martin Müllauer, have made it clear that any agreement must offer a wage increase above the rolling inflation rate of 3.8%. “If we want workers to spend more, they need the assurance that their real wages will rise,” said Müllauer.

Employers Propose Two-Year Deal with Inflation Clause

The employers have proposed a 3.1% wage increase for 2025, with an additional 0.5% for 2026 – subject to inflation being under 2%.

The unions have rejected this proposal, arguing that inflation is likely to remain above 2% next year.

The unions are demanding a 4.3% wage increase for 2025 and are also seeking changes to the collective bargaining framework, including more leisure time for workers after several years of service.

Employers Warn of Financial Strain

A key issue in the negotiations is the payment for overtime, particularly the first one and a half hours worked each day, which are currently unpaid. This has been a point of contention, particularly for part-time workers.

Rainer Trefelik, head of the Austrian Chamber of Commerce’s trade division, warned that any wage increase beyond the employers’ offer would place undue strain on local businesses. He argued that higher wages would “completely overwhelm” retail companies, especially in the face of falling sales and rising costs.

As negotiations continue, both sides remain far from a final agreement, and tensions are expected to rise as the crucial shopping period approaches.