The social partners in the collective agreement are the Employer Organisation for Rural Areas (MTL) and the Wood and Allied Workers’ Union. The agreement is valid through 31.1.2010. It is applied to

• all employment relationships involving member companies of the Employer Organization for Rural Areas and the employees in the service of these companies
• to those employment relationships between non-unionized employers and their employees which are within the scope of the collective agreement, based on the general applicability of the collective agreement

The scope of the collective agreement:

• the agricultural industry, including the the further processing of products primarily produced on the farm, sales preparation, and sale of the products as a part of the farm economy or as a corporation affiliated with it
• vegetable and other primary product packaging facilities where owner corporations’ products are prepared for sale and stored
• the outdoor cultivation of vegetables, berries and specialty plants on a farm
• relief work in the agricultural industry
• poultry cultivation farms and poultry hatcheries
• bee farms
• fish farms and hatcheries
• horse stables, riding schools and hobby stables
• trotting stables
• zoos and parks for domestic animals
• private agricultural research institutes
• rural tourism as a farm’s supplemental industry
• animal shelters.

Wages and wage determination criteria

The individual employee's hourly wage is based on a job-specific pay component determined by the complexity of the work, and an individual pay component which is determined by the employee’s competence and professional performance.

A) Job-specific basic pay

Beginning 1 May 2009, collective agreement job-specific wages are based on the complexity of the work (euros/hour) as follows:

Job grade 1    7,57
Work which requires a short orientation but no previous experience.  Responsibilities and work strain are minimal.

Job grade 2    7,93
Work which requires previous experience to perform. The work strain is minimal and responsibilities average.

Job grade 3    8,32
Work which requires occupational training in the field or equivalent work experience.  Responsibilities and work strain are average.

Job grade 4    8,73
Work which requires occupational training and/or substantial work experience. Responsibilities and/or work strain are higher than average.

Job grade 5    9,11
Work which requires occupational basic training, supplementary education and/or diverse and substantial work experience.  The work entails a large amount of responsibility, independence or a management position. Work strain is high.

B) Individual pay component

Based on the demonstrated competence of the employee, the employer specifies the individual pay component. The individual pay component is defined, at the latest, 4 months from the beginning of the employment relationship. The minimum level is 2 per cent of the employee’s job grade pay.  The criteria for determining the individual pay component is specific for each corporation, and decided on by the employer.

C) Students, trainees, those in work orientation

Students in vocational educational institutions within the field whose work- based learning period is carried out within an employment contract relationship are paid at least 75 per cent of the job grade 1 wages.

Employees with no previous working experience in the field are paid at least 90 per cent of the job grade1 salary during their work orientation period. The work induction period salary can be paid for a maximum of 4 months.

Holiday compensation

Upon the termination of a fixed-term employment contract where the employer and employee have not agreed for the holiday compensation to be added to each salary payment, the holiday compensation that falls due will be paid as follows:

• 12.5 per cent of wages for the employee whose employment relationship has lasted less than one year
• 15.8 per cent of wages for the employee whose employment relationship has lasted, uninterrupted, over one year

Sick leave wages

For the time of sick leave or accident leave, wages paid by the employer depend on the duration of the employment relationship before the impediment to work began:

1) Duration of employment relationship less than one week → no wages

2) Duration of employment relationship at least one week → 50 per cent of the salary for the day of sickness and for the working days that fall within the following nine weekdays

3) Duration of employment relationship at least one month → full wages for the working days that fall within the following 28 weekdays.

Wages for sick leave, where the impediment to work lasts, at most,  one sick day and the six  working days following, and the employment relationship has lasted less than 10 months:  the first day of absence from employment  is an unpaid waiting day. An employer approved statement (a medical certificate) is a prerequisite for receiving wages during a period of disability.