Release 14.12.2017
HKScan has been negotiating with employees of the Estonian Rakvere unit concerning the employees’ requests for changes in their employment conditions. Official negotiations between 25 slaughter line employees and the employer started on 24 October. The Public Conciliator led the negotiation process that ended today without a mutually satisfactory resolution.
“The decision of the employees’ representatives to end the negotiations after the meeting today is naturally a disappointment for us. This year, HKScan has made a number of important and financially significant decisions to improve the working environment. We have also openly and transparently provided analysis and summaries of salaries and salary trends in Estonia and Rakvere to all the negotiation parties,” says Anne Mere, EVP of HKScan’s Baltic market.
“In addition, we proposed to the Public Conciliator that we should consult the opinion of an independent expert who would neutrally and factually analyse the situation in broader terms. We therefore kindly request the employees’ representatives to re-consider the decision to discontinue the negotiation process,” Mere adds.
“Looking at the total cash compensation payed to the 25 slaughter line employees, their salaries are 19% higher than the market median. Between 2013 and 2016, the total cash compensation paid to these employees has increased on average by 6% per year. In addition, the company offers a number of additional employee benefits that are not provided by many similar companies,” explains Mere.
Regardless of the negotiation process, HKScan has decided to update and harmonize the entire company’s compensation system in the first quarter of 2018. The new compensation system will be more transparent and clear. It will also ensure the employer’s competitiveness.
“We underline the importance of dialogue. We will therefore form a co-operation committee in Estonia, which will regularly discuss company developments and personnel issues. The committee will include employees from each production unit and it will also participate in the compensation system renewal described above,” added Mere.
HKScan assigns high value to being a responsible and competitive employer in Estonia. The company has made significant investments in Estonia, and since the late 1990s has been a key contributor in developing the Estonian food industry. Moreover, HKScan has today announced plans to invest eight million euros in the Group’s Rakvere unit in Estonia.
For further information: please call the HKScan’s media service number: +358 10 570 5700 or by email: communications@hkscan.com
HKScan is a leading Nordic food manufacturer. We sell, market and produce high-quality, responsibly produced pork, beef, poultry and lamb products, processed meats and convenience foods under strong brand names. Our customers are the retail, food service, industrial and export sectors, and our home markets comprise Finland, Sweden, Denmark and the Baltic countries. We export to almost 50 countries. In 2016, HKScan had net sales of almost EUR 1.9 billion, and had approximately 7 300 employees.