Faroese craft unions agree three-year deal with municipal employers

Two craft workers’ unions and the Municipal Employers’ Association have accepted a three-year settlement, with a new allowance for hazardous work a key factor in the unions’ decision, KVF reports.

The parties accepted a proposal from the Conciliation Institution on Thursday evening. The unions are the Faroese Craft Workers’ Association and the National Association of Craft Workers, which negotiate jointly. Suni Simonsen, chairman of the Faroese Craft Workers’ Association, said the hazardous-work allowance was decisive in the unions signing the agreement.

Monthly wages will rise by 2.78 per cent from January 1, 2026, by 3.68 per cent from January 1, 2027, and by 4 per cent from January 1, 2028.

From April 1, 2027, workers will receive an extra 10 per cent per hour for work in tunnels; work with hazardous substances or materials that require special protective equipment, such as asbestos; work in steam boilers; work in used-oil, fish-oil and other tanks, as well as inside small tanks; and work in sewers.

A new overtime provision will take effect on January 1, 2027. Once overtime work begins, overtime pay will continue until the work is finished.