VR seeks firm commitments in wage talks with employers

Thursday 3rd September 2026 on 15:16 in Iceland

Iceland, inflation, Wage negotiations

VR chair Halla Gunnarsdóttir told mbl.is that the union and SA had discussed a framework for upcoming collective bargaining talks at a meeting that ended recently. She said there was a willingness to negotiate, but that the sides remained far apart.

Asked whether VR believed the collective agreements were no longer holding because of inflation figures, Gunnarsdóttir gave little away. She said the union’s main focus was ensuring that wages kept pace with prices.

“Contractually agreed wages have not kept pace during the term of these agreements,” she said. She added that housing costs had risen sharply for most of the union’s members, whether they owned or rented their homes.

Gunnarsdóttir also said the union was concerned about growing pressure on families with children. She described an emerging generational inequality, with families being squeezed by housing costs and wages, as well as by changes to preschools that reduced services for children.

She said the government and municipalities had made promises in 2024 to hold back price and fee increases, but had failed to keep them.

“We do not feel able to continue with these same promises. We need to have something concrete in hand,” Gunnarsdóttir said.

VR and SA are scheduled to meet again in a week.

Source 
(via mbl.is)