sponsored with funds of the European Union
Latvia (LV)
Employment
Latvia's agriculture employs 28,000 workers (with formal contracts), 80 % thereof working less than 8 months per year (22,400 employees). There is a large grey sector, with many people working in agriculture for a short time. They are not covered by the statistics.
International Comparison of Employment
Wages and Labour Costs
In Latvia company trade unions conclude collective agreements with agricultural entrepreneurs. Although there is no legal basis for it there are only very few agreements. Every year a summary of the agreements that were concluded is made. Agreements at the national or regional level may also be concluded. At the national level 60 % of the companies have to be prepared to do so, but they refuse.
More than two thirds of the employees work for the statutory minimum wage, which is € 170. 9 % are deducted from the employee's wage, and the employer has to pay 24.09 % of the employee's wage as welfare insurance contribution for the employee. The income tax level is 25 %. A minimum of € 70 is tax exempt.
International Comparison of Wages and Labour Costs
Working Time
The daily working time is 8 hours. There are company rules on the maximum number of working hours, extra hours are offset by leisure later on.
International Comparison of Working Time
Leave and Paid Holidays
The length of the annual holidays is 28 days. The trade unions are demanding extra holidays, e. g. 2 - 6 days for hard work.
International Comparison of Leave and Paid Holidays
Social Insurance
The welfare system is a state scheme. There is an insurance system for all industries, to which 33.09 % of the wage are paid.
The statutory minimum pension is € 101, the average pension is € 110.
A sick employee receives no wage for the first sickness day, thereafter the employer continues to pay 80 % of the wage for two weeks. Then the health insurance comes in. If the employer has not paid contributions to the insurance the worker receives no benefits!
Unemployment money is paid for 9 months, the amount being 80 % of the average income for 3 months, 50 % for another 3 months and the statutory minimum wage for the last 3 months. A person who has not worked for 12 months receives no benefits.
Occupational Health and Safety
In 2005 there were 11 deaths in agriculture. 100 % of costs are covered after accidents at work and on the way to and from work. The trade unions organise courses in health and safety at work and issue the according licenses/certificates. Every employee has to go to a course, which is paid by the employer. In larger companies there is an unpaid function as inspector for health and safety at work. The person has to pass an exam.
International Comparison of Occupational Health and Safety
Trade Union Influence
In agriculture about 4,000 workers are unionised (plus unemployed people, who pay no membership fees). The degree of unionisation is 10 %. In 10 % of the companies the trade unions are represented.
International Comparison of Trade Union Influence
Minimum Standards
There is a statutory minimum wage (cf. Table).
International Comparison of Minimum Standards
Trade Union Participation
The law provides the rules for participation in a tri-partite system. Trade unions have 7 seats along with 7 employer and 7 state representatives. In welfare matters two trade union representatives are on the council. The unions receive information on current government plans.
A current problem is the abolition of the "Sugar Act", which will have major implications on the number of jobs in agriculture and in the sugar industry. In this process the trade unions are heard and involved in the negotiations on the social plan.
International Comparison of Trade Union Participation
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