Minimum Wage-Fixing Machinery Convention, 1928 (No. 26) - Norway (Ratification: 1933)

Replies received to the issues raised in a direct request which do not give rise to further comments (CEACR) - adopted 2019, published 109th ILC session (2021)

The Committee notes the information provided by the Government, which answers the points raised in its previous direct request and has no further matters to raise in this regard.

Direct Request (CEACR) - adopted 2012, published 102nd ILC session (2013)

Articles 1 and 3 of the Convention. Minimum wage fixing machinery. The Committee notes the information provided by the Government in its report concerning the latest amendments, introduced in 2008 and 2009, to the General Application Act No. 58 of 4 June 1993 with a view to strengthening compliance, for instance by obliging main contractors to include clauses in contracts with subcontractors to ensure that the employees of the subcontractors enjoy pay and working conditions in line with the applicable provisions of the collective agreement which has been made generally applicable by decision of the Wage Committee (or Tariff Board). The Committee also notes the Government’s indications that after the EU enlargement in 2004 labour migration has increased significantly leading to an extended use of the General Application Act. Consequently, in the last three years, the Wage Committee decided to extend the application of parts of the collective agreements for the engineering industry, the agriculture and horticulture sector, and the cleaning sector. While noting these developments, the Committee requests the Government to provide information on the number and regulation of minimum pay levels of workers who are not covered by collectively agreed minimum wages. It also requests the Government to provide information on any new decisions of the Wage Committee making parts of collective agreements generally applicable and other relevant developments (for instance, reports or studies evaluating the present system of extension of collective agreements, any follow-up action with respect to proposals for the introduction of a statutory national minimum wage, etc.).

Direct Request (CEACR) - adopted 2008, published 98th ILC session (2009)

The Committee notes the information provided in the Government’s report, in particular the adoption of Act No. 58 of 4 June 1993 concerning the general application of wage agreements which was first put into practice in 2004. The Committee notes the Government’s explanations that the Act enables the extension of specific provisions of a collective agreement, by means of a decision of the Wage Committee taking the form of an administrative regulation, to all persons performing work within the scope of the decision, both Norwegian organized and non-organized workers and foreign workers. Under section 1.1 of the Act, the purpose of the Act is to ensure that wages and working conditions for foreign employees are equivalent to the conditions applicable to Norwegian employees in order to prevent employees from carrying out work under conditions which seen as a whole could be considered to be inferior to those provided for in nationwide wage agreements in force for the specific trade, business or industrial sector in question. In addition, the Committee notes the information concerning the practical application of the Act so far, especially the regulation adopted by the Wage Committee in November 2006 by which for the first time a collective agreement, i.e. the Construction Sector Agreement, was made generally applicable at the national level setting the minimum hourly rate for a skilled worker employed on a building site at Norwegian krone (NOK) 132.25 (approximately 16 euros), and at NOK118 (approximately 14.5 euros) for an unskilled worker. The Committee would appreciate if the Government would continue to provide information on the operation of the Wage Committee and any future decisions extending collective agreements to foreign workers in sectors other than the construction sector.

Moreover, the Committee notes that collective agreements, which currently cover approximately 53 per cent of workers in the private sector can be extended through so-called “application agreements” (also known as “association agreements”, “hanging agreements” or “declaration agreements”) under which a non-organized company enters into an agreement with unionized workers to apply the provisions of already negotiated agreements in other companies within a given industry. According to the Government’s report, the mechanism is relatively commonly used and is believed to cover at present approximately 15 per cent of private sector employees. The Committee would be grateful if the Government would continue to supply all relevant information in this regard, especially in view of the fact that the coverage rate of collectively agreed minimum wages is clearly lower in low-paid industries, such as hotels and restaurants, where protective minimum wage floors might be most needed.

Part V of the report form. The Committee notes that under section 8 of the 1993 Act on the general application of wage agreements, any employer who wilfully or inadvertently fails to comply with a decision made by the Wage Committee is liable to a fine. It also notes the Government’s indication that the Labour Inspection Authority and the Petroleum Safety Authority (PSA) are responsible for enforcing the decisions of the Wage Committee. The Committee requests the Government to supply more detailed information on the manner in which the Convention is applied in practice, including for instance available statistics on inspection results showing the number of infringements observed and sanctions imposed, any specific difficulties encountered with regard to wage dumping and the measures taken or envisaged in response, copies of official documents or studies addressing issues dealt with in the Convention, such as annual reports of the tripartite Technical Reporting Committee on Wage Negotiation, etc.

Finally, the Committee wishes to draw the Government’s attention to the conclusions of the ILO Governing Body on the continued relevance of the Convention based on the recommendations of the Working Party on Policy regarding the Revision of Standards (GB.283/LILS/WP/PRS/1/2, paragraphs 19 and 40). In fact, the Governing Body has decided that Convention No. 26 is among those instruments which may no longer be fully up to date but remain relevant in certain respects. The Committee therefore suggests that the Government should consider the possibility of ratifying the Minimum Wage Fixing Convention, 1970 (No. 131) which marks certain advances compared to older instruments on minimum wage fixing, for instance, as regards its broader scope of application, the requirement for a comprehensive minimum wage system, and the enumeration of the criteria for the determination of minimum wage levels. The Committee requests the Government to keep the Office informed of any decision taken or envisaged in this regard.

Direct Request (CEACR) - adopted 2003, published 92nd ILC session (2004)

The Committee notes the information contained in the report provided by the Government. It notes from the report that Act No. 2 of 15 February 1918 respecting industrial home work was repealed by Act No. 2 of 6 July 1995. The Committee notes that, ever since that date, there has been no system for fixing minimum wages and that the wage rates applicable in the country are now solely set by the social partners. Recalling that the objective of the Convention is the creation and maintenance of machinery whereby minimum rates of wages can be fixed for workers employed in trades in which no arrangements exist for the effective regulation of wages by collective agreement or otherwise, and in which wages are exceptionally low, that is lower than the average wage earned in the country by wage earners in organized industries, the Committee requests the Government to indicate whether there exist at the national level trades or parts of trades answering to the specifications. Indeed, the Committee is of the opinion that even though, in accordance with Article 1, paragraph 1, of the Convention, a State which ratifies this instrument is not bound to create or maintain machinery for the fixing of minimum wages where arrangements exist for the effective regulation of wages by collective agreement, a system for the fixing of minimum wages, whether it is legislative or by agreement, can be considered effective within the meaning of the Convention only in so far as it excludes the possibility of exceptionally low wages and establishes real minimum rates below which workers’ earnings must not fall. The Committee is therefore bound to request information on the number of workers who are not covered by minimum wages established by collective agreement, the coverage rate of collective agreements which fix minimum wages and the rates of such wages, particularly with regard to home work, as well as on sectors which are not covered by collective agreements establishing minimum wages.

The Committee also notes the Government’s statement to the effect that at present the application of existing collective agreements has not been extended to foreign employees, as permitted under Act No. 58 of 4 June 1993. With reference to the above developments in relation to the objective of the Convention, the Committee asks the Government to indicate in its next report the average rates of the wages applicable to these workers and the number of such workers. In addition, it requests the Government to specify whether the Wage Board established by Act No. 58 of 4 June 1993 will seek, as authorized by section 3(3) of the Act, to undertake at its own initiative the extension of existing collective agreements to make them applicable to foreign employees.

Finally, the Committee notes the Government’s statement that the labour inspection services do not have statistical data relating to the area covered by the Convention. Recalling that Article 4, paragraph 1, of the Convention requires each Member which ratifies it to take the necessary measures, by way of a system of supervision and sanctions, to ensure that the employers and workers concerned are informed of the minimum rates of wages in force and that wages are not in practice paid at less than the minimum rates applicable, the Committee requests the Government to provide with its next report a general overview of the supervisory system for securing compliance with the minimum wage rates established by collective agreement, as well as detailed information on its operation and the results achieved during the period covered by the report.

Direct Request (CEACR) - adopted 1998, published 87th ILC session (1999)

The Committee notes the information provided in the Government's report. It notes with interest that Act No. 58 of 4 June 1993 concerning the extension of collective agreements, etc., entered into force on 1 January 1994. The objective of this Act is to ensure foreign employees the terms of wages and employment equal to those of Norwegian employees.

Article 5 of the Convention and point V of the report form. The Committee requests the Government to continue to supply, in accordance with these provisions, general information on the application of the Convention in practice, including: (i) the minimum wage rates in force; (ii) the available data on the number and different categories of workers covered by minimum wage provisions; and (iii) the results of inspections carried out (e.g. the number of violations of minimum wage provisions revealed, the penalties imposed, etc.).