Turkey's 14-Day Rubber Strike Ends with 14% First year Wage Gain

ICEM InBrief, June 16, 2008

A 14-day tyre strike by 4,000 members of ICEM affiliate Lastik-İş in Turkey ended Friday night, 13 June, and workers at three multinational rubber companies were back on their jobs for the afternoon shift on 14 June.

The strike ended when a two-year accord was reached between the union and the three employers, who jointly represent the tyre industry in talks. The companies include Goodyear Tire & Rubber Co., Bridgestone Brisa Sabanci, and Pirelli.

The 13 June bargaining was the first set of negotiations since the strike began on 31 May. Talks first began on a renewal labour agreement for 2008-2009 at the four tyre factories in September 2007.

The two sides agreed to a 14% pay increase for the year 2008, and an increase equaling the Turkish rate of inflation for 2009. In 2007, the Turkish rate of inflation was 8.39% and is expected to rise above that this year. Lastik-İş had sought a 12% wage hike for the first six months of 2008, with increases matching the inflation rate in each six-month period through 2009.

All levels of social benefits will also increase by the inflation rate over the life of the labour agreement. The ICEM considers the 2008-2009 Turkish rubber agreement a major achievement, considering wage and social benefit gains were stymied in the late 1990s and early years of this decade due to strike bans imposed by the Turkish government.

“We didn’t make any concessions, we preserved our contractual and work-rule provisions, and we posted substantial economic gains,” stated Lastik-İş President Abdullah Karacan. “The decisiveness of our union members at these four factories was effective and ultimately proved successful in bargaining.”

The four tyre plants, which saw workers return to work at 16h00 on 14 June, include: two of US-based Goodyear in Izmit and Adapazari, and one each operated by Bridgestone Brisa Sabanci, a joint venture between Japan-based Bridgestone and the Turkish Sabanci Group, and by Italian-based Pirelli. Both of the latter two are located in the city of Izmit.