Two-year deal worth 11.2% at Skoda 


Following the threat of industrial action, workers at Skoda in the Czech Republic have agreed a new pay deal which significantly increases their wages. 


The agreement, which runs for two years until 31 March 2018, provides for a 3.5% pay increase on 1 April this year and a further 3.0% on 1 January 2017. This compares with current inflation of 0.6% (April) and so represents an increase in real terms. 


In addition, a variety of bonuses, some of which relate to the firm’s profits last year, lift the average total amount to be received by workers to 11.2% over two years, according to the union OS KOVO. 


Skoda is part of the German Volkswagen group.