Call for change: King workers rally for influence and secure conditions

A collective bargaining agreement, or CBA, sets minimum terms and establishes processes for areas such as salaries, pensions, working hours, leave, sick pay, parental pay, skills development and support in the event of redundancy.

The agreement does not prevent King from offering better terms or additional benefits. It provides a common foundation that King can build on. Some parts of the agreement apply to all employees, while certain parts, such as the salary agreement, apply specifically to union members. 

A CBA is connected to several laws and established systems that give employees greater insight and influence. Collective agreements are also updated through bargaining rounds, based partly on proposals submitted by union members. 

No. King can keep benefits and profit sharing programmes alongside a collective bargaining agreement. Benefits such as wellness allowances, education grants, breakfast, extra leave and conferences are not regulated by the CBA and can continue. However, benefits offered unilaterally by an employer can normally also be changed or withdrawn by the employer. 

King has stated that it wants the transition to a CBA to be cost neutral. Since some parts of the agreement would increase employer costs, King has proposed reallocating costs between different forms of compensation or benefits.

Cost neutrality is King’s position. It is not a requirement of the collective bargaining agreement. 

Salary is fixed compensation, while a bonus or profit sharing programme is a variable and nonguaranteed form of compensation. Employers decide whether to offer bonus programmes and may change them. Bonus programmes are not regulated by the collective bargaining agreement and do not affect the salary increase levels set out in the agreement. 

Under the collectively agreed ITP pension scheme, gross salary, including bonus , is pensionable within the applicable limits. In King’s current pension arrangement, only fixed monthly salary is pensionable. This means that bonus which currently does not generate pension contributions would do so under a CBA. 

If King reduces the bonus to offset the additional pension cost, the value is shifted from compensation paid now to pension paid later. The effect will vary depending on each employee’s circumstances. 

The salary agreement gives employees the right to an annual salary review and a quality assured salary process. The employer and union club jointly examine the salary policy, salary principles and salary criteria to make the process clearer for employees. 

Employees continue to represent themselves in salary discussions with their manager. Individual performance and fulfilment of agreed goals remain the basis for salary setting. Employees therefore retain the ability to negotiate their own salaries. 

King’s current salary process is compatible with the process in the agreement. The main addition is that local union representatives are entitled to insight and involvement throughout the process. King may also retain a salary review date other than 1 April. 

If the company and union club cannot agree on the collective salary increase, members of Unionen and Akademikerna are entitled to the increase specified in the agreement. 

With a collective bargaining agreement, the Co Determination Act becomes fully applicable. This gives the union the right to receive information and provide input before the employer makes decisions about major changes. The union club may also request negotiations on matters concerning the relationship between the employer and union members, including changes to benefits. 

Union representatives would have the right to carry out union duties during working hours instead of performing these duties in their free time. The Unionen club would also have the right to appoint employee representatives to the Swedish company board. 

Under the collectively agreed ITP pension scheme, pension contributions are paid on gross salary, including variable pay such as bonus , within the applicable limits. The agreement also includes Flexpension, which provides additional pension contributions and creates opportunities to apply for reduced working hours later in working life. 

King may continue to offer salary exchange alongside a collective bargaining agreement. Salary exchange is generally beneficial only when the employee’s remaining salary stays above the applicable threshold. 

More information about collectively agreed pensions is available from Avtalat.

King’s current vacation year from January to December can remain. The collective agreement provides at least 25 vacation days per year, and the employer and employee may agree on additional days. 

The agreement currently provides one paid day of working time reduction. It also provides an additional day off when National Day falls on a weekend, as well as paid leave in certain situations, such as sudden illness or a death in the family. 

Collective agreements develop over time. Proposals from members can be brought into future bargaining rounds, including proposals for further working time reduction. 

Under the collective agreement, sick pay is calculated using both fixed and variable salary during the periods covered by the agreement. This differs from King’s current arrangement in some respects. 

Parental pay under the agreement is also calculated using both fixed and variable salary. The length of the parental pay period depends on how long the employee has been employed. 

King currently has a more generous qualification period, as parental pay is available from the first day of leave, but compensation is calculated only on base salary. King may retain the more generous qualification period under a collective bargaining agreement but must include variable salary in the compensation. 

The agreement establishes that employees should be given opportunities to develop the skills needed for new or changed work tasks. The employer finances these initiatives, and each employee should have a documented development plan. 

A collective bargaining agreement also gives employees access to the highest level of transition study support, subject to the applicable conditions. More information about the current amounts and requirements is available from CSN.

A collective bargaining agreement does not prevent an employer from terminating employees, provided that laws and regulations are followed. It does, however, create established processes for consultation, information and negotiation. 

The union can receive information, represent members and negotiate matters such as the number of redundancies, timelines, conditions and possible voluntary solutions. Employees can receive more information about whether and how they are affected, helping them make informed decisions. 

Employees who are made redundant also gain access to TRR, the Job Security Council. TRR provides personal advice and practical support with matters such as applications, CVs, matching and the search for new employment.

A CBA gives the employer access to established processes, agreements, documents, legal support and advice through an employers’ organisation. It can make areas such as salary reviews, workplace changes and negotiations more predictable. It also gives the employer a local counterpart with whom practical solutions can be discussed.

In Sweden, most employers choose to have collective bargaining agreements because they provide competitive and stable terms and conditions, clear frameworks for cooperation, and industrial peace. Collective agreements are a well-established part of the Swedish labour market and are widely used across industries. A number of companies in the gaming and tech sectors have also chosen to sign collective agreements. 

For King, a CBA would provide a clearer structure for cooperation with employee representatives and access to employee perspectives before important decisions are made. 

Yes. The Spanish system is not identical to the Swedish system, but King has a collective agreement in Spain. 

Yes. A trade union member has the right to participate in a lawful strike called by the union. The right to take industrial action applies regardless of work permit status, and participation in a lawful strike does not in itself affect the employee’s work permit. 

Unionen’s aim is to reach an agreement through dialogue and negotiations and to avoid conflict where possible.

If negotiations do not result in an agreement, Unionen has established processes for notices of industrial action and strikes. Practical information about rights, responsibilities and preparations is provided separately in Unionen’s Industrial Action Guide.

You can find general information about collective agreements on Unionen’s website. The agreement being discussed for King is the IT agreement within TechSverige. The page for that agreement also provides access to its connected agreements.