1. Free Trade Union Confederation of Latvia
Egils Baldzēns
President of LBAS
(LBAS)

2. Basic socio-economic facts about Latvia
The total population: 1,9 million people
GDP per capita (in PPS): ~67% of EU-28 average
GDP growth rate in 2017: +4,5%, forecast for 2018: +4%
Annual inflation rate: 2.9%
Unemployment rate: 7,2%
Average wage: EUR (gross) per month
Minimum wage: EUR 430 per month
Average pension: EUR 289 per month

3. Average Salary in Baltic States
Country
Gross wage Q II
Net Salary, EUR
Relief with 1 dependant
Price level as % from EU-28 average LV
1004
715
755
72,4% LT
927
712
722
64,6% EE
1321
1105
78,5%
Local Purchasin Power Index (NYC = 100)
Latvia – 55,7
Lithuania – 60,64
Estonia - 77,37

4. Tax reform 2018
Starting from 2018 the new Tax reform has taken affect providing some of the biggest changes in tax policy of Latvia since joining the EU
The Tax reform affects Labour taxation policy, Corporate taxation policy, as well as several key areas in consumer taxation

7. Tax Rates Social tax – 11% on employee + 24,09% on employer
VAT 21% (reduced rate of 12%)

8. Free Trade Union Confederation of Latvia (LBAS)
LBAS was established in 1990
LBAS is the biggest trade union confederation in Latvia, representing 10% of Latvian workforce
LBAS unites 21 independent sectoral trade unions
Largest affiliated organizations are:
Education and Science Employees Trade Union (LIZDA)
Health and Social Care Employees Trade Union (LVSADA)
Railway and Transport Workers Trade Union (LDZSA)
Public Service and Transport Workers Trade Union (LAKRS)
There are 1152 collective agreements and 5 sectoral general agreements in the framework of LBAS

9. Main objectives of LBAS
To protect the interests of trade union members
To protect workers’ interests and rights in the socio- economic field
To participate in the elaboration of economic and social development programmes, in the evaluation of draft laws, in working groups on improvement of labour conditions, wages, tax policies, compulsory social insurance and social guarantees, healthcare, employment, vocational education and lifelong learning

10. Strategic goals of LBAS
Strengthen the role of LBAS as a social partner for employers, municipalities and state institutions, developing a definition of social partners;
Ensure the particiation of LBAS and its member organisations in social dialogue at national level through NTCC and its councils
Ensure implementation of NTCC results by all stakeholders;
Improvement of rgulation for Trade Union operation and action;
Gain the rights for LBAS as a social partner to propose legislative amendments and agenda of Parliament.

11. Our activities and goals
We demand to decrease tax burden on our labour force
We ask our government to support enterpreneurship, which is socially responsible and fair
We tackle the employment problems, emphasizing problem groups such as youth, people aged 50+, regional labor markets, industries with deficit
We demand strategic investment in education to improve skills that match the requirements of labour market
We demand stricter implementation of labor law and job safety as well as implementaion of collective agreements
We strive to implement sectoral collectiv bargaining and sectoral collective agreements to facilitate self regulation in different industries for fair competition

12. Structure of social dialogue in Latvia
We can identify 4 levels of social dialogue in Latvia:
National level
Regional level
Sectoral level
Company’s level
At national level social dialogue is realized within National Tripartite Cooperation Council (NTCC), which consists of representatives from government, Employer’s confederation of Latvia (LDDK) and LBAS
At regional level we have Tripartite Consultative Councils

13. Our proposals to improve social dialogue in Latvia
Support of Trade Union movement by building capacity and increasing membership
To strenghten involvement of social partners in political decision making and development of regulation
To strenghten social dialogue on regional, sectoral and company level
Support of collective bargaining at local and sectoral level
Increase the number of sectoral general agreements
Government should make sure that generally binding agreements are executed properly

14. Thank you!