The Efling Trade Union Annual Report is based on the union's sources and data. Coverage of each department of Efling's office is based on information from the departments themselves. Minutes of meetings, documents originating from wage negotiations, and sources from Efling's board and the boards of the union's funds are also used.
All rights reserved.
Chairman's address Sólveig Anna Jónsdóttir
Dear members of Efling.
In a democratic society, labor market rights are a cornerstone of social stability and economic justice. The hard and purposeful struggle of workers, women and men, built the welfare societies of the Nordic countries - the type of society we want to live in and are proud of. However, the class divisions that have been allowed to grow in our country undermine the prosperity of all, which should be built on the work and value creation of working people.
Efling has about 28,000 members. We are by far the largest worker's union and the second largest trade union in the country. It is therefore obvious that our negotiating counterparts, whether it be the Confederation of Icelandic Employers (SA) or public sector employers, should show Efling respect and build trust and industrial peace with us.
We are the workforce of the Capital Area -- our work creates productive value and drives economic growth. It is therefore intolerable to see both our private and public negotiating counterparts breaking their agreements with us.
Cleaning companies within SA go to great lengths to avoid paying the special increases, the correction of wages for cleaning staff that was agreed upon in collective agreements in the private sector, despite generating enormous profits.
One of our largest counterparts, Reykjavík City, has given selected groups substantial additional increases that go far beyond the framework of those agreements that were signed in both the private and public sectors in the latest round of collective bargaining.
Our counterparts claim they want to work for economic stability
and peace in the labor market in discussions with Efling, but as soon as agreements have been signed, a process begins behind the scenes aimed at undermining the objectives of these agreements. Such behavior sends a clear message to us that it is still vital to demonstrate that breaking agreements with Efling members has consequences.
Dear members of Efling. We face many challenges and problems that are not easily solved. In addition to what has already been enumerated,
we also have to fight employers who have established a fake union for the sole purpose of lowering workers' wages.
University-educated professionals' unions are determined to fight against what we have achieved through collective agreements and to again widen the gap between ordinary workers and those with a university education. When we are not willing to accept arguments based on class prejudice we are accused of pitting classes
against each other, as if a large wage difference between classes is a law of nature and opposing it is some kind of crime. The demand that we acknowledge that we are somehow worth less than others is one which we can never accept. We know that we are indispensable, and we demand full recognition of that fact.
It is popular to pretend that entrepreneurs, investors, or even members of high-income groups working in the public sector create society's value. The reality is that real wealth creation comes from our work -- workers who use their brawn and brains to sustain all of our fundamental systems, whether in the private or public sector. In fact, we are the ones who actually bear the greatest responsibility in society; producing the values and creating the economic growth that benefits society as a whole.
We at Efling loudly and resolutely demand that this fact be recognized. We know that a society that recognizes the fundamental importance of workers and shows them respect in every way is a society that maintains and nurtures social equality and stability, which is to everyone's benefit.
Efling's struggle is a struggle for Efling's people. We are a large group
from all over the world, but we never look at what divides us, only what unites us. That makes us strong and increases our chances of achieving real results. Solidarity, creativity, fearlessness and a willingness to fight; those are our values. We have no interest in simply being in the background or participating in projects that are not about achieving real and measurable results. We are focused on everything we undertake with a view to achieving the best possible results for Efling's people. Our overriding goal is to be at the forefront of the wage struggle for both men and women.
Dear members of Efling, despite numerous and complex challenges, there is much we can be pleased with. Our union is doing exceptionally well. The brave decision by Efling's board in 2022 to transform how the union works by prioritizing the interests of Efling's members, has delivered tremendous results, both socially and operationally. Despite strong opposition, we never gave up on that project and it has brought us to a place that we can be immensely proud of.
We have continued to empower members by providing leadership training which can be exercised at
their workplaces and in their wage struggles, for example by becoming union representatives and participating in large negotiating committees. We have steadily increased the number of our union representatives, and we are constantly developing and strengthening the work of the Delegate Council. We continue to strengthen our presence at our members’ workplaces; for example with protest actions, with visits from field representatives to recruit union representatives, and with workplace meetings organized by the union representatives themselves. We want Efling to be a trade union that all members are proud to be part of, where members have real ownership of their union and are able to wield its power as an effective tool of struggle.
In a labor union where members support each other and stand together, everyone's strength increases. Trust and connections are formed, the likelihood of positive results increases, the struggle for economic justice grows, and we are all able to hold our heads high. The annual report that follows is testimony to the fact that we are making progress in this great and significant project.
An Introduction from the Managing Director Perla Ösp Ásgeirsdóttir
The operations of Efling Trade Union's office in 2024 were primarily shaped by the results of the implementation of transformative projects that began in 2023. This especially applies to the implementation of the "Tótal” membership system, a new accounting system and the receipt of membership fees directly.
Such transformations require a complete restructuring of procedures and adaptation to new working methods. It is safe to say that the results of these actions have exceeded expectations. Efling's staff approached the restructuring with ambition, service to members remained almost uninterrupted throughout the implementation period, and there is no indication that members had any difficulty adapting to Efling's new My Pages. Additionally, the procedures for processing members' inquiries have been significantly simplified and the disbursement of grants has exceeded expectations, which by the end of the year, were being paid out weekly. More information about member services and grant disbursements can be found in the section on the activities of the Service Division.
Receipt of membership fee returns
2024 was the first year in Efling's history where the union received membership fee returns under its own management. The union now has a much better overview of the submissions and collections of returns, as well as an overview of members and their workplaces. Along with receiving returns, the union has, in conjunction with Motus, also taken over the legal collections of overdue membership fees. As legal collection is not part of Efling's core activities it is therefore better handled by a
third party. In good cooperation with Motus, collections processes were implemented at the union, and work was done on overdue cases that had accumulated under the management of the previous collection agent. Consequently, overdue membership fees and operating costs decreased significantly while recoveries increased. More information about the receipt of membership fees can be found in the section on the activities of the Financial Division.
Construction in Guðrúnartún
After a long and rigorous design process, the restructuring of Efling's office space was put out to tender during the year. The union entered into a partnership agreement with Sérverk ehf for the reconstruction, which began rebuilding in November. Such extensive changes inevitably result in reduced service to mem-
bers, as there is now limited access to interview spaces in Guðrúnartún, so the union's VIRK representatives are temporarily located at VIRK in Borgartún during construction. During the construction period, Efling's office has been moved to the 4th floor of Efling's Community Center, but as such facilities are not actually designed for receiving members, efforts are being made to complete the construction on schedule.
As cooperation and implementation have thus far been exemplary, the union hopes that construction will be completed on schedule, and that by autumn members will be welcomed to significantly better facilities on the 3rd floor.
Efling's staff
The number of Efling's staff increased somewhat during the year. Part of this increase in full-time positions is
temporary to complete the classification of Efling’s document and photo material for permanent preservation at the National Archives and Reykjavik Museum of Photography. Increased emphasis on educational and membership affairs for Efling's members has also led to increased staffing. More information about staff can be found in the section on Efling's office employees.
Positive operational results
Efling Trade Union ended the year 2024 with an operational surplus of 1,281 million ISK, a substantial 79% increase from the previous year. This was the result of collective agreements reached during the year which increased the wages of Efling's members and in turn Efling’s union fees. In total, the union's revenues increased by over 328 million ISK from 2023.
The union's expenses decreased by over 26 million ISK year on year, a particularly impressive achievement considering the increase in full time union positions and the inflation led increases in Efling’s service provider costs. Benefits and paid grants, which as in previous years, is by far Efling's largest area of expenditure, decreased year on year and can partly be attributed to changes in the operating rules of the Sickness Benefits Fund that took effect at the union's last annual general meeting. The cost of union activities has also decreased since 2023 and can mostly be attributed to lower membership fees following Efling's withdrawal from the Federation of General and Special Workers in Iceland (Starfsgreinasambandið).
Since 2023, however, the cost of operating vacation homes and other vacation-related services has doubled, the result of last autumn's change of emphasis regarding the maintenance and the locations of summer houses and settlements. A considerable number of Efling's properties required significant renovations with the union also building or purchasing six new vacation properties during the year. Additional improvements and increases in vacation options are planned for the coming years. More information
about vacation affairs can be found in the section on the activities of the Vacational Fund.
The union's operating costs remained almost unchanged year on year, reflecting the significant cost-effectiveness of the implementation of new working methods in recent years. Most notably, there was a significant reduction in the union's information technology costs due to cooperation with Tótal and increased supplier control. Additionally, costs related to consulting and design for the construction in Guðrúnartún 1 were expensed during the year.
The collections of membership fees also proved costly as the union had to write down or write off claims from Gildi's collection to the tune of over 43 million ISK. Despite this, the collection of membership fees was only 20 million ISK lower under Efling's management than the previous year. It is the union's hope that the write-downs will be partially reversed through efficient collections.
Efling's investment portfolio
In addition to a yearly financial income of about 860 million ISK, Efling's portfolio of securities and deposits amounted to 13 billion ISK at the end of 2024. The largest part of the portfolio is owned by the Sickness Benefits Fund and the Labor Dispute Fund. Efling's investment portfolio performed well through the year. According to Efling's board approved investment and risk policy,
direct investment in issuers of financial instruments is not permitted, and therefore Efling's portfolio is partly managed by Landsbankinn and partly in deposits. With declining interest rates, it will be increasingly challenging to achieve returns on the portfolio but given the union's conservative investment policy fluctuations in the portfolio's returns are unlikely. The union aims for a return target based on its investment and risk diversification policy but with declining interest rates and instability in global markets, this target may not be met for the coming year.
The union's operational results for the year 2024 are outstanding for managers, staff, and especially Efling's members. The extensive changes to internal operations that have been made are gradually delivering better service and more cost-effective operations for Efling Trade Union. I want to thank the board, managers, and staff for their steadfastness and strength during the transformations of the past year, which have brought considerable benefit to Efling's members.
Efling's Office Employees
41 employees worked at Efling's office at the end of 2024, an increase of 6 from the previous year and the result of expanded projects and improved services for members. The increase is also explained by members' growing use of digital solutions. With new priorities, the need for specialized knowledge to support operations and union work has increased. For example, Efling's office has hired both an information officer and an information technology specialist.
The largest department, with ten employees, remains the Labor Rights Division, which protects the interests of members and provides assistance if there is suspicion that laws are not being respected or that workers' contractual rights are being violated. Nine people work at the Service Division, which provides general information and pays out various grants, such as sickness benefits and educational grants.
The number of staff in the Department of Educational and Membership Affairs has risen to five due to increased information services and courses for union representatives, along with a substantial increase in the number of union representatives. The Vacational Division also employs five people and manages Efling's vacation homes and other leisure options. Supporting this work there are four staff who now work in the Financial Division and five in the Operations Department, which handles the daily operations of the office and supports other departments. Additionally, three work in the chairman's office: the chairman of Efling and two specialists.
STAFF EDUCATION
Efling has provided active education for office staff, to the benefit of all departments, particularly the Labor Rights Division. For example, all office staff attended a course on sexual harassment and violence in the workplace organized by ASÍ (Icelandic Confederation of Labor). Staff also attended separate courses such as the use of artificial intelligence and management, to name a few examples. Increased education for staff is part of providing a professional, first-class service to Efling's members and ensuring optimum information and working methods.
GENDER AND AGE DISTRIBUTION
Efling is a diverse employer with a fairly equal gender balance as well as an equal pay certification, which ensures that there is no unexplained wage difference between genders. Emphasis has been placed on hiring people with diverse backgrounds and people who speak various languages. This is partly done to facilitate communication with the nearly 60% of Efling members who are of foreign origin. Experience also shows that diversity makes for a more creative workplace and more enjoyable collaboration. Efling's office staff range in age from 22 to 73 years, which is one of its great strengths.
RECORDING AND PRESERVATION OF HISTORICAL DOCUMENTS
Throughout 2024, Efling employees worked on special projects related to Efling's history. In Efling's storage areas, there was a tremendous number of documents, photographs, audio and video recordings, and other sources from the union's predecessors, namely the Dagsbrún Workers' Union, the Framsókn Women Workers' Union, the Sókn Staff Union, the Union of Restaurant Staff, Iðja - Factory Workers' Union in Reykjavík, and the Boðinn Labor and Seamen's Union. These materials are of various types, e.g., minutes, annual accounts, newsletters, agreements, and various documents pertaining to the history of trade unions and the labor movement in Iceland. These materials have been classified and sent to the National Archives, where they will be accessible to scholars. Photographic material has also been sent to the Reykjavík Museum of Photography. Efling hopes that this will increase research and knowledge of the significant history that is the history of the Icelandic labor movement, and our union is proud to have contributed in this way.
Development of Efling's Membership
Efling's membership has undergone significant changes since the turn of the century which has seen the gender ratio, age distribution, and origin of members transformed in recent decades.
n Efling members by gender
The following figures show changes in Efling's membership between 2001 to 2023 with members increasing by an astonishing 148% to over 40,280 and accounted for about 17.8% of the labor market in 2023. The union evolved during these years from having a majority of female members to having a higher percentage of males with the gender ratio going from 46.9% male and 53.1% female in 2001 to 56.9% male and 43.1% female in 2023. Two periods show notable fluctuations in the proportion of male members, linked to external events such as the economic collapse in 20072009 and the effects of the COVID-19 pandemic in 2020. Indicators suggest that an increase in the number of foreign men who came to the country in search of employment had an impact on the statistics. However, the lack of employment opportunities during both the economic collapse and the COVID-19 pandemic led many of these individuals to move elsewhere in search of work or return to their home countries.
Interesting changes are also seen in the age composition of members. The data indicates that the average age of members has increased. Despite this, the 20-29 age group
n Age distribution and origin of members 2024
is still the largest group, but the percentage of members under 20 years of age decreased from 27.0% in 2001 to 15.9% in 2023. Other age ranges also show changes, with a 1-5% increase evident in each age group. The increase was most pronounced in the 30-39 age group, which is now the second largest group in the union and accounts for 24.5% of members.
Activities of the Financial Division
The activities of Efling's Financial Division underwent extensive changes during the year. At the beginning of 2024, the division introduced new accounting and membership systems following implementation work in the previous year, therefore representing more comprehensive change than for other Efling divisions. The division's staff tackled the changes diligently, amassing experience and better utilization of the new systems by early 2024. Later in the year this would support improved Efling services to members, including more frequent disbursement of grants.
These projects were added to the already substantial list of Financial Division tasks, including payroll, dashboard creation, smaller fund accounting, payment of wages, grants and sickness benefits, invoices, accounting reconciliation, and financial statements for auditors. The division's staff consists of three full-time employees and one part-time employee. The division's work has gone very well, and all tasks are executed quickly and reliably.
RECEIPT OF MEMBERSHIP FEE RETURNS
With the implementation of the Tótal membership system, the receipt of membership fee returns, and the collection of union fees was transferred to Efling from the Gildi pension fund. This project began on January 1, 2024, along with the collection of fees for the Sickness Benefits Fund, Vacation Fund, and Educational Fund, which was also transferred from Gildi to Efling.
There were many aspects to consider regarding the preparation for these changes, which began in the autumn of 2023. Companies and individuals who send returns to Efling number close to 3,000, amounting to about 350 million ISK. Every effort was made to reach them in one way
n Percentage of late payments
or another. This included advertisements on web media and mailings, as well as setting up a subpage on Efling's website with all the relevant information for employers, and a webpage to fill out returns and send them directly to the Financial Division.
Returns started streaming in when the new year arrived. It took several months to get everything into the right channels, but by the beginning of summer, most of the challenges related to the transfer had been resolved.
COLLECTION
With the transfer of the receipt of membership fee returns to Efling, older outstanding claims were also transferred to the union, to be processed by the Financial Division, having previously been collected by Gildi's Pension Fund lawyer. Since the collections of outstanding claims is not part of Efling Trade Union's core activities, an agreement was made with Motus for the legal collections of these claims.
The collections of membership fees are Efling's basic revenue foundation, and a decision was made at the beginning of the year to send claims to corporate banks when returns come in rather than allowing companies to make transfers for them. Though this decision initially met with some criticism from payers, it has proven effective with collections exceeding expectations, while also providing the Financial Division with a good overview of the situation. Of paid claims, over 97% are typically paid 30 days after the due date, and arrears are under 5%, which is pleasing.
As can be seen in the accompanying image, longerterm arrears have also decreased significantly since the first months of the year, which can be attributed to efficient and effective collections processes, good cooperation with Motus, and the vigilance of the Financial Division. Since this is the first year that Efling has received membership fees directly, it is still somewhat uncertain whether arrears will decrease further or whether this is typically the status among employers who report to the union.
The “Arrears in 2024” graph shows how arrears, when a claim goes past the due date, have developed in 2024. The graph below that shows the same trend regarding serious arrears, when a claim is 45 days past the due date. It should be noted that the figures do not show an entirely accurate picture of the status of arrears; rather, they are 6-month average figures, and consequently, there is a higher
n Arrears in 2024
n Serious arrears in 2024
percentage of arrears for the first 6 months which is then balanced out towards the end of the year, a trend that can be expected to continue in 2025.
Activities of the Service Division
The front line at Efling's office is the Service Division which answers general questions from members in-person, by phone and by email. The Service Department also processes members’ applications for sickness allowance benefits, grants for most of Efling’s funds including the holiday and education funds, and the operation of Efling's online store accessible through My Pages.
VISITS TO THE OFFICE
The total number of member visits to Efling's office in 2024 were approximately 8,600, which makes for an average of 35 visits per day. There was no significant difference in the number of visits between 2023 and 2024. The number of phone calls has also remained stable year on year.
Work has been done in recent years to improve online services to members, with the guiding principle that members should be able to access Efling's services at the time and place that suits them. This work seems to have paid off with many more inquiries now coming electronically via email or through My Pages than in person or by phone.
n Types of contact
MY PAGES
In 2023, it was decided to change Efling's membership system along with My Pages, and to implement the Tótal membership system. The system keeps track of information about members, e.g., contribution history, grants received, vacation rentals and more. Tótal was developed by Afl Trade Union and is specifically designed for trade union operations. The system has proven effective since its implementation.
Extensive preparatory work took place in the latter part of 2023 to ensure that the implementation of Tótal would not cause service disruptions, or have other negative impacts on service to members, has also proved effective. This preparatory work produced the desired results - there were no interruptions in the processing of grants or payment of daily allowances at the end of the year 2023 when the My Pages switchover took place. After the system was put into use, it took several months to adapt and refine processes and so productivity and processing speed at the beginning of 2024 were similar to what they were with the old system. When the division's staff had built up experience working with Tótal, efficiency began to improve, and application processing times shortened.
Grant
EDUCATIONAL FUNDS
In the year 2024, 5,945 grants were paid to 4,496 union members from the educational funds of Efling. Approximately ISK 376 million was paid out. The number of grants and beneficiaries was comparable to 2023. The average processing time shortened significantly in 2024; by the end of the year, the processing time for applications was about 2 days. In 2023, the average processing time was about 5 days.
The application processing time has undergone significant changes. When Efling's board made the strategic decision to renew Efling’s operations in 2022, the processing time for applications was about ten days. By the end of 2023, the processing time was reduced to three days and by the end of 2024 it was less than one day. With the introduction of Tótal and significantly improved processing times, opportunities to pay out grants much more frequently than before have been created. The Service Division, along with Efling's board, is now exploring the possibility of even more frequent disbursements, and if all goes according to plan, grant disbursements are expected to be weekly by the spring of 2025.
SICKNESS BENEFITS FUND
There was high demand for grants and sickness benefits in 2024. In 2024, 1,371 members were paid sickness benefits, and the total amount of the benefits paid out was 1,506 million ISK. Payments decreased by roughly 1% year-on-year, and the number of beneficiaries also decreased by approximately 1%. The number of beneficiaries also decreased by roughly 1%, falling from 6.1% in 2023 to 5.0% in 2024.
During the year, 9,325 grants were paid from the Sickness Benefits Fund to about 5,700 members, amounting to 190 million ISK, about 7% lower than in 2023. Most beneficiaries were between the ages of 31 - 40, and more women than men applied for health fund grants.
As in recent years, the most popular grants were health promotion grants and grants for mental health services. Efling's Sickness Benefits Fund has a total of 12 types of grants to meet the diverse needs of members.
BARA TALA
Efling began a collaboration with Bara tala in December 2024. Bara tala is a digital Icelandic language learning tool, based on artificial intelligence and Icelandic language technology. It is a mobile app with focused Icelandic exercises for users with an emphasis on spoken language and training for those who do not have Icelandic as their mother tongue. There are also specific job-related teaching modules where users can learn words and phrases that are specifically relevant to their work, and vocabulary to facilitate the use of Icelandic in daily life.
Efling purchased 200 annual subscriptions to the app which have been distributed to members free of charge. This is a one-year pilot project, and the results of the project will be evaluated continuously. The hope is that the project will benefit members of foreign origin in learning Icelandic.
n Types of cases
Activities of the Labor Rights Division
The Labor Rights Division performs the core activities upon which Efling Trade Union is built, which is to protect the interests and defend the rights of members. Rights and obligations in the labor market are based on laws, regulations, and collective agreements, and it is the role of the division to ensure that these are followed in employment contracts. The Labor Rights Division consults with members to provide advice in their communications with employers and assists them in pursuing any claims they may have against employers. The division also handles various other tasks and provides support services to other divisions of Efling's office.
NUMBER OF CASES
In 2024, 721 new cases were registered with the Labor Rights Division, which was a significant increase on the 457 new cases registered in the previous year. The increase in cases between year on year was about 60 percent and is part of a continuing trend that has seen cases coming to the Labor Rights Division nearly quadruple since 2022, when the division registered 190 new cases. In 2024, 739 cases were completed and by the end of 2024, no case being processed by the Labor Rights Division was more than a year old.
In addition to the cases that were formally registered and processed, the Labor Rights Division provided advice to 670 members. Advice consists of educating members and providing information without receiving or examining documents.
In total, in 2024, the Labor Rights Division assisted a total of 1,334 members in various ways.
PROCESSING TIME
The average processing time at the Labor Rights Division in 2024 was 119 days. This is somewhat more than in 2023, when the average processing time went down to 99 days. The extension of the processing time is mainly explained by the large increase in cases between 2023 and 2024. Reopened cases also had an effect, as the processing time is counted from when they were originally created in the Labor Rights Division's systems.
NATURE OF CASES
In the Labor Rights Division's systems, cases are classified according to their nature. The majority of cases that the division dealt with in 2024 were wage claims by Efling members against their employers, a total of 251, and more than a third of all cases. The second most common cases concerned company bankruptcies, and the division assisted members in 83 such cases during the year. Just over 11% of all cases involved bankruptcy, a fall of almost half from the 159 such cases dealt with in 2023.
The Labor Rights Division also dealt with 81 cases, about 11% of the yearly total, concerning deficiencies in employers'
returns. These cases were new to the division because, as mentioned earlier in the annual report, Efling only began receiving returns directly for the first time in 2024. It should be noted that these cases are not counted in the number of Efling members who received assistance from the division in 2024, as cases concerning returns only relate to employers.
Cases where there was suspicion that collective agreements or other rights had been violated totaled 71, or just under 10%. Dismissal cases, where there was doubt about legality or implementation, were also dealt with, and amounted to 9% of all cases. Other less common cases that the division dealt with included assistance to members due to work accidents and illnesses.
The instances where only advice was provided but a formal case was not established were also classified by nature during the year. Most common were so-called other cases, which were of a varied nature. In total, the division provided advice in 130 other cases, which amounts to a fifth of all advice for the year. Advice was also given in 128 cases involving collective agreement or rights violations and in 127 cases regarding wage claims. Other cases were fewer but still numerous.
SECTORS
Most of the cases established at the Labor Rights Division during the year were due to requests from Efling members working in the hotel or restaurant sector. Nearly 37% of the yearly total, some 347 cases, came from this sector of the economy. This is a slightly higher percentage than the previous year when they accounted for a third of all cases.
Next came cases related to the construction industry, with a total of 163, or about 17% of all cases, which is on par with the previous year. The Labor Rights Division also assisted 66 members who worked in the food industry and 36 members who worked in cleaning. This equals about 7% and 4% of cases, respectively. Cases related to other industries were fewer, though some numbered in the tens.
A similar pattern emerged when it came to the division's advisory services. Most of those who sought advice came from the hotel and restaurant sector, a total of 197 Efling members. This equals nearly 30% of all those who received advice from the division during the year. Those who worked in construction numbered 59, nearly 9%, as well as 39 Efling members who worked in the food industry, nearly 6% of all advice for the year.
GENDER DISTRIBUTION
More men sought help from the Labor Rights Division than women in 2024. In total, the division assisted 557 men with resolving their cases compared to 375 women. This means that about 60% of those who received assistance from the division were men compared to 40% women.
Similarly, more men than women received advice from the Labor Rights Division. A total of 380 men were given advice, while women numbered 288.
No formal case was established for any non-binary individual during the year, but one non-binary individual received advice from the division.
ORIGIN
In 2024, the Labor Rights Division assisted Efling members of at least 84 different nationalities. It should be noted that in some cases, for a variety of different reasons, nationality was not registered. Additionally, members are not behind cases concerning returns.
Efling members with foreign citizenship were the majority of those assisted by the Labor Rights Division during the year. Most of those who received assistance, some 347 members, were Polish citizens when formal cases and advice were combined. This equals a quarter of all those who received assistance from the division. The second largest group had Icelandic citizenship, a total of 220 members, or nearly 17%. The division also assisted 84 Efling members with Lithuanian citizenship, 76 with Ukraini-
an citizenship, 53 with Venezuelan citizenship, and 53 with Romanian citizenship.
NEW CALCULATORS
Last year, the Labor Rights Division began work on implementing new calculators in collaboration with Efling's Financial Division and the Federation of General and Special Workers in Iceland. These calculators, which are to be put into use in 2025, will enable members to calculate their wage claims on their own and make it easier for members to find among other things, the correct rate of vacation payments.
FORMATTING SUBMITTED INQUIRIES
In early autumn 2024, work began on formatting submitted inquiries, a project intended to simplify and streamline how members can send inquiries and requests to Efling. With additional education and advice, the hope is that this will lead to faster and simpler processing of inquiries from the very first point of contact. The project is also intended to make the process of submitting documents easier and more understandable for members.
The project is currently at the formative stage. A basic structure has been prepared, and a more detailed implementation framework is being developed before it is sent forward for programming and testing.
CASES IN LEGAL COLLECTION
Atlas Collections handled 228 cases for the Labor Rights Division in 2024, of which 161 were completed. Most of these cases were either wage claims, 149, or bankruptcy cases. At the end of the year, 26 cases had been settled and payment received and 58 cases were still in collections. There were also 65 so-called dismissed cases, ones which start as wage claims and end as bankruptcy claims. The total amount of wage claims in 2024 was approximately 113 million ISK.
UNION REPRESENTATIVES’ COURSES
The Labor Rights Division took on the task of providing education courses for union representatives during the year. Topics covered included the fundamental rights in the principal labor market rights, sick leave rights, work accidents, bankruptcy, dismissals, vacation, work arrangements, and how to secure one's rights. The goal was to provide union representatives with practical and clear insight into the rights and obligations that apply in the labor market, as well as to provide them with tools to deal with challenges that may arise in their work. Union representatives’ courses are discussed in more detail in the section on Educational and Membership Affairs in the annual report.
WORKPLACE INSPECTIONS
Efling and Fagfélögin's workplace inspection teams made 558 visits to workplaces during the year. The purpose of such visits is to ensure that employers follow collective agreements, laws, and regulations. The workplace inspection staff speak with workers at each workplace, ask them about facilities and conditions, and educate them about their rights in the labor market and the activities of trade unions.
The majority of workers that the workplace inspectors met during their visits had Icelandic citizenship, followed by Polish and Romanian. The vast majority of these workers were aged between 26-35 and the most common professions were construction workers, general workers, servers, hotel housekeepers, kitchen assistants, and cleaning staff.
EFLING'S AI STAFF MEMBER
In early October, a project was initiated to use an artificial intelligence tool at Efling called ARI. The AI project, which is intended to support the activities of the Labor Rights Division, will be at an advanced stage of development by autumn 2025. ARI will be used primarily as a training tool for staff to standardize responses to members and thus enhance and improve service.
Activities of the Vacational Division
In mid-2024, Björgólfur Th. Stefánsson took over as the new department manager of the Vacational Division from Sveinn Ingvason, who served in the position for the past 24 years. However, Sveinn will continue to work on special projects related to vacational affairs. Sveinn has spent the last quarter-century developing Efling's vacation homes and has accomplished remarkable feats in that field. Efling expresses great gratitude to Sveinn for his service to the union.
PURCHASE AND CONSTRUCTION OF VACATION HOMES
The Vacational Division has been very active in the construction of new vacation homes. In December 2024, two of four houses under construction in Svignaskarð were completed with the remaining two expected to be delivered by March 2025. This completes the development of the vacation area in Svignaskarð, which will boast 46 houses, of which 21 are owned by Efling.
In Stykkishólmur, the finishing touches are being put on the construction of a duplex at Aðalgata 16. In cooperation with the carpentry workshop Þ.B. Borg in Stykkishólmur, Efling has designed and built an expansive timber house in keeping with the town's characteristic architectural style. It is planned that Efling will receive the house in early summer 2025 and will have it ready for rental by mid-summer.
At the end of 2024, the Vacational Division purchased two vacation apartments at Eyrarflöt in Siglufjörður. The apartments, which are still under construction, are part of a four-apartment building specifically designed as vacation apartments. The estimated delivery time is autumn 2025, in time for the beginning of the Siglufjörður ski season.
The Vacational Division's properties have grown significantly in recent years, as Efling's policy has been to increase and diversify the range of vacation homes nationwide for members. Efling's Vacational Fund now owns 79 vacation homes, most of which are rented throughout the year. In addition, to meet members' demand for diverse locations, the union also rents additional homes across the country. In total, the Vacational Fund operates 83 vacation homes.
OBJECTIVES AND STRATEGY
The objective of the Vacational Division is to offer members a variety of vacation options, whether it be renting vacation homes, selling fishing cards, camping cards, flight vouchers, or other options, and is dedicated to increasing choices and improving service to members.
In addition to growth objectives, maintenance of the union's properties remains a priority with several maintenance projects, both minor and more extensive, undertaken in recent times. In the coming months, emphasis will therefore be placed on maintenance and renovation of vacation homes, rather than on further growth.
The focus on maintenance and improvement has already begun, and involves attending to maintenance, improvements, furnishings, appearance and guest experience, in order to ensure that guests feel welcome and fully enjoy their stay in Efling's vacation homes.
THE ROAD AHEAD
The biggest construction project of 2025 is slated for Ölfusborgir, where water and electrical installations will be replaced throughout the area. A major road renewal project is planned for the Svignaskarð area, while in Hvammur in Skorradal, water pipes will be upgraded.
The goal of the Vacational Division is to undertake maintenance on the exterior of the houses and ensure that their appearance is beautiful and neat. Emphasis is also placed on renewing furniture and fixtures as well as creating a cozy atmosphere in the vacation homes.
Publication and Promotion
Freyr Rögnvaldsson was hired as Efling's information officer in May 2024, having previously assisted Efling's leadership regarding information dissemination. Two employees now handle Efling's informational and promotional matters.
MEDIA COVERAGE
About 1,100 news stories about Efling's affairs were reported in separate media outlets in 2024. About 220 of these stories were published in March, in connection with the negotiations of the Stability and Welfare Agreement 2024. There was less media coverage of Efling in 2024 than in 2023, when Efling was engaged in unusually difficult wage disputes at the beginning of that year. If the first months of the year are excluded, media coverage of the union was roughly on par with previous years and actually increased somewhat in the latter part of 2024. Just under two out of every three news stories about Efling's affairs were published on online news outlets, with other news items distributed fairly evenly between broadcast media, print media, and specialized websites.
In general, it can be said that communicating Efling's position on different issues in the media has been successful. It is also the information officer's assessment that news reporting on Efling's affairs has been rather positive for the union, as evidenced by Gallup's brand survey showing significantly increased positivity towards Efling year on year.
The biggest news stories of the year were related to wage negotiations, including Efling's actions regarding wage theft at the restaurant Italia and the fake union Virðing's agreement with SVEIT. The event Food and Culture also received good media coverage.
EFLING'S WEBSITE
In 2024, 220 news stories were published on Efling's website, an average of about four news stories per week. All news stories were published in Icelandic and English, and about half in Polish.
Most prominent were news stories about Efling's actions, collective agreement negotiations, and other union activities, but also about the office's operations and service to members. Articles and analyses of issues that directly affect Efling members were also published, along with a vast number of notices to communicate information to members.
As a rule, Efling members were sent a monthly newsletter where the main news items were outlined.
SOCIAL MEDIA
All news on Efling's website was shared on the union's Facebook page, usually in Icelandic and English, and in some cases also in Polish. The Facebook page was also used to convey occasional information or publish content that it was not deemed necessary to write news stories about.
Around 7,300 people follow Efling on Facebook and, according to the platform's data, the "reach" of Efling's Facebook page has increased steadily as the number of followers grew during the course of the year.
The possibility of posting information about union activity on other social media platforms is currently under consideration.
NEW WEBSITE
During the year, a decision was made to create a new Efling website, in conjunction with the company Klick ehf, which would better serve both members and staff. Work on the new website began late last year, is currently ongoing, and is the most extensive project carried out by Efling's publishing and promotion team in 2024.
EXCELLENT SURVEY RESULTS
Efling Trade Union's office was among the workplaces that participated in Gallup's annual workplace survey, Company of the Year 2024. Suffice to say that in almost all the criteria measured in the survey Efling's score increased significantly from the previous year, and Efling's overall score is higher than that of other comparable workplaces.
Efling's office also received recognition from HR Monitor for being a human resource-minded workplace in 2024.
Last year, recognition of the Efling brand was surveyed by Gallup for the second year in a row, revealing that knowl-
edge of the brand and positivity in people's attitudes towards the union increased significantly year on year. Those who were positively disposed towards Efling increased by 11 percent, while those with a negative perception of the union decreased by 9 percent.
Educational and Membership Affairs
At Efling the Department of Educational and Membership Affairs handles the organization and management of social activities and educational matters. The department consists of one department manager and four full-time employees, two of whom were hired in autumn 2024.
EDUCATION AND COURSES
As usual, Efling ran intensive educational activities and courses over the 2024 - 2025 working year.
VOCATIONAL TRAINING COURSES
A large part of Efling's educational program is comprised of vocational courses that are relevant to members in various industries. Most of these courses are fully funded through Efling's vocational training funds, meaning they are free of charge to members. Some of the courses are part of broader programs that lead to recognition in the form of a new job title and wage bracket.
A total of 140 Efling members signed up for the various vocational training courses.
Vocational training course care work 1 Spring 2024
Vocational training course care work 2 Spring 2024
Vocational training course kitchen 2 Spring 2024
Vocational training course kitchen 3 Spring 2024
Preschool assistant bridge program Spring 2024
Vocational training course preschool 1 Spring 2024
Vocational training course preschool 2 Spring 2024
Social service worker gateway Fall 2024
Vocational training course care work 1 Fall 2024
Vocational training course care work 2 Fall 2024
Vocational training course kitchen 1 Fall 2024
COURSES ON RIGHTS
Efling's educational program includes courses on various rights-related issues that have been requested by Efling's members for years. These include a course on rights which discusses general rights and obligations in the labor market, it is taught in Icelandic with English interpretation and in Polish. The retirement course and special courses on pension rights are usually the most highly attended, with over 200 Efling members registered for these courses in 2024. A course on the tax system in Iceland was also offered in English and Polish.
A total of 459 Efling members registered for courses on rights in 2024.
Rights and obligations in the labor market (IS/EN) Spring 2024
Rights and obligations in the labor market (PL) Spring 2024
The tax system in Iceland (EN) Spring 2024
The tax system in Iceland (PL) Spring 2024
Retirement course (IS) Spring 2024
Retirement course (EN) Spring 2024
Retirement course (PL) Spring 2024
Retirement course (IS) Fall 2024
Pension rights (IS) Fall 2024
Pension rights (EN)
Pension rights (PL)
MAY 1ST COFFEE
Fall 2024
Fall 2024
On May 1, Efling held an event in Kolaport flea market after the Labor Day march, offering coffee, hot dogs, hamburgers and ice cream. Entertainment included The Workers' Brass Band, a balloon artist, face painting and various circus acts. The event, which was held at this location for the first time and on a more elaborate scale than in previous years, proved a great success with members and their families.
SENIOR CITIZENS' COFFEE
On Sunday, May 26, 2024, an event was held for members of Efling aged 70 and older and their guests in Gullhamrar in Grafarholt. The Efling Union provided coffee and catering to the guests and the house band played for guests. As always, great fun was had by all.
FOOD AND CULTURE
On Sunday, September 29, the event Food and Culture (Matur og menning) was held for the second time. Members were invited to bring home-made food from their countries of origin to share with other members. It is safe to say that the event was a hit this year also. Food from fifteen different nationalities was served and attendance was very good.
MOVIE SCREENING
Efling organized a screening of the excellent film Sorry We Missed You by Ken Loach at Cinema Paradiso on November 19, 2024. Attendance was good, and there are plans to hold more movie screenings in the coming year.
CHRISTMAS BUFFET FOR ACTIVE MEMBERS
The Christmas buffet was held on December 12, 2024, at Hotel Nordica for the growing group of Efling members who are active in various roles and hold positions of responsibility within the union. Participants played bingo, there were grand prizes, and they enjoyed festive dishes. Active members were allowed to invite one Efling member of their choice to the buffet, and many chose to invite their coworkers. The purpose of this was to introduce the internal workings of the union to more members of Efling and potentially increase the number of those who take on an active role in the union.
CHRISTMAS BALL
Efling's annual Christmas ball took place on Saturday, December 14, 2024, in a hall in Gullhamrar in Grafarholt.
Attendance was good; 450 people of all ages came along and enjoyed a good time together. The Icelandic Yule Lads provided some entertainment, and the house band played as the crowd danced and sang songs around the Christmas tree, and drinks and sweets were offered.
THE UNION REPRESENTATIVE SYSTEM
A total of 83 union representatives were appointed in 2024, either for the first time or re-elected by their coworkers for continued service.
New Union representatives came from many different corners of the labor market within Efling's membership area. A great deal of work was put into special campaigns conducted in the restaurant, nursing home and industrial sectors, which resulted in many new union representatives. Many active Efling members also visited numerous workplaces.
During wage negotiations with the Confederation of Icelandic Enterprise, significant progress was made in strengthening the rights of union representatives. According to the new agreement that came into effect on February 1, 2024, workplaces with 120 or more employees are now entitled to elect three union representatives instead of two. The right to attend courses has been strengthened in that the existing protection has been extended not only to cover the loss of daily wages but also shifts. This is very important in the case of representatives who would have to miss an entire night shift to attend a course, for example. The right to attend courses no longer varies depending on whether the representative is in their first or second year of appointment but rather is now an entitlement of 10 working days per year throughout the entire appointment period.
During wage negotiations with Companies in Welfare Services (SFV), progress was also made in strengthening the rights of union representatives. According to the new agreement that came into effect on April 1, 2024, big nursing homes with 100 or more employees are now entitled to elect more union representatives. Specifically, a maximum of three may be elected where 101-175 work, four where 176-275 work, and five where 276 or more work.
UNION REPRESENTATIVES’ COURSES
Efling taught union representative courses for the third year in a row during the winter of 2024-2025. All union representatives are invited to courses at Efling's Community Center in Guðrúnartún once a month throughout the winter. The group was divided up according to whether the union rep is in the private or public sector, since the collective agreements differ. The division also reflected the large increase in the overall number of union representatives.
The courses covered fundamentals regarding collective agreements, such as understanding wage tables and reading pay cheques, but also other practical tasks of union representatives such as workplace meetings and union activities in general. The teaching was in the form of both lectures and group projects, and there was always enough time for discussions. The course material was translated into English and Icelandic, and reading materials and slides were made available on the course website either before
or after each course. All courses had text interpretation on screen between Icelandic and English. The courses were well attended on every occasion.
At the end of each course, participants were asked to provide feedback via anonymous survey, and efforts were subsequently made to adapt the organization of the courses to the suggestions given.
Following special education and training on workplace meetings, Efling union representatives organized such meetings at their workplaces throughout the city. Union representative training courses began in autumn 2024, when the union specifically requested that union representatives use the provisions of collective agreements to hold workplace meetings. Efling offered to pay for cakes with the union's logo for these meetings, which were very well received. As can be seen in the accompanying images, these meetings were generally very successful and helped improve the working atmosphere at many workplaces. The union estimates that well over twenty workplace meetings were held in 2024, which is an excellent result.
Union Work
WORK OF THE BOARD
The board of the Efling Trade Union is concerned with all the union's work and maintains very active operations. Board meetings were typically held twice a month, on Thursdays, except during the summer months. The board met a total of 23 times during the year. The topics of board meetings cover all of Efling's political and social activities, the status of relations and discussions with the union's counterparts, Efling's position within the labor movement, cooperation with foreign sister unions, the operation of Efling's office, the status of funds and union investments, including construction at Efling's office, and so on.
In 2024, the board regularly received visits from Efling's managing director and department managers, where numerous improvement projects and changes to the office's work were discussed. The board discussed the cost and the progress of changes to the office's work facilities and received information about the implementation of new computer systems, such as the Tótal membership system. The board monitored and supported the Department of Educational and Membership Affairs' campaign to increase the number of Efling union representatives at numerous workplaces. The board also received news of the work of the Financial, Labor Rights, Service, and Vacational Divisions, where significant work is being done for the benefit of Efling's extremely large membership.
Discussion and policy formation of the union's industrial relations strategy are the main tasks of Efling's board. Collective bargaining negotiations in the private sector were concluded in March 2024. The board participated extensively in the preparation of discussions that followed with public sector employers, and with various counterparts. The board consists of a diverse
group of people who work in both the private and public labor markets and possess great experience that is very useful in the many collective bargaining negotiations that the union engages in, as well as in other work.
GRANT COMMITTEE OF EFLING
The Grant Committee of Efling is a sub-committee of the Board of Efling. The committee's purpose is to receive, and process grant requests received by Efling Union that fall directly under the social fund. The committee met three times during the working year.
A total of 13 grant applications were received by Efling during the committee's term of which 11 were approved, totaling 3,265,000 ISK. In addition, Efling also sponsored 20 parties and organizations through the purchase of sponsorship lines or logos, in total 388,200 ISK.
The committee's work was successful in increasing the efficiency of Efling board meetings, and therefore the same arrangement will continue in 2025.
Grants
Afstaða
Betri borgarar Fylkis
Einstök börn
Félag Heyrnarlausra
Geðhjálp
Hjálparstarf kirkjunnar
Knattspyrnufélagið Ægir
Kvennakórinn Rósir
Mæðrastyrksnefnd Reykjavíkur
Mæður gegn morðum
Total
INTERNATIONAL COOPERATION
660,000 ISK
100,000 ISK
250,000 ISK
105,000 ISK
200,000 ISK
700,000 ISK
100,000 ISK
100,000 ISK
700,000 ISK
350,000 ISK
3,265,000 ISK
In 2024, Efling became a full member of SUN, the Nordic alliance of service sector trade unions or Service- och tjänstebranschens Union i Norden. Efling is a member of SUN's subgroups in the fields of cleaning and security.
In early September 2024, two of Efling's office employees, Viðar Þorsteinsson and Atli Antonsson, attended a pan-Nordic course of SUN's security guard division held in Helsingør, Denmark. In October, the SUN board met in Reykjavík, and it was an honor for Efling to be able to host the meeting at the union's headquarters in Guðrúnartún 1.
In December, a board meeting of SUN's cleaning group was held in Oslo, and Viðar Þorsteinsson attended it on behalf of Efling. There, the groundwork was laid for a visit by representatives of Efling and the Federation of General and Special Workers in Iceland to Copenhagen in March 2025, in order to better understand how the implementation of measurements in cleaning, and of collective agreement provisions on time-measured piece work, is arranged in Denmark.
DELEGATE COUNCIL
Efling's Delegate Council, which is the union's highest authority between annual general meetings and consists of 130 members, operated in the traditional manner. The union's bylaws stipulate that member meetings should be held at certain intervals, and in recent years, the approach has been to combine member meetings with Delegate Council meetings, a method which has worked well.
At the council's September meeting, the union passed a resolution against wage theft at the restaurant Italia and participated in a solidarity action outside the restaurant along with other members.
The Delegate Council meeting in October was also a member meeting at which the main and alternate members of the nomination committee were elected, and the list of Efling's delegates to the ASÍ congress was presented for approval. The December meeting was the last meeting of the Delegate Council that was then sitting, as a new council took over in January. The list of members of the new Delegate Council was presented at the meeting, which doubled as a Christmas buffet for active members.
Wage negotiations and negotiation committees
Efling's main collective agreement with the Confederation of Icelandic Employers, which covers most Efling members, was signed on March 7, 2024. Following the signing, work began on collective bargaining in the public sector and for various special collective agreements that the union handles at its various workplaces. The collective agreement is discussed in more detail in the section on the Stability and Welfare Agreement.
In terms of membership numbers, the agreements with Reykjavík City and Companies in Welfare Services (SFV) are the most significant. Collective bargaining with the city began immediately after the signing with SA, and was referred to the state mediator, with an agreement finally reached on June 20, 2024. The agreement was approved in a vote in July. As in recent years, a large and powerful negotiating committee of Efling members participated in discussions with the city.
Discussions with SFV were referred to the state mediator at the end of August 2024, and there were intensive meetings over the dispute throughout September before the agreement was reached on October 3. During the discussions, there was much debate about the staffing situation in nursing homes, as workload and understaffing were the main concerns of Efling members. Members of the negotiating committee met repeatedly, showed great steadfastness, and achieved significantly expanded authority to appoint union representatives in nursing homes. Following the signing, a working group which included an Efling representative, was appointed by the Minister of Health to submit proposals for improvements in staffing. In accordance with the right to terminate the agreement if progress on staffing levels was not made, Efling had to announce the termination
of the agreement in February 2025 when the working group only delivered a memorandum instead of a detailed plan. Therefore, the current agreement is set to expire on May 1 next year if an agreement on its renewal is not reached before that time.
STABILITY AND WELFARE AGREEMENT 2024
On March 7, a new four-year collective agreement entitled the "The Stability and Welfare Agreement 2024“ was signed between the so-called Broad Coalition of workers and employers' associations in the private sector. The Broad Coalition consisted of Efling, the Federation of General and Special Workers in Iceland (SGS) and Samiðn. The agreement is characterized by modest wage increases alongside significantly increased transfers from the welfare system, amounting to an additional 20 billion ISK in welfare expenditure per year, or a total of about 80 billion over the agreement period. The aim of the agreement is to reduce inflation and interest rates while improving the conditions of lower income groups which benefit the most from these increased tax-free transfers from the welfare system.
The agreement included a mixed approach to wage increases, with a higher percentage increase for those on wage tables, amounting to a flat increase of 23,750 ISK per year. For Efling members on wage tables, this increase amounts to about 5.9% in the first year, 5.6% in the second year, 5.3% in the third year, and about 5% in the fourth year. The percentage increases decline over time because the base increases each year, i.e., each annual increase of 23,750 ISK is added to a higher base each year from year 2 onwards.
In addition, an agreement was made to ensure that wage drift for higher groups would benefit those on wage tables through a so-called wage table supplement. In the first half of 2025, it has become clear that there has been some wage drift among higher wage groups, which is reflected in a higher increase in the wage index than the wage table increases for Efling and SGS. This guarantee will result in about a 0.58% increase in Efling's wage tables from April 1, which means that the total wage table increase for 2025 will be about 6.2% instead of 5.6%. The agreement also includes provisions for further increases if productivity growth is greater than in a normal year.
This combination of higher percentage increases for lower groups and increased transfers from the welfare system to households was designed to deliver a greater increase in purchasing power to lower wage groups. However, companies' laxity regarding wage drift for higher groups can work against the equalizing effects contained in the agreement. The extent of this remains to be seen in the coming months. It is, of course, hypocritical of employers to constantly complain about excessive wage increases in collective agreements but then add wage drift to higher groups, beyond the agreed increases.
Improved rights positions of wage earners
The agreement also includes provisions for improved rights for workers, relating to, among other things, occupational safety, vocational training, and changed accrual of vacation rights. There is also a special increase for cleaning staff, in the form of both a wage table increase and a special premium payment of 19,500 ISK per month for full-time work. This provides cleaning staff with much higher increases than other groups. Unfortunately, it has become apparent that some companies are trying to avoid delivering these improvements in full to cleaning staff, and Efling, along with ASÍ and SGS, is now actively working to remedy the matter.
In general, Efling had the policy of negotiating the same framework of improvements in the public sector, alongside smaller adjustments to specific terms in individual sectors or workplaces. In the agreement with Companies in Welfare Services, for example, a special initiative was negotiated to strengthen staffing in care work at nursing homes, to reduce the workload on existing staff. As of March 2025, there has still not been complete fulfillment of these objectives, and Efling has therefore announced the termination of that agreement on the grounds of non-compliance.
The Broad Coalition's agreement covered about 70% of the private labor market and has therefore been used as the basis for other agreements in most cases. At the time of writing, the agreement has already delivered a moderate increase in the purchasing power of wages, and inflation has decreased significantly since the agreement was signed. . The lowering of key interest rates has begun, although delayed somewhat by continued demand pressure from tourism and the persistently high inflation expectations of businesses and the financial sector. Inflationary pressure from the housing market is still too high, and requires full implementation of emergency measures promised by the government to address it.
In general, Efling is optimistic that the Broad Coalition's agreement will deliver results for low-wage earners, provided that there are no unexpected major setbacks, domestically or internationally. However, the preconditions clause of the agreement might be tested in the autumn of 2025 and 2026, both against counterparts in the private market and against the government's contribution. Efling has shown itself ready to seek new ways to improve conditions for its members, and there are many areas where further progress can be made in the coming years, alongside the traditional emphasis on the struggle for improved wages and conditions.
Boards of Efling 2024–2025
Board of Efling
Sólveig Anna Jónsdóttir, chairman
Þórir Jóhannesson, vice chairman
Michael Bragi Whalley, treasurer
Barbara Maria Sawka, secretary
Guðbjörg María Jósepsdóttir
Guðmunda Valdís Helgadóttir
Hjörtur Birgir Jóhönnuson
Ian Phillip McDonald Innocentia Fiati
Karla Esperanza Barralaga Ocon
Kolbrún Valvesdóttir
Olga Leonsdóttir
Rögnvaldur Ómar Reynisson
Sæþór Benjamín Randalsson
Boards of Funds and Committees
Educational Fund
Main board
Michael Bragi Whalley, chairman Hjörtur Birgir Jóhönnuson, vice chairman
Barbara Maria Sawka
Innocentia Fiati Friðgeirsson
Karla Barralaga Ocon
Substitute members
Greta Íris Karlsdóttir
Katrín Phumipraman
Sickness Benefits Fund
Main board
Sólveig Anna Jónsdóttir, chairman Þórir Jóhannesson, vice chairman
Karen Ósk Nielsen, solicitor of ASÍ, nominated by ASÍ
Anna Björk Ágústsdóttir
Erla Hestnes
Grétar Sigurðsson
Reynaldo C. Renegado
Substitute members
Halldór Oddsson, solicitor of ASÍ, nominated by ASÍ
Heiðberg Leó Hreinsson
Hreinn Jónsson
Signe R. Skarsbö
Vigdís Einarsdóttir Hagerup
Flóamennt
Aldís Magnúsdóttir
Halldóra Friðjónsdóttir
Kolbeinn Gunnarsson
Sigríður Sigurðardóttir
Sólveig Anna Jónsdóttir
Ragnar Ólason
Educational Fund of Efling and Reykjavíkurborg
Sólveig Anna Jónsdóttir
Ragnar Ólason
Ásta Bjarnadóttir
Íris Jóhannsdóttir
Educational Fund of Efling, Kópavogur and Seltjarnarness
Sólveig Anna Jónsdóttir
Ragnar Ólason
Sigríður Þrúður Stefánsdóttir
Gunnar Lúðvíksson
Nomination Committee
2024–2026
Main board
Alexa Patrizi
Benni Singh
Hjördís Bech Ásgeirsdóttir
Hlynur G. Ómarsson
Hörður Aðalsteinsson
Substitute members
Adrian Stoenescu
Heiðberg Leó Hreinsson
Jón Ísak Hróarsson
Mary Jane Gonzales Munoz
Örvar Þór Guðmundsson
ÁRSSKÝRSLA EFLINGAR 2024 21
Independent auditor‘s report
Independent auditor‘s report
To the Board of Directors and Members of Efling Trade Union
Opinion
WehaveauditedtheConsolidatedFinancialStatementsofEflingTradeUnionfortheyearendedDecember31, 2024whichcomprisetheendorsementbytheBoardofDirectors,theIncomeStatement,theStatementof FinancialPosition,theStatementof CashFlowsfortheyearthenendedandnotestotheFinancialStatements, including a summary of significant accounting policies.
Inouropinion,theaccompanyingFinancialStatementsgiveatrueandfairviewoftheFinancialPositionofEfling TradeUnionasatDecember31,2024,andit'sFinancialPerformanceanditscashflowsfortheyearthenendedin accordance with the Icelandic Annual Accounts Act.
Basis for Opinion
WeconductedourauditinaccordancewithInternationalStandardsonAuditing(ISAs). Ourresponsibilitiesunder thosestandardsarefurtherdescribedintheAuditor’sResponsibilitiesfortheAudit oftheFinancialStatements sectionofourreport.WeareindependentofEflingTradeUnioninaccordancewiththeInternationalEthics StandardsBoardforAccountants’CodeofEthicsforProfessionalAccountants(IESBACode)andwehavefulfilled our ethical responsibilities in accordance with the code.
Theboardandthechairmanareresponsiblefortheotherinformation.OtherinformationincludetheAnnual Report.Ouropiniononthefinancialstatementsdoesnotextendtotheotherinformation,andwedonotprovide any assurance or conclusion on its content.
Inrelationtoouraudit,weareresponsibleforreadingtheaforementionedadditionalinformationandassessing whetheritismateriallyinconsistentwiththefinancialstatementsorourknowledgeobtainedduringtheaudit,or appearstootherwisecontainsignificantmisstatements.Ifweconclude,basedonourworkperformed,thatthere arematerialmisstatementsintheadditionalinformation,wearerequiredtoreportthat.Thereisnothingspecific that we need to report in this regard.
Responsibilities of the Board of Directors and the Chairman for the Consolidated Financial Statements
TheBoardofDirectorsandchairmanareresponsibleforthepreparationandfairpresentationoftheFinancial StatementsinaccordancewiththeIcelandicAnnualAccountsAct,andforsuchinternalcontrolastheBoardof DirectorsandthechairmandeterminesisnecessarytoenablethepreparationofFinancialStatementsthatarefree from material misstatement, whether due to fraud or error.
InpreparingtheFinancialStatements,theBoardofDirectorsandchairmanareresponsibleforassessingEfling TradeUnionabilitytocontinueasagoingconcern,disclosing,asapplicable,mattersrelatedtogoingconcernand usingthegoingconcernbasisofaccountingunlesstheBoardofDirectorsandthechairmaneitherintendsto liquidate the company or to cease operations, or has no realistic alternative but to do so.
The board of directors and the chairman shall oversee the preparation and presentation of the financial statements.
Auditor’s Responsibilities for the Audit of the Financial Statements
Reasonableassuranceisahighlevelofassurance,butisnotaguaranteethatanauditconductedinaccordance withISAswillalwaysdetectamaterialmisstatementwhenitexists.Misstatementscanarisefromfraudorerror andareconsideredmaterialif,individuallyorintheaggregate,theycouldreasonablybeexpectedtoinfluencethe economic decisions of users taken on the basis of these Financial Statements.
Efling Trade Union is dominciled in Iceland and its address is at Gudrunartun 1, 105 Reykjavík.
2.Basis for accounting
TheConsolidatedFinancialStatementsarepreparedinaccordancewiththeIcelandicFinancialStatementsActandrelated regulations,withtheexceptionoftherequirementrelatedtorestrictedequitywheretheentityisanassociation.The ConsolidatedFinancialStatementsarebasedoncostaccountingprinciples,withtheexceptionofmarketablesecuritiesare carriedatfairvalueandsummerhousesthatarerevaluedannually.TheConsolidatedFinancialStatementsareprepared usingthesameaccountingpoliciesasthepreviousyear.TheConsolidatedFinancialStatementsarepresentedinIcelandic Krona, which is the functional currency of the Union.
*The line marked with a star represents the name of the line in the 2023 consolidated financial statement.
3.Estimates and decisions
Whenpreparingtheconsolidatedfinancialstatements,managementarerequiredbylawtomakedecisions,evaluate,and drawconclusionsthataffecttheassetsandliabilitiesonthereportingdate,informationinthenotes,andrevenuesand expenses.Theevaluationandconclusionsarebasedonexperienceandvariousotherfactorsthatareconsideredrelevant andformthebasisforthedecisionsmaderegardingtherecordedvalueofassetsandliabilitiesthatarenototherwise available
Changes to accounting estimates are recognized in the
4.Rental
DuetotheimplementationofanewsystemandtheutilizationofthehomesbythepeopleofGrindavik,therentalincome decreases slightly from 2023.
6.Benefits
7.Salary
10.General
13.Operating
14.Finance income and expense
15.Property, plant and equipment
16.Securities
17.Vacation
EflingTradeUnionowns28.33%ofthepropertylocatedatVonarstraeti3.MunicipalityofReykjavikCityowns55%ofthe property,andIcelandicSeamen'sFederationowns16.67%.theMunicipalityofReykjavikCityisresponsibleforthe operationandmaintenanceofthepropertyatVonarstraeti3.Additionally,EflingTradeUnionownsanarCollectionvalued Change in value
Svignaskarð land, buildings and a house in Skarði ................
Vacationhomesarerevaluedannuallybasedonchangesinassessmentbetweenyears.Therevaluationisrecordedasa separate revaluation reserve within equity.
Eflingisamemberinthreeanglingassociations.ThroughtheGljúfurárAnglingAssociation,Eflingholdsa20.1%share, andthroughtheNorðuráAnglingAssociation,itholdsa1%share,bothduetolandownershiprights.Eflingalsoholdsa 0.9%shareintheTungufljótsdeilddivisionoftheÁrnesingarAnglingAssociation,duetoriveraccessinStórafljóti, Bláskógabyggð.Dividendsarepaidouttothelandownersbasedonthisarrangement.Eflinghasnoobligationsorliabilities relatedtoitsmembershipintheseassociations,otherthanallowingaccesstotheriversforangling.Rightsinclude participationingeneralandannualmeetingswithproposalandvotingrights.Theseriversareleasedoutaccordingto bidding and are rented out for several years at a time.
Vacationhomesunderconstructionaremeasuredatcost,upuntilthepointtheyarecompletedandputtouse.Fromthat point on the company measures them using the revaluation method. Book value 31.12.2023 Purchase of the year
31/12/202431/12/2023
Restricted bank deposits is cash on bank accounts that have a restriction of at least 30 days.
Profit or loss from the sale of assets is the difference between the selling price and the book value of the assets on the date of sale, and is recognized in the income statement upon sale.
Securities and debt instruments
Bondsandsecuritieslistedonanactivemarketarerecognisedatfairvalue,andanychangesinfairvaluearerecognised in the income statement in the period in which they occur. Unlisted equities are recognized at cost.
Uncollected Union fees
Uncollected Union fees are recognised at face value.
Notes
Trade receivables
Tradereceivablesarerecognisedatfacevalue,takingintoaccountanyallowanceforimpairment.Theimpairment allowance is not a final write-off but represents a contra-account to address potential future losses that may occur.
Cash and cash equivalents
Cash and cash equivalents consist of fund and unrestricted bank balances.
Provision
Provisionarerecognisedinthefinancialstatementsifitislikelythattherewillbefuturefinancialoutflowsduetoaspecific event or transaction, and the amount can be reliably estimated.
Trade paybables
Trade payables are recognised at face value, taking into account any incurred expenses
