Wages and working conditions in Tunisia are established through sectoral collective bargaining agreements, typically between UGTT (the oldest and largest employee trade union), the national employers’ association (UTICA) and the government. These tripartite agreements set industry standards and generally apply to about 80% of the private sector labour force, whether or not individual companies are unionised. As such, these agreements are significant for employers operating in Tunisia.
A new agreement has resulted in a 6% pay increase which will be applied retrospectively from 1 May 2014 and which will benefit around 1.5 million employees across 50 sectors regulated by sectoral collective bargaining. The increase will also include transport allowances, which will increase by 10 dinars.