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annual report - FIAT SpA

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2011, with a one-off gross payment of €320 relating to the period from May 2010 to March 2011, payable in two<br />

equivalent installments in May and December 2010. A 2.7% salary increase will then be applied from 1 April 2011.<br />

In Poland, company-wide pay negotiations, which did not result in any structural increases in 2009, resulted in average<br />

increases of about PLZ 300 gross per month and, except for a few companies, one-off bonuses averaging around PLZ<br />

1,500 gross, payable in two or more installments and directly linked to achievement of production plans objectives.<br />

However, due to the worsening of market conditions and resulting impact on production, for most Group companies<br />

conditions for payment of all bonus installments were not met.<br />

In Brazil, most Group companies applied collective bargaining agreements in place with the local employers’<br />

associations for each sector (e.g., FIEMG for companies in the Belo Horizonte, Betim, and Contagem areas). Others<br />

have stipulated company-level agreements with similar increases. Overall, increases under these collective<br />

agreements were higher than inflation, reflecting the country’s current economic growth, but were nevertheless in line<br />

with increases applied for the local industrial system as a whole. Variable <strong>annual</strong> bonuses were also paid on the basis<br />

of company results.<br />

Finally, at the Fiat Automobiles Serbia Doo plant in Kragujevac, a collective labor agreement was reached, with the<br />

union organization represented at the plant, covering both pay and employment conditions for the approximately 1,100<br />

workers at the site.<br />

The level of labor unrest in Italy was higher than for 2009. The most significant labor action taken during the year<br />

consisted of: strikes called by several trade unions at the beginning of the year in protest against the Group’s 2010-<br />

2011 Plan for Italy, presented in December 2009; strikes against the agreement signed on 15 June 2010 for the<br />

relaunch of the G.B. Vico plant in Pomigliano called by FIOM, which did not sign the agreement; and, strikes protesting<br />

against the non-payment of additional performance bonuses for 2009. There were also a few instances of minor labor<br />

action organized locally in relation to shifts, overtime and workloads.<br />

The overall level of labor unrest in countries outside Italy was once again negligible this year. However, general strikes<br />

were called between June and October in France to protest against government pension reforms – with Group<br />

employees also taking part, albeit at significantly different levels for each company – and a general strike was called in<br />

Spain at the end of September against the government budget (which also contained an increase in retirement age and<br />

labor reforms) in which a significant number of employees of Group companies took part.<br />

Report on Operations Human Resources<br />

36

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