Autumn brings critical annual negotiations for SNCF, with unions seeking substantial salary increases amid management’s proposal of a 2.2% raise. While unions demand €400 more per month, CEO Jean-Pierre Farandou warns against unprecedented hikes following significant past increases. SNCF is also addressing employee concerns about potential rights reductions due to new market operators. As negotiations progress, unions aim to safeguard worker benefits amidst ongoing industry changes and the potential for social unrest.
Challenges and Negotiations at SNCF This Autumn
As autumn descends upon the SNCF management, it brings not only the falling leaves that clutter the tracks and cause train delays but also the critical period for mandatory annual negotiations (NAO) and union negotiations. Recently, extended discussions unfolded at the group’s headquarters, led by HR Director Philippe Bru, where unions engaged in the final rounds of their well-practiced negotiations.
In a familiar scenario, unions departed with a proposed agreement to present to their members for approval by November 29. Management emphasized that for the agreement to take effect, two out of the four representative unions must give their consent; otherwise, the proposal would be nullified. “For the fourth consecutive year, we are proposing a general increase above inflation at 2.2%,” management stated during a press briefing, highlighting that the lowest salary at SNCF will reach €1,580 net.
Union Demands and Management’s Response
Unions have raised demands for significant increases, specifically “400 euros per month.” CEO Jean-Pierre Farandou, whose term is set to conclude in spring 2025, cautioned that salary increments would not be as unprecedented as in previous years, during which the 140,000 railway workers experienced an average remuneration increase of 17% from 2022 to 2024, with the lowest salaries seeing a 21% rise. This approach was intentionally favorable to prevent strikes, as some unions pushed for substantial increases of +12% during discussions.
Moreover, SNCF has demonstrated its commitment to its employees by offering exceptional bonuses aimed at maintaining service quality during major events like the 2023 Rugby World Cup and the upcoming 2024 Paris Olympic Games. However, while SNCF workers enjoy these benefits, the average salary of French workers has only risen by 10%, contributing to the frustration of TGV and TER users who worry about potential disruptions during the holiday season.
The recent limited strike, which affected 7 out of 10 TER services but had minimal impact on TGVs, reflects the challenges faced by more militant unions in rallying support on issues beyond salary and status. As SNCF navigates through complex changes, such as the reallocation of employees from the freight sector due to European regulations, the focus remains on maintaining the rights and benefits of railway workers.
Concerns about the “subsidiarization” policy, which could lead to reduced rights for those transferred to new subsidiaries, persist among union representatives. With new operators entering the market, such as Transdev for the TER line between Nice and Marseille in 2025, the need for effective negotiations to safeguard worker benefits remains paramount.
As the negotiations unfold and the potential for social movements looms, SNCF unions are determined to mobilize their members to ensure their rights and benefits are preserved amidst these significant industry changes.