In 2024, Efling trade union warned its members against joining the VIRÐING union (union for employees), which they claim is a “fake union”. They argued that it was created by SVEIT (union for employers) to lower working conditions in the hospitality industry.
Others shared Efling’s concerns.
Efling listed several reasons for their claims:
According to Efling, “Virðing’s agreement with SVEIT offers a monthly salary 52,000 ISK lower than the agreements between Efling and Samtök Atvinnulífsins. Additionally, Virðing does not offer a sick leave fund, which is against the law.”
“The union was founded by employers, and its board consists of employers or their close relatives, which contradicts the goals of trade unions.”
“The conditions offered by Virðing do not align with the collective agreements in the hospitality industry.” IWW Ísland also made a summary of the reasons why it might be a “yellow union”.
After disclosing this information publicly, Efling encouraged companies to leave SVEIT and several did according to Efling. At the end of December, Efling published the name of 5 companies, all restaurants, which were still registered with SVEIT and Virðing despite the public warnings. Here is the public information on the companies, from the national companies registry:
- RÖK (Taste ehf.), kt. 670614-0340, real owners: Magnús Örn Scheving, Hrefna Björk Sverrisdóttir, company registry
- Subway (Stjarnan ehf.), kt. 410949-0169, real owner: Skúli Gunnar Sigfússon, company registry
- Public House Gastropub (Gastropub ehf.), kt. 700115-0460, real owner: Eyþór Mar Halldórsson, company registry
- Hard Rock Cafe (HRC Ísland ehf.) kt. 441215-0610, real owner: Högni Pétur Sigurðsson, company registry
- Finnsson Bistro (K3 ehf.), kt. 610404-3830, real owners: María Hjaltadóttir, Klara Óskarsdóttir, Finnur Óskarsson, company registry
SOURCES
- Efling article [IS] https://efling.is/2024/12/thetta-eru-fyrirtaekin-ad-baki-gervikjarasamningi-sveit-og-virdingar/
- Companies withdrawing from the Virðing union [IS]: https://heimildin.is/grein/23533/veitingahusaeigendur-segja-sig-ur-sveit-ad-sogn-eflingar/
- Employment contract allows audio recordings of employees [IS] https://heimildin.is/grein/23546/radningarsamningur-heimilar-hljodupptokur-af-starfsfolki/
- Virðing answering the claims [IS] https://www.visir.is/g/20252673933d/stjorn-virdingar-motmaelir-osonnum-fullyrdingum-i-fjolmidlum
- Others sharing Efling’s complaint [IS] https://www.ruv.is/frettir/innlent/2025-03-17-kvarta-undan-sveit-til-samkeppniseftirlitsins-438976
Subway also appears in the news for claims of surveillance/spying of employees: https://listofshame.is/2024/03/21/subway/