MEDELLIN, Colombia, Oct. 3 /PRNewswire-FirstCall/ -- At a meeting held yesterday, Bancolombia S.A. ("Bancolombia") and the unions Uneb and Sintrabancol, agreed to a new collective bargaining agreement (the "Agreement"). The Agreement will have a term of three (3) years, beginning on November 1, 2008. Approximately 71% of Bancolombia's employees will be covered by the Agreement.
The Agreement improves the competitiveness of the salaries of Bancolombia's employees, as well as their income and purchasing power. The Agreement also reflects Bancolombia's commitment to the well-being of its employees, as a principal component for achieving its strategic goals.
The most important economic aspects of the Agreement are:
1. A pay increase of 9.87% for the first year. For the second year, the increase will be equal to the variation in the Colombian consumer price index ("IPC"), as certified by the Colombian statistical bureau ("DANE") for the period between November 2008 and October 2009, plus 150 basis points. For the third year, the increase will be equal to the IPC variation, for the period between November 2009 and October 2010, plus 100 basis points.
2. Improved benefits for Bancolombia's covered employees, including increases in the amounts of individual housing loans, tuition aid funds, health insurance coverage, transportation and food assistance.
With the execution of the Agreement, Bancolombia, Uneb and Sintrabancol continue to work on the consolidation of long-term labor relationships based on mutual trust and respect.
