Common use of Wages in foreign currency Clause in Contracts

Wages in foreign currency. The employee and the employer may agree that a part of the regular monthly wage is to be paid in a foreign currency or that a part of the regular monthly wage may be linked to the exchange rate of a foreign currency. The selling rate of the currency should be used for reference on the date when the agreement between the employee and the employer was made. Regular monthly wages shall be calculated and stated on the payslip as follows: 1. The regular monthly wages designated in ISK on the date of the agreement. 2. To be deducted is the amount in ISK that an agreement has been made to pay in a foreign currency or to link to the exchange rate of a foreign currency on the date of the agreement. 3. The part of the fixed monthly wage paid in or linked to foreign currency (cf. item 2), calculated in ISK at the selling rate of the foreign currency three business days before the date of payment. The sum of items 1–3, however, may never be lower than the minimum rate of the collective agreement in force for the industry in question. The sum of items 1–3 forms the base for the payment of taxes and contributions in accordance with the collective agreement, such as to the pension fund, employee association fund, union sickness fund, vocational rehabilitation fund, holiday home fund and the re-education fund. The employee and the employer can negotiate that overtime, shift premiums, bonuses and other payments will be settled in part or fully in a foreign currency. Wage increases shall only be calculated with respect to item 1, i.e. regular monthly wages in ISK. An employee can, whenever he wishes, request the termination of the agreement. In the event that an employee submits such a request, the employer should comply with it from and including the beginning of second month from that date. An employee shall receive wages according to item 1 as amended from the date when the original agreement was made. The employee and the employer must enter into a written agreement regarding the payment of wages in foreign currency or regarding wage linkage with a foreign currency. - See 2008 attachment to agreement on wages in foreign currencies – Contract form, page 61

Wages in foreign currency. The employee and the employer may agree that a part of the regular monthly wage is to be paid in a foreign currency or that a part of the regular monthly wage may be linked to the exchange rate of a foreign currency. currency The selling rate of the currency should be used for reference on the date when the agreement between the employee and the employer was made. Regular monthly wages shall be calculated and stated on the payslip as follows: 1. The regular monthly wages designated in ISK on the date of the agreement. 2. To be deducted is the amount in ISK that an agreement has been made to pay agreed should be paid in a foreign currency or to link linked to the exchange rate of a foreign currency on the date of the agreement. 3. The part of the fixed monthly wage paid in or linked to foreign currency (cf. item 2), calculated in ISK at the selling rate of the foreign currency three business days before the date of payment. payment The sum of items 1–3, however, may never be lower than the minimum rate of the collective agreement in force for the industry in question. The sum of items 1–3 forms the base for the payment of taxes and contributions in accordance with the collective agreement, such as to the pension fund, employee association social fund, union sickness fund, vocational rehabilitation fund, holiday home fund and the re-education fund. The employee and the employer can negotiate that the extent to which overtime, shift premiums, bonuses and other payments will be settled in part or fully in full in a foreign currency. Wage increases shall only be calculated with respect to item 1, i.e. regular monthly wages in ISK. An employee can, whenever he wishes, request the termination of the agreement. In the event that an employee submits such a request, the employer should comply with it from and including the beginning of the second month from that date. An employee shall receive wages according to item 1 as amended from the date when the original agreement was made. The employee and the employer must enter into a written agreement regarding the payment of wages in foreign currency or regarding wage linkage with a foreign currency. - See 2008 attachment to agreement on wages in foreign currencies – Contract form, page 61attachment.

Wages in foreign currency. ‌ The employee and the employer may agree that a part of the regular monthly wage is to be paid in a foreign currency or that a part of the regular monthly wage may be linked to the exchange rate of a foreign currency. currency The selling rate of the currency should be used for reference on the date when the agreement between the employee and the employer was made. Regular monthly wages shall be calculated and stated on the payslip as follows: 1. The regular monthly wages designated in ISK on the date of the agreement. 2. To be deducted is the amount in ISK that an agreement has been made to pay agreed should be paid in a foreign currency or to link linked to the exchange rate of a foreign currency on the date of the agreement. 3. The part of the fixed monthly wage paid in or linked to foreign currency (cf. item 2), calculated in ISK at the selling rate of the foreign currency three business days before the date of payment. payment The sum of items 1–3, however, may never be lower than the minimum rate of the collective agreement in force for the industry in question. The sum of items 1–3 forms the base for the payment of taxes and contributions in accordance with the collective agreement, such as to the pension fund, employee association social fund, union sickness fund, vocational rehabilitation fund, holiday home fund and the re-education fund. The employee and the employer can negotiate that the extent to which overtime, shift premiums, bonuses and other payments will be settled in part or fully in full in a foreign currency. Wage increases shall only be calculated with respect to item 1, i.e. regular monthly wages in ISK. An employee can, whenever he wishes, request the termination of the agreement. In the event that an employee submits such a request, the employer should comply with it from and including the beginning of the second month from that date. An employee shall receive wages according to item 1 as amended from the date when the original agreement was made. The employee and the employer must enter into a written agreement regarding the payment of wages in foreign currency or regarding wage linkage with a foreign currency. - See 2008 attachment to agreement on wages in foreign currencies – Contract form, page 61attachment.