The pay terms typically involve a three-year process in which unions accept moderate nominal wage increases in return for income tax reductions. Indeed, these reductions in income taxes have delivered a not insignificant part of the increase in take-home pay. National agreements were undoubtedly an important feature in restoring confidence and competitiveness in the late 1980s and early 1990s.
Let me close by extending a big thank you on behalf of the Executive Board of the ECB to all the panellists, speakers and organisers of the conference, who have contributed so much to the success of the SSM’s first anniversary. Ladies and gentlemen, colleagues, I thank you for your interest in our first ECB Forum on Banking Supervision.