The laws of VR

Article 1 – Name, area of operation

The union is called VR and is a trade union for shop workers, service employees, office employees, tourist guides, specialists, and managers. Its area of operation covers the judicial districts of Reykjavík, Kópavogur, Hafnarfjörður, Garðabær, Seltjarnarnes, Mosfellsbær, Kjósahreppur, Reykjanesbær, Grindavíkurbær, Suðurnesjabær, the municipality of Vogar, Vestmannaeyjar, Árnessýsla, Rangárvallasýsla, Vestur-Skaftafellssýsla, Húnaþing vestra, Akranes, Hvalfjarðarsveit, Langanesbyggð, Vopnafjarðarhreppur, Múlaþing, Fljótsdalshreppur, and Fjarðabyggð. The area of operation for tourist guides in VR covers the entire country. The union’s domicile and legal venue is in Reykjavík.

Article 2 – Purpose

The purpose of the union is to strengthen and support the interests of shop workers, service employees, office employees, tourist guides, specialists, and managers in the union’s area of operation by working to promote all matters that may lead to improved rights, culture, and working conditions for wage earners in the country.

The union negotiates collective agreements for its members and represents them before public authorities and others concerning the interests of its members.

Article 3 – Membership

The union is open to all shop workers, service employees, office employees, tourist guides, specialists, and managers, both university-educated and others.

Those who work within the union's occupational field as wage earners and are employed under VR collective agreements, or are self-employed in VR’s occupational field, may become members.

Members who lose their job on the labor market may remain members by paying membership fees from payments received from the Unemployment Insurance Fund, which the fund forwards to VR. If they were not members of VR at the start of receiving unemployment benefits, they must have paid membership fees to VR for a minimum of 36 months in the previous 5 years before applying for unemployment benefits. The same applies to those receiving payments from the Maternity / Paternity Leave Fund.

Members who leave the labor market due to disability may remain members, though without eligibility for office in the union, by paying membership fees to VR through pension funds that offer the service of forwarding fees to trade unions. Such individuals must have been continuous members of VR for 5 years prior to becoming disabled, and payment of membership fees in this manner must begin no later than 12 months after the first disability pension payment.

Older members who receive old-age pension and have been in the union for at least 5 consecutive years before retiring are still considered members of VR but are not eligible for office.
Those who temporarily leave the labor market due to studies or illness may retain acquired rights upon rejoining, in accordance with the union’s detailed rules.

The following may become full members:

1. Have reached the age of 16.
2. Are debt-free to the union or other trade unions.
3. Are paying members and have paid the minimum membership fee in the preceding 12 months pursuant to Article 9, with exceptions as stated in these bylaws, and have confirmed their membership in the union according to the further provisions of these bylaws.
4. Teenagers may become members even if they have not reached the age of 16 but do not enjoy eligibility for office in the union.

Self-employed individuals on the labor market may become members of VR with limited rights according to the rules of individual funds. Self-employed individuals are not eligible for office in the union but may run for the board of the tourist guide division. Self-employed individuals and/or business owners are not entitled to vote on collective agreements or strikes.

Self-employed individuals are those required to estimate calculated remuneration according to decisions by tax authorities, as well as those registered as employees of their own companies, provided they have controlling ownership or managerial positions. In cases where a self-employed individual and/or a family member of an operator is considered to hold a controlling position, their contributions must always be paid and up to date in order to access VR’s services or the union’s fund entitlements.

A full member who bases their full membership on contributions from remuneration for board or council positions on behalf of the union, partly or wholly, is not eligible for office. This provision does not apply to elected representatives who are also employees of the union.

Article 4 – Joining the union

Applicants for union membership shall request admission to the union via an application form or by paying dues to the union. The membership of a new member shall be confirmed annually by the union office, and the union shall send the individual a notification confirming their admission to the union. If no objections are made to the membership within 30 days from the date of the notice, the individual is considered a member. No special confirmation is needed if the individual has previously made payments to the union.

Regarding dues for those who choose not to become members, the provisions of the union’s collective agreements in effect at the time shall apply. If there is doubt about the right to membership, the board shall decide the matter. This decision may be appealed to the Consultative Council. New members and self-employed individuals who wish to join the union are required to provide information about their occupational field, estimated income, and official documents to confirm income if requested.

Article 5 – Rights and Obligations

The rights of VR members are:

1. Freedom of speech, the right to make proposals and to vote at union meetings. Voting rights on the union’s collective agreements are limited to those working under the agreement being voted on at the time.
2. All full members have the right to hold trusted positions within the union, with the exceptions stated in Article 3.
3. The right to receive grants and payments from the union’s funds in accordance with their respective rules.
4. The right to perform the jobs covered by the collective agreements.
5. The right to use common property in accordance with more specific rules and regulations of the union, e.g., holiday homes, camper vans, etc.
6. The right to assistance from the union in cases of employer breach of employment terms.

The obligations of VR members are:

1. To comply with the union’s laws, rules of procedure, meeting resolutions, and to fully adhere to agreements made by the union.
2. To pay membership fees.

Article 6 - Resignation

Resignation from the union must be submitted in writing and sent to the union’s office. It is not possible to resign from the union after a list of demands in an industrial dispute has been referred to the State Conciliation and Mediation Officer and until an agreement has been reached. It is also prohibited to resign from the union in order to take up work belonging to members of the Commercial Federation of Iceland (LÍV) or the Confederation of Icelandic Labour (ASÍ) who have stopped working due to an industrial dispute.

Any member who begins working in an occupation that falls under the scope of another trade union shall be removed from the union's registry.

Article 7 – Expulsion

The union's board may expel a member who, in its opinion, violates the union's laws, its agreements with employers, or acts against the union’s interests. The board’s decision may be referred to the Consultative Council for a ruling. A two-thirds majority of votes is required to approve such an expulsion, whether at a Consultative Council meeting or a board meeting. Expulsion shall not be applied unless the offense is serious or involves repeated breaches after prior warnings. Before expulsion, the member shall be given an opportunity to present their views to the board in writing.

Article 8 – Honorary Members – Gold Badge

The union’s board may appoint honorary members and award individuals the union’s gold badge. Honorary members are exempt from paying membership fees.

Article 9 – Membership Fees

The Annual General Meeting decides on the membership fee each time. However, it is permissible to collect the fee as a percentage of wages based on the same basis as the contribution to the Pension Fund for Retail Workers, and to specify a minimum membership fee.

Article 10 – The Board

The union’s board shall consist of 15 principal members and three alternates. The Leader shall be elected for a term of four years. Seven board members shall be elected at a time for four-year terms, with seven members rotating out every other year. Alternates shall be elected for two-year terms. The board shall establish its own rules of procedure. The board elects a vice chair and a secretary and divides other responsibilities among itself. A majority of the board is required to bind the union.

Article 11 – Eligibility of Board Members

Board members under Article 10 and, where applicable, fund board members under paragraph 3 of Article 26 must be working within VR’s occupational scope. The same rule applies to other elected representatives in the union’s boards and councils. Board members must be in control of their finances and must not have been convicted of a criminal offense in the last five years. Board members may not own more than a 5% share in a company operating within the union's occupational scope. The same applies if their spouse or children hold a controlling interest in such a company, even if the board member’s own share is below 5%. Board members may not serve as managing directors of companies, institutions, or associations where the managing director’s status is equivalent to that of an employer. Board members who lose eligibility during their term or resign from the board shall automatically and immediately vacate their position, and alternates shall assume their seats until the next board election. The same rule applies to other elected representatives in the union’s boards and councils. Candidates for VR’s board must meet the above requirements at the end of the nomination period, cf. paragraph 4, Article 20.3, taking paragraph 7 of the same article into account.

In case of dispute over eligibility, the election committee shall rule on the matter.

In the handling of individual matters, a board member must recuse themselves if they have an interest that may conflict with the union’s interests.

Article 12 – Duties of the Board

The union’s board manages all union affairs between Annual General Meetings.

The board shall be responsible for the strategic planning of the union and for promoting the matters the union has resolved to pursue.

The board shall ensure that the union’s structure and operations are consistently in proper and good order and in accordance with the union’s laws.

The board is responsible for the union’s finances and assets and shall make all major financial decisions. It shall ensure that the union’s finances are consistently sound, including accounting and the handling of funds.

The board monitors the activities of divisions or professional groups operated by or affiliated with the union.

The board shall otherwise maintain an active interest in anything that may benefit the union.

The board shall appoint a managing director and assign them the daily operations of the union’s office. The board may not appoint board members or the Leader of VR as managing director. The managing director hires employees and negotiates their terms of employment. The Remuneration Committee proposes salaries and employment terms for the Leader and the managing director, which must then be approved by the board of VR.

Board members shall perform their duties with integrity, have the ability to devote the necessary time to board work, and make independent decisions on each matter individually.

Article 13 – Board Meetings

The board shall meet as often as deemed necessary, and everything that occurs at the meetings shall be recorded in a minute book, in accordance with the board’s current rules of procedure. A meeting is valid when the majority of board members attend. The Leader is responsible for convening meetings and chairs them. The board’s secretary is responsible for recording and securely storing meeting minutes.

The Vice Chair shall fulfill the Leader’s duties in their absence.

A meeting shall be held if at least four board members request it. A simple majority vote decides the outcome of matters.

Article 14 – Consultative Council

The union shall operate a Consultative Council, which serves as an advisory body to the board on major matters that arise in the union’s operations, such as the negotiation of collective agreements and significant projects undertaken by the union. In addition, the Consultative Council shall carry out other duties as specifically defined in these laws.

The Consultative Council includes, in addition to the board, alternate board members, the Youth Council, and the Chair of the Senior Council, the boards of divisions created through the merger of VR and other retail workers' unions in the countryside, and 82 representatives elected in a general election for four-year terms. If the Chair of the Senior Council is not eligible under Article 3 of VR’s laws, the individual shall have the right to speak and propose motions at Consultative Council meetings but not voting rights.

The Leader of the union is also the Chair of the Consultative Council and convenes meetings as needed or when at least four board members or 15 representatives from the Consultative Council request a meeting in writing.

Article 15 – Divisions

The union’s board may operate divisions within the union by occupation/industry and geographic area. The role of each division is, among other things, to work toward the common interests of employees in the respective occupations/industries and regions, promote their education, and address collective bargaining issues related to those fields and areas.

The division’s board is elected at the annual division meeting. The division’s board shall consist of at least three members who divide responsibilities among themselves, and there shall be an equal number of alternates. The board’s term is two years. The division board may receive funds, as determined by the union’s board, for educational and cultural activities within the division. The division shall establish rules of procedure which must be approved by the union’s board.

Article 16 – Shop Steward

The Leader, on behalf of the union’s board, confirms the selection of shop stewards and formally appoints them with a letter of assignment outlining their duties.
Shop stewards shall monitor compliance with the union’s laws and decisions and ensure adherence to agreements.

Shop stewards are the liaison between employees at the workplace and the union’s board and staff. Otherwise, their activities, rights, and obligations are governed by law and the union’s collective agreement. 

Article 17 – Negotiation Committee

The union shall have a functioning Negotiation Committee. The Negotiation Committee represents the union in collective bargaining negotiations. The board also acts as the union’s Negotiation Committee. The board may invite additional VR members to participate in the Negotiation Committee as needed. In the case of special agreements for individual workplaces or companies, the Negotiation Committee may establish a smaller subcommittee.

A proposal of demands for general collective agreements must be presented to the Consultative Council for approval before negotiations begin.

Article 18 – General Referendum

A general referendum shall be held:

1. On the election of the board and the Consultative Council.
2. On work stoppages. If a work stoppage is only intended to affect a specific group of VR members or employees at a particular workplace, it is permissible to make the decision based on the votes of those affected.
3. On the State Conciliation and Mediation Officer’s proposal, as applicable.
4. When the Consultative Council or a legally convened union meeting approves a general referendum within the union.

A general referendum shall be conducted as a secret ballot among VR members in accordance with ASÍ rules, unless exceptional circumstances prevent it.

Article 19 – Election Committee

The Election Committee shall consist of three individuals during union elections: two nominated by the union’s board and one nominated by the Commercial Federation of Iceland or the Confederation of Icelandic Labour. An equal number of alternates shall be nominated. The Election Committee is fully responsible for the implementation of elections according to ASÍ regulations.

Article 20 – Election of Leader, Board, and Consultative Council

20.1. On the election of the Leader and the board

The Leader shall be elected in an individual election every four years. Every other year, seven board members shall be elected for four-year terms, and three alternates for two-year terms, in an individual vote.

If more candidates are nominated than the available seats, an electronic vote among full members shall be held.

If an insufficient number of nominations is received, the union’s board shall propose candidates to the Consultative Council for approval. If multiple proposals are presented at the Consultative Council meeting, a vote shall be held between them. A simple majority decides the outcome.

20.2. On the election of the Consultative Council

Every other year, 41 representatives shall be elected in a list election to serve on the Consultative Council for four-year terms. If a Consultative Council member loses eligibility under paragraph 3, Article 11, during the first year of their term, the number of candidates on the election list in the next election shall be increased beyond 41 to match the number of those who lost eligibility. Those added in this manner shall only be elected for two-year terms.

If more than one list is submitted, an electronic vote among full members shall be held. The list receiving the most votes shall be considered duly elected. The board and the Consultative Council are obligated to prepare a candidate list for the Consultative Council. An individual is not allowed to appear simultaneously on a list for the Consultative Council and in an individual election for the Leader or board of the union. An open call must be advertised on VR’s digital platforms and the largest news media, or in another verifiable manner, for VR members interested in appearing on the list.

A Nomination Committee, composed of the Leader and four individuals elected by the Consultative Council, shall be established by January 15 every other year. The committee shall select candidates from those who have come forward and check their eligibility.

If an insufficient number of nominations is received, the Nomination Committee shall propose representatives for the list to be approved by the Consultative Council.

If more individuals come forward than there are available seats, the list shall be presented to the Consultative Council for approval.
Any individual who offered themselves but was not given a place on the list may demand that the Consultative Council vote on the candidates at the meeting.

Article 20.3 – Election Procedure

The Election Committee shall rule on the validity of nominations.

The Election Committee oversees and makes decisions on the execution of elections. Decisions made by the Election Committee are final.

The Election Committee shall announce a call for nominations via VR’s digital platforms and the largest news media, or in another verifiable manner. The nomination deadline shall be a minimum of one week.

Nominations shall be submitted to the Election Committee and must include the name and ID number of each nominee. Written endorsements from 15 VR members are required for board nominations. Written endorsements from 50 VR members are required for Leader nominations. Nomination documents may be submitted to the Election Committee in paper form at the union’s offices or electronically.

For a list of candidates for the Consultative Council, written consent from all those included on the list must be provided.

For an opposing list to be considered validly submitted against the Consultative Council’s list, written endorsements from 1% of VR members are required.

The Election Committee may grant a 24-hour deadline to correct deficiencies in nominations. The Election Committee rules on the eligibility of all nominees and then announces the start of voting in accordance with ASÍ regulations on secret general referenda. Decisions made by the Election Committee are final.

The election must be held within six weeks from the end of the nomination period.
Elections for trusted positions within the union must be completed no later than March 15 each year.

Candidates in individual elections may withdraw their candidacy up to one week before voting begins. Candidates in list elections cannot withdraw after the nomination period has closed.
The union office shall handle the presentation of candidates via the union’s current communication platforms. Candidate meetings shall be held if one or more candidates request it.
All other aspects of election procedure and preparation shall follow ASÍ regulations on secret voting.

Article 20.4 – Ballots and List Arrangement

For board elections:

Candidates shall be listed on the ballot in random order. Voters must mark at least one and up to seven candidates. To maintain gender balance on the VR board, the candidate receiving the most votes shall take the 1st seat on the board, and the next seat shall be filled by the highest-voted candidate of the opposite gender, and so on. This gender rotation shall also apply to the arrangement of alternates.
The seven candidates receiving the most votes in accordance with the above are considered duly elected principal board members for a four-year term, and the next three are considered duly elected alternates for a two-year term.

For Consultative Council elections:

If more than one list is submitted in addition to the list of the board and Consultative Council, each list shall be marked with a letter in the order they are received. Names on each list shall be arranged in alphabetical order. If the Consultative Council votes on the individuals who will appear on the list, cf. para. 5, Article 20.2, then names shall be arranged alphabetically on the ballot.

Article 21 – Election of Delegates to LÍV and ASÍ Congresses

A general referendum may be held to elect delegates to the congresses of the Commercial Federation of Iceland (LÍV) and the Confederation of Icelandic Labour (ASÍ), and such referendum shall follow ASÍ regulations.

If a general referendum is held on a list of delegates, written consent from all individuals on the list must be submitted. For an opposing list to be validly submitted against the board and Consultative Council’s list, written endorsements from 1% of VR members are required.

The procedures outlined in Article 18 on elections shall apply as appropriate.

Article 22 – Equality

When selecting VR members for trusted positions within the union, equal opportunity shall be ensured between genders and between occupational groups.

Article 23 – Annual General Meetings

The union’s Annual General Meeting shall be held before the end of March each year and no later than 14 days after the board election. It shall be announced via VR’s digital platforms and the largest news media, or in another verifiable manner, with a 10-day notice. The Annual General Meeting holds the highest authority in the union’s affairs. The board may conduct the meeting partially or fully online, ensuring equal treatment of participants regardless of whether they attend in person or virtually. VR members participating virtually must verify their attendance using approved digital identification. The Annual General Meeting has the highest authority in the union’s affairs.

Article 24 – Annual General Meeting Agenda

The agenda for the Annual General Meeting shall be as follows:

1. Election of the meeting chair.
2. Election of the secretary.
3. Report from the board on the union’s activities during the previous year.
4. Presentation and approval of the union’s financial statements for the previous calendar year.
5. Proposed amendments to laws and regulations, if any.
6. Announcement of election results for the Leader, board, and Consultative Council, when applicable.
7. Election of a certified auditor or audit firm and two member-elected auditors.
8. Decision on membership fees.
9. Decision on board member remuneration.
10. Other matters.

Article 25 – Union Meetings

The union shall hold meetings as often as necessary. However, the board is obligated to convene a meeting when no fewer than 1% of VR members submit a written request, and such meeting must be held within seven days from the date the request was received. A meeting is valid if it is announced via VR’s digital platforms and the largest news media, or in another verifiable manner, with at least two days’ notice. Matters not included in the advertised agenda cannot be resolved at the meeting, though resolutions may be made for the guidance of the board. The board may announce a meeting with shorter notice in special circumstances, such as negotiations, or as otherwise deemed necessary. A simple majority vote decides matters at meetings unless otherwise specified in these laws. A minute book shall be maintained, recording summaries of proceedings at union meetings.

The board may hold union meetings partially or fully online, ensuring equal treatment of attendees whether they participate in person or virtually. VR members attending such meetings online must always verify their participation using approved digital identification.

Validly held union meetings hold the highest authority in all union matters between Annual General Meetings, within the limitations set by these laws and as described above.

Article 26 – Funds

The union operates the following:

General Fund, VR Sick Pay Fund, Vacation Fund, VR Contingency Fund, and Strike Fund.

Each fund’s regulations shall specify its purpose, revenue sources, procedures for disbursements, and all other matters relating to the fund’s operation.

The VR board governs these funds, though it is permissible to appoint a specific board for each individual fund.

The union’s funds shall be invested as follows:

a) in government bonds or bonds guaranteed by the Treasury,
b) by purchasing listed securities,
c) in bank or savings accounts,
d) in real estate connected to the activities and objectives of the funds,
e) in any other manner the board and Consultative Council deem secure.

Article 27 – Financial Statements

The union’s board shall present financial statements, which must be audited by a certified auditor and signed by them and the union’s auditors. The financial statements shall be available at the union’s offices and on its website for members to review seven days before the Annual General Meeting.

Article 28 – Amendments to the Laws

These laws may only be amended at a valid Annual General Meeting. However, amendments may be referred to a general referendum at an Annual or continuation meeting.

The meeting notice must state that amendments to the laws are on the agenda.

Amendment proposals from the board must be presented to the Consultative Council.
Proposals for amendments must be submitted to the union’s board no later than 14 days before the Annual General Meeting.

At the Annual General Meeting, it is only permitted to propose amendments to those proposals that have been submitted to the board in this manner. Other proposals will not be considered.
All amendment proposals shall be available at the union’s office and website seven days before the Annual General Meeting.

Amendments require the approval of two-thirds of votes cast. Amendments come into effect once confirmed by the central board of the Confederation of Icelandic Labour and the board of the Commercial Federation of Iceland.

Article 29 – Dissolution of the Union

The union cannot be dissolved unless 3/4 of all VR members approve. This decision cannot be altered with reference to Article 28.

Transitional Provision – Election Exceptions for 2025 and 2026:

The 2025 elections shall follow the new format described in Articles 20.1 and 20.2. In 2026, seven members shall be elected to the main board for a one-year term and 41 members to the Consultative Council for a one-year term. In 2027, seven members shall be elected to the main board for four years and alternates for two years. Also, 41 representatives shall be elected to the Consultative Council for four-year terms.

(VR’s Laws, approved at the VR Annual General Meeting on February 28, 1955, with subsequent amendments on February 19, 1958, February 23, 1959, February 10, 1965, January 17, 1967, January 25, 1969, June 2, 1975, February 11, 1976, March 21, 1978, March 18, 1991, March 25, 2002, March 14, 2005, April 24, 2006, March 31, 2008, April 2, 2009, January 11, 2011, April 27, 2011, April 10, 2012, March 26, 2014, March 25, 2015, March 28, 2017, March 19, 2018, March 27, 2019, June 9, 2020, March 24, 2021, March 29, 2023, March 21, 2024, March 26, 2025).

Note: This is a translation only, in matters of dispute please refer to the original in Icelandic