Two Whalers Awarded Over 2 Million ISK Each in Pay Dispute

A district court in West Iceland has ruled that Hvalur hf. must pay two former employees roughly 2.1 million Icelandic krona each in lost wages tied to the 2023 whaling season. The company was cleared of wage claims brought by three other workers who had also prepared for the same season. All five individuals had agreed to work during the whaling season scheduled to begin in late summer 2023. The central legal question was whether binding employment contracts existed and if workers were entitled to pay even though the hunt never took place. Just one day before then-Minister of Food Svandís Svavarsdóttir imposed a temporary ban on whaling until September 1, 2023, this decision followed public debate over whale welfare sparked by a report from the Icelandic Food and Veterinary Authority. In the two successful cases, the court found that formal hiring agreements had been established. One worker had previously been employed by Hvalur, obtained leave from another job, rented out his apartment, and paid for dog boarding in anticipation of the season. The judge concluded these actions demonstrated reasonable reliance on a valid contract. In the other three cases, the court determined that no binding employment relationship had formed, and Hvalur was acquitted of those claims.