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March 1997

• 28 Mar 1997
  Austria: The legal position of foreign nationals

  The Austrian Government has suggested sweeping changes to five laws defining the rights and obligations of foreign nationals. These alter the bargaining power of foreign employees and job seekers, in turn also affecting the bargaining power of Austrian nationals.

• 28 Mar 1997
  Austria: New rules on part-time work in the civil service

  New legal regulations due to come into force in June 1997 broaden the availability of part-time work in the Austrian civil service, though they do not introduce a sabbatical scheme as planned originally.

• 28 Mar 1997
  Austria: More flexibility in Sunday working

  Amendments to Austria's Leisure Time Act, approved in March 1997, include a clause allowing the social partners to agree Sunday working for individual establishments, if this is necessary in order to attract or to retain jobs.

• 28 Mar 1997
  Belgium: Reforms agreed to "Maribel" system of social security subsidies

  Intervention from theEuropean Commissionhas compelled the Belgian Government to amend its procedures for reducing social security costs (theMaribelsystem) and to extend them across-the-board to all sectors of the economy.

• 28 Mar 1997
  Belgium: Higher Council for Employment: a new body to support employment policies

  To give impetus to Belgian employment policies, the Federal Government has recently created a new body to advise on its decision-making and to speed up the monitoring of employment trends.

• 28 Mar 1997
  Belgium: The closure of Renault-Vilvoorde

  The closure of the Renault assembly plant inVilvoordein Belgium came unexpectedly and has sparked reactions from all segments of Belgian life, as well as numerous international responses. The consensus is that the decision was announced inappropriately and demonstrates what has been called "the unacceptable face of capitalism".

• 28 Mar 1997
  Germany: Employers dissatisfied with regulations on social plans

  The legal regulations governing the "social plan", a special form of redundancy programme, have become a controversial topic in Germany in recent years but, up until now, empirical data on the issue have been scarce. However, a recent study indicates that two-thirds of the enterprises that have concluded a social plan consider the regulations to be inadequate. One-quarter go so far as demanding the abolition of the obligation to reach an agreement on a social plan. This article introduces the legal background, summarises the key points of the study and comments on the findings.

• 28 Mar 1997
  Germany: Miners' revolt ends in "corporatist" compromise

  The German Federal Government's plan to cut subsidies for hard coal recently led to a "revolt" among miners. After more than a year of negotiations on how to finance German hard-coal mining in the future, and one week of angry protests by the miners, the Federal Government, the governments of the states ofNorth Rhine-WestphaliaandSaarland, the miners' union, IG Bergbau und Energie, and the two mining companies Ruhrkohle AG and Saarbergwerke AG agreed on a" coal compromise" (Kohlekompromiß). The agreement comprises subsidies of DEM 68 billion up to the year 2005, on condition of a reorganisation of the mining industry.

• 28 Mar 1997
  Germany: Employment alliance signed at Mercedes Benz

  On 27 February 1997, a company-wide "employment alliance" was signed at Mercedes Benz, aimed at boosting competitiveness and maintaining jobs in the group's German operations.

• 28 Mar 1997
  Germany: Regional employers' association in the building industry quits peak associations

  On 19 March 1997, the Berlin and Brandenburg regional building industry employers' association decided to leave the industry's two peak associations and its centralised collective bargaining system.

• 28 Mar 1997
  Germany: The use of "hardship clauses" in the east German metalworking industry

  In 1993, employers' associations and theIG Metalltrade union signed a collective agreement for the east German metalworking industry, which for the first time included a general "hardship clause". Under certain conditions, this allows companies with immense economic problems to pay their employees below the minimum wage set by the collective agreement for a limited period of time. More than 180 companies have since requested recognition of a "case of hardship" and in about 100 cases the social partners have agreed to use the hardship clause. The publication of a recent study on the practical results of hardship clauses to date has opened a debate on whether or not such hardship clauses should be introduced into west German collective agreements.

• 28 Mar 1997
  Germany: Joint union membership for German and UK workers

  A unique agreement on joint trade union membership was signed in March 1997 by the British GMB and the German IG Chemie-Papier-Keramik.

• 28 Mar 1997
  Denmark: Ministry of Labour launches vocational training campaign

  On 3 March 1997 the Ministry of Labour launched a nationwide vocational training campaign, aimed at increasing public awareness and encouraging more companies to formulate individual training plans for their employees. The campaign, with the slogan "Vocational training worth working on", will run until mid-June 1997 and will be carried out in close collaboration with 265 local vocational training centres and with the support of theDanish Employers' Confederation(DA) and theDanish Confederation of Trade Unions(LO).

• 28 Mar 1997
  Denmark: 1996 saw the lowest number of unofficial strikes in the 1990s

  Last year, there was a 70% decrease in working days lost due to unofficial strikes in Denmark, according to the latest statistics from the DA employers' confederation.

• 28 Mar 1997
  Denmark: Home-based telework on the increase

  In 10 years' time, up to 250,000 employees in Denmark may be involved in home-based telework, according to a new study conducted for the Ministry of Research and Information Technology.

• 28 Mar 1997
  Spain: Stockauto leads labour reform with new agreement

  Stockauto, a vehicle storage and distribution firm, has signed a collective agreement on some of the most controversial issues in the current debate on reform of the Spanish labour market: the creation of secure employment, the definition of the objective reasons for dismissal and the search for procedures to make working time more flexible

• 28 Mar 1997
  Spain: Unions oppose privatisation of Telefónica

  At the beginning of 1997, the total privatisation of Telefónica, the largest Spanish telecommunications firm, was completed. The trade unions in the company, led by CCOO and UGT, have applied for a judicial review of this measure, demanding its suspension until the new regulatory framework for the sector is defined, and a public, universal and quality service is guaranteed in the area of telecommunications. The Supreme Court has agreed to consider the appeal but has not suspended the privatisation.

• 28 Mar 1997
  Spain: Part-time employment: a new feature of the Spanish labour market

  The 1994 labour market reform led to a spectacular increase in part-time employment contracts, which had hardly been used in Spain before that time. This feature describes this development and points out the main characteristics of the workers employed under these contracts, who are mainly women.

• 28 Mar 1997
  Spain: Trends in collective bargaining since 1994

  The major labour market reform legislation of 1994 made important changes to the framework for collective bargaining in Spain. This feature examines bargaining trends since 1994, and analyses the positions of the parties involved and the results of the reform.

• 28 Mar 1997
  Spain: Final hurdles for labour market reform?

  All industrial relations activities in Spain have been at a standstill in early 1997, pending the conclusion of negotiations between trade unions and employers' organisations on labour market reform. However, initial agreements have been reached on types of employment contract and on dismissal

• 28 Mar 1997
  EU Level: The Renault case and the future of Social Europe

  The announcement in February 1997 by French car makerRenault, of the closure of its Belgian plant has generated an unprecedented storm of protest and raised questions over the ability of European legislation to prevent multinational companies from enforcing economically motivated decisions on the location of production, without prior workforce consultation. It has also generated a much-needed debate on the use of Structural Fund resources in the relocation of business activities to areas of lower labour costs.

• 28 Mar 1997
  EU Level: Commission issues Memorandum on Transfer of Undertakings

  On 5 March 1997, theEuropean Commissionissued a Memorandum on the interpretation of the 1977 Directive on the transfer of undertakings. The Memorandum seeks to address the criticisms levied against its attempt at updating the Directive in the light of the changes resulting from the single market, and of judgments by theEuropean Court of Justiceas well as national courts.

• 28 Mar 1997
  EU Level: UNICE outlines its vision for the future of the European social dialogue

  On 26 February 1997,UNICE, the European employers' body, issued its response to the recent Communication from theEuropean Commissionon the development of the social dialogue at Community level. The document shows a considerable degree of agreement between European intersectoral social partner organisations on the future shape of the European social dialogue process.

• 28 Mar 1997
  EU Level: Commission rejects French textile plan

  In March 1997, the European commissioner responsible for competition policy, Karel Van Miert, rejected as "illegal" a plan by the French Government to support its ailing textile industry by reducing non-wage labour costs. The use of subsidies to help maintain employment has recently become heavily disputed.

• 28 Mar 1997
  EU Level: Commission launches second stage of consultations on sexual harassment

  In March, the European Commission launched the second stage of consultations with the European-level social partners on a policy to counter sexual harassment at work. The social partners now have to decide whether or not to launch autonomous negotiations with the aim of drawing up a framework agreement.

• 28 Mar 1997
  EU Level: Commission issues Communication on the modernisation of social protection systems

  TheEuropean Commissionhas launched a new Communication on the modernisation and improvement of social protection systems in the European Union. The document, issued in March 1997, presents the Commission's analysis of the need for reform, and presents its agenda for future action and analysis.

• 28 Mar 1997
  EU Level: First annual report on equal opportunities published

  TheEuropean Commissionrecently published its first annual report on equal opportunities between men and women, reviewing developments both at the European Union level and within individual member states.

• 28 Mar 1997
  EU Level: Commission publishes amended proposal on transfer of undertakings

  TheEuropean Commissionadopted a new version of its draft Directive amending Council Directive 77/187/EEC on 24 February 1997. It reflects the Opinions submitted by theEconomic and Social Committee, theCommittee of the Regionsand theEuropean Parliament.

• 28 Mar 1997
  EU Level: Commission underlines the role of the social partners in fighting racism

  Speaking in March 1997 at a conference on the fight against racism and xenophobia, organised by theEuropean Trade Union Confederation(ETUC), commissionerPadraig Flynnhighlighted the important contribution of the social partners in combating racism in the workplace and in society as a whole.

• 28 Mar 1997
  Finland: Legislative changes affect atypical work

  Legislative changes have been introduced affecting "atypical" work under the Contracts of Employment Act, the Study Leave Act and the Occupational Safety Act. The changes came into force at the beginning of February and they aim to bring the legal status of persons in such work closer to the status of persons under a regular employment contract.

• 28 Mar 1997
  Finland: Working time experiments introduced in 20 municipalities

  TheMinistry of Labourhas chosen 20 municipalities in different parts of Finland to participate in new forms of working time organisation on an experimental basis. Results so far have been favourable.

• 28 Mar 1997
  France: Courts play an increasing role in supervising mass redundancies

  After a legal battle lasting more than three years between the management of La Samaritaine (one of the five large Paris department stores), and its works council andCGTunion branch, two rulings by the highest court in the French legal system on 13 February 1997, imposed the reinstatement of staff made redundant, as part of the cancellation of a corporate "downsizing" procedure (plan social). These rulings reveal the growing role of judges in the supervision of redundancies.

• 28 Mar 1997
  France: The Renault-Vilvorde affair: "Euro-strike" against the closure of its Belgian plant

  The announcement by the French auto manufacturer, Renault, of the closure of its plant with a workforce of 3,100 in Vilvorde in the Flandersregion of Belgium, has caused a wave of indignation throughout Europe. The closure is part of a European restructuring project which also includes the axing of 2,800 jobs in France. The response by the unions, of an unusually rapid and massive nature, took the form of strikes in all the group's European plants, and a series of joint demonstrations.

• 28 Mar 1997
  France: Law establishes retirement savings funds

  On 20 February 1997, Parliament adopted a law establishing retirement savings funds. This legislation has a dual objective. Firstly, to provide private sector employees with a new retirement cover financed by capitalisation, and secondly, to strengthen the Paris financial market and balance the growing power of foreign institutional investors.

• 28 Mar 1997
  France: Civil service strike

  Following a strike call issued by French public service trade unions, a national day of action comprising strikes and demonstrations took place on 6 March.

• 28 Mar 1997
  France: Workers in performing arts take action over unemployment benefit plans

  Workers in the performing arts have been protesting about threats to their special unemployment benefit scheme arising from employers' positions in the recent renewal of the agreement on the general UNEDIC scheme.

• 28 Mar 1997
  France: Bill on combating exclusion under discussion.

  On 26 February 1997, the French Cabinet adopted a bill aiming at rebuilding social cohesion, which is to be debated in the National Assembly some time in April 1997.

• 28 Mar 1997
  France: Hospitals faced with strikes.

  Two separate strikes have been hitting the French hospital sector over February and March 1997. On the one hand, certain unions are campaigning against cuts in hospital budgets while, on the other hand, numerous trainee doctors and senior consultants are on strike, demanding the revision of the medical agreement co-signed by the health insurance office (CNAM) and the medical profession, which in their opinion hinders the practicing of professional medicine.

• 28 Mar 1997
  France: Can members of the far Right be elected to industrial tribunals ?

  Prior to the election of industrial tribunal members in December 1997, five trade union confederations have requested an overhaul of the voting system in order to prevent the election of judges from the far Right.

• 28 Mar 1997
  Greece: Recent trends in health and safety at work

  Over the past decade or so, changes in the institutional and legislative framework - and particularly Law 1568/1985 and Presidential Decree 17/1996 - have opened up new dimensions for the protection of health and safety at work, and the ability of employers and employees to participate and intervene in this field.

• 28 Mar 1997
  Greece: Government seeks to regulate illegal immigration and employment

  In an attempt to resolve the problem of illegal immigration and employment in Greece, the Government has proposed a Presidential Decree. Employer and employee representatives responded in March 1997 through a statement issued by the Economic and Social Committee (OKE)

• 28 Mar 1997
  Greece: Territorial Employment Pacts underway

  A framework for "Territorial Employment Pacts" was launched by the National Institute of Labour on 6 March 1997, laying the foundation for their development and implementation. The social partners have since adopted their own positions on the initiative.

• 28 Mar 1997
  Ireland: A new role model - centralised wage bargaining in Ireland

  To centralise or decentralise wage negotiations? In most of Europe, centralised bargaining has lost something of its former hue and is seen by many to be inflexible and cumbersome. But in Ireland, centralised bargaining has made a remarkable comeback. A recent report by a group of independent observers concludes that the competitiveness of the Irish economy has been considerably enhanced by this system of wage determination.

• 28 Mar 1997
  Ireland: Talks open on change and share plan at Telecom

  Management and trade unions at the state-ownedTelecom Eireannhave established a joint negotiating group to facilitate the transformation of the telecommunications company by concluding an agreement on a IEP 110 million cost-reduction programme, change and flexibility and a novel Employee Share Ownership Plan (ESOP).

• 28 Mar 1997
  Ireland: Police follow nurses' example and seek special commission

  Rank-and-file members of the Irish police force plan a protest march on the Irish Parliament - theDail- on 16 April 1997 to press home their case for the first independent review of police pay since 1981.

• 28 Mar 1997
  Italy: Trade unions mobilise for the enforcement of the pact for employment

  A demonstration took place in Rome on 22 March backed by the three biggest trade union confederations,CGIL,CISL, andUIL, in support of the enforcement of the "trilateral" agreement on employment signed in September 1996.

• 28 Mar 1997
  Italy: Civil service employment relationship privatised

  A "national agreement" between the Italian Government and trade unions, signed in March 1997, has established harmonised rules for almost all employment in the public and private sectors.

• 28 Mar 1997
  Italy: Postal workers strike

  In an ongoing industrial dispute, trade unions have accused the public sector corporation,EPI(theItalian Postal Organisation), of not respecting collective agreements and commitments on employment.

• 28 Mar 1997
  Italy: Proposal for reform of the welfare state

  On 5 March 1997, the Italian Prime Minister,Romano Prodi, informed the political parties and social partners about the report drawn up by the "Commission for macroeconomic compatibility of social expenditure", a committee of experts established by the Government and chaired by ProfessorPaolo Onofri. The proposals for reform deal with all the key elements of public spending: healthcare, public assistance, and, of particular interest for the industrial relations system, pensions and labour market policies. This document drew critical reactions from the trade union confederations, while the evaluation from theConfindustriaemployers' confederation was fairly positive.

• 28 Mar 1997
  Luxembourg: New collective agreement for hospitals

  At the end of February 1997, the social partners in Luxembourg's hospital sector concluded a new collective agreement in a "cooperative" atmosphere. The deal provides for pay increases and a reduction and reorganisation of working hours for 5,000 employees.

• 28 Mar 1997
  Netherlands: Determining terms of employment: works council or union?

  A current bill amending the 1971 Works Councils Act has focused attention on the increasingly important role played by Dutch works councils in the negotiation of terms of employment. However, although the function of the trade unions is being somewhat eroded, even in the area of determining primary terms of employment, the traditional division of roles between unions and works councils has remained fundamentally intact.

• 28 Mar 1997
  Netherlands: Building industry agreement increases pay and flexibility

  In the new collective agreement in the Dutch building industry, signed in March 1997, a relatively large pay increase has been matched by a degree of increased flexibility regarding the use of temporary employment agency workers and the rules governing working hours.

• 28 Mar 1997
  Netherlands: Akzo Nobel abandons a standard 36-hour week

  Akzo Nobel has announced that it will not observe its 1995 collective agreement and that it will abandon the introduction of a standard 36-hour week as of 1 July 1997. Its new proposals have divided the unions.

• 28 Mar 1997
  Norway: Wage bargaining begins in the private sector

  Wage bargaining in the private sector commenced on 10 March 1997 with negotiations between theNorwegian Confederation of Trade Unions(LO)and theConfederation of Norwegian Business and Industry(NHO). So far the question of voluntary early retirement has been the most difficult issue and, after around one week, LO broke off the negotiations. Mediation was due to commence the first week after the Easter holidays.

• 28 Mar 1997
  Norway: Offshore oil workers' union affiliates to the Confederation of Vocational Unions

  The previously independent employee organisation, The Federation of Offshore Workers Trade Unions (OFS), has decided to affiliate to The Confederation of Vocational Unions (YS) from March 1997.

• 28 Mar 1997
  Norway: NHO reports increase in membership

  The number of member companies of the Confederation of Norwegian Business and Industry (NHO) increased by around 2,000 during 1996. NHO aims for a further growth in membership towards the year 2000.

• 28 Mar 1997
  Portugal: Privatisation reforms human resource management at Lisnave shipyards

  Portugal's major Lisnave shipyards are being privatised. New industrial readjustment and work organisation strategies are reforming human resource management and training standards. However, in a company that has strong trade union traditions, discussions with employee representatives on restructuring have been conducted in a relatively formal and institutionalised way, with little participative input from the employees concerned themselves.

• 28 Mar 1997
  Portugal: Base-line income system established

  The Portuguese Government is planning to extend its "base-line" minimum income system to the whole country, and there are calls for greater involvement by the social partners in its operation.

• 28 Mar 1997
  Portugal: European Central Banks trade unions meet in Portugal

  A working group set up by the Standing Committee of the European Central Banks' Trade Unions met in Ferreira do Zêzere in March, and issued a declaration relating to the rights of workers involved in the production and circulation of the Euro.

• 28 Mar 1997
  Portugal: Dockers' unions opposed to dock work reform

  The Government has published a working document, entitled "Maritime and ports policy at the approach of the 21st Century", for public debate. In the document it proposes a number of measures to deregulate dock work, and the National Federation of Dockers' Unions has criticised the lack of prior dialogue and is opposing the new proposals.

• 28 Mar 1997
  Portugal: Ministry of Employment clarifies controversial Law on Working Time Reduction

  Law 21/96, which aims to reduce the working week to 40 hours, has given rise to labour disputes in certain sectors and some controversial statements. An official communication released by the Secretary of State for Employment in March attempts to shed light on the areas of concern.

• 28 Mar 1997
  Portugal: Bargaining, union elections and workforce reductions in banking

  Negotiations to revise the important collective agreement in Portugal's banking sector are deadlocked. The industry's largest trade union will soon hold its elections, but its socialist members are divided, while substantial workforce reductions have been announced for the coming years.

• 28 Mar 1997
  Sweden: Unions and business associations will administer new unemployment insurance

  Swedish trade unions and business associations will have an even greater role than before in the administration of unemployment insurance, according to a government bill presented to Parliament on 13 March 1997. At the same time, workers' contributions to the insurance system will be increased and the qualification criteria for receiving benefits will be tightened up.

• 28 Mar 1997
  Sweden: Dispute over unsocial hours bonus in "7-Eleven" shops ends up in the Labour court

  A dispute about an unsocial hours bonus has led the Commercial Employees' Union to sue the company behind the 7-Eleven shops for a breach of the relevant collective agreement.

• 28 Mar 1997
  Sweden: Employer and union leaders in commerce urge a three year "stabilisation pact"

  Unions and employers should agree on a "stabilisation pact" with moderate increases in pay and a continuation of existing provisions in collective agreements until March 2000, according to an unusual appeal published by leading representatives of workers and employers in the commercial sector.

• 28 Mar 1997
  Sweden: New agreement on cooperation and bargaining procedure in Swedish industry

  An impartial chair will help trade unions and employers to complete future negotiations without industrial action and with a "balanced" outcome. That is the expectation behind a new agreement on cooperation and bargaining procedure in Swedish industry, concluded on 18 March 1997.

• 28 Mar 1997
  United Kingdom: New men: evidence of equality in management?

  In 1994 the UKInstitute of Managementwarned that male managers were in danger of extinction, arguing that new styles of management were required for the next century. The need was for more teamworking, consensus management and "multitasking", skills traditionally thought to be more akin to the way that women manage. Such a change, combined perhaps with more family-friendly policies, was seen as offering new opportunities for women in management. A new study suggests that men have taken this to heart.

• 28 Mar 1997
  United Kingdom: Is "Investors in People" solving the UK training problem?

  The "Investors in People" (IIP) scheme was a response by the UK Government to a perceived deficiency in training levels, combined with a finding that the UK's most successful companies linked people management issues strategically to business objectives. Yet six years since the introduction of IIP, commentators are still complaining that UK skill levels are insufficient to be able to compete in the markets of the future. This article assesses the success of the Investors in People initiative.

• 28 Mar 1997
  United Kingdom: A National Minimum Wage: Who, what and why?

  Traditionally, in the UK minimum wages were set in certain industries by thewages council. These councils were abolished in the 1990s by the present Government, but a change of government may well see the introduction of the first universal National Minimum Wage (NMW) in the UK. This has caused tremendous speculation over what a NMW is likely to be, whom it is likely to cover and what are its likely effects. This article argues that speculation at this stage is at best unhelpful and at worse useless, until we have an idea of what the policy and coverage is likely to be.

• 28 Mar 1997
  United Kingdom: Are women the trade union members of the future?

  At its women's conference in March 1997, theTrades Union Congress(TUC) advised that the trade union members of the future are women. However, it warned that the unions have a lot of work to do if they are to attract women into the movement.

• 28 Mar 1997
  United Kingdom: France and UK compete for Toyota investment

  At a time when most car manufacturers are attempting to cut back in Europe because of overcapacity, both the UK and France are now in competition for the next wave of investment from theJapanese firm,Toyota.

• 28 Mar 1997
  United Kingdom: Government seeks advice on working time Directive

  After losing its case in theEuropean Court of Justice(ECJ) over the EU working time Directive last year, the UK's Conservative Government has been seeking advice through theDepartment of Trade and Industry(DTI) on how best to transpose the Directive into UK legislation. Amid rumours that the Government was considering sanctions against those companies which did not comply with the Directive (something not specified by the Directive), the DTI has sought the opinion of the business community.

• 28 Mar 1997
  United Kingdom: European super unions on the horizon?

  The first steps towards a "Euro-union" were taken in March 1997, as trade unions from the UK andGermanysigned the first joint membership agreement.

• 28 Mar 1997
  United Kingdom: Companies "should justify directors' remuneration packages"

  TheInstitute of Directors(IOD) has recently said that companies have a responsibility to explain and justify the remuneration packages of their top directors. It urges shareholders to play more of a role, even if this means opposing the re-election of some directors.

• 28 Mar 1997
  United Kingdom: New single-status deal for council workers

  A new collective agreement, signed in March 1997, harmonises the conditions of employment of UK local government workers. It seeks to provideequal opportunitiesfor all and a minimum wage for the lowest-paid workers.