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July 2007

• 30 Jul 2007
  Romania: Trade union strategies for increasing the employment of older workers

  In March 2007, the National Trade Union Bloc published a brochure drafted as part of the project on the inclusion of older workers in the labour market. The project was developed jointly with partner organisations from Italy, Spain, Denmark and the UK. The brochure includes examples of good practice, assessments of job requirements in companies from various sectors and outlines potential strategies to increase the employment rate of low-skilled older workers.

• 30 Jul 2007
  Portugal: Employers recommend measures for labour law reform

  In May 2007, the employer organisation Confederation of Portuguese Industry (CIP) participated in a number of initiatives concerning the proposed reform of the country’s labour legislation and the issue of ‘flexicurity’. CIP makes proposals for initiatives not just relevant for Portugal, but also at European level.

• 30 Jul 2007
  Poland: Schoolteachers go on strike over pensions system

  Following on from its earlier announcements, the Polish Teachers’ Union (ZNP) decided to proceed with a nationwide two-hour warning strike on 29 May 2007; the schools and pre-schools affected by the action opened two hours later than usual. Following the strike, ZNP met with the Minister of National Education, who promised to address the union’s key concerns.

• 30 Jul 2007
  Italy: Renewal of public sector collective agreement

  At the end of May 2007, the collective agreement for Italy’s public sector was finally renewed, following extensive ‘two-phase’ negotiations between the trade unions and government. Along with securing new provisions for pay increases for the country’s 3.5 million public sector employees, the negotiations have raised issues likely to affect future collective agreements in other sectors.

• 30 Jul 2007
  Bulgaria: Trade union confederation holds sixth congress

  In May 2007, the Confederation of Independent Trade Unions in Bulgaria (CITUB) held its sixth congress. At the congress, some 670 delegates assessed the current state of social dialogue and the challenges being faced by trade unions. In addition, delegates discussed the confederation’s new five-year programme entitled ‘For decent work and life in United Europe’. The congress adopted 14 resolutions on the future activities of the confederation.

• 30 Jul 2007
  Bulgaria: Challenges to supplementary pension insurance system

  Data published in 2007 by the Bulgarian Association of Supplementary Pension Security Companies and the Financial Supervision Commission show that, following a critical point in 2006, pension insurance companies started producing profits and improving their financial status. Moreover, new legislation was introduced to bring Bulgarian legislation in line with the EU body of legislation.

• 30 Jul 2007
  Austria: Social partners agree to minimum wage increase

  In July 2007, the national-level social partner organisations agreed on the introduction of a monthly minimum pay rate of €1,000, to be implemented by the sectoral bargaining parties by 1 January 2009 at the latest. If the latter fail to establish these minimum wage standards, the social partners intend to enforce the new pay provision through a national cross-sectoral agreement. However, the scheme does not cover employees in the liberal professions and in agriculture.

• 30 Jul 2007
  Bulgaria: Mixed reactions of social partners to 2007 budget

  The 2007 budget is Bulgaria’s first budget as a fully-fledged EU Member State. The consolidated fiscal programme for 2007 incorporates the European funds into the common budget framework, to consolidate macroeconomic stability and implement the government’s priorities. However, to become a more competitive economy, further technical and technological innovation is required, as well as essential improvements in workforce quality and increased exports.

• 30 Jul 2007
  Bulgaria: State railway protest ends in favourable collective agreement

  In May 2007, trade unions at Bulgarian State Railways (BDZ) succeeded in negotiating a collective agreement providing for wage increases of between 22% and 24% from 1 April 2007. The agreement also stipulates that the employer will not carry out the planned job reductions, which had been previously announced in April. Coinciding with the BDZ collective agreement, successful negotiations with regard to wage increases were also achieved in city transport.

• 30 Jul 2007
  Bulgaria: Medical workers threaten strike action in emergency hospital

  Since mid-May 2007, medical workers at the General Hospital for Active Treatment and Emergency Medicine in Sofia have been taking part in a series of protests, already lasting 40 days. The workers are demanding higher wages, improved working conditions and better quality equipment. The first warning strike was held on 18 May and consisted of a one-hour work stoppage; however, workers are threatening to go on effective strike if their demands are not satisfied. The duration of the strike action will depend on whether or not the workers’ demands are met.

• 30 Jul 2007
  France: Pensions body calls for further pension reforms

  The Pensions Stewardship Council has published its report on issues and policies for 2008 regarding pension reform. The Law on pension reform, which was adopted in 2003, provided for an assessment and possible adjustments in 2008. Among the proposals for ensuring sustainability of the system are the need to lengthen the contribution period for full pensions, to raise contribution amounts and to ensure a minimum pension. Trade union reaction has been critical of the proposals.

• 30 Jul 2007
  Lithuania: Social partners reject proposed food vouchers for workers

  In May 2007, the social partners met at the Tripartite Council of the Republic of Lithuania to consider the draft Law on Food Vouchers for Employees. Once again, as was the case when the idea was first raised two years before, the social partners disapproved of the initiative. They would prefer the proposal to encompass more comprehensive assistance for employees, involving catering, rehabilitation and well-being facilities, along with other social services.

• 30 Jul 2007
  Luxembourg: Trade unions sceptical of EU Green Paper on labour law

• 30 Jul 2007
  Malta: Industrial dispute in health sector over system for recording attendance

  The General Workers’ Union registered an industrial dispute with the Ministry of Health, the Elderly and Community Care regarding disagreements about procedures for recording the hours worked by nursing aides. Procedural changes were agreed in order to ensure consistency among staff working on the same pay scales. However, the ministry allegedly breached this agreement by instructing the nursing staff to continue using the old procedures. The issue was finally resolved after several conciliatory meetings.

• 30 Jul 2007
  Poland: Hunger strike in public transport company

  In May 2007, four employees of the Municipal Transport Corporation of Wałbrzych, a limited liability company, initiated a hunger strike. The protesters wanted to express their dissatisfaction with the fact that the civic authorities have decided to allocate the most profitable bus line to private carriers. The conflict has been going on for several weeks and there is no resolution in sight.

• 30 Jul 2007
  Romania: Social partner cooperate in development of vocational training

  Trade unions and employer organisations in the metalworking sector, notably those in the area of aeronautics and naval construction, together with institutions responsible for vocational training have agreed to continue their cooperation in the development of a coherent and functional vocational training system in Romania. The project is also supported by the Dutch government and trade unions.

• 30 Jul 2007
  Romania: General strike at Mittal Steel Galaţi

  Three months of repeated attempts at collective bargaining, ending in several violent demonstrations at Mittal Steel Galaţi, resulted in complete failure, forcing the largest trade union to launch an open-ended general strike on 18 April 2007. Workers at the company are unhappy with current working conditions and wage levels and have thus issued a number of demands to the company’s management.

• 30 Jul 2007
  Romania: ILO upholds trade union claim that right to strike is curtailed

  The National Trade Union Confederation Cartel Alfa lodged a complaint with the International Labour Organization (ILO) about the systematic infringement by the Romanian government of the right to strike, facilitated by legal flaws and failings. The trade union claims resulted in a decision of the ILO Commission on Norms, whereby the government is obliged to amend the Law on work conflicts by September 2007.

• 30 Jul 2007
  Slovenia: Unions call for cautious approach in privatisation of public services

  In mid March 2007, the five major trade union confederations in Slovenia organised a protest rally against the government’s plans for public sector reform. The confederations strive for gradual and cautious liberalisation of the public sector and are against unlimited privatisation. They warned the government if it does not take into account their demands they will intensify trade union activity and call for a referendum.

• 30 Jul 2007
  Slovenia: Trade unions oppose major reform of pension system

  In March 2007, the International Monetary Fund (IMF) encouraged Slovenia to undertake substantive reforms of its pension system in an effort to ensure its sustainability. However, the Union of Free Trade Unions of Slovenia (ZSSS) contends that the current pension system is delivering good results. ZSSS believes that Slovenia must preserve the intergenerational solidarity, justice and economic stability of its pension system.

• 30 Jul 2007
  Slovakia: Strike alert in healthcare sector due to low wages

  In the last three years, average wages in the healthcare sector have grown less than in other sectors in Slovakia. Although wages in healthcare rose last year, the trade unions representing healthcare workers are dissatisfied with current wage levels and thus issued strike alerts in May 2007. The Ministry of Health proposed to increase wages in the sector, but considers the trade unions’ demand of a 30% rise as unattainable.

• 30 Jul 2007
  Belgium: ArcelorMittal brings renewed hope to Walloon steel industry

  The recently merged steel group ArcelorMittal is currently considering the possibility of maintaining the ‘hot phase’ of its site in the Liège region. Two years ago, the Arcelor group closed one of its blast furnaces and forecast the closure of the last one in 2009. However, due to a favourable economic context, along with pressure from trade unions and the Walloon government, the merged company is now willing to reconsider the decision taken two years before.

• 26 Jul 2007
  Sweden: New central labour market organisation formed

  The reorganisation of the National Labour Market Administration (AMV) has already begun and by January 2008 it will consist of one central agency. In the future, AMV will focus on new, local labour market areas in order to meet the future needs of workers and employers and to become more flexible in its tasks. In addition, more private actors are encouraged to enter the market to increase the efficiency of matching jobseekers to vacant jobs.

• 24 Jul 2007
  Slovenia: Employee financial participation in the new Member States —Slovenia

  This report describes the current situation in relation to employee financial participation (EFP) in Slovenia.

• 24 Jul 2007
  Romania: Employee financial participation in the New Member States — Romania

  This report describes the current situation in relation to employee financial participation (EFP) in Romania.

• 24 Jul 2007
  Malta: Employee financial participation in the New Member States — Malta

  This report describes the current situation in relation to employee financial participation (EFP) in Malta.

• 24 Jul 2007
  Hungary: Employee financial participation in the New Member States —Hungary

  This report describes the current situation in relation to employee financial participation (EFP) in Hungary.

• 24 Jul 2007
  Estonia: Employee financial participation in the New Member States — Estonia

  This report describes the current situation in relation to employee financial participation (EFP) in Estonia.

• 24 Jul 2007
  Czech Republic: Employee financial participation in the New Member States — Czech Republic

  This report describes the current situation in relation to employee financial participation (EFP) in the Czech Republic.

• 24 Jul 2007
  Cyprus: Employee financial participation in the new Member States — Cyprus

  This report describes the current situation in relation to employee financial participation (EFP) in Cyprus.

• 24 Jul 2007
  Bulgaria: Employee financial participation in the new Member States — Bulgaria

  This report describes the current situation in relation to employee financial participation (EFP) in Bulgaria.

• 24 Jul 2007
  Poland: Employee Financial Participation in the New Member States — Poland

  In Poland financial participation of employees is associated first and foremost with the privatisation process. Privatisation has assumed one of two basic forms – the establishment of employee companies or the free-of-charge extension to the employees of a bloc of shares in the enterprise being privatised. Both of these forms, it was hoped, would guarantee social cohesion and ensure that employees are brought on board for purposes of the privatisation process. Other forms of employee participation, while mooted, still have some way to go before their actual implementation.

• 24 Jul 2007
  Slovakia: Employee financial participation in the New Member States — Slovakia

  Employee financial participation schemes are not frequently applied in Slovakia. There is no specific legislation promoting their application in companies. Employee share ownership was mainly used during the privatisation process of state owned companies. In some companies profit sharing is used in form of different benefits provided to employees on a yearly basis. However, employee financial participation is not negotiated via collective bargaining. Employers consider the application of profit sharing as an effective tool in motivating employees.

• 23 Jul 2007
  Romania: Major shake-up of labour market institutions

  In the context of government restructuring, the Ministry of Labour, Social Solidarity and Family has undergone a reorganisation process, culminating in the creation of a new ministry, the Ministry of Labour, Family and Equal Opportunities. According to the decision on the organisation and functioning of the new ministry, the National Employment Agency assumes the tasks of the Department for Labour Abroad which had functioned within the former ministry.

• 23 Jul 2007
  EU Level: European Court gives preliminary ruling on union cases over conflicting rights

  The social partners await the final ruling of the European Court of Justice (ECJ) on two trade union cases put before the ECJ by the respective national labour courts. In May 2007, two Advocates General to the ECJ gave preliminary judgements on the two cases in question, namely the Viking and Laval cases. These judgements have provoked much interest among the social partners and highlight questions relating to the provisions of EU law on how to deal with conflicting rights.

• 23 Jul 2007
  Czech Republic: Union confederation evaluates sectoral-level collective bargaining in 2007

  The largest trade union association in the Czech Republic, the Czech Metalworkers’ Federation OS KOVO, published its comprehensive overview of the course and results of negotiations for higher-level collective agreements for 2007 for the following sectors: the electrotechnical, aviation and metallurgy industries and technical vocational education.

• 23 Jul 2007
  Finland: Employers favour stronger role for shop stewards

  Shop stewards are set to play a greater role in the impending negotiation round for new collective agreements. This follows increased support for shop stewards, expressed in recent months by the Confederation of Finnish Industries, the country’s leading employer organisation.

• 23 Jul 2007
  Ireland: Business leaders warn of future productivity problems

  Human resource managers heard two major business figures express concerns that Ireland may face a challenge in boosting its productivity and in adapting to necessary changes, at a conference for managers involved in employee and labour relations held in May 2007.

• 23 Jul 2007
  Ireland: Trade unions launch new membership recruitment drive

  Five major trade unions are preparing to fund a new ‘outreach’ union recruitment drive being launched by the Irish Congress of Trade Unions (ICTU), in an effort to stem the decline in trade union density, particularly in the private sector. The service will comprise information and advisory support and will target key groups, including migrant workers, through a variety of media.

• 23 Jul 2007
  Ireland: Report warns that public service unions must curb pay expectations

  The findings of a consultants’ report on what is known as ‘parallel’ benchmarking – a pay system that covers local authority and health service craftworkers and general operatives – suggests that public sector trade unions may need to lower their pay expectations. This comes in advance of a major public service pay benchmarking exercise due later this year, which will cover around 250,000 public servants.

• 23 Jul 2007
  Portugal: Government and unions clash over impact of general strike

  The General Confederation of Portuguese Workers called a general strike for 30 May 2007 in protest at the policies of the socialist government. In the wake of this action, controversy has arisen between the government and the trade unions concerning the level of participation in the strike and its impact on the different sectors of activity.

• 23 Jul 2007
  Portugal: Unions protest at government attempt to jeopardise right to strike

  The general strike on 30 May 2007 focused attention on the government’s attempts to limit workers’ right to strike through indirect mechanisms. This affected mainly the transport sector and the public sector, where the capacity to strike is generally greater than average due to the strong presence of trade unions. However, in the end, the Portuguese Data Protection Authority rejected the government’s demands.

• 23 Jul 2007
  Sweden: Debate over implications of Laval case for labour market relations

  The Laval case raises questions about whether EC law can restrict trade unions in one Member State from taking industrial action, or if it can restrict the application of collective agreements in a host Member State. The European Court of Justice Advocate General held that a service provider from another Member State is obliged to follow the host agreement, but collective action must be proportional. This preliminary judgement has led to much debate among the social partners.

• 23 Jul 2007
  United Kingdom: Union wins equal pay victimisation case

  In April 2007, the House of Lords ruled in favour of 36 catering staff who claimed that they were victimised by St Helens Borough Council in Merseyside, after they brought equal pay claims against the local authority. The GMB union welcomed the judgment, which it hopes will act as a warning to other employers. Meanwhile, the local government sector has highlighted that it faces total costs of up to GBP 5 billion (almost €7.4 billion) to fulfil equal pay obligations.

• 23 Jul 2007
  United Kingdom: Unions call for more protection for workers in redundancy announcements

  Redundancy announcements in the retail sector that were insensitively handled in May 2007 have refocused attention on the adequacy of the UK law on information and consultation with regard to redundancies. Some employers are not complying with the current regulations. As a result, trade unions have called for the existing legislation to be strengthened in order to give employees greater protection.

• 23 Jul 2007
  Austria: Dispute over future pay scheme at Austrian Airlines

  Negotiations over a new collective agreement for the ground staff of Austrian Airlines have been at a standstill for several months, after company management sought to introduce a new, performance-related pay scheme. The scheme was strongly opposed by trade unions and by the works council, which threatened to take industrial action. In the end, the social partners managed to conclude an agreement in May 2007 and committed themselves to continue negotiations on a future pay scheme.

• 23 Jul 2007
  Cyprus: Government takes steps to boost female employment

  In February 2007, the Ministry of Labour and Social Insurance announced the introduction of the ‘Scheme for subsidising enterprises and organisations for the creation of new jobs through flexible arrangements’. The scheme primarily aims to boost the employment of women, especially those who are unemployed and economically inactive. The project will run until August 2008, after which it will be evaluated with a view to expanding its implementation.

• 23 Jul 2007
  Cyprus: Unions protest at exclusion of local workers due to use of cheap migrant labour in hotels

  Tensions mounted in the hotel industry during April 2007 arising from workers’ concerns regarding employment practices in relation to migrant labour. The workers fear that the poorer terms and conditions of employment for migrant workers, compared with those provided for under the industry-wide collective agreement, will result in a gradual exclusion of the local labour force.

• 19 Jul 2007
  EU Countries: Working time developments – 2006

  This review of working time developments in Europe in 2005 and 2006 finds that over the period the average collectively agreed weekly working time in the EU was 38.7 hours, while agreed normal annual working time averaged around 1,750 hours. Of the eight sectors and occupational groups examined in the study, agreed weekly hours are highest in retail, followed by doctors in public hospitals. Average collectively agreed paid annual leave entitlement stood at 25.3 days across the EU in 2006. This report also examines statutory working time and leave limits, actual working hours and overtime, and highlights the topical issue of ‘on-call’ work.

• 16 Jul 2007
  Italy: Tripartite talks on equity and development get underway

  On 22 March 2007, talks began between the government and the social partners on some of the main points in the economic and industrial policy that the centre-left majority intends to implement in the next few months. However, the possibility of reaching agreement quickly, as intended by the government, is jeopardised by some particularly delicate issues, primarily that of reforming the pensions system.

• 16 Jul 2007
  Germany: Federal Labour Court redefines rules for work stoppages

  On 24 April 2007, the Federal Labour Court (BAG) issued a new judgement on collective bargaining. The court ruled that trade unions are allowed to call for work stoppages, even if such actions aim to enforce or modify areas that are usually dealt with within social plans. BAG’s latest decision was welcomed by union representatives, while employer organisations called for a fundamental revision of the collective bargaining system.

• 16 Jul 2007
  Germany: New collective agreement in metalworking industry

  In May 2007, the collective bargaining parties in the metalworking industry in Baden-Württemberg signed a new collective agreement. The settlement, which was subsequently adopted as a ‘pilot agreement’ in the industry’s other bargaining regions, provides for a pay increase of 4.1% with effect from 1 June 2007 and a lump-sum payment of €400. A further wage increase of 1.7% will take effect from 1 June 2008, combined with another lump-sum payment worth 3.69% of the monthly income.

• 16 Jul 2007
  EU Level: Unions organise European day of action at General Motors Europe

  In early May 2007, the European Metalworkers’ Federation and the European Employee Forum of General Motors Europe called on workers to take part in protest actions that were organised at the manufacturer’s plants throughout Europe. This European ‘day of action’ was organised in protest against the group’s plans concerning the distribution of production volumes which would negatively affect employment levels at the Antwerp plant in northern Belgium.

• 16 Jul 2007
  Ireland: Labour Relations Commission reports fewer strikes but more disputes

  In its 2006 annual report, the Labour Relations Commission (LRC) highlights the paradox of Ireland having its lowest ever level of industrial action on record, while at the same time the Commission’s caseload continues to rise and its services are being ‘stretched’. LRC’s chief executive warned that Ireland stands at a critical juncture in the social partnership process.

• 16 Jul 2007
  Latvia: Private security company workers demand wage increase

  In March 2007, workers at the private security company Falck Apsargs went on strike in order to drive forward their demand for better working conditions and higher salaries. However, the company management considers that these demands are unjustified and argues that the company is unable to satisfy the demand for a double salary increase. Therefore, the State Labour Inspectorate will take on the role of conciliator in this industrial action.

• 16 Jul 2007
  Norway: No rise in number of working days lost to industrial disputes in 2006

  According to figures published by Statistics Norway on 9 May 2007, the number of working days lost to industrial disputes in 2006 remained at the level witnessed during the period covered by the two previous main wage settlements in 2002 and 2004. The main conflicts in the 2006 settlement were related to wage matters, the question of gaining influence and control over occupational pension schemes, and the issue of company level bargaining.

• 16 Jul 2007
  Sweden: Government to impose mandatory membership of unemployment insurance fund

  The government continues its efforts to intensify the criteria for obtaining unemployment insurance. Due to stricter rules in terms of unemployment insurance and reduced insurance levels, membership of unemployment insurance funds has fallen dramatically since January 2007. Thus, the government will speed up the policy process to introduce mandatory membership of an unemployment insurance fund by 2008, but the social partners are critical of this move.

• 16 Jul 2007
  United Kingdom: Proposed new equality framework triggers mixed reaction

  The final report of a major government-commissioned review proposes extensive reform of the UK’s approach to promoting equality. The new approach focuses on the capabilities of individuals rather than on traditional approaches to equality and will have considerable implications for equality at the workplace. This proposed framework has received a mixed response from the social partners.

• 16 Jul 2007
  United Kingdom: Leading publisher in breach of information and consultation procedures

  The Central Arbitration Committee recently ruled that a major publishing company – Macmillan Publishers – was in breach of the UK’s Information and Consultation of Employees Regulations 2004 and must now hold elections for information and consultation representatives as required by the regulations’ default provisions.

• 16 Jul 2007
  Bulgaria: Company approaches to corporate social responsibility

  At the end of February 2007, the marketing and social research agency Alpha Research presented the findings of a survey on corporate social responsibility (CSR) in Bulgarian companies. CSR is interpreted in many different ways, but it is still not part of companies’ long-term business strategies. Not surprisingly, multinational and large companies are found to be most active in the area of CSR.

• 16 Jul 2007
  Cyprus: Law to protect wages among proposed changes to labour legislation

  In February and March 2007, the government introduced a series of legislative changes aimed at a more effective implementation of harmonising legislation and at the better protection of workers. Specifically, Law 35(I)/2007 on the protection of wages was put into effect, along with a series of amendments to the existing statutory framework, which included provisions for defining the powers and duties of labour inspectors.

• 16 Jul 2007
  Czech Republic: Social partners agree to Labour Code amendments

  The largest employer and trade union organisations in the country, the Confederation of Industry of the Czech Republic and the Czech-Moravian Confederation of Trade Unions, have agreed to significant amendments to the Labour Code. Both sides presented a joint proposal to the Ministry of Labour and Social Affairs, which is currently drafting a technical amendment to the code.

• 16 Jul 2007
  Czech Republic: Trade union developments at major car manufacturer

  Folowing initial problems in collective bargaining at international car manufacturer Toyota Peugeot Citroën Automobile, the company now offers workers a sophisticated package of employee benefits. Both the trade unions and the employer are satisfied with the current level of cooperation. Founded in 2002 with the joint investment of Toyota and PSA Peugeot Citroën, production began in February 2005 and the company employs 3,500 people today.

• 16 Jul 2007
  Germany: Sharp rise in strike action during 2006

  In May 2007, the Federal Employment Agency published the annual figures for 2006 on industrial action in Germany. In that year, 545 establishments were affected by strikes, involving a total number of 168,723 employees. This amounted to 428,739 days not worked. The greatest number of strikers was recorded in the metalworking industry, while more than three quarters of days not worked were caused by long disputes in 2006 in the public sector.

• 16 Jul 2007
  Denmark: Migrant workers included in latest round of collective agreements

  For the first time ever, Denmark’s collective agreements in the private sector contain explicit provisions for migrant workers. The main objective of the 2007 collective agreements in this respect is to ensure better social security, particularly in the areas of housing, pensions and pay during vacation, for the rising number of migrant workers in Denmark. These measures also help to prevent wage dumping.

• 16 Jul 2007
  Estonia: Unions call for financial suppport for workers on partially paid leave

  Following social unrest at the beginning of May 2007, the issue of workers who are on partially paid leave due to a temporary decrease in work volume has recently resurfaced on the political agenda. Seven trade unions have proposed to provide additional financial support to the workers through the unemployment insurance fund. According to the Holidays Act, workers on partially paid leave at the request of the employer must be paid at least 60% of the national minimum wage.

• 16 Jul 2007
  EU Level: Commission issues proposals to tackle problem of illegal migrants

  In mid May 2007, the European Commission published its proposals on migration policy, which include sanctions on employers of third-country nationals who are illegally resident in an EU Member State. These sanctions represent a new direction for the EU, in both facilitating short-term legal migration and in restricting unauthorised migration.

• 16 Jul 2007
  Ireland: Union confederation calls for more protection for collective bargaining

  The Irish Congress of Trade Unions is seeking the introduction of measures to protect and promote collective bargaining arrangements. These measures include a formal statutory definition of collective bargaining, due to the fact that Ireland does not currently have national legislation in place requiring employers to recognise trade unions or to participate in collective bargaining.

• 16 Jul 2007
  Ireland: New pay deal secured for retail chemist’s employees

  In a recent pay deal with the Mandate trade union, the UK chemist chain Boots has agreed to wage increases worth between 8% and 11% over 17 months for 1,700 staff. The pay deal has been agreed on in return for cost offsetting measures, including a reduction of the salary-to-sales ratio, an extension of the probationary period for new recruits, and changes to the company’s sick pay policy.

• 10 Jul 2007
  Italy: Metalworking unions adopt common platform for renewal of industry agreement

  In April 2007, the metalworkers’ trade unions, Fiom-Cgil, Cisl-Fim and Uilm-Uil, agreed on a common bargaining platform for the renewal of an industry-wide agreement in the metalworking sector. Alongside the demand for significant pay increases, the more innovative aspects of the platform concern work organisation, atypical contracts, trade union relations and rights for migrant workers. However, initial reactions from the sectoral employer organisation have been negative.

• 09 Jul 2007
  Sweden: Government launches job package to tackle social exclusion

  As part of the spring Budget, the government is proposing a special employment package to overcome social exclusion and make it easier for more people to enter the labour market. The job package is targeted at three main groups: long-term unemployed people, young people and migrant workers who have just arrived in the country. However, some organisations are concerned that this measure will further widen the economic gap between social groups.

• 09 Jul 2007
  Spain: Social partners agree on support plan for textiles sector

  The government and trade unions have reached an agreement on the introduction of a law to implement a support plan for the textiles sector in order to facilitate the industry’s transition towards market liberalisation. The plan will provide for reintegration policies to alleviate the negative effects on employment, as well as measures to foster competitiveness in the sector.

• 09 Jul 2007
  EU Level: Safeguarding employee rights in cross-border transfers of undertakings

  In May 2007, the European Commission published a study on the application of the acquired rights directive (ARD) to cross-border transfers of undertakings. Arising from this report, which was prepared by a group of law firms, the ARD is likely to be amended to make it clear that it does apply to international business transfers within the EU. Currently, Member States have varying levels of protection for workers.

• 09 Jul 2007
  EU Level: Commission aims to promote solidarity between the generations

  The Commission’s Communication on ‘Promoting solidarity between the generations’ aims to support Member States in meeting the demographic challenges of a declining birth rate, in particular the need to ensure that European workers achieve a better work-life balance, so that families can combine work with their childcare commitments. The communication highlights the importance of promoting flexible working time.

• 09 Jul 2007
  Finland: New president of union federation elected

  The Chair of the Union of Professional Engineers, Matti Viljanen, has been chosen as the new President of the Confederation of Unions for Academic Professionals (AKAVA). Mr Viljanen was unanimously elected after the other three nominated candidates withdrew from the selection process. Creating a community spirit among affiliated unions of AKAVA in the coming four-year period has cited by the in-coming President as one of the most importiant challenges facing the union.

• 09 Jul 2007
  Slovakia: Wage increase in public sector lower than in previous year

  According to the sectoral collective agreement for 2007, pay rates of particular categories of public servants will increase by between 5% and 7% on 1 July 2007. These figures are lower than wage increases agreed in the collective agreement for 2006. However, a higher contribution to company social funds was agreed in the latest collective agreement. Moreover, according to the new terms, pay increases negotiated for 2008 will take effect earlier, on 1 January 2008.

• 09 Jul 2007
  United Kingdom: First steps in creation of transatlantic ‘super-union’

  In April 2007, two UK general trade unions, Amicus and the Transport and General Workers’ Union, announced proposals to merge with the North American United Steelworkers trade union. Such a move would create the world’s largest trade union. This marks a new stage in the process of union consolidation and internationalisation, given that the two UK unions themselves merged in May 2007.

• 09 Jul 2007
  Germany: Fears of wage dumping in postal industry not justified

  A study of wages, working hours and holiday entitlements in the postal industry shows no signs of ‘wage dumping’ by Deutsche Post’s main competitors. On the contrary, average wages not only exceed the minimum national wage level being called for by the United Services Union, but are in line with the wages that can be earned in comparable industries and jobs.

• 09 Jul 2007
  Denmark: Report on families and working life triggers mixed response

  The Family and Working Life Commission, an independent government-appointed body with a mandate to look into the challenges that workers face in achieving a work–life balance, published its report in May 2007. The report includes 31 recommendations on how to gain a better balance between work and family life. Reactions from politicians and social partners have been mixed, and to date neither the government nor the social partners have proposed any specific initiatives based on the recommendations.

• 09 Jul 2007
  Spain: Social partners back proposed reform of Social Security Fund

  In April 2007, the government and the social partners reached agreement on the draft reform of the Social Security Reserve Fund. Based on the July 2006 agreement to reform the social security system, the fund reform has received the support of all the social partners. The parties agree that this is a step towards the consolidation of the pension system following the tendency of other European countries to diversify investments and to outsource management tasks.

• 02 Jul 2007
  EU Countries: Pay developments – 2006

  This review of pay trends in Europe in 2005 and 2006 finds that average collectively-agreed nominal wage increases across the EU rose from 4.9% in 2005 to 5.6% in 2006. When inflation is taken into account, the rate of real increase rose from 1.9% in 2005 to 2.7% in 2006. However, the data show that there are considerable differences between the ‘old’ and ‘new’ EU Member States, in terms of both pay trends and the level of pay increases. The review also looks at collectively-agreed pay increases in three selected sectors (metalworking, banking and local government), current wage rates and minimum wage increases, and the extent of the gender pay gap across all countries.

• 02 Jul 2007
  Italy: Major bank merger will result in second largest bank in Europe

  In May 2007, the management groups of UniCredit and Capitalia revealed a plan to merge the two Italian banks. The merger will give rise to the second largest banking group in Europe, and the sixth largest in the world. The possible consequences in terms of employment are not yet clear. The trade unions, which are still waiting to be convened by the banks’ management, estimate that between 3,000 and 9,000 workers are at risk of redundancy.

• 02 Jul 2007
  Bulgaria: Wage differentiation scheme for teachers gets go-ahead

  After a period of lengthy negotiations, the social partners and the Ministry of Education reached agreement on the wage differentiation scheme for teachers. This scheme has undergone pilot testing in April 2007 at 27 schools throughout the country. Following final modifications, the scheme will be introduced in all schools from 1 July 2007.

• 02 Jul 2007
  EU Level: Social partner sign agreement to combat harassment and violence at work

  In late April 2007, the social partners signed a new framework agreement to combat harassment and violence at work. The agreement represents the sixth framework agreement signed by the social partners since the beginning of European social dialogue 20 years ago. It sets out the measures the social partners have agreed to in their joint aim to eliminate harassment and violence in the workplace.

• 02 Jul 2007
  Greece: Social partners highlight problem of exposure to asbestos

  In October and November 2006, the social partners held two seminars to define a national strategy to target asbestos-related issues. In the 1990s, Greece was the seventh largest world producer of asbestos, resulting in the deaths of many workers from asbestos exposure. As Greece has now brought its legislation concerning asbestos in line with recent European legislation, organisations today are making efforts to promote risk prevention among workers.

• 02 Jul 2007
  Ireland: Nurses secure reduced working hours but no pay rise

  A 14-week dispute by nurses over pay and working hours was resolved in May 2007, after the management of the Health Service Executive and trade unions agreed to a compromise put forward by the social partners’ dispute resolution organisation, the National Implementation Body (NIB). The trade unions representing nurses have been successful in reducing weekly working time but pay will remain unchanged.

• 02 Jul 2007
  Ireland: Proposed new pension scheme at major bank welcomed

  In a significant development in the area of pensions, the chair of an independent tribunal has proposed that one of Ireland’s largest banks, Allied Irish Banks, should introduce a new ‘hybrid’ pension scheme for staff. The scheme would guarantee a minimum pension for the bank’s staff once they retire. The recommendation has been eagerly awaited in the industrial relations sphere, although it appears to have taken stock market analysts by surprise.