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June 2008

• 26 Jun 2008
  Portugal: Government launches proposals for the reform of labour relations

  In April 2008, the Minister of Labour opened the third and last phase of the debate with the social partners on the reform of labour relations in Portugal, prior to the submission of the legislative proposal to the parliament. The document presented by the Ministry of Labour, which includes proposals on the revision of the Labour Code, is the basis for ongoing debate. This new and decisive round of discussions takes place two years after Portugal’s Green Paper on Labour Relations was published.

• 26 Jun 2008
  Czech Republic: Constitutional Court rejects sickness benefit reform

  The Czech government has lost an important battle in the Constitutional Court of the Czech Republic concerning the implementation of its public finances reform act. Basing its decision on every citizen’s equal right to material security, the court repealed the part of the act stipulating that the first three days of sickness will be unpaid. The change in legislation will take effect from 30 June 2008. Opposition parties and trade unions welcomed the court’s ruling in this regard.

• 26 Jun 2008
  Germany: Female entrepreneurs underrepresented in high-tech sector

  In May 2008, the Centre for European Economic Research published a study analysing new developments in the high-technology sector. After years of decline, the ‘high-tech’ sector in Germany witnessed a number of business start-ups in 2007. However, female entrepreneurs remain underrepresented in the sector. To counter this trend, the study’s authors say that the natural sciences should be promoted among young women at school and university. This idea is supported by the social partners.

• 26 Jun 2008
  Estonia: New national qualifications system to be introduced

  On 22 May 2008, the Estonian parliament adopted a new Professions Act, which will come into effect from 1 September 2008. The act establishes a new qualifications system, which will make qualifications more comparable both nationally and internationally. It also provides for changes to the system of awarding professional qualifications, allowing for greater harmonisation between professional qualifications and educational systems.

• 26 Jun 2008
  Germany: Apprentices’ pay differs according to sector and region

  In May 2008, the Institute of Economic and Social Research published a review of the remuneration for apprentices in Germany. Differences in the levels of pay were found not only by sector, but also by region. For instance, regional differences are marginal in the metalworking industry, but are particularly marked in the private transport and construction sectors.

• 26 Jun 2008
  Italy: New law seeks to combat practice of illegal resignations

  In March 2008, legislation came into effect which provides for a new procedure for resignations among all types of employees, including those on atypical employment contracts. The law aims to combat the illegal practice whereby certain employers ask hired workers to sign a letter of resignation together with an open-ended contract. The employer can use this letter at a later stage to evade legal restrictions, claiming that the employee has resigned instead of being dismissed.

• 26 Jun 2008
  Hungary: Government performs unexpected U-turn on health reform bill

  In May 2008, the governing Hungarian Socialist Party (MSZP) backed away from the widely criticised healthcare reform law. MSZP has been acting as the country’s minority government since the recent break-up with its junior coalition partner, the Alliance of Free Democrats, which had initially proposed the reform in 2006. Despite having voted twice in favour of the bill, MSZP made a complete U-turn and joined forces with the opposition parties to revoke the bill.

• 26 Jun 2008
  Bulgaria: European social policy week in Sofia

  In May 2008, Sofia hosted the first European social policy week, which was a joint project of the European Commission and Bulgaria's Ministry of Labour and Social Policy. The purpose of the European social policy weeks is to promote national discussions in all Member States not only on the problems of individual countries but also on possible solutions based on the development of social systems in different EU countries. The forum was opened with a high-level regional conference on the development of human resources.

• 26 Jun 2008
  Greece: Expert committee presents report on flexicurity in the labour market

  A special Expert Committee has submitted a study on the new challenges in labour legislation and employment on the basis of the questions posed by the European Commission’s 2006 Green Paper on modernising labour law.

• 26 Jun 2008
  France: Decree regulating students’ work placements strongly criticised

  After the publication in January 2008 of a decree on the employment of students on work placements, student organisations organised several demonstrations calling for equal employment conditions for students on work placements across all economic sectors. Trade unions and student organisations are disappointed about the minimum level of the monthly gratuity that has been set. Students also criticise the fact that the decree does not apply to the public services.

• 26 Jun 2008
  Sweden: Healthcare union strikes for better wages for nurses

  Members of the trade union representing health professionals went on strike as result of the failed wage negotiations with the public sector employer organisation. It is the only major strike which has occurred during wage bargaining in 2008. The strike mainly concerns nurses and their wage demands, as well as a general demand for better and more equal wages between men and women. Mediators have been called in, but so far no agreement has been reached.

• 19 Jun 2008
  Belgium: Employers and employees give thumbs up to workplace representation

  In the run-up to the social elections in Belgium, surveys of employers and employees revealed that the social dialogue system at the workplace is still considered to be satisfactory by the stakeholders. Nonetheless, employers call for a simplified election procedure in order to reduce the administrative burden of the social elections. Over a two-week period in May 2008, employees in more than 6,000 private sector companies elected their workplace representatives.

• 19 Jun 2008
  Romania: Bulk amendment of industrial relations legislation

  The Ministry of Labour, Family and Equal Opportunities (Ministerul Muncii, Familiei şi Egalităţii de Şanse, MMFES) has recently stated its intention to propose the amendment, in the same legislative package, of the collective agreement Law and the labour disputes settlement Act. The decision was prompted by the discrepancies between some of the provisions of these pieces of legislation and the confusion this has generated over the past 10 years. After six meetings of the tripartite committee appointed for this purpose, a first conclusion shared by all three parties is that the task is tremendously difficult.

• 19 Jun 2008
  Romania: Social partners in agriculture sector unite to get better deal for producers

  Following protests against the absence of social dialogue on price and subsidy policies, the supermarkets’ perceived abuse of their dominant position, and the government’s perceived failure to provide support to Romanian agricultural producers, unions and employer organisations in the farming and food industry sectors made public, on 20 May 2008, the establishment of an alliance that aims to promote its own initiatives as an alternative to government policies.

• 19 Jun 2008
  Romania: Trade unions protest against suspension of employee gift vouchers

  On 25 March 2008, by way of an emergency ordinance, the Government of Romania (Guvernul României) suspended the gift vouchers for employees from all organisations funded from the state budget, the state social security budget, and the local budgets. The ordinance was met with instant opposition from the teaching staff of Bucharest, who staged a token strike (with no work stoppage, and with workers wearing arm bands) and threatened to continue with protest marches, rallies, and a general strike. On 15 April, the government issued another emergency ordinance, to cancel the article that triggered the protest, and to allow further allocation of gift vouchers from existing budgetary funds.

• 19 Jun 2008
  Ireland: Public service union protests against recruitment freeze in health service

  On 1 May 2008, over 28,000 members of the Irish Municipal Public and Civil Trade Union launched a gradual and sustained campaign of industrial action against recruitment restrictions imposed by the Health Service Executive (HSE). As part of the action, trade union members employed by the HSE are refusing to cover posts left vacant by the recruitment freeze, as well as stopping non-emergency overtime and out-of-hours work.

• 19 Jun 2008
  Netherlands: Controversy over plan to reduce benefits for young disabled people

  In May 2008, the Minister for Social Affairs and Employment proposed to reduce benefits for young people with a disability who are capable of working. The minister recommended that, from 2010, people in this category should be given suitable employment, supplemented by 70% of the minimum wage. The minister’s proposal, however, has been strongly criticised by left-wing supporters in the Dutch House of Representatives, as well as trade unions who are seeking job creation measures rather than benefit cuts.

• 19 Jun 2008
  Ireland: Unions finally agree to cost-cutting plan at Aer Lingus

  Aer Lingus and the Services, Industrial, Professional and Technical Union (SIPTU) recently agreed on the implementation of key aspects of a ‘mobility and flexibility’ cost reduction agreement. The agreement is part of a wider annual €20 million cost reduction plan and provides for a range of flexibility measures. In return, SIPTU members among Aer Lingus staff will maintain their jobs and current earning levels.

• 16 Jun 2008
  Poland: Court ruling gives works council more extensive right to information

  The act regulating the appointment of works councils has been criticised as being too general, exerting a negative effect on the functioning of the councils. In particular, the works councils’ financing and their access to information appear to be most adversely affected. A court decision regarding the range of information available to one company’s works council has set a precedent for other works councils in Poland to demand more extensive and precise information from employers.

• 11 Jun 2008
  Romania: Court of Appeal halts general strike at Mital Steel Galaţi

  Two days after it began, the general strike called by the Solidaritatea Steel Workers Trade Union (Sindicatul Solidaritatea Siderurgiştilor) at the Mital Steel Galaţi was suspended by the Galaţi Court of Appeal (Curtea de Apel Galaţi). The Galaţi High Court (Tribunalul Galaţi) then ruled it illegal. However, the labour conflict has not been settled, and the future of the collective agreement, which should come into effect in June 2008, is still uncertain.

• 11 Jun 2008
  Norway: Government proposes measures to facilitate labour migration

  In April 2008, the minister of labour and social inclusion presented a White Paper on labour migration. With this White Paper, the Norwegian government aims to ease labour migration to Norway from countries outside the EU and European Economic Area. The paper also opens the way for abolishing the transitional arrangements regulating the migration of citizens from the new EU Member States to Norway.

• 11 Jun 2008
  Norway: ILO rejects government’s use of compulsory arbitration to end industrial dispute

  In March 2008, the committee on freedom of association of the International Labour Organization considered a complaint by the Finance Sector Union against the Norwegian government for imposing compulsory arbitration to halt an industrial conflict in the financial services sector in 2006. The committee’s verdict was in favour of the complainant, stating that the nature and scale of the dispute did not justify the government’s use of compulsory arbitration.

• 11 Jun 2008
  Poland: Employees of Polish tax authorities protest over low pay

  On 28 April 2008, employees of the Polish tax authorities commenced a three-day protest. Many of the participating employees took leave from work on short notice, although the work continued without major disruption. The staff are demanding improved working conditions and higher salaries. While it is clear that changes are needed in the public sector, an uncertain political climate makes it difficult to introduce reform. Meanwhile, many employees are leaving to join the private sector.

• 11 Jun 2008
  Denmark: Collective agreement reached in public sector after tough negotiations

  In the early months of 2008, new collective agreements were signed by the social partners in the public sector at state, municipal and regional level. The renewal of the agreements took place amid unprecedented turbulence, and three of the largest trade unions gave notice of possible industrial action. The trade unions had highlighted that pay levels in the public sector lagged behind the private sector and they demanded extra increases to compensate for the deficit.

• 11 Jun 2008
  EU Level: Code of conduct on cross-border recruitment in European hospitals

  On 7 April 2008, the European social partners engaged in hospital activities signed a code of conduct on ethical cross-border recruitment and retention in this subsector of health and social work. On the basis of the agreement, the social partners are committed to promoting ethical recruitment practices in hospitals at European, national, regional and local level. The code also sets out particular requirements in terms of implementation, monitoring and follow-up.

• 11 Jun 2008
  Finland: Trade unions concerned about increase in unpaid overtime

  Unpaid overtime is an issue on the agenda of trade unions operating in the knowledge-intensive sectors of the economy. The Federation of Professional and Managerial Staff has evaluated that the average upper clerical employee can lose up to €400,000 during their career if no compensation is received for overtime. In any case, the concept of unpaid overtime is a complex phenomenon in Finland.

• 11 Jun 2008
  Finland: Survey finds most Finns in favour of industrial action

  According to a recent TNS Gallup opinion poll, industrial action is widely supported by Finnish citizens. Three quarters of the respondents consider that the current provisions regarding employees’ right to strike are balanced. In addition, over half of the respondents believe that the government should intervene in the operation of state-owned companies. However, employers argue that the current provisions concerning the right to strike are too extensive.

• 11 Jun 2008
  France: Economic and Social Council proposes changes in occupational health service

  On 27 February 2008, the Economic and Social Council adopted, by a large majority, an opinion on the future of the occupational health service. The document proposes measures for changing the organisation of health at work and outlines a reform timetable for the period 2008–2009. During the two-day discussion on the opinion, trade unions and employer organisations expressed certain reservations regarding the proposed reform.

• 11 Jun 2008
  Malta: Trade union clashes with microelectronics company over suspended pay increases

  STMicroelectronics, Malta’s largest private employer and leading exporter, announced its plans to downsize, following losses amounting to €35.3 million a year. The company claims that labour costs, declining competitiveness and the weakened US dollar have forced it to reconsider pay rises and bonuses, as provided for in the relevant collective agreement. As a result, a dispute arose with the General Workers’ Union, who urged the company to honour the collective agreement.

• 03 Jun 2008
  Lithuania: Conflict in education sector triggers minister’s resignation

  Industrial action by teachers over pay demands has been a prominent political issue in Lithuania in the early months of 2008. The government has drawn up a long-term programme to award teachers an average 92% pay increase by 2011, but this has met with opposition from some trade unions and parliament is considering ways of granting further wage rises. The situation led to the resignation of the Minister of Education and Science at the beginning of April 2008.

• 03 Jun 2008
  Malta: Trade unions push for better health and safety at work

  The General Workers’ Union organised a national conference on health and safety at the workplace in January 2008. The aim of this conference was to formulate concrete measures that would help to reduce the number of occupational accidents. The government and other organisations welcomed the trade union’s initiative. Concurrently, the Union of United Workers launched its own health and safety campaign.

• 03 Jun 2008
  Czech Republic: Trade union confederation announces strike alert over planned reforms

  At the beginning of March 2008, the Czech-Moravian Confederation of Trade Unions (ČMKOS) announced a strike warning in protest against government reforms. ČMKOS represents 32 trade unions with about 540,000 members; this is the first time that it has announced a strike warning for the entire confederation. The trade unions are protesting against the reform of public finances and the planned reform of the healthcare and pension systems.

• 03 Jun 2008
  Norway: Social partners agree on wage rise and early retirement conditions

  In April 2008, the Norwegian Confederation of Trade Unions concluded agreements with the Confederation of Norwegian Enterprise in the manufacturing, construction and parts of the private services sectors. The outcome of this year’s collective bargaining round in these sectors will generate a total wage growth of 5.6% for 2008. The social partners also managed to reach agreement on a revision of the agreement-based early retirement scheme – AFP.

• 03 Jun 2008
  Sweden: Employees on sick leave entitled to look for new job

  The Swedish government has proposed a new law granting employees on long-term sick leave the right to work for a different employer for 12 months without losing their former job. This will enable such persons to find a job where they can work despite their illness, thereby avoiding detachment from the labour market. However, the social partners have expressed reservations about the new law; they believe that it undermines the system of collective bargaining.

• 03 Jun 2008
  France: Emergency service doctors strike over excessive working hours

  A decline in employment, combined with measures regarding the reduction of working time which have not been compensated by sufficient increases in staffing, has since 2000 led to industrial tension in public hospitals regarding working time. Consequently, the number of hours and days worked, but not paid or taken as time-off, has accumulated. On 7 February 2008, the Ministry of Health and five trade unions signed a draft agreement providing for a solution to the problem.

• 03 Jun 2008
  Czech Republic: Teachers threaten strike action over pay

  In spring 2008, the Czech-Moravian Trade Union of Workers in Education were planning to organise the biggest strike in the Czech Republic’s recent history. They have threatened to take strike action if teachers do not get the salary increase they are demanding – this would in the closure of schools for an entire week just before the start of the summer holidays. After considering a proposal for funding put forward by the government, the trade union will then decide on what course of action to take.

• 03 Jun 2008
  Finland: Labour market organisations reflect on restructuring and productivity

  A joint round table on productivity with representatives of all labour market organisations was established in 2007. Its aim is to promote cooperation between the country’s labour market organisations regarding issues such as productivity and quality of working life in Finland. In a first analysis, the round table has examined the effects of restructuring in terms of new job creations and jobs lost over the past decade.

• 03 Jun 2008
  Germany: Social plan for redundant workers agreed at Nokia plant in Bochum

  At the end of April 2008, the Nokia management and works council signed a social plan for the workers of the company’s site in Bochum in western Germany which is to close by the end of June 2008. Since Nokia has announced the plant’s closure and relocation of production lines to Hungary and Romania in January, the decision has been heavily criticised by the works council, the trade unions, and local and regional authorities.

• 03 Jun 2008
  Germany: Social partners sign new package of agreements for chemicals industry

  In mid April 2008, the social partners in the chemicals industry signed several collective agreements. The whole package of agreements comprises a substantial pay increase for the next 25 months, an agreement to smooth the transition from work to retirement and a commitment by the employers to increase the number of initial vocational training places over the next two years. Both the trade union and employer organisation welcomed the new deal.

• 03 Jun 2008
  Austria: Businesswomen’s group call for greater female representation

  The organisation of female entrepreneurs within the Austrian Federal Economic Chamber (WKO), Women in Business, calls for doubling the share of female representatives in WKO bodies from the current level of 14% by 2010. The organisation also wants to see the maternity and sickness allowance scheme extended to self-employed people and tax improvements in relation to childminding services. In general, the WKO leadership supports this initiative.

• 03 Jun 2008
  France: Sharp rise in inflation leads to automatic rise in minimum wage

  As the annual increase in the consumer price index was higher than 2% in April 2008 – and in line with the automatic mechanism for increasing the national minimum wage – the latter increased even before the annual examination by the social partners due to take place in July 2008. This is the first time that this has happened in 10 years. As a result, this development has led to discussions on purchasing power and the way in which the mechanism for increasing the minimum wage functions.

• 03 Jun 2008
  United Kingdom: TUC commission calls for better protection for vulnerable workers

  In May 2008, the Trades Union Congress launched a major new report which was drawn up by its Commission on Vulnerable Employment. The commission’s recommendations include better provision of employment rights advice, the creation of a new Fair Employment Commission, targeted support for migrant workers and equal rights for temporary and agency workers. However, the Confederation of British Industry dismissed certain aspects of the report.

• 03 Jun 2008
  France: Creation of new single operator in public employment service

  As part of the recently adopted law on the reform of the organisation of the public employment service, both current entities – the National Employment Agency and the National Union for Employment in Industry and Commerce and its regional branches – are due to merge by 2009. The new single operator will have more wide-ranging tasks than the current bodies. The planned merger has provoked mixed reactions among the social partners.

• 03 Jun 2008
  EU Level: ETUC launches fair wages campaign across Europe

  The European Trade Union Confederation (ETUC) recently launched its fair wages campaign, aimed at highlighting the fact that about 30 million workers in Europe receive low wages. In addition to the ethical issue associated with low pay, ETUC argues that the ending of wage moderation is a major requirement to create more jobs. In fact, given the current global economic climate, the trade unions believe that continued low pay could lead to recession.

• 03 Jun 2008
  Estonia: Social partners agree on content and implementation of new labour law

  The social partners finally reached a tripartite agreement in April 2008 on the new Employment Contracts Act and its implementation. The draft act will now be presented to the parliament and thus may be subject to further changes. An additional agreement on the implementation of the new labour law ensures the provision of information to employers and employees on the legal changes, restructures labour market institutions and promotes lifelong learning initiatives.

• 03 Jun 2008
  Slovakia: Social partners reach consensus on euro implementation

  Slovakia looks forward to entering the euro zone from 1 January 2009. The government has signed the declaration on consensus regarding euro implementation with representatives of employers, trade unions and municipalities. Besides cooperating on information campaigns and price control, trade unions and employers have agreed to respect the link between wage increases and labour productivity. However, trade unions highlight that this will not imply an indirect wage freeze.

• 03 Jun 2008
  Cyprus: Industrial dispute over ground-handling services at airports settled

  A memorandum of agreement was signed in April 2008 setting the terms for redundancy and employment in the context of the transfer of ground-handling services at Larnaca and Paphos airports in Cyprus. This agreement in principle is seen as particularly important, since on the one hand it lays down the terms and conditions of employment for people working in the new joint venture, and on the other hand it has put an end to a lengthy labour dispute.