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June 2009

• 29 Jun 2009
  Hungary: Recent unrest in transport sector raises questions about strike regulations

  In December 2008 and January 2009, considerable strike activity took place in the public transport sector, involving railway workers at the Budapest Transport Company and at Budapest Airport. Furthermore, the government’s plan to cut employees’ ‘13th month’ wages mobilised public sector unions to reactivate their strike committee. This wave of industrial action put strike regulations with regard to essential services and other issues back on the agenda.

• 29 Jun 2009
  Finland: New president of SAK elected

  The Central Organisation of Finnish Trade Unions (SAK) has appointed the Director of its collective bargaining department, Lauri Lyly, as the organisation’s new President. The outgoing president, Lauri Ihalainen, was SAK’s longest-serving president, having led the organisation since 1990. Mr Lyly will initially be appointed for two years or until the SAK Congress in June 2011. He has already called for greater consensus among the national trade union organisations.

• 29 Jun 2009
  Germany: Decline in trade union membership lowest in recent years

  According to the latest figures from the Confederation of German Trade Unions, the membership levels of its affiliated trade unions dropped by 1.1% in 2008. This is the lowest decrease since 1992–1993. The German Metalworkers’ Union reported no decline and the German Union of Education even managed to increase its membership by 1.2% compared with 2007. The overall share of young trade union members increased slightly, from 7.2% in 2007 to 7.4% in 2008.

• 29 Jun 2009
  Germany: Vocational training pays off

  At the end of March 2009, the German social partners commented on the employment prospects for apprentices in 2009. Although the economic downturn is affecting companies’ employment strategies, a severe decline has not yet occurred in the number of apprenticeship positions available in the labour market. In fact, a newly published study shows that it pays companies to maintain their vocational training programmes.

• 29 Jun 2009
  Portugal: Nurses strike again for better career path and pay structure

  On 12 May 2009, International Nurses Day, the trade unions representing nurses in Portugal organised a national demonstration, demanding a fair career and better working conditions. It was the third nursing strike this year, and the fourth since the unions presented their proposal on the revision of the nursing career. At stake are government proposals on the revision of nurses’ professional statute, in line with the reform of labour relations in the public sector.

• 29 Jun 2009
  Greece: Impact of mergers and acquisitions on employment and labour relations

  The Labour Institute of the Greek General Confederation of Labour has examined the impact of company mergers and acquisitions in the field of employment and labour relations. A significant surge in such activity occurred between 1998 and 2005. In general, both redundancies and recruitment feature in connection with restructuring of this type. Overall, it tends to lead to more flexible employment contracts and to an individualisation of labour relations.

• 29 Jun 2009
  Germany: Increase in number of strikers but fewer strikes in 2008

  Institute of Economic and Social Research data published in April 2009 reveal that industrial action in Germany in 2008 involved 1.6 million striking workers – about one million more than in 2007. However, the estimate of 542,000 days not worked was about 25% less than in 2007. On the other hand, the official records of the Federal Employment Agency counted just 154,052 strikers, amounting to 131,679 days not worked; incomplete reporting may explain this disparity.

• 29 Jun 2009
  Norway: New bill to offer greater protection against discrimination in recruitment

  The Norwegian Ministry of Children and Equality has presented a proposal to parliament on legislative change aiming to prevent discrimination in employment. The proposal makes it illegal for employers to ask about pregnancy and family planning in recruitment and appointment procedures. Moreover, the proposal aims to strengthen the principle of objective justification regarding differential treatment of homosexuals in relation to appointments in religious communities.

• 29 Jun 2009
  Ireland: Workers at Danish-owned pharmaceutical plant agree to restructuring plan

  Members of two trade unions at the long-established Leo Pharma plant in Dublin have voted to back a restructuring plan by the company. This decision ended a long-running dispute that had threatened the future of the pharmaceutical plant. The management at Leo Pharma decided to take immediate action to reduce its cost base in order to secure the plant’s future rather than wait for the company’s Danish headquarters to decide on whether to relocate production.

• 29 Jun 2009
  Netherlands: Prevalence of part-time work impedes women’s career path

  For 2008, it has again been revealed that 75% of all women working in the Netherlands hold part-time jobs and are satisfied with this. The ‘Deeltijd-Plus’ government committee was set up to develop policy directed at women aspiring to work longer hours. Although women now wish to work an average of five hours more a week, employers appear to provide little incentive to do so. Since early 2009, the number of women in upper management positions in companies is stagnating.

• 29 Jun 2009
  Latvia: Healthcare workers reject recessionary cutbacks

  The Latvian Health and Social Care Workers’ Trade Union has remained active through the economic downturn. It arranged a one-day strike among healthcare workers on 26 September 2008, a two-day strike on 30–31 October 2008 and warned the government in January 2009 of the health risks of further budget cuts. Although the industrial action did not lead to direct results, the National Tripartite Cooperation Council has endorsed the trade union’s position.

• 29 Jun 2009
  Poland: President calls social partner summit meetings

  The Polish President, Lech Kaczyński, has invited the social partners for meetings at the Presidential Palace twice so far during 2009. The meetings aimed to investigate how to halt rising unemployment in light of the global economic crisis. The Prime Minister, Donald Tusk, also participated in the meeting. However, tensions between the heads of state and also between the government and social partners make it difficult to agree a common strategy.

• 29 Jun 2009
  Greece: Attack on union activist draws attention to working conditions in cleaning companies

  A vicious attack on a migrant worker in a subcontracting cleaning company, who is also a trade union activist, brought the working conditions of people in precarious employment – especially women and migrants – into the public eye and led to a series of protests and campaigns. A study by the Labour Institute of the Greek General Confederation of Labour highlights the inadequacy of the statutory framework, as well as numerous legal violations in the cleaning industry.

• 29 Jun 2009
  Norway: Rreduction in working time for job rotation schemes

  An amendment to working time regulations was due to be passed through the Norwegian parliament in the spring of 2009. The amendment aims to address the differences that exist between job rotation schemes and continuous shift schedules with regard to weekly working time. As job rotation is more common in female-dominated sectors and shift work in male-dominated sectors, the legislation is considered an important measure to ensure gender equality in employment.

• 18 Jun 2009
  Hungary: Series of national summits called to tackle economic crisis

  Hungary’s former Prime Minister called a series of national summits, where leaders of all political parties, financial experts and social partners gathered to discuss the effects of the global economic crisis on Hungary. The objective of the top-level negotiations, held between September 2008 and January 2009, was to reach consensus on a package of wide reforms in key areas; however, strong divisions emerged between the social partners on ways to avert the crisis.

• 18 Jun 2009
  France: Controversy over measures to promote employment of older people

  The social security finance bill, which was adopted at the end of November 2008, includes several new measures for keeping older people in employment. These provisions reflect decisions made by the French government in the framework of recent social partner discussions on pension reform. However, the new legislation has met with strong negative reactions from most of the social partners, the political opposition parties and other relevant actors.

• 15 Jun 2009
  Slovakia: Trade unions and government unite efforts to fight economic crisis

  Recently, the Slovak government adopted a package of anti-crisis measures. In addition, the government and the trade unions adopted a cooperation memorandum to face the impact of the economic crisis in Slovakia. While the government will seek to retain employment as well as not weakening the current protection of employees by amendments in labour legislation, trade unions intend to demand wage increases only in relation to the actual level of labour productivity.

• 15 Jun 2009
  Germany: Cost-cutting plan agreed in return for limited job guarantee at Daimler

  In late April 2009, the company works council and management of the German car manufacturer Daimler agreed on a cost-cutting package that will save the company €2 billion in labour costs. In return for a number of concessions concerning working time and pay, the company granted a limited job guarantee. The agreement follows a previous cost-cutting package concluded at the company in 2004.

• 15 Jun 2009
  EU Level: European Parliament adopts resolution on social responsibility in subcontracting chains

  In March 2009, the European Parliament adopted a resolution calling on the European Commission to take action at EU level to draft a legal instrument introducing joint and several liability to deal with the cross-border dimensions of subcontracting. In particular, the Parliament calls for a legal instrument extending social responsibility to general or main undertakings in production chains to ensure workers’ social and employment rights in the subcontracting chain.

• 15 Jun 2009
  Bulgaria: Social partners discuss national flexicurity pathway

  On 12 May 2009, the Ministry of Labour and Social Policy organised a national conference entitled ‘Implementing the national pathway of flexicurity’. The conference is part of a series of measures undertaken by the government and social partners to better integrate the flexicurity approach into national policies. The participants discussed the draft document on the issue, highlighting their differing positions on flexicurity.

• 15 Jun 2009
  Estonia: Report reveals problems with extending collective agreements

  A study on the practices of extending collective agreements, published in January 2009, highlights the problems arising from the national legislation and makes proposals to build a new bargaining system suitable for Estonia. The authors conclude that while the social partners should retain the main role in the collective agreements’ extension procedure, the criteria of representativeness, state control and legal protection of third parties should be introduced.

• 15 Jun 2009
  Germany: New collective agreement in metalworking sector

  In April 2009, the social partners in the metal and electrical industry signed a new collective agreement on short-time work, training and employment protection for Baden-Württemberg. The social partners have extended the new rules on short-time work introduced by the federal government by establishing two new models to compensate workers on short-time work for lost wages. In addition, rules on the renewal of fixed-term contracts have been relaxed due to the economic crisis.

• 15 Jun 2009
  Ireland: Few sectors likely to implement national pay deal

  The pharmaceutical, healthcare and chemical sectors are among those most likely to meet the terms of the current national pay agreement. However, the Irish Business and Employers’ Confederation argues that the agreement should be severely curtailed, if not completely abandoned given the current economic climate. The trade unions are resisting any changes to the terms, unless they can secure some other concessions in the national talks.

• 15 Jun 2009
  Norway: Agreement reached in private sector bargaining round for 2009

  During the spring of 2009, the social partner organisations in Norwegian working life concluded collective agreements following the bargaining rounds in large parts of the private sector. The agreements include a general wage increase for all employees, and additional low-wage increases in sectors with a low average wage. Company-level parties may, depending on the company’s financial situation, agree to postpone or ignore these nationally agreed pay adjustments.

• 15 Jun 2009
  Ireland: Threat to job losses at Lufthansa Technik Airmotive averted

  In April 2009, workers at Lufthansa Technik Airmotive voted by a large majority to accept last minute proposals that could secure the future of a key part of the company’s Irish operation for the next 20 years, easing fears that the 465 Irish jobs could be lost to Germany. Since then, managers claim that workers are failing to honour this agreement, with work having to be turned away. They have warned that unless workers adopt new work practices, they will reissue protective notices.

• 15 Jun 2009
  Germany: New allowances for short-time work in bid to offset economic crisis

  On 1 February 2009, new rules for short-time working allowances granted to companies took effect. The new regulations are part of two rescue packages to fight the global economic crisis, by stimulating overall demand. The new rules on short-time working allowances aim to provide relief to employers and safeguard employment. Employers and trade unions welcomed the new regulations as a step in the right direction, while disagreeing on what further measures should be taken.

• 15 Jun 2009
  Sweden: White-collar unions under pressure to sign agreement on temporary layoffs

  Unionen, the trade union for professionals in the private sector, and the Swedish Association of Graduate Engineers are under pressure from the Association of Swedish Engineering Industries and the Swedish Service Employers’ Association to conclude a central agreement on temporary lay-offs similar to that concluded for blue-collar workers in the manufacturing sector. After much debate on the impact of such an agreement for white-collar workers, there is clear disagreement among the social partners on the matter.

• 15 Jun 2009
  Austria: Short-time working rules amended

  On 26 February 2009, the Austrian parliament endorsed an amendment to the short-time working rules, with the aim of making them more flexible and prolonging their maximum term for adoption. This move is due to a continuously growing demand by employers for short-time working arrangements to cope with the current economic downturn. Employers and trade unions, which had been the driving forces behind the legislative initiative, have largely welcomed the decision.

• 15 Jun 2009
  United Kingdom: Equality Bill targets gender pay gap

  In April 2009, the government introduced an Equality Bill which, as well as harmonising existing equality legislation, proposes new measures including mandatory gender pay reporting requirements if employers fail to do this voluntarily. Employer organisations criticised the pay reporting proposal, whereas trade unions expressed disappointment that the government had not taken bolder steps to close the gender pay gap.

• 15 Jun 2009
  Poland: Arms industry reacts to cuts in public spending

  As the national budget for 2009 had to be amended due to the global economic crisis, many companies relying on state contracts found themselves in an increasingly difficult position. The arms industry is linked to economic sectors severely affected by budget cuts. Due to the critical economic situation, social tensions in the arms industry are growing. Trade unions have been organising strike action, while employers have entered into negotiations with the government.

• 15 Jun 2009
  Lithuania: Social partners support draft bill to liberalise industrial relations

  After lengthy discussions, social partners at the Tripartite Council of the Republic of Lithuania, the national level social dialogue institution, supported a draft law amending and supplementing 19 articles of the Labour Code. The changes seek to liberalise industrial relations and allow for consensus on a number of more flexible provisions in collective agreements, including in relation to employment contracts and severance pay.

• 05 Jun 2009
  Finland: Employers rule out pay increases in current crisis

  The Confederation of Finnish Industries has described the current economic crisis as being so difficult that pay increases are not possible in the upcoming bargaining round. In the employers’ opinion, Finland cannot afford to raise pay levels. In April 2009, the social partners met for the first time to discuss the next collective agreements. The trade unions argue that moderate pay increases would support workers’ purchasing power and ensure economic recovery in the long term.

• 05 Jun 2009
  Sweden: Social partners censure new finance bill

  The Swedish government’s Spring Fiscal Policy Bill, which was published on 15 April 2009, includes several measures to counter the recession and to boost the labour market in order to maintain jobs. However, trade unions and public authorities criticise the government for not stimulating the economy enough. The employer organisation argues that the bill focuses too much on subsidies and not enough on private and public investments.

• 05 Jun 2009
  Bulgaria: Paper factory offers compensation package under union pressure

  A decision was taken on 24 February 2009 at a meeting of the board of directors of the Mondi paper manufacturing group to temporarily close the company’s site at Stamboliiski at the end of May. The managing director in Bulgaria explained that the temporary closure did not mean that the factory will necessarily re-open in the future; it is possible that it might be closed down permanently, although it could start operating again under certain conditions.

• 01 Jun 2009
  Romania: Criticism over proposed law banning combined pension and salary in public sector

  Due to budget constraints, in late 2008, the Romanian government issued an emergency bill banning the combined earnings of a pension and salary in the public sector. The social partners expressed discontent with the ordinance and, in January 2009, the Constitutional Court ruled it unconstitutional. In April, the government drafted a new law permitting both state pension and salary only for pensions amounting at most to the national gross average salary of €410.

• 01 Jun 2009
  Malta: School teachers stage one-day strike over working conditions

  The Malta Union of Teachers (MUT) instructed its members working in state schools to strike on 30 April 2009 in protest against the alleged inadequate working conditions of teachers. Another strike in church-run schools scheduled for the same date was called off after MUT and the church authorities settled their differences and signed a new collective agreement on 28 April.

• 01 Jun 2009
  Bulgaria: Controversy over draft bill on temporary agency work

  On 16 April 2009, the government adopted a draft bill on amendments to the Labour Code regarding temporary agency work, which aimed to transpose Directive 2008/104/ЕC. The new legislation defines rules on employment conditions of temporary agency workers. While the employers supported the draft bill in principle, the trade unions strongly opposed it. In particular, the Confederation of Independent Trade Unions in Bulgaria urged the government to withdraw the draft bill.

• 01 Jun 2009
  Spain: Strikes in airline sector source of major disruption

  Strike action and other initiatives organised by a number of groups in the airline sector have placed growing pressure on companies in the industry. Sometimes, this pressure has been exerted in non-formal ways and has caused considerable disruption for customers. The conflict has occurred against the backdrop of significant changes in the sector, including a merger deal and plans to partially privatise the country’s public airport management operator.

• 01 Jun 2009
  Austria: Social partners differ over ways to bridge gender pay gap

  An EU study on gender pay gaps in the Member States, measured as relative differences in the hourly earnings of women and men, revealed that in Austria women’s gross income falls short of that of men by 25.5%. While these findings have been questioned by employer organisations, trade unions and distinct political actors have been considering the introduction of wage transparency schemes for the private sector to tackle effectively such large gender pay differentials.

• 01 Jun 2009
  Belgium: New economic recovery plan launched for Wallonia

  In 2005, the Walloon regional government launched a set of measures seeking to boost the worrying economic situation of the region. The impacts of these measures are being evaluated in 2009. At the same time, in light of the upcoming regional elections in June 2009, the government has proposed a new framework for further measures. As part of this initiative, a particular focus will be placed on developing the region’s ‘green economy’ and its sustainability in the long term.

• 01 Jun 2009
  Italy: Renewal of national collective agreement for journalists

  In March 2009, following two days of bargaining, the national collective agreement for journalists was renewed. The agreement establishes an average wage increase of €265 a month. It also regulates the transfer of journalists, their temporary employment in newspapers of the same press group and fixed-term employment contracts. Furthermore, the agreement introduces a new provision regarding multimedia and two new professional categories.

• 01 Jun 2009
  Sweden: Social partners have differing views on Laval Inquiry

  Since the Laval Inquiry was concluded in late December 2008, it has been under the consideration of the Swedish social partners. Overall, the social partners have reacted strongly to the inquiry’s proposals, and opinions differ between and among trade unions and employer organisations. Some trade unions address the need for a change of Community law at European level, while some employer organisations dismiss the Laval Inquiry proposals in favour of new labour legislation.

• 01 Jun 2009
  Sweden: Conflict in construction sector ends in temporary agreement

  In April 2009, the Swedish Building Workers’ Union announced a planned strike, involving over 3,300 members, against the failure to secure a new collective agreement. In order to avert the strike, the Swedish Construction Federation agreed to the trade union’s demands and on an interim agreement. However, it claims that it was forced to do so due to the financial crisis and the difficulties being faced by the construction and building sector.

• 01 Jun 2009
  United Kingdom: New report highlights major skills challenges for the UK

  In May 2009, the UK Commission for Employment and Skills published a report highlighting major challenges for the skills and employment system. It warns that the UK is slipping behind major competitors in the skills league. However, moving away from previous policy thinking, the report emphasises the need for measures to improve employer demand for and utilisation of skills, and for skills policy to be integrated with economic development and innovation strategies.

• 01 Jun 2009
  EU Level: ECJ rulings on retirement age and discrimination law

  Two recent cases at the European Court of Justice (ECJ) raised the issue of retirement in relation to age and gender discrimination. In the first case, the ECJ ruled that there can be justifiable reasons for dismissing workers on account of their age and that this would not necessarily infringe EU law. In the second case, the court ruled that different pension ages based on gender and length of service violates the principle of equal treatment.

• 01 Jun 2009
  Denmark: Economic crisis leads to extensive use of work-sharing

  In Denmark, the practice of work-sharing is growing extensively, to help mitigate the significant increase in redundancies during 2009 arising from the economic recession. The social partners and companies have called for more flexible rules concerning work-sharing; however, the government has been reluctant to introduce them. In March 2009, the government issued ‘Four initiatives to support employees threatened by unemployment’, which generated considerable scepticism.

• 01 Jun 2009
  Malta: Dispute escalates over port workers’ union representation

  A dispute between the General Workers’ Union (GWU) and the Malta Dockers’ Union (MDU) over trade union representation, which has been underway for several years, has recently escalated. According to MDU and the Malta Maritime Authority, GWU does not represent the majority of port workers. The matter has since been referred to the Director of the Department of Industrial and Employment Relations, who confirmed that MDU held the majority support.