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December 2011

• 22 Dec 2011
  Denmark: IT union loses two-year battle with multinational CSC

  The two-year conflict between multinational IT company CSC and Danish trade union PROSA has ended in a court defeat for the union. The dispute began in June 2009, over the renewal of their collective agreement, but escalated to a lock-out and strike action when the company demanded employees work longer for 10% less pay. The conflict has revealed how easily IT work can be outsourced to the East where skilled specialists work for less than half the wage of their Danish colleagues.

• 22 Dec 2011
  United Kingdom: Union derecognition in the spotlight

  UK employers generally reach a voluntary agreement with trade unions to recognise them for collective bargaining purposes. Recognition can be made compulsory by an independent arbitration committee if a union demonstrates a certain level of support from employees. While derecognition of unions is not common, a couple of cases have made the news in 2011, prompting concerns that employers may use derecognition as a way of pushing through cuts in pay and conditions.

• 22 Dec 2011
  Austria: Social partners propose measures to increase the average retirement age

  The 2011 annual meeting of the social partners framed proposals for increasing average retirement ages in Austria, currently comparatively low by international standards. While the statutory retirement age will eventually be 65 for both men and women, the average age of actual retirement is just over 57 for women, and just over 59 years of age for men. The social partners’ suggested measures aim to keep workers in the labour force for an average of two years longer by 2020.

• 22 Dec 2011
  Slovenia: Migrant workers win fight against discrimination

  Migrant workers from Bosnia and Herzegovina have finally won the right to claim unemployment benefit in Slovenia. This has been denied them for years, despite the fact they have always been required to pay contributions to unemployment insurance. On 2 September 2011, the amendments to the agreement on social insurance between Slovenia and Bosnia came into force. These amendments also give migrant Bosnian workers more rights and aim to reduce discrimination against them.

• 22 Dec 2011
  Poland: Minimum wage under debate

  Two successive government decisions to set the Polish national minimum wage without the agreement of the social partners has led to an attempt to change the law. The rate had been set by tripartite consensus for six years, until 2010 when the government insisted on a rate lower than that agreed by the social partners. The government unilaterally set the rate again this year, and the Solidarity union has attempted to introduce legislation fixing it at 50% of average earnings.

• 22 Dec 2011
  Netherlands: New life-sciences park saves hundreds of research jobs

  Agreement has been reached over the reorganisation of Organon, a subsidiary of global pharmaceuticals company Merck. It follows Merck’s announcement in July 2010 that all its research activities in the Netherlands would end and that production would be reduced by 30%. This was expected to result in the loss of 2,175 jobs. However, there was strong resistance from workers and the parties involved have now agreed to establish a life-sciences park to try to retain some jobs.

• 22 Dec 2011
  Germany: Vocational training market in fine shape

  On 7 November 2011, the partners in the Pact on Apprenticeships released new figures on the development of the vocational training market in Germany. The latest data highlight a positive trend, showing more vocational training positions are available for young people and more establishments are offering training. However, the Confederation of German Trade Unions is unconvinced and insists that the situation for young people looking for a training position remains difficult.

• 16 Dec 2011
  Spain: Telefónica to make 6,500 workers redundant

  The Spanish Government has approved plans by telecommunications company Telefónicato make 6,500 employees redundant. The measure has been agreed with employees’ representatives and is linked to a new collective agreement, which commits the company to no more redundancies, the recruitment of at least 450 new employees and a grants programme for young workers. The company has also been forced to reimburse the Government for the resulting stateunemployment payments.

• 13 Dec 2011
  France: Strengthened regulation of internships

  The recent ‘Cherpion’ Law strengthens existing measures and introduces requirements that offer more protection for French interns. The law necessitates the signing of a tripartite contract (between employer, intern and their educational establishment), limits the duration of internships, insists on a break between two interns in the same role, stipulates a monthly payment, increases the involvement of works councils and sets rules on probationary periods for subsequent employment.

• 13 Dec 2011
  Netherlands: Committee urges end to abuse of migrant workers

  Research on migrant workers has concluded that the Netherlands underestimated how many immigrants would come when the country opened its borders to people from Eastern and Central Europe in 2007. Research from a committee established by the Dutch House of Representatives says the Netherlands was completely unprepared for dealing with the influx. In its report, the committee put forward several measures to tackle the issues that have arisen.

• 13 Dec 2011
  France: First assessment of representativeness reform

  The 2008 reform of trade union representativeness has transformed the industrial relations landscape in France. A new study commissioned by the French government makes a first assessment of the reform’s impact. The aim of reducing the number of trade unions has not yet been achieved, although unions recognise that their representativeness is in danger. The increasing professionalisation of trade union work could also create a gulf between union leaders and ordinary employees.

• 09 Dec 2011
  Finland: Social partners agree national pay settlement

  Social partners have worked out a tripartite framework for a new centralised national agreement on wages and conditions. The 25-month agreement offers a 4.3% pay increase with a lump sum payment of €150 in January 2012. It also covers issues affecting the quality of working life. The government is supporting the agreement with tax reliefs worth €400 million. The agreement will only take effect if sectoral coverage is 100%, with 25 November the deadline for negotiations.

• 09 Dec 2011
  EU Level: Commission issues new Communication on Corporate Social Responsibility

  In October 2011, the European Commission issued a new Communication on Corporate Social Responsibility, redefining the concept. It urges companies to address employment and social issues such as training, youth employment, dialogue with employee representatives, employee health and well-being, gender awareness and diversity management within the context of the Europe 2020 strategy, and to see such initiatives as a key part of the solution to Europe’s economic crisis.

• 07 Dec 2011
  Latvia: Hospitals protest against lack of funds

  The Latvian government has earmarked an extra €8.7 million for regional hospitals after staff protested at plans to cut funds for emergency patients in the second half of 2011. Demonstrations by health unions at three regional hospitals in August 2011 were supported by the Latvian Hospital Association, local governments and the public. However, hospitals are sceptical of another government promise to allocate an extra €997,000 to emergency healthcare funding.

• 07 Dec 2011
  Greece: 2011 report on economy and employment

  A union-backed annual report on the Greek economy, published in September 2011, is seen as particularly important this year because of the country’s financial crisis. The report, by the Labour Institute (ΙΝΕ) of the Greek General Confederation of Labour (GSEE) and civil service union ADEDY, focuses on the crisis, government efforts to combat it, and its effect on jobs, labour relations and unemployment, which has soared alarmingly. Unions feel government action is ineffective.

• 07 Dec 2011
  Norway: Proposals to improve the quality of working life

  In August 2011, the Norwegian government submitted a white paper on working conditions, work environment and safety to parliament (Stortinget). The paper provides a thorough depiction of the situation in Norway and outlines a number of measures needed to improve conditions for workers. These include the prevention of involuntary part-time work, and the promotion of decent wages and working conditions in public contracts.

• 07 Dec 2011
  Denmark: Recently established Equal Pay Tribunal has no cases

  A tribunal dealing with matters concerning equal pay has not heard any cases, six months after it was set up in Denmark by social partners CO-industri and DI. The tribunal was established in June, in collaboration with the Labour Court, and is expected to deal with the interpretation and understanding of the Equal Pay Act, its possible violation and the incorporation of the law’s provisions in the industry agreements between trade union CO-industri and the employers in DI.

• 05 Dec 2011
  Bulgaria: Deadlock over 2012 minimum social security thresholds

  Annual negotiations among the Bulgarian social partners over social security thresholds have run into difficulties. The thresholds act as sectoral minimum wages in many industries and were introduced to stop employers paying contributions on the basis of the national minimum wage, rather than their workers’ true pay. The average increase agreed across 50 sectors (out of 85) is 7%. Unions welcome this, but employers are worried about burdening firms with extra costs.

• 05 Dec 2011
  Ireland: Proposal to streamline employment rights bodies

  The Irish Minister for Jobs, Enterprise and Innovation Richard Bruton has published a consultation paper on reforming employment rights and industrial relations structures. The key aim is to create a ‘new integrated two-tier structure’ to replace existing employment rights bodies. This will make it simpler and more cost-effective for workplace disputes and grievances to be resolved. The minister has invited submissions from interested parties to the consultation process.

• 05 Dec 2011
  EU Level: European chemical sector social partners sign sustainability accord

  In September 2011, European social partners in the chemical sector adopted a declaration aimed at strengthening the European chemical industry and finding ways for this sector to address issues such as food shortages, emissions, and the need to save energy and protect the environment. The agreement on framework conditions for a sustainable chemical industry is based on recommendations of the High Level Group on the competitiveness of the chemicals industry, issued in 2009.