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January 2012

• 31 Jan 2012
  Hungary: Unions slam new Labour Code

  The draft of Hungary’s new Labour Code was approved by the government after negotiations with trade unions and employers’ associations in October 2011. The government said the code would improve Hungary’s competitiveness, help create jobs and increase the flexibility of employees. Unions and opposition parties have managed to gain some amendments to the code, which is scheduled to take effect in mid-2012, and are also lobbying for a referendum on some of its proposals.

• 31 Jan 2012
  Netherlands: Largest union federation to be reorganised

  The Netherlands' former Secretary of State for Social Affairs, Jetta Klijnsma, has agreed to lead a new union confederation after the break-up of the Dutch Labour Federation (FNV) in its current form, triggered by the pension agreement reached by the FNV leadership with employer representatives. The two biggest unions among the federation's 19 members felt the deal was unfair, and mediators were called in after one union demanded a vote of no confidence in Chair Agnes Jongerius.

• 31 Jan 2012
  Germany: Social partners in steel industry agree jobs for apprentices after training

  In November 2011, the bargaining parties of the northwestern German steel industry agreed on a new package of collective agreements. The new agreement allows for a general pay increase of 3.8%, with effect from 1 December 2011. The parties also agreed on permanent employment contracts for apprentices upon completion of their training. For the semi-retired, employers will top up their pension fund contributions to the same level as if they were working full time.

• 31 Jan 2012
  France: New public sector union elections claim first victims

  The power balance of French public sector trade unions is changing with the implementation of an Act amending the rules on their representativeness in three civil service divisions. The law stresses that representativeness will now be based on the unions’ election results, and it is clear from the results of the first of these elections in the public sector, on 20 October 2011, that at least two unions will face the loss or reduction of rights to negotiate collective agreements.

• 30 Jan 2012
  United Kingdom: Public service workers strike over pension reforms

  On 30 November 2011, over one million UK public service workers took part in a national 24-hour strike in protest against changes the government has already introduced, and others it wants to make, to public sector occupational pension schemes. Unions and the government disagreed over the impact of the stoppage. Talks between government and union officials are continuing, although unions have questioned ministers’ willingness to negotiate over the proposed changes.

• 30 Jan 2012
  Czech Republic: Czech Airlines settles dispute with pilots over airplane transfer

  On 1 December 2011 the pilots of Czech Airlines (CSA) launched a protest against the transfer of the leases of 11 aeroplanes to the company Holidays Czech Airlines within the Český Aeroholding group. The transfer was part of a restructuring of the airline. As part of the protest, some pilots did not come to work, with the result that CSA had to cancel 25 flights. Agreement was reached later in the month on the transfer of both planes and pilots to Holidays Czech Airlines.

• 30 Jan 2012
  Sweden: Social partners’ battle over pay set to continue

  Swedish social partners in industry managed to sign a collective agreement on 13 December 2011, after long and difficult wage negotiations. However, although the employer organisations are satisfied that potential strikes have been averted, they claim the agreement is at ‘breaking point’. Unions are split over how much influence the agreement will have when other sectors begin wage bargaining in the spring of 2012, even though it has been accepted since 1997 as norm-setting.

• 30 Jan 2012
  United Kingdom: Government announces employment law reforms

  In November 2011, the UK government outlined a range of employment law reforms intended to reduce the impact of regulation on businesses and encourage recruitment. These included substantial changes to the employment tribunal system. Employer bodies generally welcomed the government’s announcement. However, trade unions were highly critical of the measures, saying it was more important to address the problems firms have in getting bank loans, because of the economic crisis.

• 30 Jan 2012
  EU Level: Social partners launch review of Working Time Directive

  On 14 November 2011, the EU-level social partners agreed to start negotiations to revise the Working Time Directive. This follows the Commission’s second stage of social partner consultation on this issue, launched in December 2010. The key issues under discussion by social partners representing Europe’s employers and trade unions include on-call working, the opt-out clause for the 48-hour week, and interpretations of European Court of Justice’s rulings on the Directive.

• 30 Jan 2012
  Belgium: New agreement for health and social workers in Flanders

  After months of negotiation, the social partners and the Flemish regional government have concluded an agreement for the non-profit sector, which comprises mainly health, social and cultural work. The agreement will cover some 150,000 employees for 2011–2015. Wage rises and improvements in tackling work pressure and training are scheduled. Non profit organisations controlled at the national level are still waiting for one federal government to resume talks.

• 23 Jan 2012
  Slovenia: New party surprise winner of election

  New centre-left party Positive Slovenia emerged as the surprise winners of the country’s first snap election on 4 December 2011. The party, formed just weeks before the election, was led by the Mayor of Ljubljana, Zoran Jankovič. The result confounded expectations that the country would shift to the right after the centre-left Social Democrat government lost a confidence vote over its proposed economic and pension reforms and was forced to call an early election.

• 23 Jan 2012
  Ireland: Government curbs redundancy terms for banks

  The Irish government’s finance department has confirmed that banks covered by the state guarantee on all bank deposits and liabilities must not pay better redundancy terms than those offered to public sector workers. The public sector limit was set in 2010 for almost 2,000 staff who left the Health Service Executive. It provides for an extra three weeks' pay for each year of service, on top of the statutory two weeks' pay for each year already provided by the state.

• 23 Jan 2012
  Malta: Pre-budget discussion among social partners

  Before Malta’s budget is presented, the social partners declare their priorities and make proposals to the Minister of Finance at a meeting held at the Malta Council for Economic and Social Development. The main issues that emerged from this dialogue in October 2011 were taxation, the Cost of Living Allowance, incentives and initiatives to boost the Maltese economy and the participation of women in the labour market. Some measures announced in the budget addressed these issues.

• 23 Jan 2012
  Austria: First strikes in 25 years mark start of pay round

  Austria’s autumn collective bargaining round got off to a bad start when negotiations stalled in the metalworking industry, which traditionally sets the pattern for the rest of the economy. About 100,000 workers in 200 companies took part in warning strikes. The issue was resolved only after secret meetings between the leaders of both sides, with both now saying they are happy with their agreement to increase average wages by 4.2%, setting the gross minimum wage at €1,583 a month.

• 23 Jan 2012
  France: CFTC fights to maintain its representativeness

  The French Christian Workers’ Confederation (CFTC), whose existence is threatened by new rules on trade union representativeness, held its 51st congress on 15–18 November 2011. The confederation, with 142,000 members, says its mission is ‘to oppose all those who question the presence, action and place of the CFTC in social dialogue’. However, reforms due to be implemented from 2013 onwards could lead to CFTC losing its rights to negotiate and sign collective agreements.

• 20 Jan 2012
  Spain: Regional governments plan to cut education spending

  In 2011, the Spanish government agreed in the Fiscal and Financial Policy Council to set new goals for cutting the public deficit of the autonomous communities from an overall average of 3.9% to 1.3%. In response, several regional governments have drawn up new plans for reductions in their education budgets. In some regions fixed-term teaching positions will not be renewed and working hours will be extended. Unions have called strikes to protest against these measures.

• 20 Jan 2012
  Denmark: Retirement reform will make 25,000 unemployed

  The Danish government is planning to reform the retirement system, leading eventually to a reduction in its scope, narrowing the age range in which employees can take early retirement and raising the general retirement age. The justification for this reform is to increase the size of the Danish workforce to counteract demographic predictions of a shortage of employees in years to come. A recent report, however, suggests that the reform will cause new unemployment.

• 10 Jan 2012
  Italy: Unions slam new law allowing opt-outs on labour rules

  Rules governing workers’ terms and conditions have been relaxed under an act passed by the Italian parliament in September 2011. The act, intended to ensure the stability of public finance and to foster economic growth, includes significant changes for labour relations. It means that local and company-level agreements can opt out of terms agreed by law and in national collective agreements on matters including working hours, contracts and the introduction of new technology.

• 09 Jan 2012
  Slovenia: Unions appeal to state as crisis in construction deepens

  Construction work in Slovenia fell by 30% in 2011 – the biggest fall in this sector in EU, according to Eurostat. Unions are campaigning on behalf of construction workers who have been paid neither wages nor unemployment benefits for months and have no means of survival. Union confederation ZSSS blames their plight on inadequate insolvency legislation, and says poorly regulated management buyouts are making matters worse, leading to more bankruptcies and job losses.

• 09 Jan 2012
  Italy: Intersectoral agreement on representativeness heals rift

  On 28 June 2011 an intersectoral agreement was signed by Italy’s major union confederations Cgil, Cisl and Uil and employers’ federation Confindustria. It introduces new rules on the certification of representativeness for participation in industry-wide bargaining at national level, and on the validity of company deals. It also heals the rift created between the social partners in 2009 when Cgil refused to sign an agreement on the reform of the bargaining structure.

• 09 Jan 2012
  Bulgaria: Trade unions oppose public administration pay reform

  Bulgarian Finance Minister Simeon Diankov presented proposals for public administration reform at the meeting of the National Council for Tripartite Cooperation held in November. The focus is on a new pay system, which replaces the traditional civil service system of automatic salary increases based on length of service with financial rewards for good performance. Employers' associations supported the proposal but trade unions have criticised some reform proposals.

• 09 Jan 2012
  Finland: Social partners sign ‘historic’ tripartite framework agreement

  Finnish social partners reached agreement in October on a framework accord on pay and conditions that will ensure competitiveness and safeguard employment. In late November the partners concluded that support for the framework agreement was broad enough for it to take effect. The accord covers about 94% of the workforce, or around two million employees. Social partnershave characterised the comprehensive national framework settlement as a historic achievement.

• 09 Jan 2012
  EU Level: AXA signs European framework agreement on structural change

  French global insurance group AXA has concluded a European framework agreement on anticipating change in the industry. The group-level framework agreement is to help guide the group’s European companies. This accord has also been used by the group’s subsidiary, AXA Assistance, as the basis of another agreement dealing with major changes in its business model. The agreements, signed on 14 and 30 September respectively, were approved by the social partners on 23 November 2011.

• 09 Jan 2012
  Latvia: Concern over rise in number of service contracts

  Latvian firms are increasingly replacing employment contracts with ones not bound by labour legislation, the State Labour Inspectorate has reported. These more flexible contracts, such as service contracts or author contracts, can have advantages both for company management and for employees, but only labour legislation guarantees safe working conditions, fair wages, employee representation and protection. It also creates the legal basis for social dialogue.

• 09 Jan 2012
  Slovenia: Unions want list of ‘bad’ employers to be made public

  Unions are demanding that a register of ‘bad’ employers in Slovenia be made completely public. Laws require the Slovenian employment service to keep a list of firms which breach employment law by, for example, failing to pay workers’ wages or social security contributions, or who dismiss employees unfairly. A partial register is published, but records of tax evasion, and workers’ complaints are omitted. Officials say they do not want to damage these firms’ credit ratings.

• 09 Jan 2012
  Ireland: Change in public service pensions for new recruits

  The Irish Government has published legislation introducing changes to public service pensions for new entrants. It hopes to save 35% on state annual expenditure on pension schemes by 2050. Key changes mean the calculation of pensions based on ‘final salary’ will end and ‘career averaging’ will be introduced. Post-retirement pension increases will be linked to the consumer price index and the minimum public service pension age will rise to 68, with a maximum retirement age of 70.

• 09 Jan 2012
  France: Social partners review intense phase of social dialogue

  During a meeting on 10 November 2011, France’s social partners reviewed their activities in the first half of the year, including the signing of eight national intersectoral agreements, and announced their programme until March 2012, just before the presidential election. Faced with flat economic growth, the social partners decided to begin monthly monitoring to deal with the urgent socio-economic situation, but trade unions said more serious negotiations were needed.

• 09 Jan 2012
  Slovakia: Doctors end strike alert in protracted hospital crisis

  More than 2,400 physicians handed in their notice in Slovakian hospitals in September, in protest at the planned transformation of hospitals into joint-stock companies. However, following a vote of no confidence against the government in mid-October, the Slovak President Ivan Gašparovič decided to halt the hospital reform. The physicians continued their protest into November and December, only calling it off when the president signed an amendment to the law on health-care providers fulfilling the basic demands of the doctors.

• 09 Jan 2012
  Poland: Protests mount over Polish ‘junk’ job contracts

  Objections are growing in Poland to the use of temporary and civil contracts. Poland has the highest proportion of these ‘junk contracts’ in the European Union. An open letter has been sent to the Prime Minister, whose Civic Platform party promoted these contracts in its election programme. National celebrities are set to join a campaign organised by the union Solidarity. However, many employers believe that such flexible contracts are justified in the economic crisis.

• 04 Jan 2012
  Slovakia: Government agrees minimum wage rise for 2012

  The Slovakian government has stepped in after employers refused to consider union demands to raise the minimum wage. The wage, currently at €317 a month, is one of the lowest in the EU. Unions want the rate increased to €330 for 2012 but employers have resisted any change because rates for more highly skilled workers are tied into the rate. This has led the Ministry of Labour, Social Affairs and Family to propose a new rate of €327 per month, although no final decision has been made.

• 04 Jan 2012
  EU Level: ETUC marks 50 years of the European Social Charter

  A list of improvements to the lives and working conditions of people in Europe was published in October 2011 to mark the 50th anniversary of the European Social Charter (ESC). The European Trade Union Confederation adopted a resolution describing how the ESC has protected fundamental workers' rights since its adoption on 18 October 1961 by the Council of Europe, and calling on Member States to abide by the charter’s standards, especially in the current economic crisis.

• 04 Jan 2012
  Greece: Employers join mass turnout at national strike

  Hundreds of thousands of protesters, including employers, took part in a national 48-hour strike organised by the Greek General Confederation of Labour (GSEE) and the Confederation of Civil Servants (ADEDY) on 19 and 20 October. The strikers, from both public and private sectors, were protesting against a draft law by the Ministry of Finance. It includes cuts in pay, jobs and pensions, and has been brought in as part of Greek’s financial bail-out deal with the EU, IMF and ECB.

• 04 Jan 2012
  United Kingdom: Leaked government report calls for ‘no-fault’ dismissal

  In October 2011, a report commissioned by the UK government was leaked to a national newspaper, revealing proposals for the abolition of employees’ rights to claim unfair dismissal in certain circumstances. As an alternative, the report proposed introducing a ‘no-fault’ scheme, whereby employers could dismiss employees without giving them a reason and make only basic redundancy and notice payments. The proposals have prompted strong criticism from social partners.