Hall, Mark

On 19 March 2003, the Department of Trade and Industry (DTI) announced that the adult rate of the national minimum wage (NMW) (UK9904196F [1]) will be increased from GBP 4.20 to GBP 4.50 per hour from 1 October 2003, and that the 'development rate' for 18-21 year olds will rise from GBP 3.60 to GBP 3.80, in accordance with recommendations made by the independent Low Pay Commission (LPC). The government has also provisionally accepted the Commission’s recommendation that the two rates should be further increased to GBP 4.85 and GBP 4.10 respectively in October 2004. The LPC has asked for a remit from the government to 'fine-tune' the recommended October 2004 upratings, enabling it to consider whether its recommendations 'remain appropriate in the light of economic circumstances'. [1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined/the-uks-first-national-minimum-wage

Talks aimed at settling the long-running pay dispute in the fire service (UK0210104F [1] and UK0211107F [2]) got underway in February 2003 (UK0302101N [3]), chaired by Professor Frank Burchill, the independent chair of the National Joint Council (NJC) - the negotiating body for fire service terms and conditions. On 6 March, the local authority fire service employers formally tabled an offer for consideration by the Fire Brigades Union (FBU). Following amendments to the document in response to points raised by FBU negotiators, the union’s executive committee met on 18 March and on a majority vote decided to recommend acceptance of the revised offer and to call off a 24-hour strike scheduled for 20 March. [1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/national-fire-service-strikes-loom [2] www.eurofound.europa.eu/ef/observatories/eurwork/articles/the-fire-service-dispute-and-the-reform-of-public-service-pay [3] www.eurofound.europa.eu/ef/observatories/eurwork/articles/talks-resume-in-fire-service-dispute

The Labour government, re-elected in June 2001 for a second five-year term, continued in office throughout 2002. At local council elections held in England in May, the Conservative Party and the Liberal Democrat Party made modest gains at the Labour Party’s expense, but Labour continued to control the largest number of councils.

On 27 February 2003, the Department of Trade and Industry published a consultation document [1] setting out the conclusions of its review of the operation of the Employment Relations Act 1999 [2] (UK9912145F [3]), focusing in particular on the experience to date of the Act’s trade union recognition procedure (UK0201171F [4]). [1] http://www.dti.gov.uk/er/erareview.htm [2] http://www.hmso.gov.uk/acts/acts1999/19990026.htm [3] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined-working-conditions/employment-relations-act-starts-to-take-effect [4] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined/union-recognition-under-new-statutory-procedure-examined

In its latest annual survey of union recognition, published on 12 February 2003, the Trades Union Congress (TUC) reports that unions won 306 new union recognition agreements from employers from November 2001 to October 2002. This compares with 470 new recognition deals in the November 2000-October 2001 period (UK0202101N [1]). [1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/more-employers-recognising-unions-reports-tuc

On 13 February 2003, the Office of the Deputy Prime Minister published the terms of a new code of practice [1] to apply where local authorities transfer employees to a contractor providing local public services. Among other matters, the code provides that new employees of service providers must be offered terms and conditions which are, overall, 'no less favourable' than those of transferred employees (whose previous, local authority terms and conditions must be protected). [1] http://www.odpm.gov.uk/news/0302/0024.htm

Talks to settle the long-running pay dispute in the fire service (UK0210104F [1] and UK0211107F [2]) were due to resume during the week beginning 10 February 2003 at the Advisory, Conciliation and Arbitration Service (Acas) following a complex series of manoeuvres involving the deputy Prime Minister, John Prescott, the Trades Union Congress (TUC), the Fire Brigades Union (FBU) and the local authority employers. [1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/national-fire-service-strikes-loom [2] www.eurofound.europa.eu/ef/observatories/eurwork/articles/the-fire-service-dispute-and-the-reform-of-public-service-pay

On 17 January 2003, the Trades Union Congress (TUC) held a conference at its London headquarters focusing on the UK implementation of the 2002 EU Directive (2002/14/EC) [1] on national information and consultation rules (EU0204207F [2]). In a speech [3] to the conference, Alan Johnson, the minister of state at the Department of Trade and Industry (DTI) responsible for employment relations, outlined the government’s 'likely approach' to framing the necessary measures for transposing the Directive into UK law. [1] http://europa.eu.int/smartapi/cgi/sga_doc?smartapi!celexapi!prod!CELEXnumdoc&lg=EN&numdoc=32002L0014&model=guichett [2] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined/final-approval-given-to-consultation-directive [3] http://www.dti.gov.uk/ministers/speeches/AJohnson170103.html

In January 2003, Organization Resources Counselors Inc (ORC), the US-based international management consultancy, published the findings of a survey it conducted between April and July 2002 of 24 major multinational companies’ experience of European Works Councils (EWCs). This feature reviews its key findings.

The UK government’s consultation on implementing the 2002 EU Directive (2002/14/EC) [1] on informing and consulting employees (EU0204207F [2]) began with the publication in July 2002 of a Department of Trade and Industry (DTI) discussion paper, High performance workplaces: the role of employee involvement in a modern economy [3] (UK0208101N [4]). The closing date for responses to the discussion paper was 11 December 2002. The main points of the submissions made by the UK’s main employer and trade union bodies - the Confederation of British Industry (CBI) and the Trades Union Congress (TUC) - and other leading organisations are outlined below. [1] http://europa.eu.int/smartapi/cgi/sga_doc?smartapi!celexapi!prod!CELEXnumdoc&lg=EN&numdoc=32002L0014&model=guichett [2] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined/final-approval-given-to-consultation-directive [3] http://www.dti.gov.uk/er/consultation/informconsult.pdf [4] www.eurofound.europa.eu/ef/observatories/eurwork/articles/government-issues-discussion-paper-on-employee-involvement