Publications

April 1997 saw the conclusion of the first collective agreement covering
Portuguese social welfare institutions, where conditions of employment were
previously governed by state regulations.

On 29 April 1997, the management and works council at Mohn GmbH, a subsidiary
of one of Germany's biggest media corporations, Bertelsmann, signed a works
agreement [1]- known as the "Pact for partnership 1997" - for the 1,700 or so
employees at the Mohn printing works in Gütersloh.

[1] www.eurofound.europa.eu/ef/efemiredictionary/works-agreement-0

In a previous EIRO review of the industrial relations consequences of the new
Labour Government (UK9704125F [1]) it was suggested that it was unlikely that
the Government would produce an all-embracing employment bill in its first
term of office, and this has proved correct. However, the social partners
were still relatively pleased with announcements made on measures to tackle
unemployment and low pay.

[1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined-labour-market/the-industrial-relations-consequences-of-the-new-labour-government

The recent Commission Communication on /Modernising and improving social
protection in the European Union/ (COM (97)102 of 12 March 1997- EU9703113N
[1]) is merely the latest step in a long process of debate revolving around
the question of how systems of social protection can best be adapted to
today's changing economic, social and demographic situation. It is a debate
which has in the past clearly been influenced by the limited nature of
Community legal competence in this area. This is restricted to the
coordination of national social security schemes in cases where citizens
exercise their rights to free movement within the Union. Member states have
long resisted any attempts at a harmonisation of social protection systems,
which have developed very differently as a result of every country's
socio-economic, political and cultural heritage.

[1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/commission-issues-communication-on-the-modernisation-of-social-protection-systems

A recent study published by the Organisation for Economic Cooperation and
Development (OECD) on the Belgian labour market and social climate has
recommended drastic changes to the country's institutional and socio-economic
structure. The most notable recommendations include a plea for greater
flexibility, less government intervention in industrial relations, lower
unemployment benefits, abolition of the indexation of pay to consumer prices
and easier procedures for recruitment and especially dismissal. In summary,
it may be said that the OECD largely advises Belgium to adopt the "American
model". This study was to a certain extent reinforced by a report from
European Commissioner Yves-Thibault de Silguy who also pleads for higher wage
differentials, lower employment costs and greater flexibility. Both studies
also stress the importance of low labour costs and high returns on
investment.

A recent collective agreement signed at Telecom Italia Mobile (TIM) provides
for the development of social dialogue and workers' participation, through
information and discussion on industrial policies and joint decision-making
on vocational training.

The Finnish Confederation of Salaried Employees (STTK) has recently begun
discussions about the next incomes policy agreement by proposing a reduction
in working time.

On 30 April 1997 the Ring of Free Labour (Ring Freiheitlicher Arbeitnehmer,
RFA), a group affiliated with the Austrian Freedom Party (Freiheitliche
Partei Österreichs, FPÖ), held its federal congress. One of the points of
debate was whether to develop into a trade union outside the Austrian Trade
Union Federation (Österreichische Gewerkschaftsbund, ÖGB). Since 1945 there
have been no trade unions outside the ÖGB. The debate was triggered by the
RFA's failure to achieve caucus status in the ÖGB. The minimum requirement
of at least four affiliated works council members in each of at least three
trade unions has not been met.

At the beginning of May 1997, the State Prosecutor's consultative committee
issued a report questioning the legality of the provision of a state
guarantee for a bank loan made to the General Workers' Union (União Geral
dos Trabalhadores, UGT). A final decision on whether to take legal action to
ascertain the legality of the action is now expected from the State
Prosecutor.

Part-time workers have traditionally not been allowed into the same
occupational pension schemes as full-time workers, but because there are far
more women than men among part-timers the practice was challenged on the
grounds of sex discrimination through the European Court of Justice (ECJ). In
1994, the ECJ ruled in a set of linked cases that the practice did amount to
sex discrimination. The judgment was not welcomed by the then Conservative
Government, so the Trades Union Congress (TUC) advised qualifying individuals
that they should register their cases with industrial tribunals. After a
number of test cases in the UK tribunals, it was ruled that part-timers who
had been denied access to occupational pension schemes could not claim
backdated pension rights any further back that two years prior to the ECJ's
ruling - that is, 1992. After appeals were turned down, the cases are still
waiting to be heard by the House of Lords.