Signed collective labour agreement at the national health insurance fund in bulgaria

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The National Trade Union established at National Health Insurance Fund last year signed Collective Agreement providing for better protection of labour and social rights of employes

After the democratic changes in the country and within the framework of the health reform preparation in 1998, the Parliament adopted a Health Insurance Act. The National Health Insurance Fund (NHIF) functions since 15 March 1999 as an independent community and public institution with managing bodies, established on the basis of the tripartite principle. It is a legal entity with a Head Office in Sofia and regional structures (Regional Health Insurance Fund, RHIF) in all the 28 districts of the country. It oversees and administrates the mandatory health insurance in Bulgaria, specifically in its part related to the management of collected funds and payment of used health services and medications within a certain scope and volumes, in favour of the health insured.

In March 2004, a National Trade Union of the Health Fund (NTUHF) was established as part of the Federation of Trade Unions in Healthcare (FTUH) of Confederation of Independent Trade Unions in Bulgaria (CITUB), which took on as its main task the collective negotiations (jointly with the organisation of Confederation of Labour Podkrepa (CL Podkrepa). A Collective Agreement was signed in April.

The dual nature of NHIF, which on the one hand implements the state principles and policy, while on the other hand is an independent public institution, reflects on the process of negotiations and the nature of the Collective Agreement reached.

The significance of the Collective Agreement signed in 2004 and renewed in 2005, which regulates the labour, social and insurance interests of NHIF employees is without doubt. On these grounds the Regional HIFs also signed Collective Agreements - a practice, which is constantly gaining speed and developing. While the initial Collective Agreement covered a period of 1 year, in 2005 the parties chose to agree on the maximum 2-year effective term permitted by the law.

Collective Agreement of NHIF is based on the principles of propriety and goodwill, mutual information and transparency of intentions. It takes into account the balance of interests and equality between the parties, complies with the budget framework and regulates the responsibilities of the parties. The protection of basic labour and insurance activities is achieved. The Collective Agreement provides for:

• employment, professional development and training;

• working hours, days-off and annual leaves;

• wages and compensations;

• pension insurance;

• social utilities and cultural benefits;

• occupational health and safety;

• conditions for trade union activities;

• relations and obligations of the parties.

It should be noted that some of the achieved provisions exceed the values determined by the legislation or those determined by the healthcare sectoral Collective Agreement. That is why Collective Agreement can be considered as a testimonial for maturity of the established industrial relations and achieved partnership and trust between the employer and the worker and employee representatives in the NHIF.

The expert research of the negotiations process helps specify several cornerstones of the achieved provisions, which have an exceptionally positive social impact:

• An indicator of efficiency are the clauses related to the employment policy - the parties to Collective Agreement established the order, procedure and criteria for redundancy, including information and written justification presented by the employer to the trade unions in advance; trade unions presenting their respective written opinion; negotiations; in order to retain the specialists within the system - proposing flexible employment forms and conditions, which have been agreed in advance with the trade unions; determining the competitive positions with the participation of the trade unions, etc.; indicators for personnel recruitment; extended deadline for the advance notice for employment contract termination. The parties agree to support the employees and workers in their career development and upgrading.

• The achieved provisions regarding payment issues and first of all the agreed higher amounts of additional payments /e.g. for length of service - 1.2% compare to 0.6% in the Labour Code measures, etc./, compensations /at retiring, etc./, additional and targeted stimuli, minimum wage, performance measurement systems, etc., encourage the workforce development.

• The trade union expectations have been raised by the section regarding the working hours - the established length of working hours is lower than the statutory 40 hours working week - 38 hours and 45 minutes for five-day working week and respectively working day of seven hours and 45 minutes. The physiological breaks that are part of the working hours have been established, as well as rest for people working in specific and harmful working environment. Some flexible working hours have been permitted, as well as longer annual paid leave and some additional paid leaves, etc.

• The provisions regarding occupational health and safety are notable and include risk assessment, working outfits, PPEs, preventive medical check-ups, training, accident insurance and group life insurance, etc.

• The workers participation is realised by trade union participation in the work on drafts of internal rules and regulations, concepts and criteria and other documents, which are related to employment relations; trade union control and assistance with regard to compliance with labour and social legislation; initiating some activities /e.g. training/, etc.

• Good facilities and equipment have been provided for the trade union activities, as well as order and procedures for joining the Collective Agreement after payment of a certain association fee.

• The agreement by the parties, in a separate section of the Collective Agreement, of mutual responsibilities and co-ordinated measures, aiming at improvement of the organisation and efficiency of work at the NHIF and RHIF, is perceived as an indicator for the adoption of the European values and standards.

Thus NHIF Collective Agreement means not only benefits and protection of employees’ legal labour and social rights, but is also interesting in the light of the implementation of the Lisbon Strategy for active participation of the social partners - trade unions and employers - in the government of community and public institutions.

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