Article

Thematic feature - unskilled workers

Published: 12 May 2005

This article gives a brief overview of the industrial relations aspects of the topic of unskilled workers and unskilled work in Greece, as of February 2005. It looks at: national definitions of unskilled workers or work; the number of unskilled workers and workers in unskilled jobs, and the extent of unskilled work; employment and unemployment among unskilled workers; the regulatory framework; trade union organisation among unskilled workers; pay and conditions; recent initiatives to improve the situation of unskilled workers; and the views of trade unions and employers' organisations on the issue and its implications for collective bargaining.

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This article gives a brief overview of the industrial relations aspects of the topic of unskilled workers and unskilled work in Greece, as of February 2005. It looks at: national definitions of unskilled workers or work; the number of unskilled workers and workers in unskilled jobs, and the extent of unskilled work; employment and unemployment among unskilled workers; the regulatory framework; trade union organisation among unskilled workers; pay and conditions; recent initiatives to improve the situation of unskilled workers; and the views of trade unions and employers' organisations on the issue and its implications for collective bargaining.

In recent years, labour market developments have altered the demand for labour. Increasingly, employers are looking for adaptable workers, with more 'transversal' and 'relational' competences. The nature of skills required to be considered efficient in a job has thus evolved. In this situation, there is a growing risk of exclusion among unemployed workers whose profiles do not match the job characteristics needed, while the low-skilled or unskilled workforce is more at risk of unemployment.

In this context, in February 2005 the EIRO national centres were asked, in response to a questionnaire, to give a brief overview of the industrial relations aspects of the topic of unskilled workers. The following distinctions are used, where applicable:

(a) an unskilled job is a job which requires, for its proper execution, hardly any formal education and/or training and/or experience;

(b) a worker in an unskilled job is a worker doing such a job, irrespective of their level of qualifications or competences (especially under conditions of high unemployment, a significant share of those occupying unskilled jobs may be 'overeducated' for them, or 'underemployed'); and

(c) an unskilled worker is someone who has only the lowest level of qualifications or education (however defined).

The questionnaire examined: national definitions of unskilled workers or work, including those used or provided in laws, statistics or collective agreements; figures or estimates on the number of unskilled workers and workers in unskilled jobs, and the extent of unskilled work; employment and unemployment among unskilled workers; the regulatory framework, including any specific laws or collective agreements, and trade union organisation among unskilled workers; the pay and conditions of unskilled workers and workers in unskilled jobs, or for unskilled jobs; any recent initiatives to improve the situation of unskilled workers; and the views of trade unions and employers' organisations on the issue and its implications for collective bargaining. The Greek responses are set out below (along with the questions asked).

Definitions and extent

(a) Please provide a definition of unskilled workers or work (see distinctions above) in your country. Are there any definitions provided in laws, statistics or collective agreements?

There is no precise definition of unskilled labour in Greece. In one sense, an 'unskilled worker' is defined as a worker who has no vocational or educational qualifications, in other words a worker who has no higher formal qualifications such as diplomas or degrees, and no technical specialisation (knowledge of a craft, experience in some type of occupation) or prior service. In another sense, unskilled labour is labour that does not come under any of the branches of insurance regulated by the Social Insurance Foundation (IKA). There have been some attempts by the competent authorities such as the Labour Inspectorate and the Labour Force Employment Organisation (OAED) to define and monitor unskilled labour.

(b) Are there any figures or estimates available on the number of unskilled workers and workers in unskilled jobs, and the extent of unskilled work. How have these figures changed in recent years - have changing skill needs or improvements in education/training systems led to a reduction in the numbers of unskilled jobs, unskilled workers and workers in unskilled jobs? Please break all figures down by gender where possible.

Although defining what constitutes unskilled labour is a particularly complex process, the relevant data derived by the National Statistical Service of Greece (ESYE) from the Labour Force Survey on the distribution of employment by occupational category indicate that the number of unskilled workers is particularly low and does not represent a significant part of overall employment. As can be seen in table 1 below, the number of unskilled workers, manual labourers and small business owners was at its highest level in the third quarter of 2003, when it reached 294,500 out of a total of 4,300,000 employed earners (around 6.8%). By and large, despite wide fluctuations, in the 1998-2004 period the number of unskilled workers increased by 50,000, a fact in part related to the increase in employment in the construction industry, attributable largely to the completion of the works for the 2004 Olympic Games.

Table 1. Number of unskilled workers (including manual labourers and small business owners), 1998-2004
. Total employed earners Unskilled workers Net annual change
1998 1st quarter 3,962,540 226,403 .
1998 2nd quarter 4,023,677 235,391 .
1998 3rd quarter 4,058,478 252,410 .
1998 4th quarter 4,026,779 246,632 20,229
1999 1st quarter 4,040,706 245,495 .
1999 2nd quarter 4,040,371 229,530 .
1999 3rd quarter 4,041,557 227,997 .
1999 4th quarter 4,002,818 215,307 -30,188
2000 1st quarter 4,025,679 219,437 .
2000 2nd quarter 4,097,877 233,910 .
2000 3rd quarter 4,125,800 242,839 .
2000 4th quarter 4,104,524 236,373 16,936
2001 1st quarter 4,076,227 236,502 .
2001 2nd quarter 4,103,212 256,749 .
2001 3rd quarter 4,114,002 258,209 .
2001 4th quarter 4,051,842 249,510 13,008
2002 1st quarter 4,076,456 246,397 .
2002 2nd quarter 4,190,175 275,510 .
2002 3rd quarter 4,223,646 284,316 .
2002 4th quarter 4,212,824 280,065 33,668
2003 1st quarter 4,224,459 273,493 .
2003 2nd quarter 4,286,561 292,274 .
2003 3rd quarter 4,309,051 294,462 .
2003 4th quarter 4,277,876 275,903 2,410
2004 1st quarter 4,249,067 269,983 .
2004 2nd quarter 4,329,741 276,634 6,651
Net change 1998-2004 367,201 50,231 .

Source: ESYE.

(c) Please provide figures on employment and unemployment rates for unskilled workers, compared with higher-skilled groups. Have unskilled workers/workers in unskilled jobs been particularly affected by industrial and company restructuring? Have new jobs created in recent years been filled by unskilled workers? Please break all figures down by gender where possible.

As concerns the susceptibility of unskilled workers to unemployment, table 2 below reveals that this group may be more prone to unemployment than holders of undergraduate and postgraduate degrees, but on the other hand they have lower levels of unemployment than graduates of technological educational institutes and secondary schools.

Table 2. Employment and unemployment by level of education, 2nd quarter 2004
Highest educational level Employed earners Unemployed Unemployment rate (%)
Total 4,329,743 493,017 11.4
PhD or postgraduate degree 64,329 4,248 6.6
Undergraduate degree 720,069 57,351 8.0
Some higher education (at least 1 year) but did not graduate 911 0,0 0.0
Completed secondary technical vocational education 658,399 92,942 14.1
Completed secondary education 1,355,291 182,374 13.5
Completed three years of secondary education 483,904 59,854 12.4
Completed elementary school 988,555 91,492 9.3
Some elementary school 34,305 1,538 4.5
No school at all 23,980 3,218 13.4

Source: ESYE.

Regulations and conditions

(a) Is there a specific regulatory framework in your country concerning unskilled workers and workers in unskilled jobs (however defined)? Are there specific laws or collective agreements? Are there specific trade union organisations for them, or are they represented in 'normal' union structures. Have there been any changes in these area reflecting the changes referred to in question (b) under 'Definitions and extent' above?

(b) Please provide any figures available for the pay of unskilled workers and workers in unskilled jobs, or for unskilled jobs, and the relationship of this pay with the average or with higher-skilled groups. Do collective agreements contain specific pay grades for unskilled workers, or workers in unskilled jobs? Please break all figures down by gender where possible.

Workers’ pay depends not only on the quantity of work but also on the type of work, on the principle that all types of work may not be of the same value. There are two units of measurement that can be used as a basis for calculating pay in relation to the type of work: the worker’s occupational classification ;and the type of job the worker holds.

In the first case, when workers are hired they are classified, according to the type of work they provide, in a certain occupational category (eg in the category of accountant, potter, driver etc) at the respective wage. Thus a worker's pay is set on the basis of how the worker’s occupation is characterised, in accordance with his or her knowledge and qualifications, unless of course a higher wage is agreed upon. It should, however, be noted that the occupational characterisation based on the worker’s knowledge is not the only important matter; also of importance is the occupational characterisation of the job to which the worker is hired.

In accordance with the above, it is seen as particularly important to set minimum wages in order to protect workers who have no special skills (unskilled workers). The National General Collective Agreement, usually signed every two years (GR0409102F), is the institution that protects unskilled labour, both as regards minimum wages and as regards non-pay works rules, since there is no specific legislative framework setting out rules to protect unskilled labour. Unskilled workers’ pay is determined by the National General Collective Agreement, in which the pay increases that are set act as a guide for the other collective agreements (at occupational, sectoral and other level)s. According to some estimates, 10%-12% of paid employment is covered by the minimum wages and salaries set out in the National General Collective Agreement.

Actions and views

(a) Please describe any recent initiatives taken jointly or separately by companies, public authorities (national or local) or the social partners (eg collective agreements) to address the situation and improve the situation of unskilled workers in terms of pay, working conditions, training, employability, unemployment etc.

(b) Please summarise the views of trade unions and employers’ organisations on the issue and its implications for collective bargaining.

The actions taken to address, reduce and protect unskilled labour seem very limited. From the trade union side, the Greek General Confederation of Labour (GSEE) is intervening in vocational education issues in order to reduce the phenomenon of unskilled labour by establishing vocational training centres, via its Institute of Labour (INE/GSEE). It has also established the Account for Employment and Vocational Training (LAEK) - a special joint account, to which enterprises and workers contribute for the purpose of financing training opportunities in an effort to combat unemployment - improved its functionality, applied scientific methods to evaluate its effects and has in general enhanced the LAEK’s role in promoting employment and training and improving the standard of living of unskilled workers.

Comments

Unskilled labour is protected to some degree by the National General Collective Agreement, which establishes minimum wages and salaries. At the same time, however, the particular susceptibility of unskilled labour to unemployment and the need for enhanced actions to boost training should raise the awareness of the trade unions, employers' organisations and government bodies alike, so that all categories of workers are included. (Anda Stamati, INE/GSEE)

Eurofound recommends citing this publication in the following way.

Eurofound (2005), Thematic feature - unskilled workers, article.

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