Publications

This feature is drawn from a report to the Labour Relations Commission,
entitled /Competitive strategies and employee relations in the Irish retail
sector/ and written by Majella Fahy of the Graduate School of Business,
University College Dublin.

The Green Paper focuses on three questions:

A two-year collective agreement was approved by the 225,000 employees in the
government sector (DK9702103N [1]) and the 662,000 employees in the county
and municipal bargaining area, offering a 4.25% pay increase, wage adjustment
schemes, and improved pension and maternity leave provisions. However the
1997 collective bargaining rounds represented more than adjustments of pay,
pensions and maternity leave; it was, as the Minister of Finance, Mogens
Lykketoft said, "a peaceful wage revolution", introducing a more flexible and
decentralised salary-scale system.

[1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/two-year-collective-agreement-for-government-employees

In November 1996, the brewing group Interbrew, the still-expanding leader in
the market, announced the ending of bottling activities at its Belle Vue
Brewery in Molenbeek, an industrial district of Brussels. It meant the loss
of 103 jobs out of 167 in the company's bottling section. Since then,
management had been negotiating a company plan with the unions to avoid
redundancies, and an original solution was eventually found and approved in a
company referendum on 18 April 1997. This solution is based on the terms of a
legislative measure that had been ratified on 13 March 1997, called the
Vandelanotte order after the Flemish Socialist minister: it allows companies
facing difficulties or restructuring to preserve jobs through a reduction of
working time linked to the reduction of social security contributions over
two years.

Total Quality Management (TQM) has been a leading development of the 1990s in
Britain. Surveys find that almost three-quarters of organisations claim to
have formal quality programmes, which are believed to work by increasing
employees' interest in their jobs and their understanding of how their work
contributes to organisational goals. Many of these programmes have been
introduced in the past five years. Definitions of TQM vary but its core
comprises: a focus on the customer; the improvement and inter-linking of
business processes; and continuous improvement ("Making quality critical", A
Wilkinson and H Willmott, eds, London, Routledge, 1995.).

On 28 April 1997, the German Public Services, Transport and Traffic Union
(Gewerkschaft Öffentliche Dienste, Transport und Verkehr, ÖTV) and the
German White-Collar Workers' Union (Deutsche Angestellten-Gewerkschaft, DAG)
announced the foundation of a new joint subsidiary union for the employees of
international and European organisations which are located in Germany.
Through the newly established "International Public Servants Organisation"
(IPSO), both unions want to create an effective interest representation for
the employees working in organisations like the European Monetary Institute
in Frankfurt or the European Patent Office in Munich. The foundation of IPSO
should also avoid competition between ÖTV and DAG in the recruitment of
members in international and European organisations, and should lead to a
closer cooperation between the unions. The latter is particularly important
because of the fact that the DAG is the only significant German trade union
which is not a member of the German Federation of Trade Unions (Deutscher
Gewerkschaftsbund, DGB).

In Greece, temporary work, especially in the form of fixed-term contracts,
constitutes a policy widespread amongst enterprises in both private and
public sectors. Although the phenomenon of temporary work has decreased
considerably in comparison with the early 1990s, when its incidence was twice
that of the EU average (18% and 9% respectively), it is still quite high
(10.5% and 11% respectively). A factor contributing to this decrease was the
decision of the Government in the course of 1990 to dismiss 50,000 temporary
public employees as part of its attempt to rationalise the functioning of the
public sector.

On 7 May, the Dutch Government withdrew a bill that would have allowed
employers exemptions from paying the statutory national minimum wage [1]
(NL9702103F [2]). Discussions in Parliament had arrived at a political
impasse.

[1] www.eurofound.europa.eu/ef/efemiredictionary/minimum-wage-4
[2] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined/proposal-to-exempt-long-term-unemployed-people-from-legal-minimum-wage

One of Ireland's smallest banks, the Ulster Bank, is seeking to replace its
incremental-based pay system with a new performance-related reward scheme for
most of its 1,000 staff in the Republic of Ireland. The bank's proposals have
been resisted by members of the banking union, the Irish Bank Officials
Association (IBOA). They have, however, been accepted by its staff in
Northern Ireland who are part of the British industrial relations system.

The recession affecting Portuguese companies from 1991 to 1994 showed that
the difficulties faced by the country stemmed not just from economic
circumstances. Rather, the roots were far more complex and called for
structural changes to competitive factors involving the very fabric of
business and a general remodelling of managerial capacity, vocational
qualifications and financial structure.