Publications

In elections held in April 1997, a joint list of socialist and communist
trade unionists narrowly won control of Portugal's South and Islands Banking
Union (Sindicato dos Bancários do Sul e Ilhas, SBSI), which will continue to
be affiliated to the General Workers' Union (União Geral de Trabalhadores,
UGT).

"Negotiate a reduction of working time - or else public opinion will force
through legislation". That was the message in an article written jointly by
Prime MinisterGöran Persson and the chair of the Swedish Metal Workers'
Union, Göran Johnsson, and published in the evening paper /Aftonbladet/ on
28 April 1997. Considering that one of the authors is the Prime Minister of
Sweden, it could be seen as a veiled threat to the employers. In the 1997
bargaining round, several trade unions called for a cut in working hours, and
the employers consistently rejected them.

The hard core of the strike threat are 10,000 civil servants in internal
revenue collection and in the customs service. They have two complaints:

The first of the two recently-announced mergers, which is to take effect from
1 July 1997, is between the National and Provincial Building Society Staff
Association (NAPSA) and the Banking, Insurance and Finance Union (BIFU). The
National and Provincial Building Society was recently taken over by the Abbey
National, but NAPSA members voted to become part of BIFU rather than the
Abbey National's own staff association. Despite the strong support for BIFU
from NAPSA members, the company has refused to recognise the union. BIFU said
that "in the merger and conversion mania which is sweeping this country there
is little regard for the impact on staff. They are the casualties - that's
why it is important for unions to work together". BIFU, which has 115,000
members, hope that this will be the first of many mergers which will ensure
it a stronger role in the financial sector.

One of the most significant transformations of British industrial relations
in recent years has been the shift from national to enterprise-level
bargaining. Multi-employer bargaining arrangements have tended to be replaced
with multi-establishment, single employer bargaining, although there are also
signs of decentralisation within the individual firm. Similarly, within the
public sector (UK9702104F [1]), efforts have been made to fragment
traditional bargaining arrangements through the introduction of "Agency"
status and market-testing to the civil service and local authorities, and by
further institutional decentralisation through the promotion of National
Health Service (NHS) Trusts and local management of schools. These changes
have occurred alongside a dramatic decline in coverage of collective
bargaining, largely due to the decline of manufacturing employment and the
expansion of the service sector.

[1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined/public-sector-pay-policies

The first annual review of the social dialogue process at the European Union
level was adopted by the Commission on 6 May 1997. The review characterises
1996 as "a particularly fruitful and productive year" for the social dialogue
at European level. Despite this overall positive assessment, the review
highlights the fact that, despite endeavours towards the establishment of a
dialogue between the social partners, and in some cases, negotiation, this
represents only the background of a European-scale industrial relations
systems which is yet to take shape.

On 7 May 1997, a preliminary agreement (which requires ratification) was
signed for the renewal of the Italian national railworkers' contract. The new
contract, which comes into effect from January 1997 and will expire on 31
December 1999, deals with company recovery plans and pay.

The publication of an assessment commissioned by the National Assembly's
Finance Commission, and the campaign for the May/June 1997 general election,
have reopened the debate in France on the content and efficiency of the
Robien law, which seeks to encourage working time reductions and
reorganisation to create or save jobs. Politicians, economists, employers and
unions remain divided whilst the number of collective agreements at company
level based on the law is increasing.

Non-wage labour costs are those categories of the enterprise's total labour
costs comprising other than direct compensation. Today, non-wage labour costs
account for a very substantial and rising proportion of total labour costs.
Since increasing labour costs tend to encourage substitution away from labour
to more capital-intensive methods of production, rising non-wage labour costs
are an impediment to job creation. Furthermore, some non-wage labour costs -
such as social security contributions - drive a wedge between the labour
costs that companies pay and the money that workers receive, thus making
collective bargaining more difficult. Via unit labour costs - nominal labour
costs divided by real value added - non-wage labour costs are likely to have
some effect on companies' location decisions.

A frequently repeated statement in discussion on industrial relations is that
temporary employment will be much more common in the future. This assumption
is refuted in a recent report from the National Labour Market Board
(Arbetsmarknadsstyrelsen,AMS).