Gilman, Mark
Government relaxes compulsory competitive tendering rules
27 June 1997
Compulsory competitive tendering (CCT) was one of the key privatisation
measures introduced into the public sector by the Conservative governments of
1979-97, coming into effect 17 years ago for "blue-collar" services and four
years ago for "white-collar" services. The argument behind it was that
greater competition would induce greater efficiency and hence savings in
public expenditure. The Labour Government, however, believes that compulsion
in itself is not the best method and should instead be replaced by a promise
to provide "best value" for money.
British Airways faces summer strikes
27 June 1997
On 3 June 1997 the Transport and General Workers' Union (TGWU) representing
9,000 British Airways ground staff and BASSA, the cabin crew union (linked to
the TGWU) representing a further 9,000 employees, began balloting members
over whether to take industrial action. On 9 June, they were joined by 4,500
members of the GMB general union. If the ballots support strike action, it is
likely to take place in mid-July.
Social partners react to European agreement on part-time work
27 June 1997
The European framework agreement on part-time work was formally signed on 6
June 1997 (EU9706131F [1]) by the European Trade Union Confederation (ETUC),
the Union of Industrial and Employers' Confederations of Europe (UNICE) and
the European Centre of Enterprises with Public Participation and of
Enterprises of General Economic Interest (CEEP). The stated purpose of the
agreement is to remove discrimination against part time workers, improve the
quality of part-time jobs and facilitate part-time work on a voluntary basis.
The European Commission will propose a Directive implementing the agreement
to the Council of Ministers later this year.
[1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined/social-partners-reach-framework-agreement-on-part-time-work
Government and unions differ on EU information and consultation proposals
27 June 1997
On 4 June, Padraig Flynn, the European Commissioner responsible for social
affairs, employment and industrial relations, launched a consultation
document on "information and consultation of workers within the national
framework" (EU9706132F [1]). The document constitutes the first stage of
consultation of the European-level social partners under the Maastricht
social policy Agreement procedure, and could thus lead to a European-level
agreement and/or Community legislation. If the Commission's proposals bear
fruit, there would be minimum standards across Europe to ensure that workers
enjoy rights to be informed and consulted. These rights would apply to all
workers in enterprises above a certain size (50 employees has been suggested
as a possible threshold). The new measure would reinforce existing
requirements on national information and consultation over transfers of
undertakings, collective redundancies and health and safety issues.
[1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/working-conditions-undefined/european-social-partners-discuss-the-social-impact-of-restructuring
Pensions deal leads the way for part timers
27 May 1997
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.
Are trade union mergers the way forward?
27 May 1997
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.
Social partnership takes centre stage
27 May 1997
May 1997 saw Unilever defending its pro-European stance to shareholders,
while the Confederation of British Industry (CBI) was also signalling its
willingness to work with the trade unions prior to the adoption of European
Union legislation.
Social partners seem to welcome Queen's speech
27 May 1997
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
Last wages council sets minimum wage of over GBP 4.00 per hour
27 April 1997
A new pay award announced in April by the Agricultural Wages Board (AWB) for
England and Wales after two days of talks, gives farm workers a minimum wage
of GBP 4.12 per hour. The AWB is the only wages council - setting statutory
minimum pay rates for a particular sector - left in the UK after the rest
were abolished in 1993 (UK9703112F [1]). When the Conservative Government was
originally looking at abolishing the wages councils in 1986, the proposal was
delayed because employers were not in favour of them being abolished, as they
at least set some minimum floor of standards with which employers could work.
The case for this was made most strongly by agricultural employers, and this
was why the AWB was left in place after 1993.
[1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined/a-national-minimum-wage-who-what-and-why
UK now one of the least strike-prone countries in the OECD
27 April 1997
An international comparison of labour disputes from 1986 to 1995 by /Labour
Market Trends/ (April 1997) highlights that the UK had the fourth-lowest
strike rate of the 22 member countries of the Organisation for Economic
Cooperation and Development (OECD) in 1995. Only Austria, Switzerland and
Germany had a lower level of strikes than the UK. The UK strike rate has been
below the OECD average since 1986 and below the EU average since 1990.
Between 1991 and 1995 the average rate in the UK was 24 working days lost per
1,000 workers - an 82% fall over the previous five-year period. But the UK's
rise in the international "league table" of two places since 1994 took place
despite an increase in the strike rate itself.