Collective Agreements In The Nordic Countries

Since 1997, a num­ber of trade unions and employ­ers‘ organ­i­sa­tions have signed coop­er­a­tion and nego­ti­a­tion agree­ments under the Indus­tri­al Coop­er­a­tion Agree­ment (Indus­trins samar­bet­sav­tal och förhan­dlingsav­tal). This includes agree­ing on nego­ti­a­tion timeta­bles, rules for the appoint­ment of medi­a­tors and pro­vi­sions to end nego­ti­a­tions. One of the objec­tives of these pro­ce­dures is for both par­ties to reach […]

Since 1997, a num­ber of trade unions and employ­ers‘ organ­i­sa­tions have signed coop­er­a­tion and nego­ti­a­tion agree­ments under the Indus­tri­al Coop­er­a­tion Agree­ment (Indus­trins samar­bet­sav­tal och förhan­dlingsav­tal). This includes agree­ing on nego­ti­a­tion timeta­bles, rules for the appoint­ment of medi­a­tors and pro­vi­sions to end nego­ti­a­tions. One of the objec­tives of these pro­ce­dures is for both par­ties to reach an agree­ment before the expiry of the old agree­ment. In the 2012 round of nego­ti­a­tions, 64% of pri­vate sec­tor employ­ees and 73% of pub­lic sec­tor employ­ees were cov­ered by agree­ments reached before the end of the old one or with­in three weeks.3 The key lev­el of col­lec­tive bar­gain­ing in Swe­den is that of the sec­tor, although more than 90% of employ­ees set part of their salary through nego­ti­a­tions at local lev­el. and 8% set their full remu­ner­a­tion on the spot. The over­all cov­er­age rate of col­lec­tive agree­ments is high — esti­mat­ed at 90%. In addi­tion to wages and work­ing time, most ele­ments of work­ing life can be cov­ered by col­lec­tive bar­gain­ing. Some, such as the recon­sti­tu­tion of sick­ness ben­e­fits, acci­dent com­pen­sa­tion or the lev­el of pen­sion that goes beyond pub­lic care, both in the case of dis­abil­i­ty and old age, are dealt with by nego­ti­a­tions at sec­tor lev­el. How­ev­er, nego­ti­a­tions at local lev­el may cov­er a num­ber of issues such as train­ing or the intro­duc­tion of new tech­nolo­gies (see sec­tion on rep­re­sen­ta­tion in the work­place). Yes.

As a gen­er­al rule, a col­lec­tive agree­ment applies only to the con­tract­ing par­ties. How­ev­er, some col­lec­tive agree­ments gen­er­al­ly applied to all work­ers in a giv­en sec­tor. Col­lec­tive agree­ments of gen­er­al appli­ca­tion con­tain pro­vi­sions such as the min­i­mum wage and lim­i­ta­tions on work­ing time. The extent to which sec­toral agree­ments set wages at the local lev­el varies wide­ly. At one end of the spec­trum, there are those for whom the nation­al agree­ment does not set a wage increase, but leaves them entire­ly to local nego­ti­a­tions with­out an amount deter­mined at the nation­al lev­el. On the oth­er hand, there are those for whom the nation­al agree­ment sets a com­mon increase for all work­ers. Over­all, in its report on the 2012 nego­ti­a­tions, the Nation­al Medi­a­tion Office esti­mat­ed that 11% of employ­ees were affect­ed by agree­ments that leave wage set­ting to entire­ly local nego­ti­a­tions and 11% by agree­ments that set a nation­al increase with­out local differences2. 2 There are three ways of bind­ing an employ­er in Fin­land: the cur­rent sit­u­a­tion is as fol­lows: that wage nego­ti­a­tions at nation­al lev­el have been prac­ti­cal­ly per­cep­ti­ble in the pri­vate sec­tor and that the Swedish Busi­ness Asso­ci­a­tion plays no role in wage negotiations.

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