Collective Bargaining

Transport trade union BTB published its first Black Book on social dumping in 2010, followed by a second publication in 2012. These Black Books are quoted by the inspection services as a source of inspiration. After years of impartial investigations and on-site visits, BTB presents the third edition of the Black Book. The book documents how many transport businesses have set up letterbox companies, mainly in Slovakia, obliging Eastern European drivers to work for months on end in Belgium and to live in appalling conditions.

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The Education and Science Employees Trade Union (OZPŠaV’s) has announced that it will not sign a memorandum on social reconciliation with the government, which was supposed to guarantee teachers’ salary increases of in total 26.25 percent by 2020 on condition that the educators would forget their right to organise strikes until 2020. In response to the trade union’s move, the coalition leaders announced that the cabinet will increase salaries only by the first promised 6% as of September 2017, while further increases by the same percentage planned for September 2018 and 2019 are not guaranteed. The PM said that the unionists rejected an offer for record salary hikes, so the cabinet can only provide the first part of the deal.

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The Partnership for Sustainable Textiles is a multi-stakeholder initiative with about 150 members from the economy, politics and the civil society. The trade unions are a member of the initiative from the start. The stakeholders strive to improve the working conditions in the global textile production – from the production of raw goods for textile production to the disposal of textiles. The Partnership was founded in October 2014 in response to the deadly accidents in textile factories in Bangladesh and Pakistan. The current members of the Textiles Partnership cover more than half of the German textile market. Until 2018 they are expected to cover 75 percent of it.

Read on: in English … the partnership website (in English) …

An OECD working paper reviews the situation on the labour market for low-skilled workers. Low levels of skills are an obstacle to higher productivity and material living standards, which are low relative to OECD or EU averages. But low skills also affect the well-being of citizens and stand in the way of reducing income inequality, as education is often a prerequisite for higher job quality and earnings opportunities.

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A report of the Macroeconomic Policy Institute IMK on the role of nominal wages in trade and account surpluses is now available in English. The authors explain that a macroeconomically-oriented wage policy in Germany between 2001 and 2015 would have significantly curbed the growth in real net exports. However, it would have done little to contain the country’s nominal trade and current account surpluses. Moreover, such a macroeconomically-oriented wage policy would have fuelled stronger domestic growth, as well as having a significant positive impact on income distribution (i.e. a higher wage share).

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Despite improved economic growth, real wage increases across Europe are averaging only 0.4% this year compared to 1.5% in 2016, according to the latest report from the trade union associated WSI research organisation. In several countries - Austria, Greece, Portugal and France - there is virtually no change in real wages while six countries - Cyprus, Spain, Italy, Finland, Belgium and the UK - are looking at a fall in real wages. The WSI points out that calls for an increase in pay to boost economic demand are even coming from the European Commission and European Central Bank. These are institutions that have been pushing for labour reforms whose effects have weakened collective bargaining across Europe, thereby undermining trade unions efforts to secure pay increases.

Read on: in German …

Primary school teachers organised a one-hour strike in June. They argued that primary school teachers earn between 7% and 21% less despite having to deal with increasing workloads. Teachers warned that further stoppages will be forthcoming unless the government pledges to invest in raising wages. In the following weeks, this led to a political crisis for the outgoing government, as the acting labour minister announced that he was not willing to sign the 2018 budget if the teachers’ wages were not increased. A crisis was averted, as the outgoing coalition agreed that a ‘substantial amount’ will go to teachers’ pay in the 2018 budget.

English: http://nltimes.nl/2017/08/31/cabinet-crisis-averted ...

http://www.dutchnews.nl/news/archives/2017/08/sitting-cabinet-could-fall ...

Workers at a Volkswagen plant went on strike over plans to introduce Saturday shifts. It is the first time in 20 years of operation that the 3,500 employees strike, after a convincing 75% no-vote by ballot against the planned introduction.

English: http://www.digitaljournal.com/news/world/workers-strike-at-vw-plant ...

The government announced the applicable minimum wages in school education as of 1 September 2017, following a promised increase of 15%. The aim of the government is a doubling of the teacher's salaries in three years. The minimum wage for a chief teacher will be BGN 836 (428 euro), and for a senior teacher - BGN 792. Teachers, educators, speech therapists, psychologists, pedagogical counsellors, choreographers, sports coaches, hearing and speech rehabilitators will receive salaries starting from BGN 760 (390 euro). Two additional wages are introduced for teachers. From 1 January 2018, 4% of the salary will be paid to teachers participating in joint teams for enrolment and retention of students at compulsory pre-school and school age. Educators, who carry out additional training for the students, will receive the same percentage.

English: http://www.novinite.com/articles ...

http://www.novinite.com/articles ...

Discussions between trade unions and the government over pay rises for millions of civil servants and retired civil servants for 2018 and 2019 began on 1 August. The labour ministry chaired the meeting where wage rise proposals by public workers trade unions were discussed for around 3.2 million public officers and 1.9 million retired officials in the country. However, the negotiators could not reach an agreement. The final and non-negotiable government’s offer was a 3.5% pay increase for the first six months of 2018 and another 3.5% for the remaining six months of 2018. The government offered a 4% rise for the first six months of 2019 and a 5% rise for the remaining six months. The Memur-Sen union wanted a 10% increase in the first half 0f 2018, combined with 6% in the second half of 2018, 10% in the first half of 2019 and 8% in the second half of 2019. Trade union KESK was looking for a fixed sum for all public workers (at least 3,450 Turkish Liras).

English: http://www.hurriyetdailynews.com/union-rejects-governments-final-offer ...