Collective Bargaining Structure in Finland Case: Finance Sector Hannu Kivipato,Trade Union Suora
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Transcript of Collective Bargaining Structure in Finland Case: Finance Sector Hannu Kivipato,Trade Union Suora
Collective Bargaining Collective Bargaining Structure in FinlandStructure in Finland
Case: Finance SectorCase: Finance SectorHannu Kivipato,Trade Union SuoraHannu Kivipato,Trade Union Suora
Budapest, 5-7 December 2003Budapest, 5-7 December 2003
Background– trade unions strong position in the society– tradition of collective agreeing since 1945– high organizing level: 70–90 %– unions organize members mostly
sectorally– employers organizing high
Industrial relations in Finland
Background– collective agreements mainly on sectoral
level• covering most of the wage earners• numerically a lot of company level agreements
– covering less wage earners
– collective agreements generally binding minimum level agreements
Industrial relations in Finland
Levels of negotiations Levels of negotiations and agreementsand agreements
1.1. Income policy agreementsIncome policy agreements* Since 1968* Since 1968
• Central employers organisations (5)
• Central employee organisations• Central Organisation of Finnish Tarde Union (SAK)• Finnish Confederation of Saleried Employees (STTK)• Conf. of Unions for Academic Professions (AKAVA)
• The Goverment
Parties
• legislation – labour laws, social security legislation, unemployment legislation…
• social and education policy, financing
• taxation
• pay rises – frame and level
Issues
• not a binding collective agreement• sectoral or company level negotiations of
acceptance for own field (2-3 weeks)• if not enough acceptances from the sectoral
partners – IC agreements lapses• after this negotiations on sectoral level
– can take long– probability of industrial actions, strikes grow
Character and process
Levels of negotiations Levels of negotiations and agreementsand agreements
2. Central collective agreements2. Central collective agreements
3. Sectoral level3. Sectoral level
2. Central collective agreements– general agreements for all wage-earners– parties: central organisations– sectoral unions – possibility to accept or not
3. Sectoral level– working conditions for the sector– parties: sectoral trade union and sectoral
employers association
Sectoral collective Sectoral collective agreementagreement
• main field as a trade union in banking and finance business
• only union in the banking sector• sectoral collective agreement – covering all
private banks– membership level 85 per cent– 90 per cent of members are women– 36.000 members – 25.000 in banking
• others– social and private insurance– state owned ”monopol companies”
Trade Union SuoraTrade Union Suora
• Finnish Confederation of Salaried Employees - STTK
• 634.000 members
• Nordic Finance Sector Union - NFU• 165.000 members in Scandinavian
countries
• Union Network International – UNI• 15.500.000 members worldwide
Suora is a member inSuora is a member in
– all private banks– commercial, co-operative and savings banks– very high level of technology– some daughters/branches of internatinal banks– different business strategies
• Scandinavian-Baltic Sea financial company - Nordea
– Finnish financial company – Sampo Bank– local/regional banks – co-operative and savings
banks
Banking as a business in FinlandBanking as a business in Finland
• covers the whole sector– all private bank and the whole country– one exception: Sampo bank
• parties– SUORA and Bank Employers Association
PATO
• according to law of collective agreements generally binding
Collective agreement in the banking sector
Collective agreement in the banking sector
• all employers obligation to carry out as a minimum level agreement
• main elements– better salary and work conditions– labour peace for each agreement
period
Collective agreement in the banking sector
Collective agreement in the banking sector
• scope of the agreement – all except highest management
• terms of hiring, fixed-period contracts, termination of employment
• working time, compensations of overtime, exceptional working etc.
• day offs, holidays, paid leave
Main issues in the collective agreementMain issues in the collective agreement
– salary system (classification of the work), wages, task and competence bonus
– rights to absences because of parental leave, sickness, child health care etc.
– ”trade union rights” – shop steward´s right for negotiation, information, using working time for negotiations
– collection of memebership fees– separate agreements of education, pension, part-time
work, saturdays work etc.
Main issues in the collective agreementMain issues in the collective agreement
• labour laws for all wage earners
• collective agreements– better conditions– issues which are not in the law
(saleries etc.)– special needs in the sector
Collective agreements versus labour laws?
Collective agreements versus labour laws?
• personnel policy
• structural, business changes, reorganisations – impact to employees´situation
• bonus rewards for economical results
Company level issuesCompany level issues
• negotiations between shop steward and employers representant– workplace company level
• if not solution negotiations between union and employer´s association
• if not solution Labour Court
Disagreements about interpretation of CADisagreements about interpretation of CA
• if disagreement about law– nogotiations at the company level– if not solution common court of justice
Shop stewards and union negotiate only for members!!!
Disagreements about interpretation of CADisagreements about interpretation of CA
Collective Bargaining Collective Bargaining Structure in FinlandStructure in Finland
Case: Finance SectorCase: Finance SectorHannu Kivipato,Trade Union SuoraHannu Kivipato,Trade Union Suora
Thank you for your attention!Thank you for your attention!