How Precarious Work Has Changed Perceptions and Understandings of Labour Law Prof. César F. Rosado Marzán, PhD, JD Presentation for Conference: New Foundations of Labour Law in the Globalised Market Economy? Stockholm, Thursday 19 May – Friday 20 May 2016

What is “precarious”? Webster’s Dictionary: – depending on the will or pleasure of another – dependent on uncertain premises – dependent on chance circumstances, unknown conditions, or uncertain developments – characterized by a lack of security or stability that threatens with danger

What is “precarious”? Oxford Dictionary 1. Esp. of a right, tenancy, etc.: – held or enjoyed by the favour of and at the pleasure of another person; – vulnerable to the will or decision of others….

What is “precarious”? b. Dependent on chance or circumstance; uncertain; liable to fail; exposed to risk, hazardous; insecure, unstable.

What is “precarious”? C. Subject to or fraught with physical danger or insecurity; at risk of falling, collapse, or similar accident; unsound, unsafe, rickety.

Precarious work Is: “Employment that is uncertain, unpredictable and risky from the point of view of the worker.” (Kalleberg 2009)

ILO Half of all global work is wage and salaried. 45% of those are full- time and permanent, and decreasing. Only 1 in 4 working people in standard employment.

Evidence of precariousness Decline in attachment to employers Increase in long-term unemployment Growth in perceived job insecurity Growth in nonstandard work arrangements and contingent work, or “fissuring” Increase in risk-shifting from employers to workers. Adapted from Kalleberg 2009: 6-8, and Weil (2015)

Polanyi’s Double-Movement: Flexibility and Security Source: Kelleberg 2009

Responses in

Responses “Flexicurity” – Generous income security – Active labor market – Continutiing vocational training

Responses Increase the minimum wage (Fight for $15) “Fair scheduling” Expand joint-employer liabilities Limit independent contracting Affordable Care Act (Obama Care)

Responses “Feeling the Bern” – Invest over US $ 1 trillion for direct job creation and training – Free public universities – Medicare for all (universal health care)

Responses Minimum wage law Intermediate “employee-like” category Collective bargaining: – Qualification – Demography – Operate in new framework – Decentralization and derogations

France Groupement d’employeurs. Proposals to – flex hiring and firing – Enable derogation of some legal minima through collective bargaining and – Or even unilaterally by employers

France Argument in favor of proposals: Will create incentives to increase regular employment, which is too risky and costly under current law (for employers)

Global Supply Chains 20% of workers work in global supply chain. More productive. Earn as much as those not in chain. Competition and short cycle impact contractual arrangements. Source: ILO (2015)

Global Supply Chains ILO (2015): – Social dialogue – Active labor market policies (to offset losses in jobs) – Labor regulation and enforcement at bottom. – Fundamental rights ensured in entire chain.

Perceptions and Understandings of Labour Law: Some Conclusions “Labour law” cannot do it alone. Should be complemented by: – “Social security” law; – Direct government employment; – “Active labor market” and publicly provided education; Collective bargaining must be aided by direct government standards (minimum wages);

Perceptions and Understandings of Labour Law: Some Conclusions Labor standards must cover workers in intermediate categories, but not necessarily all protections (Davidov 2005). Labour law is the problem (?) Transnational dimension: Apply those lessons also to global chains.