Will the Nordic Model Survive?

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Presentation transcript:

Will the Nordic Model Survive? North European Capital City Conference 20.-22. Mai 2015

Why Have We Maintained a Social Model to a Greater Extent Than EU? We still have a high Trade Union Membership with National Collective Agreements (CBAs) which counteracts internal competition. But the membership decrease and the CBAs’ scope narrows The increase in salary have been in line with the increase in production The income from oil and gas The relative strength between the Trade Unions and the Employers deteriorates, but it is still different than in the rest of The Nordic Countries and in the EU This will make it possible to achieve a political majority wanting to protect Trade Union Rights, providing that AAE-regulations (European Economic Area) don’t prohibit this

What is the Norwegian Model? The most important is a Trade Union Movement with a high enough membership to maintaining the respect for the CBAs (they are weakened and undermined) The universal Welfare State, a near enough fair taxation system, substantial pensions and benefits as a security and a large Public Sector (under pressure) A political aim to provide work for everyone (is weakened) These three points are the main reasons why Employers until now have cooperated with Governments and the Trade Union Movement - the Tri-Party-Cooperation But there is a rapid deterioration emerging from the bottom

The Causes for the Deterioration Outsourcing of services, increased use of subcontractors, reduction of a regular employed workforce, more none- organised workers and increased pressure on Collective Agreements Increased competition, privatisation and American Management Theory (HR) is dismantling the Trade Union Collective into individual employees. The Welfare State will be replaced by the Competition State. Hired workforce, which is an extreme form of temporarily employment, legalised by the Labour Party, while in Government More employees work part time and thus have a looser connection to the Labour Market

The Causes for the Deterioration (2) Cases of Social dumping has exploded, following the last expansion of the EU, due to the large differences in salaries and the high unemployment rate in Europe. This can be used by both Employers and the Authorities The Labour Laws and CBAs will not survive in a society with unregulated capitalism or within EU/EEA. The latter acts as an extra Right Wing Party in Norwegian politics The Research Institute, FAFO, has released a report, «Normod 2030» which states that Norway will experience French class differences in 2030, if today’s development continues

The Norwegian Model is Attacked From the Top The weaker Work and Environment Act initiated by the current «blue-black» Government is aiming at Employees competing with each other over wages and working conditions The Government cuts in pension rights and justifies this by an “all should work-policy” = «arbeidslinja» . The unemployment is currently 4 %, and the competition with migrant workers increases. The large Employer’s Organisations support the Governments suggestions and measures. The Norwegian Model is attacked from the top.

A Trade Union Movement for Every Worker in Norway Education to increase the recruitment to the Trade Union Build and strengthen the organisation On entering into new CBAs and protecting the current CBAs, increased support and sympathy campaigns from the rest of the Trade Union Movement is required The Trade Union Representatives and Members must be educated to resist aggressive Employers. And they must receive support from Federations, Trade Unions and Regional Unions

Reorganising and Restructuring the Trade Union Membership in the Trade Union is not something that is granted. Non-members must be invited to join the Union out of self- interest, and an aim to ensure ones wages and work conditions together with others. The main focus should not be on, for instance, tax reduction for union dues, favourable offers or LO favør Organise, educate (on conflicts of interest, the society and the economy) activate and guide – not administer, manage or control Improve knowledge and awareness of our history

Strategic Priority Areas «Reverse the amendments of the Work and Environment Act» should be our demand in the Parliamentary Election in 2017 Extend the concept «Employer» and the Employers’ responsibilities Combat the Temporary Staffing Agencies Abandon the requirement having to document the need for Collective Agreements being made universal, and reject the demand for a Statutory Minimum Wages Make municipal and government purchasing into a tool to fight social dumping and labour crime

Make the Trade Union Movement Into an Independent Force We must be the driving force and not a fender between The Trade Union Movement and the Party or Parties Build alliances between The Trade Union and other NGOs Organise "counter-power" to meet specific demands ie, against shops in general opening on Sundays or EU’s 3rd Post Directive Develop the «Trade Union Party»

Neither «cap in hand» nor backwards into the future!