Industrial Relations and Social Dialogue in the Commerce Sector in Europe ITCILO_Torino, 22 March 2011 Christian Welz Eurofound – European Foundation for the Improvement of Living and Working Conditions www.eurofound.europa.eu

Recent Eurofound studies on the commerce sector I. Industrial relations (IR) developments in the commerce sector in Europe II. Industrial relations, social dialogue (SD) and working time: the commerce sector III. Representativeness study of the social partners (SP) in the commerce sector

I. Recent developments in IR / SD customised report of European sectoral SP UNI-Europa & EuroCommerce developments in IR in 7 Member States (MS) DE, DK, ES, HU, NL, RO, UK

1. Examples of formal bi-and tripartite social dialogue

2. Innovative collective agreements better institutionalised compliance (NL) CA 2010 – Retail independent institution to monitor how employers and employees are applying the CA “Collective agreement police” new tools for individual empowerment (DK) CA 2010 - Retail empower individuals to use the CA and SD in their own interest by negotiating better deals

3. Social dialogue during the crisis strong focus on job preserving measures non-renewal of CAs / slowing down of collective bargaining (CB) (ES) stalling of decentralisation process (ES) moderation in pay longer duration of CB (DE) anti-crisis measures in the umbrella social pact (NL)

internationalisation technological change in new MS structural change 4. Key findings main sectors trends concentration internationalisation technological change in new MS structural change growing influence of MNEs

statutory minimum wages are of particular importance, esp. in retail 4. Key findings legal regulations play a more decisive role in commerce than in other sectors employment law is of particular importance in those MS where CB is voluntary and where there is no extension of CAs (UK/HU) statutory minimum wages are of particular importance, esp. in retail

crisis had a stronger impact on 4. Key findings crisis had a stronger impact on wholesale than on retail SMEs may have intensified existing trends employment status and working time more part-time work & working time flexibility increase in insolvencies and redundancies

social partners feel that social partnership is quite weak 4. Key findings social partners feel that social partnership is quite weak negotiation climate often rather difficult SD activities are limited to wages, working hours and working conditions need for more SD & joint initiatives

in some cases, even pay freezes shift in priorities 4. Key findings wage negotiations in 2009 led to moderate or partly deferred pay increases in some cases, even pay freezes shift in priorities more flexibility in wages & working hours top priority was to protect companies & employment improvement of working conditions received less attention

II. European Company Survey 27.000 establishments > + 10 employees EU-27+TR, HR, MK interviews with management and employee representatives (where available) fieldwork in 2009

1. Commerce sector in the Company Survey 4006 establishments (NACE G) in sample 626 interviews with employee representatives Eurofound analysed the commerce sector re: working time arrangements IR

2. Employee representation

3. Collective bargaining coverage

4. Climate of industrial relations, assessed by employee representatives Interest Support Common efforts Hostile

sector has less employee representation lower CB coverage 5. Key findings sector has less employee representation lower CB coverage lower levels of trade union membership employees are slightly more likely than those in other sectors not to express an interest in the outcome of negotiations to report a hostile climate with management to report that management & ER make sincere efforts to solve common problems

5. Key findings when SD practices are regulated by law sector does not differ significantly from others

III. Representativeness the social partners

1. Background of the study representativeness constitutes the basis of SPs right to be consulted by the European Commission (CEC) under art 154 TFEU to engage in negotiations leading to agreements implemented by the Council decision (155 TFEU) European social dialogue (ESD)

1. Background of the study objective of the study to identify the ‘actors’ to be consulted at European level provide basic information needed to set up/adapt sectoral SD committees scope of the study in terms of MS: EU-27 (- FI & L V) in terms of associations: - European and national sector-related SPs - demarcation via NACE code (rev.2): 45, 46, 47

2. Combined approach for screening top-down screening points of reference are the national members of European SP organisations of ESSD bottom-up screening national associations involved in CB and/or associated to any sector-related European association tool: 27 national reports

3. Definition of a sector-related European social partner organisation A European association is a sector-related social partner, if it is on the CEC‘s list of SP organisations consulted on behalf of the sector under article 154 TFEU and/or if it participates in the sector-related ESD or it has requested to be consulted by the CEC under article 154 TFEU

Definition of a sector-related national association 4. Definition of a sector-related national social partner organisation Definition of a sector-related national association A national association is included in the study, if it: A) relates to the sector and is B1) either regularly involved in CB at national/sectoral level B2) or affiliated to any relevant European SP organisation.

4. Sector relatedness and domain patterns of an organisation Demarcation of the Commerce sector: NACE G: Wholesale, retail and wholesale and retail trade and repair of motor vehicles and motor cycles.

4. 93 Trade unions and 106 employer’s organisations fulfil the criteria

4. National trade union systems 93 trade unions in 25 MS identified domain demarcations are most frequently (61%) sectionalistically overlapping relatively low union densities 91 / 93 trade unions are engaged in sector-related CB

4. The national systems of employer organisation 106 employer organisations in 25 MS listed 16 / 25 MS register pluralist associational systems high incidence of narrow membership domains most frequently (i.e. 51%) sectionalist relatively high density rates in terms of both companies & employees of the 106 employer organisations 93 are engaged in sector-related CB

at least one affiliation in each MS under consideration 5. Key findings UNI Europa-Commerce and EuroCommerce affiliats go beyond the 25/27 MS examined UNI Europa-Commerce at least one affiliation in each MS under consideration except for BG and CY in some MS (e.g. BE, DK, EE, ES, FR, FI, IT, LT, NL, SE) multiple memberships occur

38 of its for which information is available are involved in CB 5. Key findings on aggregate, UNI Europa-Commerce counts 44 direct affiliations from MS under examination UNI Europa-Commerce covers the sector’s most important labour representatives 38 of its for which information is available are involved in CB permanent mandate to negotiate

EuroCommerce has all but one MS (BG) under its umbrella 5. Key findings EuroCommerce has all but one MS (BG) under its umbrella multiple memberships can be found in MS (AT, DE, ES, FR, GR, HU, IT, NL, PL, PT) affiliated and unaffiliated associations co-exist in a series of MS (AT, BE, CY, DE, DK, ES, GR, HU, IE, IT, RO, SI, SE) most important associations are affiliated

mandate to negotiate is given on a case by case basis 5. Key findings in several MS some important or even all employer organisations that conduct bargaining are outside in several MS (AT, EE, ES, GR, HU, IT, LT, LU, MT, PL, RO, UK) affiliates are not engaged in CB of the 43 direct and indirect affiliates of EuroCommerce, at least 27 are directly or indirectly (via lower-order units) involved in sector-related CB mandate to negotiate is given on a case by case basis

proportion of members involved in CB is lower compared to UNI CB 5. Key findings proportion of members involved in CB is lower compared to UNI CB in 17 of the 26 MS which record affiliations to EuroCommerce a number of sector-related employer organisations are not affiliated to EuroCommerce which are involved in sector-related CB

5. Key findings EuroCommerce and UNI Europa-Commerce have to be regarded as the by far most important  if not the only EU-wide representatives of the sector’s employers and employees

Further information Industrial relations developments in the commerce sector http://www.eurofound.europa.eu/publications/htmlfiles/ef1081.htm) Industrial relations, social dialogue and working time: The commerce sector in Europe http://www.eurofound.europa.eu/publications/htmlfiles/ef1089.htm Representativeness study of the social partners in the commerce sector (to be published)

Further information christian.welz@eurofound.europa.eu