Building Capacity for Employers’ Organizations Jeanne Schmitt, ITCILO

Objective To help EOs to better fulfill their role as: advocates of business conducive policies providers of services to their members representative and effective development partners experts and partners with regards to ILO strategic objectives incl. social dialogue

Why? Sustained economic growth reduces poverty and the private sector drives growth Creating a conducive enabling environment to facilitate private sector development is key In this framework, the role of EOs in pursuing an agenda to create wealth, enterprises and jobs is paramount

Sectoral Capacity-Building Projects 2007-2010 Metal and Engineering Chemical Industry Temporary Agency Work Commerce / Retail

EO’s lifecycle Renewal Stagnation Mature Decline Growing Start-Up Sustainability Decline Growing Business club Fear of formalizing Lack of funding / expertise Start-Up

EO’s lifecycle Renewal Stagnation Mature Decline Growing Start-Up Sustainability Decline Growing Vision and elaborating consistent strategy Need for stronger systems and accountability Pointing out constraints; formulating industry’s positions Unstable finances and HR Start-Up

EO’s lifecycle Renewal Stagnation Mature Decline Growing Start-Up Sustainability Decline Clear vision and strategy, outcomes-based Fully-fledged lobbying Efficient use of own professional expertise Strategic partnerships From reactive to proactive? Ability to manage transitions? Board governance? Growing Start-Up

EO’s lifecycle Renewal Stagnation Mature Decline Growing Start-Up Sustainability Decline Growing Start-Up

Common issues regarding EOs in CCs and NMS Tight membership base: often lacking some of the SMEs segment; not sufficiently representative Low income: due to limited membership and poor offer of income-generating services Lack of independent policy analysis (research capacity & skills) No strategic positioning in social dialogue Insufficient service orientation and delivery = Impediments to help companies performing better (micro level) act as a professional partner in policy discussions, lobbying, bi- or tripartite social dialogue (macro level)

Framework for Capacity-Building Vision & Mission Leadership & Governance (board, staff, members) Resources (financial, technological, human) Outreach (lobbying, social dialogue, communication) Because of the diversity in EOs, their needs and ability to build future capacity will vary widely from one organization to the next. This Figure illustrates a common framework for analyzing and assessing potential pathways for addressing the capacity needs of EOs. It consists of five components that are commonly found in all organizations: vision and mission, leadership and governance, resources, outreach, and products and services. These five factors are interrelated and mutually dependent on one another. As a system, each factor reinforces the others. Our projects are designed to work on these five aspects. Some activities may emphasize one factor over another, but a healthy mix of these five components is necessary for an organization to expand / for enhancing organizational capacity. Products & Services (outputs, performance, sustainability)

Projects’ methodology Strong partnership with EU sector EO – capacity-building strategy Assessment of capacity and needs of EOs Design & Implementation of tailor-made activities On-going support throughout the project and afterwards (technical assistance; peer support) Emphasis on outcomes and accountability Focus on what is working / what is not Evaluation of impact on learning (individuals) and organizational development

Prior evaluation of competences and needs – Chemical project

Impact Evaluation - Actions to better use the opportunities of national dialogue to advocate for business concerns – Chemical project

Results and Impact EOs’ general functioning (strategy, planning, governance, relations with members, communication etc.) Creation of new EOs Review of governance rules / statutes Adoption of strategic plans / business agendas Development of members’ service packages Creation of new EOs: TAW Latvia and Romania; first steps toward merger (Poland Metal) Review of governance rules / statutes: Chem HU Adoption of strategic plans / business agendas: Based on Members’ needs and auditing CZ Chem Development of members’ service packages

Results and Impact New lobbying strategies devised and implemented Identification of factors influencing the Business environment and lobbying opportunities Range of tools PPs, Events, Meetings etc. New services to members launched In the areas of Training, Advice, Standard setting etc. Identification of factors influencing the Business environment and lobbying opportunities Range of tools PPs, Events, Meetings etc New services to members launched: Lithuania Chem Green generation project; HR focal point in Romania Chem

Results and Impact Understanding of EOs’ staff and members on policy-making and social dialogue role in country and at EU level Insight into trade union views, strategies, priorities and concerns (National/EU/International) Functioning of EU social dialogue / SSDC meeting experience Identification and first meetings with SP counterpart Insight into trade union views, strategies, priorities and concerns (National/EU/International): Romania Chem, new project RT at regional level on sdial issues Functioning of EU social dialogue / SSDC meeting experience : input during formalization process (Metal); Signing of joint SSDC Declaration (Chem) Identification and first meetings with SP counterpart: BCCI Bul Chem – meetings every month with TU as a direct follow-up to project; TAW in Greece and Turkey, sub-regional seminar occasion fro first-ever meeting between UNI-Europa affilaites and Employers

Results and Impact Awareness of experience and good practice in the different project / partner countries / benchmarking Networking Strengthening of the role of the EU level partner organization (point of reference; membership) To ensure a long-lasting impact of projects, participants had two broad recommendations: to keep regular experience sharing opportunities, and (b) to enhance networking between associations.