New unionism in telecoms Aims of session To look at structural changes in the sector in Europe since the 1980s taking British Telecom as an example To identify impact on employees and unions in the sector
Connect in 2004 – diversity & flexibility The union for professionals in communications – born 1 January 2000 Members in dozens of companies Diverse skills and job types Recognised by major and minor players No single model of representation – collective and individual
Connect in 2004 – diversity & flexibility Focus on employment and employability Career support services for members Opus2, Careers advice, training Flexible structure – branches, networks Member centred – Helpdesk, web site market research Focus on organising – dedicated resource
Society of Telecom Executives Members in two employers Collective bargaining of terms and conditions – a single product Stable engineering-based membership of company lifers promoted into management “a member is a member is a member” Product driven – internally focussed Strict hierarchical structure
Society of Telecom Executives Strong workplace organisation Few full time officers Acceptance by employers – facilities and agreements 80% membership Automatic recruitment “The good old days”
From STE to Connect The union has been reinvented over the past five years From a collective bargaining agent for a large group of members with common interests To a flexible resource to support members’ careers throughout their working lives
From STE to Connect Why change The mismatch between the STE model and the world our members and potential members work in
The revolution in telecoms Drivers to change Privatisation and liberalisation Convergence Globalisation – reduced role of national governments Political climate in UK – Thatcherism and anti union laws Have created a new type of company and a new type of worker
The revolution in telecoms Power of city and financial institutions Changing business models – mergers and acquisitions New management styles and cultures – “non union companies” Terms & conditions under attack from market comparisons
The revolution in telecoms Some key consequences K managers and professionals in 2 companies 80% organised 2004 over 900 licensed telecoms operators K managers and professionals <25% organised
The revolution in telecoms Downsizing Skills replacement Bureaucratic to organic “commitment- based” structure Outsourcing and fragmentation Trading units Global strategy – costs/losses
The revolution in telecoms Unstable workforces Engineering out; sales/CS and IT in Contractors Direct entry Young, highly qualified, mobile, confident, career orientated, little company loyalty Breakdown of traditional workplace – distanced networked labour
The revolution in telecoms Decline of collective bargaining Philosophies not agreements Individualisation - PRP to individual contracts, no common standards Flexible reward systems Pay out; compensation and benefits in Direct communications Role of line manager
The revolution in telecoms Employee attitudes to towards trade unions Few traditions of unionism Schooled in individualism Suspicious of collective bargaining Not for winners Exception not norm Based on conflict model Accept harsh reality of workplace
The revolution in telecoms Impact on union - crisis 45% membership decline between 1990 and 1997
Changing the union 1997 onwards Election of a labour government – better climate for unions, but still harsh Formal CTU programme – emphasis on planning, objectives, measures From process to output Driven from top of union Reversed membership decline – three years’ growth
Changing the union 1997 onwards New negotiating agenda Less focus on pay Challenge of negotiating PRP Work/life balance Diversity and equal opportunities Training and skills Protecting outsourced workers
Changing the union 1997 onwards New form of relationship with employers based on account management Single point of control Simpler and more effective communications More rigorous internal union management
Changing the union 1997 onwards Organising young people Highly qualified, mobile, career orientated, schooled in individualism Suspicious of collective bargaining, few traditions of unionism “Workplace is a jungle”
Changing the union 1997 onwards Our approach based on Market research Specialist organisers Flexible structure Small world network Their own agenda In % joined union, % join
The future of the industry Recession and uncertainty Incumbent operators under attack and shrinking New entrants in crisis Industry parameters will get more blurred Organisation of work – increasing flexibility
The future of Connect CTU ensured our survival Not yet out of the woods, but a strong basis for growth International union activity vital in a global, dynamic industry where the role of national governments is limited