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Collective Bargaining Structure in Finland Case: Finance Sector Hannu Kivipato,Trade Union Suora Collective Bargaining Structure in Finland Case: Finance.

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Presentation on theme: "Collective Bargaining Structure in Finland Case: Finance Sector Hannu Kivipato,Trade Union Suora Collective Bargaining Structure in Finland Case: Finance."— Presentation transcript:

1 Collective Bargaining Structure in Finland Case: Finance Sector Hannu Kivipato,Trade Union Suora Collective Bargaining Structure in Finland Case: Finance Sector Hannu Kivipato,Trade Union Suora Budapest, 5-7 December 2003

2 Background –trade unions strong position in the society –tradition of collective agreeing since 1945 –high organizing level: 70–90 % –unions organize members mostly sectorally –employers organizing high Industrial relations in Finland

3 Background –collective agreements mainly on sectoral level covering most of the wage earners numerically a lot of company level agreements – covering less wage earners –collective agreements generally binding minimum level agreements Industrial relations in Finland

4 Levels of negotiations and agreements 1.Income policy agreements * Since 1968

5 Central employers organisations (5) Central employee organisations Central Organisation of Finnish Tarde Union (SAK) Finnish Confederation of Saleried Employees (STTK) Conf. of Unions for Academic Professions (AKAVA) The Goverment Parties

6 legislation – labour laws, social security legislation, unemployment legislation… social and education policy, financing taxation pay rises – frame and level Issues

7 not a binding collective agreement sectoral or company level negotiations of acceptance for own field (2-3 weeks) if not enough acceptances from the sectoral partners – IC agreements lapses after this negotiations on sectoral level –can take long –probability of industrial actions, strikes grow Character and process

8 Levels of negotiations and agreements 2. Central collective agreements 3. Sectoral level

9 2. Central collective agreements –general agreements for all wage-earners –parties: central organisations –sectoral unions – possibility to accept or not 3. Sectoral level –working conditions for the sector –parties: sectoral trade union and sectoral employers association

10 Sectoral collective agreement

11 main field as a trade union in banking and finance business only union in the banking sector sectoral collective agreement – covering all private banks –membership level 85 per cent –90 per cent of members are women –36.000 members – 25.000 in banking others –social and private insurance –state owned ”monopol companies” Trade Union Suora

12 Finnish Confederation of Salaried Employees - STTK 634.000 members Nordic Finance Sector Union - NFU 165.000 members in Scandinavian countries Union Network International – UNI 15.500.000 members worldwide Suora is a member in

13 –all private banks –commercial, co-operative and savings banks –very high level of technology –some daughters/branches of internatinal banks –different business strategies Scandinavian-Baltic Sea financial company - Nordea –Finnish financial company – Sampo Bank –local/regional banks – co-operative and savings banks Banking as a business in Finland

14 covers the whole sector –all private bank and the whole country –one exception: Sampo bank parties –SUORA and Bank Employers Association PATO according to law of collective agreements generally binding Collective agreement in the banking sector

15 all employers obligation to carry out as a minimum level agreement main elements –better salary and work conditions –labour peace for each agreement period Collective agreement in the banking sector

16 scope of the agreement – all except highest management terms of hiring, fixed-period contracts, termination of employment working time, compensations of overtime, exceptional working etc. day offs, holidays, paid leave Main issues in the collective agreement

17 –salary system (classification of the work), wages, task and competence bonus –rights to absences because of parental leave, sickness, child health care etc. –”trade union rights” – shop steward´s right for negotiation, information, using working time for negotiations –collection of memebership fees –separate agreements of education, pension, part-time work, saturdays work etc. Main issues in the collective agreement

18 labour laws for all wage earners collective agreements –better conditions –issues which are not in the law (saleries etc.) –special needs in the sector Collective agreements versus labour laws?

19 personnel policy structural, business changes, reorganisations – impact to employees´situation bonus rewards for economical results Company level issues

20 negotiations between shop steward and employers representant –workplace  company level if not solution  negotiations between union and employer´s association if not solution  Labour Court Disagreements about interpretation of CA

21 if disagreement about law –nogotiations at the company level –if not solution  common court of justice Shop stewards and union negotiate only for members!!! Disagreements about interpretation of CA

22 Collective Bargaining Structure in Finland Case: Finance Sector Hannu Kivipato,Trade Union Suora Collective Bargaining Structure in Finland Case: Finance Sector Hannu Kivipato,Trade Union Suora Thank you for your attention!


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