1. Trade Union Strategies in Central and Eastern Europe Evelin Toth Mucciacciaro, ACTRAV Europe, ITC-ILO, Turin

2. Introduction The fall of the Berlin Wall – Turning point in CEEC history towards democracy (1989) Transition from socialism to democratic pluralism Transition from planned to market economy Transition from TU controlled by the state to independent TU movement

3. Solidarnosc 1980 - birth of,,Solidarnosc’’, the independent self- governing labour union,,Solidarity’’ – leading actor of change Strike of shipyard dockers on the Baltic Sea – political dimension (against poverty, for pay rises, for freedom of the press and speech, right to strike, right to organise free and independent trade unions) Solidarity’s influence throughout the countries of the Central and Eastern Europe www.solidarnosc.org.pl

4. Changing Role of Trade Unions Trade union activity shaped by economic, political and social context DILEMMA: Oppose or support new processes knowing that there will be negative social consequences Oppose – exclusion from participation in strategic decision-making in national reform, risk of long-term marginalisation Support means participation and responsibility for success/failure

5. 1990s in CEEC Erosion of Social Rights Transition in conditions of globalisation equals high unemployment, loss of industries, liberalization and deregulation of labour markets, broken social security networks, deterioration of living and working conditions, increase of atypical types of work and growth of informal economy Competition on the world market, the imperative of reducing costs of business operations, including labour costs, impose new business policies which are evident in more flexible working hours, flexible employment arrangements and flexible salaries

6. Erosion (Continued) Great majority of newly employed work on fixed-term contracts, facing job insecurity which often deprives them of personal and professional fulfilment. Many workers find themselves trapped in precarious and underpaid jobs, accepting long working hours, unpaid overtime and little or no social protection. For fear of losing their jobs they don’t raise issues of their working conditions and social rights. Employers generally benefit from the situation which has become more disadvantageous due to insufficiently developed labour market institutions, inefficient labour administration and labour inspection and often inadequate judicial protection of labour rights because of long duration of labour disputes.

7. TRIPARTISM Legislative and institutional framework for social dialogue Interaction with employers’ associations Interaction with government (changing after every election) Interaction among different trade union organisations Need for achievement of genuine social dialogue and Meaningful and timely tripartite consultations on economic, social and education policies that directly affect workers Importance of using ILO instruments

8. Economic and Social Reforms Focus on economic reforms at the expense of social dimension Painful social reforms (health, pension etc.) Major impact of World bank and International Monetary Fund European social model

9. Trade Union Strategies in CEE: Towards Decent Work 4 models: Bulgaria, Hungary, Serbia, Slovenia Common history of transition from state- controlled planned economies to market economies Common present/future orientation – membership in the European Union

10. Bulgaria Southeastern Europe Population: 7,4 mil/ Labour force: 3,34 mil Unemployment rate: 11.5% GDP per capita: 9,600 USD 1990 1 st multiparty elections, political democracy, market economy Joined NATO in 2004, will join the EU in 2007 Combination of unfavourable economic conditions, political and institutional stability Consolidated trade union movement KNSB/CITUB-Confederation of Independent Trade Unions of Bulgaria Confederation of Labour Podkrepa National Trade Union Promyana

11. Hungary Central Europe Population around 10 mil./Labour force: 4.18 mil. GDP per capita: 16,300 USD Unemployment: 7% Hungary held its first multiparty elections in 1990 and initiated a free market economy, Joined NATO in 1999 and the EU in 2004 Stable economic, political and institutional environment Fragmented trade union movement, low representativity LIGA, ASZSZ, SZEF, ESZT, MSZOSZ, MOSZ

12. Serbia Southeastern Europe Population: 9,5 mil/ Labour force: 2,9 mil GDP per capita: 4,400 USD Unemployment: 31,6% Unfavourable economic conditions, fragile political stability, condensed reforms Divided trade union movement: UGS Nezavisnost, SSS, BSPK

13. Slovenia Central Europe, Independence in 1991 Population: 2 mil./ Labour force: 920,000 Historical ties to western Europe, a strong economy, a stable democracy, a modern state A model of economic success and stability for its neighbours in the former YU Acceded to NATO and the EU in 2004 Unemployment rate: 10% GDP per capita: 21,600 USD Favourable environment and strong trade unions One dominant trade union confederation in a pluralistic environment/ZSSS-Association of Free Trade Unions of Slovenia KNSS/Confederation of New Trade Unions of Slovenia, Confederation of Trade Unions of Slovenia ‘Pergam’, Trade Union Confederation 90 of Slovenia Global competitiveness ranking: 33

14. LOSS OF MEMBERSHIP Pluralism and fragmentation of TU movements – weakened TU position, TUs fighting each other In CEEC, 75% of workers are not unionised and are left outside the scope of present social dialogue Objective reasons: bankruptcy and liquidation of enterprises, reduction of number of workers, a spilling over of labour into the private and shadow sectors of the economy where trade union, as a rule, are absent, Restructuring of enterprises, their fragmentation into small enterprises, no unions Anti-trade union activity of employers Formation through mass media of a negative opinion of trade unions

15. ORGANISING IN CEEC LACK OF EXPERIENCE IN THIS FIELD LACK OF PROFESSIONAL ORGANISERS EXISTING TRADE UNION STRUCTURES ARE NOT FIT FOR ORGANISING LITTLE OR NO BUDGET FOR ORGANISING NO STRATEGIC PLANNING OF RECRUITMENT CAMPAIGNS DIFFICULTIES IN ORGANISING IN NEW SECTORS OF THE ECONOMY, ESPECIALLY IN INFORMAL ECONOMY SMEs, MNEs …

16. CONSOLIDATION OF TRADE UNION MOVEMENTS Vision of trade union in the future (2010, 2020…) Reflexive capacity of trade unions – self-analysis and analysis of environment Need for constant and rapid adjustment to change Not rely on,,borrowed experience’’ – find one’s own way adapted to the national context Build capacity at all levels for continuous negotiations on salaries and working conditions (correlation of economic and productivity growth and social well-being of members) Need for more ambitious collective bargaining on a wider spectrum of topics Potential of,,social pacts’’