Seminar BOSMIP IVMarianne Korsby Clasen 25. nov. 11

Seminar BOSMIP IV        - Case study

Seminar BOSMIP IV 25. nov. 11Marianne Korsby Clasen

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• LO

• CO-i

• Employees

•Inter-sectoral: DA

•Sectoral: DI

•Local: Companies

Legislation/EU regulation

Main/Co-op Agreement

collective agreements

local agreements

Individual agreements

Level I:

The regulation of the labour market

Seminar BOSMIP IV 25. nov. 11Marianne Korsby Clasen

Company level - flexibility within the collective framework•Company level:

• Between management and labour (in most cases via the local shop steward)

• Agreements and derogations from the collective agreements on issues such as:

• working time 37 hours per week, • pay, • local cooperation, etc.

Organisations do not interfere in the local negotiations.

Company level agreements are subject to the conflict resolution mechanisms of the collective agreements.

Seminar BOSMIP IV 25. nov. 11Marianne Korsby Clasen

Case study •A big old company, producing wind mills

•The company produced the same amount every month during the year and paid huge amounts for storage

•But the demand for their goods varied form season to season

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Seminar BOSMIP IV 25. nov. 11Marianne Korsby Clasen

Turnover

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Seminar BOSMIP IV 25. nov. 11Marianne Korsby Clasen

•During the winter they paid salary and then just paid their employees overtime 50-100% more than their normal hourly salary

•The budgeted cost were crossed by 40% and the company was on the edge of bankruptcy

•They planned to dismiss 25% of the employees during January and February the following year

• Their productivity fell more and more got sick with stress due to the situation

•Which causes the productivity to fall even more and even more got stress – and started looking for new jobs…..

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Seminar BOSMIP IV 25. nov. 11Marianne Korsby Clasen

•Then came the newly elected local union reprentative and started the a dialogue.

•What did the local partners agree upon to save the company?

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Seminar BOSMIP IV 25. nov. 11Marianne Korsby Clasen

Answer•The shop steward and the management agreed on:

•Varied weekly working hours:

•37 hours a week during the spring and fall

•42 hours a week during the winter

•32 hours a week during the summer (can choose 3 og 4 days a week)

•Same salary of 37 hours all weeks no matter how many hours

•Job security and no dismissals

•Profit share, so the employees get 45% of the profit from this agreement

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