Upload
matteo-foiadelli
View
216
Download
2
Embed Size (px)
DESCRIPTION
An analysis of the 2009 italian agreement between labor union and employer’s federation and the suggestion of the alternative idea of a social contract for the productivity and economic growth. The presentation is part of the course of "mercati interni del lavoro e innovazioni organizzative" with professor Riccardo Leoni. http://www.pattosociale.altervista.org/ April 2011.
Citation preview
La riforma della contrattazione:
redistribuzione perversa o produzione di reddito?
by
Riccardo Leoni and Nicola Acocella
Presented by
Matteo Foiadelli, Paolo Viganò and Fabio Invernizzi
1. Historical context
2. ’93 July agreement and
abolition of sliding scale
3. 2009 agreement
4. Indexation
5. Static model
6.Productivity
7. Decentralised bargaining
8. Equalising economic element
9. Alternative ideas.
10. Patto sociale
per la produttività e
la crescita
11. Conclusions
!"#$%&
!"
#$%&'($)*+,)'-&./&
During italian economic boom:
productivity increase,unemployment decrease.
Inflation remain constant.
After “autunno caldo”and during 70’s:
productivity doesn’t increase,unemployment doesn’t decrease,wages increase.
Inflation increase.
0"
!12,34+5,*6(..7.-&,*-8,
*9'+$&$'-,':,%+$8$-6,%)*+.
Objectives:
Improve productivity
Calm inflation
Create social cohesion between social parts
Structure:
National bargaining: indexation
Decentralised bargaining: productivity
!"#$!%&$'()*+,(-
2"
0;;1,*6(..7.-&,
Change:
3 years duration
Indexation system
Introduction of equalising economic element
<"
=-8./*&$'-
PROBLEM #4Decentralised bargaining
PROBLEM #1“Significative” inflation
PROBLEM #2HICP
(harmonised index of consumer prices)
PROBLEM #3Wage indexation
PROBLEM #1“Significative” inflation
.,"$/$-0$&,-&,-1"+,(-&/"+$
real inflation rate
(t+3)
Expected inflation rate
(t)
Significative inflation is contracted between labor union and employer’s
federation
Significative inflation is contracted between labor union and employer’s
federation
Significative inflation is contracted between labor union and employer’s
federation
23,#-,40"+,'$5&,-1"+,(-
Inflation part not recovered
PROBLEM #2HICP
(harmonised index of consumer prices)
>-.(65,6''8%
NOT CONSIDERED
Represent 0,2‰ of HICP
From 2000 to 2008 +16% for year
?@$&&$,A64(*&$B$C
The 81,2% of italian family live in his own house.
NOT CONSIDERED
Family has to spent part of the incomein order to renovate home
D$".(.-&,$-)'7.%
!"!#$#%&
'()*#&)
NOT CONSIDERED
E'F,:(.G4.-)5,
)'-%47.8
Low inflation rateor deflation
#$6H,:(.G4.-)5,
)'-%47.8
Hight inflation rate
6-"77/(7/,"+$&869:
Inflation part not recovered
PROBLEM #3Wage indexation
18,7 !/h
WAGE
1993 X EXPECTED INFLATION
RECOVERED INFLATION=
15,6 !/h
WAGE
2009 X EXPECTED INFLATION
RECOVERED INFLATION=
-12,6%
;"#$&,-<$="+,(-
Inflation part not recovered
PROBLEM #4Decentralised bargaining
.$0$-+/"),%$<&>"/#",-,-#
1st level Inflation
recovered
2st levelInflation
not recovered
Decentralised bargaining represent 10% of wage
Real value of incentive could decrease over time
.$0$-+/"),%$<&>"/#",-,-#
Inflation part not recovered
PROBLEM #4Decentralized bargaining
PROBLEM #1“Significative” inflation
PROBLEM #2HICP
(harmonized index of consumer prices)
PROBLEM #3Wage indexation
I"
J&*&$),7'8.+
! = base salariale indicizzata
" = valore economico del punto per l’indicizzazione
# = restituzione delle differenze significative
peu = tasso di inflazione ufficiale prevista
$ = incidenza dei beni energetici
peuBE = tasso di inflazione ufficiale prevista relativa ai beni energetici
% = rapporto fra inflazione percepita e ufficiale
pEU = tasso di inflazione ufficiale effettiva
pEUBE = tasso di inflazione ufficiale effettiva relativa ai beni energetici
Wnd = tasso di variazione del salario connesso alla contrattazione decentrata o
all’elemento di garanzia retributiva
1. Used indexation system is fair
2. With estimated variables is unfair
3. Would be necessary increase decentralised wage
K"
L('84)&$B$&5
MH5,=&*+5,)*-!&,$-)(.*%.,$&%,
N('84)&$B$&5O
COMPETITORS
DEALY
* Trend productivity 1995-2005
-1.1%*+12.1%
+12.1%
+13.2%
E$&.(*&4(.!%,(.*%'-%,
Lack investement in ICT
trend is similar with competitors
Rigidities in labor market
contrast with European Commission (Empowerment)
Little firms and Specialization in traditional sectors
explain only 18% of gap in productivity (Foresti et al.)
WAGEPRODUCTIVITY
WAGEPRODUCTIVITY
P*(6$-*+$%&,&H.'(5Wage rapresent remuneration of the marginal productivity of labor.
WAGEPRODUCTIVITY
P*(6$-*+$%&,&H.'(5
Productivity increase when employers increase effort.
WAGEPRODUCTIVITY
WAGEPRODUCTIVITY
QH.'(5,':,J5+'%,E*9$-$
Unions bargain wage’s increasement.Profits decrease.
WAGEPRODUCTIVITY
QH.'(5,':,J5+'%,E*9$-$
Firms are oblidge to make innovation in order to maintain the original level of profit.
R"
D.).-&(*+$%.8,
9*(6*$-$-6
L('A&,%H*($-6
PROFIT
After 3 years organization performance is evaluated
L('A&,%H*($-6
BONUS
Employeds received a share of profit
=-N4&,
'($.-&.8
COMPETENCE
S4&N4&,
'($.-&.8ROI
COMPETENCE
?
BONUS
T*)UF*(8,
+''U$-6
ROIT*)UF*(8,
+''U$-6
=-).-&$B*&$'-,%5%&.7,
8'.%-!&,F'(U
L($).V1000! ROI
L($).V2000! ROI
In order to reach their goal firm could increase price without increase productivityif demand is anelastic
L($).V2000!In order to reach their goal firm could increase price without increase productivityif demand is anelastic
ROI
ROI
If one firm share a part of new profits
the real wage of employee increases
MH*&,H*NN.-%,
FH.-,.B.(5,
A(7%,8',$&O
ROI ROI ROIROI
INFLATION
ROI ROI ROIROI
REAL WAGE DOESN’T INCREASE
W"
>G4*+$%$-6,
.)'-'7$),.+.7.-&
WAGE WITHOUT
DECENTRALISED BARGAINING
WAGE WITH DECENTRALISED
BARGAINING
SOCIAL EQUITY
WAGE WITHOUT
DECENTRALISED BARGAINING
WAGE WITH DECENTRALISED
BARGAINING
SOCIAL EQUITY
WAGE + EQUALISING ECONOMIC ELEMENT
WAGE WITH DECENTRALISED
BARGAINING
SOCIAL EQUITY
W"0
>G4*+$%$-6,.)'-'7$),
.+.7.-&"!"#$%&'(
S4&N4&,
'($.-&.8ECONOMIC
CYCLE
SKILLS
?EQUALISING ECONOMIC ELEMENT
T*)UF*(8,
+''U$-6
EQUALISING ECONOMIC ELEMENT
Based on 4 previous years
Today
Supply after 3 years (at the end of the contract
validity)
DECENTRALIZED BARGAINING
Fiscal incentives
Cost of bargain for the firm
EQUALISING ECONOMIC ELEMENT
Fiscal incentives
Absence of bargain cost for the firm
Bargain at national level
UNILATERAL INDIVIDUAL
BONUS
Fiscal incentives
Without bargain
No minimum bonus
DECENTRALIZED BARGAINING
EQUALISING ECONOMIC ELEMENT
UNILATERAL INDIVIDUAL
BONUS
EXCLUSION OF UNIONIZATION
1"!
X+&.(-*&$B.,$8.*%")*+&*,-./,-#*0(1(,&'2
BONUS
BONUS
SKILLS
VALUTATION
@'(F*(8,
+''U$-6
1"0
X+&.(-*&$B.,$8.*%"345/%-(-*60&+#*#'-+0
&%&'&*,2
Based on 4 previous years
Today
Supply today
@'(F*(8,
+''U$-6
!;"
L*&&',%')$*+.,
N.(,+*,N('84&&$B$&Y,.,
+*,)(.%)$&*
COMPLEMENTARITY
ICT
ORGANIZATION CHANGE
NEW WORK PRACTICIES
COOPERATION
GOVERNMENT
UNION LABOREMPLOYERS’FEDERATION
SIGN A
PROTOCOL AT
NATIONAL LEVEL
GOVERNMENT
UNION LABOREMPLOYERS’FEDERATION
GOVERNMENT
AS EMPLOYER FOR PUBLIC SECTOR:IMPLEMENT NEW WORK
PRACTICES AND
NEW FORM OF ORGANIZATION
GIVE FISCAL INCENTIVES ONLY TO FIRMS THAT ADOPT THEM
SIGN A
PROTOCOL AT
NATIONAL LEVEL
GOVERNMENT
UNION LABOREMPLOYERS’FEDERATION
EMPLOYERS’FEDERATION
IMPLEMENT NEW WORK PRACTICIES
AND NEW FORM OF ORGANIZATION
BARGAIN OF OBJECTIVE
SIGN A
PROTOCOL AT
NATIONAL LEVEL
GOVERNMENT
UNION LABOREMPLOYERS’FEDERATION
UNION LABOR
COOPERATION AT FIRM LEVEL IN ORDER TO INTRODUCE NEW PRACTICIES
AND OBTAIN FISCAL INCENTIVES
!!"
Z'-)+4%$'-%
!"
Q'',%$7$+*(,&',!12,
*6(..7.-&"
D'.%-!&,$7N('B.,
N('84)&$B$&5
0"
>G4*+$%$-6,.)'-'7$),
.+.7.-&,8$%)'4(*6.%,
8.).-&(*+$%.8,9*(6*$-$6
2"
M'(%&,$-8./*&$'-,
%5%&.7,
@('7,)'-&(*N'%$&$'-,
&',)''N.(*&$'-"
7/,,#0(#+-/%&07&"0%/0
7"#85,,-.-,90&0%/0+"&(+-,/