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Do in-plant alliances foster employment?

Beschreibung

"In-plant alliances that tailor specific deviations from sectoral collective agreements on wages and working time are intended to hold down labor costs. These agreements enable reorganizations to respond to an imminent economic crisis or to improve competitiveness. They encourage social partners to take greater responsibility for employment issues. Both unions and works councils agree to such contracts because they see them as inevitable to avoid severe employment losses. Thus, these alliances substantially unburden public employment policy.<br> In-plant alliances can be good for employees because wages agreed in sectoral collective agreements may lead to severe employment losses during an economic crisis or if in-plant restructuring seems necessary to sustain or improve competitiveness. And their specifically tailored wage concessions, as well as flexible working-time arrangements and reorganizations, can be good for employers -- and in the long term for employees. So policymakers should encourage the social partners to conclude in-plant alliances." (Author's abstract, IAB-Doku) ((en))

Zitationshinweis

Bellmann, Lutz (2014): Do in-plant alliances foster employment? An instrument for responding to an imminent economic crisis or for increasing firm competitiveness. (IZA world of labor 79), Bonn, 10 S. DOI:10.15185/izawol.79

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