Does Sectoral Collective Bargaining Have a Future?

In this episode of the Wild Side podcast we look at the merits of sectoral collective bargaining, how the Global Employee Relations Leader should view sectoral deals in the countries they cover, and the questions they should be asking when faced with mandatory wage awards. Bargaining at the multi-company level, often supported by legislative extensions of the outcomes to all employees, has long been a feature of Western European and South American employee relations. The system came under pressure during the 2007-2008 financial crisis when steps were taken to maintain the system by allowing companies in difficulty to derogate from sectoral agreements they couldn't afford.

Key Takeaways:

• How to identify power-based and rights-based countries. [2:07]

• Understanding erga omnes extension provisions of OECD countries. [4:32]

• Nordic countries' agreements are not extended by law. [6:42]

• Germany’s dual system of employee relations. [8:58]

• Sectoral collective bargaining agreements in Latin America and the United States. [12:13]

Resources: 

HR Policy Association

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