Denmark+Feb+22 - Employment Relations in Denmark Feb.22,...

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Employment Relations in Denmark Feb.22, 2011
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Political Context Constitutional monarchy Political parties: Venstre (Liberal), Social Democratic, Danish People’s, Socialist People’s, Conservative, Social Liberal, New Alliance, Unity List. Prime minister: Lars Løkke Rasmussen , a coalition of the Liberal Party and the Conservative
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Legal Context “September Compromise” between LO and DA institutionalized collective bargaining Strong decentralized unions and small employers—a comprehensive labor system in 1910 Self-regulation, no specific laws governing trade unions and employer associations except legislation on freedom of association Challenges of EU regulations: affect the balance between collective bargaining and legislation Secondary legislation for the unorganized sector on EU directives e.g. working hours, part-time employment, works councils Abolition of closed-shop agreements Immigrant workers are not subject to local negotiated wages Ghent system An arrangement in some countries whereby the main responsibility for welfare payments, especially unemployment benefits, is held by trade unions, rather than a government agency. Denmark, Finland, Sweden, Belgium (hybrid or quasi-Ghent) Voluntary membership (vs. mandatory unemployment insurance) Boost union membership by providing incentives to join and retain membership, even when unemployed.
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Unemployment rates: 12% in 1992 and 5% in 2002
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Employers Small employers dominate Danish Employers’ Association (DA): the largest employers’ confederation, strongly centralized power structure More than 40% of private sector labor market are not members of any employers’ association (therefore “adoption agreement” corresponding to CB)
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Denmark+Feb+22 - Employment Relations in Denmark Feb.22,...

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