Download article in original language : IT0505307FIT.DOC
Decentralised bargaining at 'territorial' level (ie covering a particular district rather than a single company) has become more widespread in Italy over the 1996-2004 period, according to a report from the National Council for Economic Affairs and Labour (Cnel). It was previously almost entirely restricted to a few sectors, most notably agriculture and construction, but it is now spreading to areas such as crafts and services (commerce and tourism). Although still of minor importance compared with national/sectoral and company-level agreements, territorial bargaining is likely to continue to develop in future.
The national tripartite agreement of 23 July 1993 on bargaining structure and incomes policy (IT9709212F) provides for two main bargaining levels - the national industry-wide level and the decentralised level. Decentralised bargaining, within the sectoral framework, may be conducted at company level or at 'territorial' level - ie agreements signed to cover a particular district or province. Territorial bargaining has traditionally been almost entirely restricted to a few sectors, most notably agriculture and the construction industry, given their marked seasonality and fragmentation among numerous small and medium-sized enterprises (SMEs).
At present, the National Council for Economic Affairs and Labour (Consiglio Nazionale dell’Economia e del Lavoro, Cnel) - the public institute that collects collective agreements - has in its files almost 600 territorial agreements, most of them signed between 1996 and 2004. This large increase has resulted from the July 1993 interconfederal agreement and others signed by the social partners in 1992 and 1993, which specified the role of decentralised bargaining by laying down clear and definitive rules on its conduct.
According to figures published by Cnel (I lineamenti fondamentali della contrattazione territoriale, 2004), more than half of territorial bargaining (in the form of district agreements) takes place in the North of Italy (55%), while the rest is equally distributed between the Centre (23%) and the South (22%). As regards the sectors involved, most agreements are signed in construction (38%) and agriculture (31%), followed by crafts (19%) and services (9%), and then industry (3%). The coverage (ie the proportion of the national territory covered by the agreements) of territorial bargaining reaches 90%-100% for agriculture and construction, and exceeds 60% in the crafts sector. Recent years have thus seen a constant increase in territorial bargaining in sectors where it was previously rare, such as crafts (IT0007357F) and services (commerce and tourism).
Contents of bargaining
The matters most frequently addressed by territorial agreements are 'economic' (pay levels, end-of-service allowances and wage increments), the work environment, 'social questions' and industrial relations procedures/structures. As regards flexibility, in all sectors bargaining is more concerned with functional flexibility (working hours, work organisation and job classification) than contractual flexibility (part-time work, fixed-term contracts and other 'atypical' forms).
Economic provisions
Almost all territorial agreements deal with economic aspects. These often concern allowances of various kinds, but more frequently the introduction or modification of fixed and/or individual wage bonuses. Pay supplements in addition to the nationally-agreed wage are paid in the form of 'superminimi', or fixed individual or collective bonuses rather than variable performance-related ones.
Industrial relations and participative arrangements
These themes are of central concern to territorial bargaining in all sectors. As regards participative arrangements in particular, great importance is attached to regulating the workings of bipartite committees and joint bodies.
Skills levels and occupational grades
Bargaining on skills levels and grades has a significant role only in agriculture. This is due to the fact that, unlike in other sectors where these matters fall within the scope of the industry-wide national agreement, in agriculture they are referred to territorial bargaining.
Working hours
Working hours are most frequently subject to territorial bargaining in agriculture (around 80% of agreements in the sector), whose collective bargaining model has always given great importance to territorial agreements, followed by services (70%), where agreement on working hours is crucial for the management of work schedules in commerce and tourism. They are less important in construction (60%) and crafts (50%).
Social questions
This heading covers issues such as child labour, the protection of particular categories (people with disabilities, drug addicts etc) and services for workers (lodgings, after-work clubs etc). Social questions are most frequently subject to bargaining in the construction industry (80% of territorial agreements in the sector), while the frequency is around 50% in agriculture and services, and only 10% in crafts.
Supplementary measures
Supplementary measures refer to social security and welfare provisions. These are included in around 70% of territorial agreements in the construction industry and 60% in crafts, while they are of less importance in agriculture (where they are included in less than 50% of agreements) and in commerce, tourism and services (just over 20%). The measures consist largely of supplementary benefits (income support in the event of sickness and injury, specialist medical examinations, surgical operations etc). Supplementary social security is provided by a smaller number of agreements: only in crafts is there a substantial number of agreements on such measures, but they mostly consist of generic pledges.
Work environment
The work environment has an important role in territorial bargaining in agriculture and services, but less so in crafts and services, where it is dealt with by around half of agreements.
Atypical contracts
Bargaining on atypical contracts is most frequent in agriculture and services, where it is covered by 60% and 50% of agreements respectively. In the other two sectors it is of decidedly lesser importance: 30% in crafts and 10% in construction.
Women's work
In general, little negotiation takes place on this issue. Only in crafts and services does bargaining specifically concern itself with female work and equal opportunities (the latter predominantly in services, where there is a high level of female employment).
Commentary
The Italian production system consists of largely small and micro firms, in both the industrial sector and services. This feature, with the consequent fragmentation of the system among firms that apply different rules and agreements, has hindered the growth and development of a company-level bargaining system.
In order to ensure that decentralised bargaining does not solely cover the employees of medium-to-large firms in which company-level agreements are concluded, in the first half of the 1990s the social partners laid down clear and definitive rules in order to extend territorial bargaining to all firms. In fact, recent years have seen its significant development, although this is not quantitatively and qualitatively comparable to national-level bargaining. In some sectors, such as crafts and services, territorial bargaining is still at the experimental stage, although it is now well advanced.
The next few years will probably see an extension of territorial bargaining in terms of the productive sectors covered, the geographical areas covered, and the number of workers involved. (Livio Muratore, Ires Lombardia)