In June 2007, trade unions and employer organisations in the Italian chemicals sector signed an innovative agreement regarding the industrial relations system. The agreement allows trade union and company representatives, in specific cases, to establish norms by way of derogation from the national collective agreement. The agreement defines the guidelines for managing such derogations and proposes the establishment of a National Bargaining Commission.
On 29 June 2007, the social partners in the chemicals sector signed a national industrial relations agreement, which represents an innovative development in industrial relations. The trade unions involved include: the Italian Chemicals, Energy and Manufacturing Workers’ Federation (Federazione Italiana Lavoratori Chimica Energia Manifatture, Filcem-Cgil), the Energy, Chemicals and Allied Industries Federation (Federazione Energia Moda Chimica e Affini, Femca-Cisl) and the Italian Chemicals, Energy and Manufacturing Workers’ Union (Unione Italiana Lavoratori Chimica Energia Manifatturiero, Uilcem-Uil). The employers were represented by the National Federation of the Chemical Industry (Federazione Nazionale dell’Industria Chimica, Federchimica) and the National Pharmaceutical Industry Federation (Federazione Nazionale dell’Industria Farmaceutica, Farmindustria), both affiliated to Confindustria.
Bargaining structure
The bargaining structure in Italy is regulated by the Agreement of 23 July 1993 and by a consolidated tradition of complete adherence to the national collective agreement, as established by Italian law. The agreement of 1993 envisages two levels of bargaining: national level and company or regional level. The national collective agreement plays a central role and establishes general terms and conditions, which cannot be adversely modified at company level. Decentralised bargaining can only intervene in matters closely linked to the company or region; such interventions must also be anticipated in the national collective agreement and must integrate, rather than substitute for, the standards set at national level.
Content of new agreement
The June 2007 agreement provides for the possibility to derogate from the national collective agreement in the following two situations:
- when the company is experiencing a particular difficulty and when the agreement could help to overcome this crisis;
- in order to favour new investment that makes it possible to consolidate and develop the company and protect employment.
At the same time, two areas are highlighted in which derogation is not permitted and which remain exclusively governed by the national collective agreement:
- the irrefutable individual rights established in the national collective agreement and by law;
- the minimum salary, as stated in the national collective agreement.
In all other matters, the company agreement – in the specific situations mentioned above – can now intervene by way of derogation from the conditions established in the national collective agreement.
Process for negotiating agreements
At company level, the social partners can now negotiate agreements by way of derogation (in line with the aforementioned guidelines). Such agreements will come into effect when approved unanimously by a National Bargaining Commission, formed by representatives of the organisations that signed the agreement of 29 June.
The commission will evaluate such aspects as:
- the company situation and its prospects;
- bargaining matters covered in the derogation;
- the duration of the agreement, up to a maximum of four years;
- the clear communication of the agreement to the workers through various information channels.
If the national collective agreement is renewed while a company agreement by way of derogation is still valid, the social partners must meet in order to assess the consequences. Company agreements by way of derogation cannot be signed during the three months preceding the expiry of the national collective agreement.
Reactions of social partners
All of the sectoral partners who signed the agreement expressed their approval. The President of Federchimica, Giorgio Squinzi, believes that the chemicals sector has ‘little interest in ideological disputes regarding the supremacy of one of the two bargaining levels’. Mr Squinzi added that the agreement demonstrates ‘how it is possible to find a balance between national and company-level bargaining so that the differing needs of various companies can be catered for’.
Femca-Cisl General Secretary, Sergio Gigli, stated that the agreement was reached thanks to the excellent relations between the social partners in the sector. According to the General Secretary of Uilcem-Uil, Augusto Pascucci, the possibility of stipulating agreements by way of derogation ‘helps the chemicals sector to sustain the industrial competition imposed by the market, to direct company decisions and to favour the development of industrial relations’.
However, a difference of opinion has emerged within the General Confederation of Italian Workers (Confederazione Generale Italiana del Lavoro, Cgil). The General Secretary of Filcem-Cgil, Alberto Morselli, supports the agreement, underlining that the National Bargaining Commission will have an important role to play in protecting workers from any attempts to undermine fundamental rights. Conversely, the General Secretary of the Italian Federation of Agroindustrial Workers (Federazione Lavoratori Agro Industria, Flai-Cgil), Franco Chiriaco, reacted negatively. He was joined by the General Secretary of the Federation of White and Blue-collar Metalworkers (Federazione Impiegati Operai Metallurgici, Fiom), Gianni Rinaldini, and the General Secretary of the Italian Federation of Wood, Building and Allied Industry Workers (Federazione Italiana Lavoratori Legno Edili e Affini, Fillea), Franco Martini. They argue that this type of agreement decentralises the national collective agreement and does not respect the guidelines established in the latest Cgil congress.
Commentary
The agreement was facilitated by the positive and specific characteristics of industrial relations in the chemicals sector. There has always been a good level of cooperation and sense of responsibility between trade union and employer representatives in the industry.
Nevertheless, the agreement creates some problems in the industrial relations system as a whole. The Italian trade unions are completely divided: most of Cgil is in favour of maintaining the current level of centralisation in bargaining, while the Italian Confederation of Workers’ Trade Unions (Confederazione Italiana Sindacati Lavoratori, Cisl) and the Union of Italian Workers (Unione Italiana del Lavoro, Uil) support a more decentralised system.
The agreement should favour decentralisation, with the possibility of a form of bargaining between partners which better suits the situations of individual companies and regions, without interfering with the role of national bargaining.
Vilma Rinolfi and Domenico Paparella, Cesos