What Is The Function Of Collective Agreement
In most European countries, the regulation of collective agreements has changed considerably over the past decade. In addition to traditional issues such as wages, working time and termination conditions, collective agreements are increasingly being used to reach agreement on issues such as employability, work-life balance, efficiency and quality of work, and sustainability. The key role of collective agreements remains to protect workers from market forces, as a weaker part of labour relations, by reducing inequalities, although collective agreements are increasingly being used to balance employers` interests in workplace flexibility with workers` interest in workers` forms of flexibility. The rules mentioned in collective agreements are most often about working hours. These issues include, for example, systems for balancing shift work time, shift work pay and days off. The labour and employment legislation adopted by the Finnish parliament lays the foundations for collective agreements. As minimum wages are not set by Finnish labour and employment legislation, workers` wages are based on collective agreements negotiated by trade unions. Content In principle, collective agreements can deal with all issues within the scope of the collective autonomy of social partners. However, there are a number of exceptions to this principle. On the one hand, the law gives a positive delineation of the content of the agreements.
Article 5 of the Collective Relations Act stipulates that they may govern the reciprocal rights and obligations of workers and employers; relations between states that are signatories to an agreement; dispute resolution procedures resulting from individual employment contracts, the introduction of conciliation, conciliation and arbitration mechanisms. This formulation reflects the distinction made by lawyers between the mandatory and prescriptive parts of collective agreements. In addition, the law (mainly in Article 6) contains a negative delineation of the content of the agreements. First, the general limitations arise from the limits of collective autonomy itself: collective agreements must not regulate economic activities with regard to the working time of companies, the tax system and price formation. Second, there are a number of limitations on autonomy arising from compliance with constitutional and ordinary provisions, a general restriction that stems from the hierarchy of legal sources that the law itself establishes, stating that collective agreements should not restrict the exercise of fundamental constitutional rights and should not benefit from binding legislation.