Social dialogue , transition and accession to EU in Montenegro

1
Social dialogue , transition and accession to EU
in Montenegro

• Montenegrin Employers Federation
• Sofia, 25.06.2007.

2
Background

• Foundation of Montenegrin Employers Federation
• Changes in the Labor law in MNE,
• Representativity,
• Tripartite consultation,

3
Economic social council

• 4 phases in existence of Economic and Social
  Council in Montenegro,
• Phase 1 ESC established by governments decree,
  various stakeholders represented and employers
  represented by Chamber of Commerce, (until 2005)
• Phase 2 ESC out of existence (transition phase),
  (late 2005-2006)
• 3. ESC established by governments decree, with
  MEF representing employers,2007-current stage
• 4. Law on ESC, tripartite composition, MEF
  representing employers, ESC as independent body

4
Joint actions by Social Partners

• Changes of the labor code 2004.
• Tripartite meetings on various issues related to
  labor, economic, or social questions,
• Joint conferences and round tables by social
  partners, (Conference on ESC, Conference on Labor
  fund, etc.)
• Tripartite council for interpretation of National
  collective agreement,
• Good bipartite cooperation between MEF and CTUM

5
Legislative reform by social partners

• Labor code changes 2004,
• Labor law reform 2007,
• Law on Economic and Social Council
• Law on Labor dispute settlement,
• Law on Social insurance contributions,

6
International round table

• Topic Importance of Economic and social council
  on development of social dialogue in Montenegro,
• Participants Antonio Penalosa, Guy Ryder, Youcef
  Ghelab,
• Local participants Government, Trade Union
  Confederation, MEF, Major Companies, Social
  Funds, Employment agency, University, etc.

7
International round table, Conclusions

• Insistence on soonest possible establishment of
  operational ESC,
• Request for establishment of strong institutions
  of social dialogue including constitutional
  definition of ESC (in the light of the new
  Constitution)
• Inclusion of representative social partners,
• Respect to full independence, representativity,
  autonomy and non-involvement in internal affairs
  of employers and workers organizations, and the
  freedom of association,
• Respect of principle of equality of social
  partners and principle of tripartism,
• Democratic and legislative framework,

8
International round table, Conclusions

• Full cooperation with social dialogue
  institutions and ESC at European and
  international level,
• Representatives in ESC should conduct their work
  in ESC in constructive and responsible manner,
• The consensus should be sought after when
  deciding,
• Cooperation with ILO and implementation of its
  instruments

9
National tripartite agreement in Montenegro,
Background

• Minimum wage agreement
• Methodology of determination of minimal wage
• National collective agreement,
• Tripartite negotiations which lasted for 6 months

10
National tripartite agreement,outcome

• Sequential increase of minimal wage,
• Agreement on decrease of Health insurance
  contribution in rate of 2,25 a year in next to
  years,
• Agreement on decrease of other social
  contribution so that in medium term it reaches
  the level of 50,

11
National tripartite agreement,outcome

• Establishment of new ESC on tripartite basis
• Inclusion of representatives of MEF in Governing
  Boards of National Social insurance funds,
• Agreement on changes of Labor legislative
  including
• Law on ESC,
• Law on labor dispute settlement,
• Changes of Labor code,
• Changes of Local self-government Law

12
ILO International Labor Standards

• In the light of recent independence and accession
  to ILO of Montenegro, ESC is to play important
  role in
• Ratification of key ILO Conventions,
• Implementation of ILO instruments,
• Reporting to ILO on application of standards,

13
Preconditions

• Strong independent employers and workers
  organization with adequate technical and HR
  capacities, and with adequate access to relevant
  data necessary for successful participation in
  Social dialogue,
• Strong political will and commitment by the
  government and other social partner to facilitate
  and contribute to development of social dialogue,
• Respect of fundamental right of association and
  collective bargaining,
• Adequate institutional support,
• Substantial equality of social partners,