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FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

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Page 1: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

FAC TS AND ANALYS I S 2008

Employer perspectives on local authorities and county councils

Page 2: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

Swedish Association of Local Authorities and Regions

Hornsgatan 20, 118 82 Stockholm,

Phone +46 (0)8-452 70 00, Fax +46 (0)8-452 70 50

[email protected], www.skl.se

© Swedish Association of Local Authorities and Regions

Project manager and editor: Örjan Lutz

Phone +46 (0)8-452 74 82

Graphic design and production: ETC

Photography: Vince Reichardt/VOL

Printed by: Modintryckoffset 2008

isbn: 978-91-7164-349-0

Page 3: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

Local Authorities and County Councils in SwedenSweden is divided into 290 local authorities and 20 county councils. The

local authorities and county councils exercise independent political control

and have their own areas of responsibility. The degree of autonomy is high.

Their task is to meet the needs generated by common public interests in

their geographical areas. The county councils are responsible for those tasks

that require a somewhat larger population base, for example healthcare.

The local authorities (municipalities) have a more sharply-defined local

base and are responsible, for example, for schools and the provision of

social services. Together, the local authorities and county councils consti-

tute the major part of the Swedish public administration system. The local

authorities have approximately 815 000 employees, while the corresponding

figure for the county councils is 270 000. Together, this accounts for almost

one third of the Swedish labour force.

Swedish Association of Local Authorities and RegionsThe Swedish Association of Local Authorities and Regions monitors and

represents the interests of the local authorities and county councils in

Sweden. This assignment includes acting as an employers’ organisation and

it is from this perspective that the report has been written.

The term ”county council” as used here also includes Region Skåne and the

Västra Götalands Region.

Page 4: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

PrefaceIn the report “Employer Perspectives on Local Authorities and County

Councils” the Swedish Association of Local Authorities and Regions

(salar) highlights some of the employer policy issues that we believe to be

of the highest priority. salar sets high standards for its employer policy, as

do the members of the Association. The aim is to contribute to effective

operations and to the creation of attractive and interesting workplaces. Our

hope is that the everyday working lives of the approximately 1.1 million

employees in the local authorities and county councils will be continuously

improved by our work.

The jobs in the local and regional government sectors are in general

attractive. The percentage of young people who could consider working in

the local authorities or county councils has also increased in recent years.

Although certain changes in attitudes can be seen, however, this is still not

the view that characterises these jobs in the eyes of the public. One reason

for the general – rather gloomy view – of workplaces in the local and regional

government sectors may be that we have not sufficiently presented our view

of how employer policy is conducted and our position on the issues.

In this year’s report, we continue our efforts to create an understanding

of, and provide knowledge about, the way we address employer policy is-

sues. Each year, we highlight and analyse some of the issues that we believe

are particularly important to work with and describe. This year, these

issues are local pay formation, responsibility for the work environment, the

eu and employer issues and alternative forms of operation. The report is

primarily intended to act as a channel of communication to the media, the

government, parliament, the authorities and other stakeholders. Experience

has shown, however, that our members also find the report useful.

An extensive round of collective bargaining in the local authorities and

county councils took place throughout last year. It has become very appa-

rent that employer issues in the local authorities and county councils have

an impact on many people. They also affect many different levels, from an

individual workplace in a small local authority to the development of the

national economy at large. It is this complexity that also makes these issues

so interesting.

Agneta Jöhnk

Employer Policy Division

Swedish Association of Local Authorities and Regions

Page 5: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

5

cOntents

Contents

Local pay formation 6

Responsibility for the work environment 12

The EU and employer issues 22

Alternative forms of operation 31

Facts 35

Page 6: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

Local pay formation

In its role as an employers’ organisation, the Swedish Association of Local Authorities and Regions (salar) signs pay agreements with central labour organisations. These agreements give all of our members, i.e. the local authorities, county councils and regions, the scope to determine, on the basis of their respective situations, both the level of pay and how pay should be distributed in the various operational areas. In this way, salar creates the framework for local pay formation.

The central pay agreements normally specify either a minimum level for pay

increases or they do not define any level for pay increases at all and contain

to the least possible extent individually guaranteed pay increases or specific

pay levels for, for example, minimum pay. The agreements thus presuppose

that each employer will decide what pay levels and pay increases are needed

to provide high-quality services and give the right signals to existing and

future employees. This provides a sound basis for local pay formation.

Analysing the situation on the labour market (situational analysis) is a

fundamental basis for pay formation. One of the main responsibilities of

every employer is of course to adopt a situational perspective and at the same

time have a well-considered strategy for how pay should develop in the vari-

ous operational areas over the next few years. Employers that fail to see what

is happening on the wider labour market, and to notice the trends that beco-

me visible when other sectors of the labour market sign new pay agreements,

will probably be in for an unpleasant surprise when it becomes apparent that

their own ideas about what is an appropriate pay structure no longer hold

water. Local authorities and county councils have long planning horizons for

their budget work. It is therefore vital that they continually strive to update

their knowledge about trends on the labour market as a whole.

Local and regional government employers are usually well aware of

the pay levels that prevail in neighbouring local authorities and county

councils. However, their outlook cannot be limited to this – it is neces-

sary to carefully analyse the alternative labour markets that exist for their

employees in order to take into account those employer that offer terms

and conditions that may appear to be attractive alternatives. The terms

and conditions do not necessarily have to entail the same or higher levels

of pay as those available elsewhere in the region, but the local and regional

government employers must know what these levels are in order to assess

the possibility of retaining and recruiting personnel. This should then be

followed by an overall assessment of various working conditions in which

pay and the development of pay are of course natural components.

6

LOcaL pay fOrmatiOn

Page 7: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

The aim of local pay formationLocal pay formation is an important element of local self-government.

From this point of view, it vital that the employers have a decisive influence

over the levels of pay and pay increases and over how pay is distributed.

There are several reasons for this.

•Theemployeesarethemostimportantoperationalresource. The local authorities and county councils are personnel-intensive organi-

sations that place high demands on the expertise and know-how of their

employees and the contribution these employees make to target-fulfil-

ment and operational development. It is of decisive importance to the

quality of their operations that the local authorities and county councils

can retain and recruit personnel with the right competence. Local pay

formation is an important precondition for succeeding in this.

• Taxrevenuesmustbeusedasefficientlyandeffectivelyaspossibleonthebasisoftheconditionsthatprevailineachlocalauthorityandcountycouncil.

The economic and operational conditions, as well as the priorities of the

elected representatives, differ widely from one employer to another. Pay

is the largest item in the budget, usually accounting for approximately 70

per cent of the total. This is why it is important that the local authorities

and county councils are able to pay wages and salaries that are in line with

the prevailing local conditions.

• Itshouldbepossibletochangethepayrelationshipbetweendifferentgroupsofemployees.

Changes in values or in job content may lead local authorities or county

councils to believe that the pay level of one group should be changed

in relation to that of another. It must be possible to make such changes

within the framework of an effective pay formation system.

•Expectationsregardingindividualpay There are expectations on the part of employees regarding individual

rates of pay that are determined in a dialogue between the manager and

the employee concerned. It is in the course of this dialogue on results

and pay that the preconditions for target-fulfilment and operational

development are created.

The local authorities and county councils thus hold the view that

pay formation should take place at each individual employer. salar has

therefore been assigned to make this possible by means of agreements

with the central labour organisations. This is an assignment that carries

a great deal of responsibility, but it also places a lot of responsibility on

the shoulders of every individual employer.

7

LOcaL pay fOrmatiOn

Page 8: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

Is the aim being achieved? Successful local pay formation presupposes that every employer adopts a

position on the need for pay increases, the desirable pay structure and so

on. It is thus quite natural that variations between employers and between

different years arise with regard to both pay levels and pay trends. The

employers should therefore analyse various aspects of their situation in

order to be able to describe their view of pay and pay increases. There is an

element of danger in the view that success in the local pay formation pro-

cess relates to how large a pay increase various employee categories receive

in the pay reviews.

One of the points sometimes made by the labour organisations is that

the employees feel that their managers do not have the authority to set

pay. This is probably an indication of the problem that not all managers

see themselves as representatives of the employer. The behaviour of the

managers is one of the core issues as far as faith and confidence in the local

pay formation process is concerned. All managers at all levels are in fact

representatives of the employer and are expected to share the employer’s

view and see their role in the whole process with regard, for example, to

the assessments made and the priorities and positions adopted. This is a

cornerstone of local pay formation.

This works well at most employers. Variations are natural, and the

central pay agreements are based on the idea that there can and should

be different processes – and different outcomes – at different employers.

A different process must never mean, however, that employers decline to

work with pay formation at all and adopt no position on pay structure and

pay increases, or that this work appears to be unclear to the labour organisa-

tions and their members.

8

LOcaL pay fOrmatiOn

Page 9: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

Preconditions for achieving the aimIn order to take a holistic approach to pay policy in both operational and

budget terms, the employers need to acquire overall knowledge of the am-

bitions and needs of the various operational areas. It is only then that the

priorities can be set and the decisions made that are deemed to be necessary

with regard to overall operational and budget responsibility.

A clear and clearly-described employer policy is crucial to the creation

of confidence in the employer as a pay setter. This requires thorough work

on the part of the employer, which also involves the elected representati-

ves. This is necessary if the employers are to be able to present their views

on pay distribution and pay structure issues, for example the pay relations-

hip between different occupational groups.

Unfortunately, it sometimes happens that the groundwork required on

the part of the employers is underestimated in terms of both scope and

time. salar devotes a lot of effort to communicating the aims of the central

agreements, which are all based on local pay formation.

Local pay formation in the futureLocal pay formation must always be defended and it is the task of every em-

ployer to do so. The way that the employers act “at home” basically shapes

the way that their employees and the trade union representatives perceive

local pay formation. At present, it is possible to distinguish at least three

important factors that will affect the future of local pay formation and thus

the application of the central pay agreements in their current form. These

factors are the budget, the discussion and the manager.

9

LOcaL pay fOrmatiOn

Page 10: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

the budgetThere is really no labour organisation that questions the fact that the em-

ployers have a framework for total pay increases. The difficulties arise with

those employers who, on a mathematical basis, distribute the total budget

funds available for pay increases between the various operational areas

down to the level of the smallest organisational unit. Such a procedure

makes it difficult for each individual manager to set priorities and make ne-

cessary changes in the pay relationship. This is a dilemma for the employers

as they are also subject to strict demands to stick to their budgets.

The holistic approach to operations and budgets that the employer at

the central level is expected to take requires, as mentioned above, know-

ledge about the ambitions and needs of the various operational areas. This

in turn undoubtedly requires that there are well-developed channels from

the employer at the central level to every operational area and from the

operational areas to the employer’s strategic level. There is certainly more

that can be done here to create an understanding and a shared view of the

pay policy stances taken by the employer.

the discussionAccording to the pay agreements, pay reviews should be conducted in the

form of a discussion between the manager and the employee. The discus-

sion results in a proposed pay level and pay is then set after checking with

the relevant labour organisation. It is not, however, the pay increase of each

individual employee that is checked but the process as a whole. How the

discussion is perceived by the manager and the employee depends of course

on what they expect it to contain.

The agreements presuppose that the manager can justify the proposed

pay level in relation to targets, expectations, requirements and the results

achieved by the employee. Of course, this in turn presupposes that both

the manager and the employee are prepared and make an effort to really

10

LOcaL pay fOrmatiOn

Page 11: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

discuss these points. The discussions are thus not negotiations in the

traditional sense, but the manager must be able to answer the employee’s

questions and accept responsibility for the answers given.

If questions are instead referred to other levels of the organisation

then the manager concerned and the method for setting pay itself will lose

legitimacy.

the managerIt is clear from the description above that the managers play a key role in

any discussion of local pay formation, and this means managers at all levels

of the organisation. It is also clear that the type of pay agreement that now

applies in the local authorities and county councils demands courageous,

insightful managers with a high level of integrity. It is therefore important

to continue to invest in the development of leadership and management in

the local and regional government sectors.

If we are to be able to sign collective bargaining agreements in the

future that provide scope for local pay formation, then every employer

must live up to and accept responsibility for the intentions of the collective

bargaining agreements. This is vital to the attractiveness of the sectors and

to the ability of the local authorities and county councils to recruit new

employees with the skills and know-how required.

summaryLocal pay formation makes it possible for all the members, •whether they are local authorities or county councils, to decide on the level of pay and the distribution of pay in their operations on the basis of their own situation.

Local pay formation is an important element of local self-•government.

A successful local pay formation process presupposes that •every employer adopts a position on the need for pay increases and the desired pay structure.

In order to be able to take a holistic approach to pay policy •in operational and budget terms, the employer must have overall knowledge of the ambitions and needs of the vari-ous operational areas.

The behaviour of the employer “at home” basically shapes •the way that their employees and the trade union represen-tatives perceive local pay formation and determines their faith in the process.

11

LOcaL pay fOrmatiOn

Would you like to know more?

Please contact the Swedish Association of Local Authorities and Regions, telephone: 08-452 70 00Marianne Hörding, e-mail: [email protected]

Page 12: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

Responsibility for the work environment Working life is in a state of constant change. Flexibility, restructuring programmes and organisational changes are always topical. Development has had positive effects on working conditions but it has also sometimes led to problems relating to the work environment. The work environment in Sweden, however, is among the best in the world. The incidence of work-related fatal accidents, injuries and occupational diseases is among the lowest in Europe.

Nevertheless, stress and other psychosocially-related problems are in-

creasing. Factors relating to the organisation of work that are particularly

important to the work environment are that the responsibilities and limits

of the work concerned are well-defined and well-communicated, the degree

of influence and development available to the individual, how leadership is

exercised and the balance between working life and private life.

The most common causes of occupational diseases in the local authoriti-

es and county councils are load factors. These are followed by organisational

and social factors. The number of reported occupational diseases has stea-

dily declined over the last five years, mainly in the areas mentioned above.

Sick leave related absence in the local authorities, county councils and regions

has also fallen over the last few years. Whereas the sickness rate was previous-

ly extremely high, the level is now more normal, at least in terms of those

receiving sick pay. This also means that the rate of decline has slowed down.

12

respOnsibiLity fOr the wOrk enVirOnment

occupationaldiseases

accidents in connection

with travel

accidents at work

localauthori-

ties

countycouncils

localauthori-

ties

countycouncils

localauthori-

ties

countycouncils

2000 429 116 947 331 4692 990

2001 255 80 1092 329 5028 1031

2002 141 40 984 329 4971 986

2003 91 29 911 307 4809 950

2004 61 19 1037 354 4967 962

Occupationaldiseases,accidentsinconnectionwithtravelandaccidentsatworkinlocalauthoritiesandcountycouncils,2000–2004

sOurce: afa försäkring

Page 13: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

13

respOnsibiLity fOr the wOrk enVirOnment

Sick leave related absence with sickness benefit and sickness allowance in the local authorities, –

0

1

2

3

4

5

6

7

8

9

10

Sjukersättning

Sjukpenning

20072006200520042003200220012000199919981997

Sickness allowance

Sickness benefit

%

Trend for absence with sickness benefit or sickness allowance, part or full-time, for at least 30 consecutive days. Percentage of total employed.

Sick leave related absence with sickness benefit and sickness allowance in the county councils, –

0

1

2

3

4

5

6

7

8

9

10

Sjukersättning

Sjukpenning

20072006200520042003200220012000199919981997

Sickness allowance

Sickness benefit

%

Trend for absence with sickness benefit or sickness allowance, part or full-time, for at least 30 consecutive days. Percentage of total employed.

sOurce: bipartisan pay statistics

Page 14: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

14

respOnsibiLity fOr the wOrk enVirOnment

Age and gender distribution for sick leave related absence in the local authorities,

%

Män

Kvinnor

Totalt----

källa: den partsgemensamma lönestatistiken

Age

-

Women

Men

Age and gender distribution for sick leave related absence in the county councils,

%

Män

Kvinnor

Totalt----

källa: den partsgemensamma lönestatistiken

Age

-

Women

Men

Age and gender distribution for sick leave related absence in the county councils,

%

Män

Kvinnor

Totalt----

källa: den partsgemensamma lönestatistiken

Age

-

Women

Men

Age structure in cases of absence with sickness

benefit of at least 30 consecutive days in

2007, by gender. Percen-tage of total employed

in the respective gender and age intervals.

Age structure in cases of absence with sickness

benefit of at least 30 consecutive days in

2007, by gender. Percen-tage of total employed

in the respective gender and age intervals.

sOurce: bipartisan pay statistics

Age and gender distribution for sick leave related absence in the local authorities,

%

Män

Kvinnor

Totalt----

källa: den partsgemensamma lönestatistiken

Age

-

Women

Men

Page 15: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

With their 1.1 million employees, the local authorities and county councils

account for 28 per cent of the Swedish labour force. The performance of

the employees is crucial to the quality of the services provided –services

that affect the welfare of everyone who lives in Sweden. In order to coun-

teract working conditions that entail unacceptably high levels of stress and

strain, the local authorities and county councils have a primary responsi-

bility to take measures to address risks and shortcomings in working

conditions. It is the elected representatives who are the employers and who

therefore shoulder the main responsibility for a good work environment.

Individual employees also have a responsibility to contribute to an

acceptable work environment, as do the trade unions’ health and safety

representatives.

Work environment management in the local authorities and county councilsDeveloping the work environment and working conditions is an integral

part of the day-to-day effort to run and develop the operations concerned.

There are various tools that aim to give structure to this work. Fas (which

in Swedish stands for Renewal – Work Environment – Co-operation) is a

collective bargaining agreement that supports employers, employees and

trade union organisations in their efforts to develop operations and wor-

king conditions. saM, the Swedish Work Environment Authority’s statute

on Systematic Work Environment Management (aFs 2001:1), declares that

the representatives of the employer, i.e. the managers, in co-operation with

the employees and the health and safety representatives, shall: produce a work environment policy that describes what •the working conditions should be, draw up written routines that describe how work •environment management should be conducted,allocate work environment duties linked to powers and resources •between managers and supervisors and document this in writing, inform the employees and managers about the work •and any associated risks,investigate the operations and assess the risks in the work •environment regularly and in connection with planned changes and document this in writing, immediately address risks and deficiencies in the work environment •and draw up a written action plan for measures that cannot be taken immediately,investigate accidents and serious incidents at work and produce •an annual written report on the accidents, incidents and injuries/ diseases that have occurred,annually follow-up how the systematic environmental management •process is functioning and make changes when necessary,when necessary, employ the occupational health service which has •

expertise in the field.

15

respOnsibiLity fOr the wOrk enVirOnment

Age and gender distribution for sick leave related absence in the local authorities,

%

Män

Kvinnor

Totalt----

källa: den partsgemensamma lönestatistiken

Age

-

Women

Men

Page 16: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

As mentioned above, it is the employer who has the main responsibility for

the work environment. The elected representatives on every board or com-

mittee that has operational responsibility are thus responsible for ensuring

compliance with the Work Environment Act and other relevant legislation.

However, actual work environment measures and activities must in practice

be conducted and performed by the managers and employees in the course

of their daily work and in connection with the development of the opera-

tions concerned. One of the important tasks of the elected representatives

is therefore to ensure that the duties of managers and supervisors are well

defined and that they have the powers, resources and know-how required to

run good operations with satisfactory work environment conditions so that

risks can be prevented and faults corrected. By powers we mean the right to

make decisions and take measures. By resources we mean financial resour-

ces and access to personnel, equipment, premises, time and knowledge.

The main principle is that the most senior manager has the main

responsibility, unless responsibility for the work environment has been

delegated to another person or function in a clear and distinct way. In

local authorities and county councils, it is important that there is a written

agreement that is signed by the person who delegates the responsibility and

by the person who accepts it.

If there is no such written agreement, or if it is unclear, then the actual

responsibility for the work environment may remain at a higher level. In

16

respOnsibiLity fOr the wOrk enVirOnment

Page 17: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

some cases, a work environment responsibility is accepted for tasks associa-

ted with a certain post, for example in the case of managers with responsi-

bility for personnel.

Note, however, that the boards and committees (the elected represen-

tatives) always have ultimate responsibility for the work environment and

must regularly check that work environment management is being conduc-

ted effectively. Otherwise, measures must be taken.

salar wishes to underline three important messages on the manage-

ment of the work environment:

Most of the work on the work environment, and certainly the best, •

is carried out at the workplace. The management, the health and

safety representatives and the employees are usually well aware of,

and have experience of, the work environment issues that need to be

addressed and have ideas on how the problems can be solved at the

same time as the operations can be strengthened. Supporting local

efforts to safeguard and improve the work environment is therefore a

question of strategic importance. This means that the work is based

on the operations concerned and the context in which the opera-

tions take place.

Delegate – but do not abdicate. Making it possible for managers •

and supervisors to act as managers is of decisive importance to

work environment management and to the operations as a whole.

Responsibilities, powers and resources should therefore be clearly

allocated to them. The development of work environment mana-

gement should also be followed up. The main responsibility always

remains with the employer.

All changes have an impact on working conditions, both positive •

and negative. A good way of preventing negative effects in connec-

tion with changes is for the management to work together with the

employees and the health and safety representatives to analyse the

potential risks and then take measures to prevent them. Such a risk

assessment should be an integral part of the background material on

which decisions about changes are based.

The Finspång case – an important legal principle at stake The question of the responsibility for the work environment on the part of

elected representatives and employees came up recently in a case before the

Göta Court of Appeal that attracted a lot of attention. A local government

politician and the head of a local government department were brought to

trial and sentenced for breaches of the Work Environment Act. The case

concerned the responsibility for the work environment in connection with

a fatal accident that occurred during the demolition of a local authority

building in Finspång. The council had given the planning and building

committee permission to demolish a series of huts next to a school. The

17

respOnsibiLity fOr the wOrk enVirOnment

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demolition work was carried out by personnel from the local authority’s

employment unit, a unit for people who had found it difficult to establish a

foothold on the labour market. During the work, the building collapsed and

a 57-year old disabled man was crushed to death by a wall.

The council had previously decided to reorganise its administration and

employer responsibility for this unit was changed in connection with this

reorganisation. When the demolition work was carried out it was unclear

whether it was the executive committee or the social services committee

that was responsible for the activities of the unit.

The court noted that demolition work is dangerous work that requires a

work environment plan. No such plan existed, nor was there any delegation

of the responsibility for the work environment. Supervision at the work-

place was inadequate and mistakes were made as a result. The construction

and engineering department had been involved in the project from an early

stage. The head of this department, who was also the person who gave the

order to begin the demolition work, was considered to be responsible for

the accident. The chairperson of the executive board (an elected represen-

tative) was also considered to be responsible as the highest representative

of the operations of the local authority.

Both the chairperson and the head of department appealed the judge-

ment of the court.

The court noted that the legislation on the work environment had been

disregarded. The employer should have inspected the work environment at

the site. The employees should have been informed about, and trained to

deal with, the risks involved in the demolition work. A work environment

plan should also have been drawn up. There was a direct cause-and-effect

link between the failure to inspect the work environment, the lack of a

work environment plan and the fatal accident.

The head of department was considered to be negligent in that he failed

to ensure that a work environment plan was drawn up before the demo-

lition work began or at least made sure that such a plan would be drawn

up. Due the earlier reorganisation it was difficult to determine who held

employer responsibility for the employment unit at the time of the acci-

dent. The executive board was the body responsible for clarifying this. The

chairperson had personally noted that the reorganisation had led to a num-

ber of uncertainties. These uncertainties should have led the chairperson

to ensure that there was a clear division of roles regarding the employer’s

18

respOnsibiLity fOr the wOrk enVirOnment

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work environment responsibility which in turn would ensure that the local

authority’s work environment activities could be conducted in accordance

with the law. By failing to do so the chairperson was considered to be guilty

of negligence and to be criminally responsible for the mistakes made.

SALAR on responsibility for the work environmentThe Local Government Act stipulates that the local government depart-

ments are controlled by the elected representatives on the respective boards

and committees. The elected representatives act as the employer, and work

environment issues are an important component of their work. The em-

ployer has the main responsibility for the work environment, which in the

local authorities and county councils means that the elected representatives

on each board or committee are responsible for ensuring that the Work

Environment Act is complied with within the areas allocated to the board

or committee by the council. One of the important tasks of the elected

representatives is to make sure that the assignment given to managers and

supervisors is well defined and that they have the powers, resources and

know-how required to run good operations under acceptable work envi-

ronment conditions. Another important task of the elected representatives

is to regularly follow up the conduct of work environment activities and to

take measures if so required.

The Finspång case may be seen as an individual judgement of little

importance in terms of principle. The case relates mainly to the unclear

division of political responsibility for the employment unit following the

reorganisation of the local authority’s administration. The court considers

that the executive committee has a responsibility to clarify the work envi-

ronment responsibility of the other boards and committees in those cases

where the situation is uncertain. The chairperson of the executive com-

mittee can also be held criminally responsible if he or she is aware of such

uncertainties but due to negligence fails to do anything about them.

Inspection of the work environmentsalar monitors the interests of its members in relation to the Swedish Work

Environment Authority and its inspection activities. salar works in various

consultative bodies for a sound balance between the Authority’s demands re-

garding inspection and statutes on the one hand and the needs and interests

of the members on the other.

Several players are involved in the effort to improve work environment

conditions in the local authorities and county councils. The Work Envi-

ronment Authority is unique in the sense that it is the only player that can

take action against work environments where conditions are considered

to be unacceptable by imposing sanctions. Most of the regulations on the

work environment do not carry direct sanctions if they are breached, but

the Authority can pursue its demands by imposing injunctions or bans that

carry either the threat of a fine or a penal sanction.

19

respOnsibiLity fOr the wOrk enVirOnment

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20

respOnsibiLity fOr the wOrk enVirOnment

The Work Environment Authority directs its planned inspections at those

operations that are assessed to generate most stresses and strains. A large

part of the Authority’s other inspections take place when health and safety

representatives and others call for the intervention of the Authority or in

connection with the investigation of actual occupational injuries and so

on. The Authority increasingly conducts its inspection work in the form of

projects in which several districts are involved to achieve improvements in

specific sector or within a specific area.

At present, the Authority is devoting a lot of interest to activities in the

local and regional government sectors. Some of the inspections relate to the

work environment responsibility of the elected representatives. salar has

in several contexts pointed out to the Authority that contact and consul-

tation with salar when planning this inspection project would have been

appropriate. salar has also produced a document entitled “Responsibility

for the Work Environment in the Local Authorities and County Councils

and the Role of the Elected Representatives” which presents salar’s views

on these issues. The document takes up, for example, the support and

advice that the local authorities and county councils are offered with regard

to current work environment issues, including in connection with the

inspections of the Work Environment Authority.

The government has required the Work Environment Autho-rity to make considerable savings, which has led to significant cutbacks in its operations. The central office of the Authority, including the central inspection department, has been cut by approximately half. Regional inspection activities have also been affected by an estimated 25 per cent.

An overall review of all of the regulations in the work environment field is

currently underway. This review is being conducted by the Work Environ-

ment Authority in co-operation with the social partners, including salar.

salar is working for the abolition of unnecessary regulations and to ensure

that the remaining regulations are more comprehensible and instructive.

salar is also working to ensure that the Authority – in its legitimate

inspection assignments – acts with knowledge about, and an understanding

of, the conditions that prevail in the operations of the local authorities

and county councils. An ongoing dialogue between the Authority and the

operations it is responsible for inspecting is a central precondition for the

ability of the local authorities and county councils to achieve the improve-

ments required. Finally, it should be noted that the activities of the local

authorities and county councils are regulated by several different laws that

do not fully harmonise with each other and that several other authorities

also carry out inspections. Good co-ordination between the inspection

activities of the authorities is vital.

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Wouldyouliketoknowmore?Please contact the Swedish Association of Local Authorities and Regions, telephone: 08-452 70 00

Ragnar Kristensson, e-mail: [email protected]

summary

In the local authorities and county councils, the elected •representatives on every board and committee are responsible for compliance with the Work Environment Act within the areas allocated to the board or commit-tee by the council.

One of the important tasks of the elected representati-•ves is to ensure that the duties of managers and super-visors are well defined and that they have the powers, resources and know-how required to run good opera-tions under acceptable work environment conditions so that risks can be prevented and faults corrected.

saLar• is working to get the Work Environment Authority to take into account the complex regulatory frameworks and the special operational demands that govern the activities of the local authorities and county councils.

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The EU and employer issuesThe room for manoeuvre of the local authorities and county councils is increasingly affected by decisions made at the EU level. salar is a member of a number of European organisations that deal with employer issues and also participates actively in the social dialogue between the social partners at the EU level. By playing an active role at the EU level, salar can influence the design of future EU legislation which will in turn affect the preconditions on the Swedish labour market.

One of the overriding aims of salar at the European level is to safeguard

the labour market model that has been so successful in Sweden for such a

long period of time. This model is based on negotiations between the social

partners in which they accept responsibility for and resolve any problems

or issues that arise, as well as negotiating on pay and conditions. This also

means that the legislation that exists largely gives the social partners the

scope to conclude collective bargaining agreements that partly or wholly

22

the eu and empLOyer issues

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replace the legislation. There are similarities between the way that Sweden

and the other Nordic countries view the role of the social partners and this

model is therefore usually referred to as the Nordic model. The fact that

the partners can negotiate solutions also means that there is flexibility in

the system and this strengthens the ability of the members to succeed in

their role as employers.

Employer policy priorities at the EU levelsalar strives to be a social partner that influences Swedish and European

working life. Certain issues are given particular priority in this work.

The social dialogue is an established consultative procedure and process

between the European Commission and the social partners at the Euro-

pean level. The aim is to encourage the participation of the partners in

the development of labour market issues and the dialogue is confirmed in

the regulations of the EU treaty. salar’s aim is to strengthen and enhance

the role of the social dialogue on the basis of a Swedish employer-policy

perspective.

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There is an established structure within the eu for conducting a dialogue,

including negotiations, between European labour market organisations.

This is usually referred to as the cross-sector social dialogue and it is con-

ducted between the private-sector employers affiliated to BusINesseurOPe

and the public-sector’s employers’ organisation CeeP on the one hand and

the eTuC on the other.

salar and Pacta are members of the employers’ organisation for public-

sector employers and companies within the sector, CeeP. salar is also a

member of an organisation for local authorities and county councils, CeMr.

salar also participates in two social dialogues between the social

partners at the sector level. The first of these is the sector dialogue for local

and regional government that takes place via the Employers’ Platform of

the CeMr. The opposite parties in this context are the public-sector trade

unions at the European level that are affiliated to ePsu.

The second sector dialogue in which salar participates is the European

hospital dialogue through the organisation’s membership of the employers’

organisation for European health authorities and employers in the care

sector, HOsPeeM, which in turn is a member of CeeP. The opposite party is

ePsu.

The social dialogue gives the partners great opportunities to influence

the content of proposals and initiatives produced within the eu at an early

stage. There is therefore a strong link between the social dialogue and the

monitoring of the interests of the local authorities and county councils

with regard to issues other than purely labour market issues at the eu level.

The social dialogue in the eu and its role and development will be a

central factor in the operations of the local authorities, county councils and

regions for a long time to come. As major employers, the more than 100 000

local authorities, county councils and regions in Europe play an important

role in influencing, developing, and implementing the intentions, plans

and decisions of the European Commission at the local level. It is therefore

necessary that there is an established link between the decision-making

process that takes place in the social dialogue and the democratic decision-

making process in Europe’s local authorities, county councils and regions.

salar’s ambition is that the flexibility and the faith in the ability of the

social partners to resolve issues themselves that characterise the model in

Sweden and the other Nordic countries will be adopted and utilised in the

social dialogue.

The Lisbon Strategy is a joint strategy for sustainable growth and employ-

ment drawn up the European Council. Since the Strategy was launched in

2000, work has been underway to drive economic reforms, strengthen social

cohesion and promote environmentally-sustainable development within

the eu. Work on the strategy will continue until 2010 and at the halfway

checkpoint in 2005 the European Council decided that the Members States

should each present an annual national action plan for growth and em-

24

the eu and empLOyer issues

Social partners in Europe

BUSINESSEUROPE – employers in the private sector

CEEP – European Center of Enter-prises with Public Participation and of Enterprises of General Economic Interest

CEMR – Council of European Municipalities and Regions

CEMR EP – Council of European Municipalities and Regions – Employers’ Platform

EPSU – European Federation of Public Services Unions

ETUC – European Trade Union Confederation

HOSPEEM – European Hospital and Healthcare Employers’ Association

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ployment within the framework of the eu’s common growth strategy. The

social partners, including salar, play an important role in the implementa-

tion of the Strategy.

Gender equality is one of the areas of priority in the work of the Com-

mission and the ongoing review and implementation of the policy on

gender equality will affect all of the Member States. A review and possible

tightening-up of anti-discrimination legislation will also affect the activi-

ties of the Swedish local authorities, county councils and regions and the

members of Pacta.

Integration in working life is an issue that salar works with actively. This

issue will be affected partly by the approaching review of the common Eu-

ropean anti-discrimination legislation and partly by the continued pressure

on all of the Member States to accept and integrate third-country refugees.

The question of third-country labour immigration will also be monitored

in the ongoing work of the Member States.

SALAR – an active member of CEEPCeeP is an employers’ organisation for publicly-owned companies and

public-sector employers, and for companies that supply services of so-called

general economic interest irrespective of the companies’ legal status and

ownership. Approximately 200 companies and organisations that together

have more than 17 million employees are members of CeeP. The members

are State-owned companies, privately-owned companies and federations

of local, regional and State authorities, administrative bodies and employer

organisations that operate in the public sector. The members hold either di-

rect membership of CeeP or of one of the national sections. By participating

in CeeP’s work in the social dialogue, the members receive information on

current eu issues at an early stage and have the possibility to influence CeeP’s

positions on important issues already during the drafting process.

A Swedish CeeP section was formed in 1993 ahead of Sweden’s accession

to the European Union. The aims of the section are to promote the interests

of its members by providing advice and support within CeeP’s operational

areas, collecting and providing information from CeeP and co-ordinating the

activities of the section. Five employer organisations are members of the

section: salar, the Swedish Agency for Government Employers, KFs, Pacta

and Fastigo.

CeeP is together with BusINesseurOPe and the eTuC one of the three re-

cognised social partners in the cross-sector social dialogue. This means that

CeeP participates in negotiations on framework agreements at the European

level and co-operates continuously with the other partners in the dialogue.

Each year, CeeP issues a large number of statements and recommendations,

individually or jointly with other organisations, on current legislative issues

and other issues at the European level. CeeP also participates in the work on

the enlargement of the eu and in the sector and macroeconomic dialogues.

25

the eu and empLOyer issues

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Issues to be monitored in the CEEPThe current joint working programme of CeeP, BusINesseurOPe and the

eTuC covers the period 2006-2008. In 2008, two issues of particular im-

portance will be monitored:

The approaching negotiations on a framework programme for •

employment and a framework programme on the integration of disad-

vantaged groups on the labour market and/or lifelong learning.

The follow-up of the framework agreement on work-related stress and •

harassment and violence in working life and the framework program-

me on gender equality.

CeeP will also monitor the European Commission’s various proposals on

new eC directives (e.g. on the protection of employees in employment

agencies and on supplementary pensions) and the review of various

existing eC directives, e.g. the directives on working hours, the transfer

of operations, the framework agreement on parental leave and employees

stationed abroad. In addition to this there will be consultations with the

European Commission on issues that are important from the employers’

point of view.

SALAR – an active member of CEMR EPCeMr’s Employers’ Platform, CeMr eP, is a committee within CeMr that

was formed in 1994 to represent the local authorities, county councils and

regions on employer issues at the eu level. The assignment is:

to comment on the initiatives taken by the European Commission in •

the field of the labour market and to act as a forum for the exchange

of information between the local authorities and the regions/county

councils in their role as employers,

to attempt to influence the work of the Commission by issuing •

statements and joint statements together with the organisation for

public-sector employees at the eu level, the ePsu,

to interpret, and for the local authorities and regions evaluate, the •

results of the negotiations between the partners in the cross-sector

social dialogue at the eu level,

to support the development of the social dialogue at the local level. •

Since it was formed, CeMr eP has established close co-operation with the

trade union organisation for public-sector employees, ePsu. This co-operation

was first expressed in the form of joint conferences and then in the form

of joint statements. In 2004, the organisations were officially recognised by

the Commission as social partners in a sector dialogue for local and regional

government, the Social Dialogue Committee for Local and Regional Go-

vernment. Today, more than 11 million employees are nationally covered by

collective bargaining agreements signed by the local authorities and regions

26

the eu and empLOyer issues

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of Europe – most of these employees are members of national trade unions

which are in turn affiliated to the ePsu.

The first decision made by the dialogue committee was, in 2004, to

adopt the negotiated agreement on telework that had previously been

concluded between BusINesseurOPe (then called uNICe), CeeP and the

eTuC. The committee has subsequently submitted four statements to the

Commission, for example on the Commission’s Green Paper on the moder-

nisation of European labour law, which was the only bipartisan statement

among the more than 400 responses to the Commission in the referral

process.

The setting up of the dialogue committee for local authorities and

regions/county councils has presented salar with additional opportunities

at the European level to influence labour market issues in line with the

traditions and practices that exist on the Swedish labour market.

For the period 2008 – 2010, CeMr eP and the ePsu have agreed to focus

on the following issues:

Third-party harassment and violence. •

Support the development of labour market •

relations in the new Member States.

Evaluate various forms for the provision of welfare services.•

Gender equality and the possibility to balance work and private life.•

The integration of citizens who find themselves excluded •

from working life.

27

the eu and empLOyer issues

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Issues to be monitored in CEMR EPIn 2008, salar will especially monitor two issues in CeMr eP.

Evaluate various forms for the provision of welfare services. The aim is in

part to study the different effects of changes in the way that public services

are provided (from the local authorities, regions or county councils to

other service providers such as private players, co-operatives, collabora-

tions between several suppliers etc.), and whether the change process was

preceded by local co-operation between the employer and the employees/

trade unions.

For salar and its members it is important to learn from the experience

gained in bipartisan work at the eu level as the results can be expected to

be of great interest to Sweden’s local authorities and county councils. This

is because the same change process is now underway in Sweden too.

salar is contributing to this co-operation project with two examples:

“TioHundra” (Ten Hundred) – a project conducted by the Municipality of

Norrtälje and Stockholm County Council – and the collaboration between

the emergency and rescues services in Östra Skaraborgs Fire and Rescue

Services Association.

Third-party harassment and violence. The Commission has contacted all

of the social partners at the sector level and called on them to begin a dis-

cussion of harassment and violence from third parties directed at employ-

ees in the respective sectors.

In November 2007, salar’s negotiating delegation decided to give the

Swedish delegation to CeMr-eP, with its Swedish chairperson Åke Hillman,

a mandate to discuss and elaborate together with the ePsu issues relating

to harassment and violence from third parties directed at employees in our

sectors. This issue is very important to us as employers with responsibi-

lity for the work environment at the workplaces in the local and regional

government sectors. The issue will also be addressed in the sector dialogue

in the hospital sector.

SALAR – an active member of HOSPEEMHOsPeeM is a European employers’ organisation in the hospital sector which

was formed in 2005 by members of CeeP. A year later, HOsPeeM and the

ePsu, with the support of the Commission, formed a sector committee for

the social dialogue in the European hospital sector. salar has been a mem-

ber of HOsPeeM since 2006. Three joint issues/working groups have been

given priority by the partners in the European hospital sector:

Recruiting and retaining personnel. •

Training and development for employees. •

Active ageing in the hospital sector. •

The employers’ organisation HOsPeeM has members in 12 eu countries.

Norway, Finland and Latvia participate as observers.

”Declaration on health services in the eu”. HOsPeeM’s and the ePsu’s joint

declaration on health services states, among other things, that it is not the

28

the eu and empLOyer issues

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29

the eu and empLOyer issues

task of the eu to introduce market and/or competitive mechanisms in the

healthcare sector, which would lead to lower standards and higher costs and

reduce accessibility to healthcare, and that healthcare should be organised

on the basis of common European values such as solidarity, justice and

social equalisation. It is important to safeguard the independence of the

Member States in connection with the implementation of these national

areas of responsibility.

”Code of conduct and follow-up on ethical cross-border recruitment and

retention in the hospital sector”. The partners in HOsPeeM and the ePsu have

agreed on a proposal for a code of conduct with ethical guidelines for the

recruitment of healthcare personnel between the countries in the eu. HOs-

PeeM and the ePsu note, for example, that unethical recruitment procedures

in the eu lead to differences in, and unnecessary loads on, the healthcare

systems. The code of conduct is one step towards dealing with this problem

and aims to promote ethical procedures and stop unethical working met-

hods for the cross-border recruitment of healthcare personnel. The code,

once it has been signed, will be introduced by the organisations affiliated to

HOsPeeM and ePsu and it should be applied within three years of its adop-

tion. salar, Kommunal (the municipal workers’ union), sKTF (the union for

local government officers), the Swedish Association of Health Professionals

and the Swedish Medical Association will discuss a joint translation and

interpretation of the code of conduct.

HOSPEEM – EPSUSince 2000, CeeP and subsequently HOsPeeM have established close co-

operation with the equivalent public-sector employees’ organisation at the

eu level, the ePsu’s Healthcare Committee. In 2006, the organisations were

officially recognised by the Commission as social partners in a sector dialo-

gue referred to as the Social Dialogue Committee in the Hospital Sector.

This dialogue committee, which is primarily for county-council pro-

vided healthcare, presents further opportunities for salar to attempt to

influence labour market issues at the European level. The committee has,

for example, issued a statement to the Commission on the approaching

proposal on a healthcare directive and adopted ethical guidelines for the

recruitment of healthcare personnel in the eu/ees (a code of conduct).

For the period 2008 – 2010, HOsPeeM and ePsu have agreed on a joint

working programme that focuses on:

Third-party harassment and violence.•

Needle sticks injuries.•

Strengthening the social dialogue in the hospital sector •

in the new Member States and candidate countries.

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Wouldyouliketoknowmore?Please contact the Swedish Association of Local Authorities and Regions, telephone: s08-452 70 00

Claes-Håkan Jacobson, e-mail: [email protected]

summary

saLar• is a member of a number of European organisations that address employer issues.

The social dialogue, the Lisbon Strategy, gender •equality and integration in working life are issues of particular priority for saLar at the eu level.

saLar• , together with other employer organisations, co-operates closely with most of the European employees’ organisations.

saLar’s• work at the eu level makes it possible for Sweden to influence labour market issues and future eu legislation in line with the traditions and practices that exist on the Swedish labour market.

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Alternative forms of operationA number of structural changes and transformation processes are underway in the local and regional government sectors. Several operations have long been run in limited-company form, which makes group governance and a shared view of employer issues increasingly important. Various forms of co-operation between local authorities, county councils and other players have also become more common, and private players are running operations in more areas.

The trend towards private players running operations on behalf of local

authorities and county councils has accelerated in recent years. What we

are seeing now, above all in the large cities, is an increase in the number of

applications to the National Agency for Education to set up independent

schools. We are also witnessing an increase in the number of hive-offs from

local authorities and county councils, primarily with regard to home-help

services, preschools and local medical centres, with applications from the

personnel to form private companies to run these operations.

Future scenarioIn 2006, the Research Institute of Industrial Economics (IFN) estimated in

a report that the potential for opening local authority and county council

operations up to competition amounted to between eur 11,9 billion and

eur 22 billion. The report was based on a cautious scenario, an interme-

diate scenario and a bold scenario and studied schools, childcare, eldercare,

healthcare and dental care. salar has estimated that these volumes would

correspond to 200 000–400 000 jobs.

31aLternatiVe fOrms

Of OperatiOn

billion euro

cautious scenario bold scenario

schools 2,2 5,9

childcare 2,9 3,2

eldercare 4,8 4,8

healthcare 1,9 7,9

dental care 0,02 0,2

total 11,9 22,0

Potentialforintroductionofcompetitionincertainoperationalareas,2006

at exchange rate: eur 1 = sek 9,40sOurce: research institute Of industriaL ecOnOmics

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Assuming that competition was introduced over a period of 10 years, this could

lead to the addition of 500–1 000 new companies in the welfare sector per year.

At present, there are 1.1 million employees in the local and regional go-

vernment sectors. Given the scenarios presented by IFN, almost 40 per cent

of the employees could have an employer other than the local authority or

the county council in the future.

Impact on employer issues in the sectorCurrently, salar negotiates and signs collective bargaining agreements for

all of the local authorities and county councils. These collective bargaining

agreements are in all essentials based on a common foundation irrespective

of which employee organisation is the opposite party. Considering that the

agreements cover 1.1 million employees, they are also the most widely used

agreements on the labour market.

The local authorities and county councils are large organisations with

many employees, even though the numbers range from just over 300

employees in the local authority of Bjurholm to approximately 50 000 in

Stockholm County Council and the Västra Götaland Region. The variation

in the size of the members and in the range of their operations of course af-

fects the form and structure of the agreements as all of the members have to

be able to apply them. This also means that salar must maintain high and

extensive expertise and know-how in the field of employer issues.

The companies that already exist or that are now being formed as the

result of corporatisation, joint ventures or hive-offs have in most cases

considerably fewer employees than the members of salar. At present, most

of them have from a few employees up to a hundred or so. Many of the

people who start these companies are experts in their fields but have little

experience of what it takes to be an employer. This places great demands on

the owner when a company is formed and competence is required in several

areas in addition to expertise in the specific operational field concerned. Em-

ployer policy issues are many and varied. New owners must as employers ini-

tially sign agreements with the employees’ organisations, sign employment

agreements with the personnel, procure pension and insurance schemes,

produce information material for the employees, calculate pension costs,

draw up a personnel budget and procure advice and support on employer

issues. As employers, the owners must also handle issues relating to the work

environment, labour law, personnel development, pay setting and so on.

As salar is an employers’ organisation for local authorities and county

councils it cannot sign agreements for the companies that are formed in the

local and regional government sectors. Today, most of these companies are

primarily affiliated to one of five other employers’ organisations. This means

that employees who work in healthcare, care, the schools etc. may be cove-

red by different collective bargaining agreements depending on which orga-

nisation the employer has chosen to join. It also means that there is a certain

amount of competition between the various employers’ organisations.

32aLternatiVe fOrms Of OperatiOn

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SALAR and PactaThe transformation of local government operations to other forms of

operation that has been underway for quite some time now led the two

predecessors to salar as employer organisations, the Swedish Association

of Local Authorities and the Federation of Swedish County Councils, to

offer employer services to associations of local authorities and to companies

owned by local authorities and county councils, as well as to other compa-

nies that wished to apply local authority agreements.

In 1999, the employers’ federation Pacta was formed with the aim of

facilitating the transformation process for local authority associations and

companies which, irrespective of ownership, wanted to apply the same col-

lective bargaining agreements as the local and regional government sectors.

Pacta has a close relationship with salar. This means, for example, that

the board of Pacta is identical to the political delegation within salar that

handles employer issues. It also means that salar’s consultation and other

services with regard to the interpretation and application of the collective

bargaining agreements, as well as the advice the organisation provides on

other employer issues, must ensure a high level of quality and uniformity.

As mentioned above, the transformation process has clearly accelerated

in recent years. Pacta has grown dramatically since it was founded and now

has approximately 400 members with a total of around 37 000 employees.

The members of Pacta represent all the operations of the local authorities

and county councils, for example preschools and schools; companies in

the healthcare and eldercare sectors; rescues services; property, energy and

sewage and sanitation companies; companies in the tourism and leisure

industries and local authority and regional associations. Membership is still

increasing rapidly and it is estimated that the number of members will be

almost 450 by the end of 2008.

This trend places new demands on the employer services provided by

salar, particularly in the case of the work that is done for the members of

the employers’ federation Pacta. It means that salar, which has mostly been

used to dealing with large organisations, must adapt so that small members

with partly different needs can also be served satisfactorily. Over the course

of only a few years, the contacts that salar’s personnel have with the mem-

bers have more than doubled. salar must also learn about new issues and

problems that form part of the everyday lives of the small companies but are

not part of the experience of the local authorities and county councils.

As the transformation of local government operations to other forms of

operation is expected to increase, the salar Congress held in 2007 decided

that “salar will work, through the employers’ federation Pacta, to be an

employers’ organisation with a high degree of representation among local

authority associations and companies that – irrespective of ownership –

work within the sector.”

In those cases where local authorities and county councils have decided

to transform operations that were previously run as elements of public

33aLternatiVe fOrms

Of OperatiOn

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administration to alternative forms of operation, Pacta will facilitate the

transformation process by offering membership.

By choosing Pacta as its employer organisation a company will, irrespecti-

ve of who owns it, be covered by the same collective bargaining agreements

as the local authorities and county councils. The company can therefore:

retain well-tried and tested and well-established •

agreements for its employees,

simplify the transition from the local authority •

or county council to the company,

retain terms and conditions of employment •

that the employees are familiar and comfortable with.

Employees who are involved such a transformation process initially

have questions about the future and possible changes in their terms and

conditions of employment. They respond positively when they are told

that these terms and conditions will remain unchanged. This is one of the

reasons why many employers choose to affiliate to Pacta.

For local authorities and county councils who plan to run certain

operations in companies or local authority associations there are also other

reasons for joining Pacta. One of the clearest advantages is that the owner

and the companies will be covered by the same collective bargaining agree-

ments, which means that:

a common employer policy in the group is facilitated,•

organisational and ownership changes are facilitated,•

the pension costs will be more predictable.•

summary

An extensive structural transformation of the operation •of welfare services is underway which means that an increasing number of operations are run by companies instead of by local authorities and county councils.

In • 2006, the Research Institute of Industrial Econo-mics estimated that the potential for opening up local authority and county council operations to competition amounted to between eur 11,9 billion and eur 22 billion, which according to saLar’s calculations means between 200 000 and 400 000 jobs.

The employers’ federation Pacta has a close relationship •with saLar and aims to facilitate the transformation process for local authority associations and companies that, irrespec-tive of ownership, wish to apply the same collective bargain-ing agreements as the local authorities and county councils.

Wouldyouliketoknowmore?Please contact the Swedish Association of Local Authorities and Regions, telephone: 08-452 70 00

Staffan Löwenborg, e-mail: [email protected]

34aLternatiVe fOrms Of OperatiOn

Page 35: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

FactsSome facts on the personnel situation in the local authorities and county councils.

Page 36: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

Gender distribution of employees by sector,

State %

County councils %

Local authorities %

Private %

State %

County councils %

Local authorities %

Private %

Gender distribution of employees by sector,

State %

County councils %

Local authorities %

Private %

State %

County councils %

Local authorities %

Private %

sOurce: statistics sweden shOrt-term empLOyment statistics, 4th Quarter 2007

36facts

County councils %

Local authorities %

State %

Private %

Distribution of employees by sector,

County councils %

Local authorities %

State %

Private %

Distribution of employees by sector,

sOurce: statistics sweden shOrt-term empLOyment statistics, 4th Quarter 2007

Page 37: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

37facts

Fact

s on

em

ploy

ees

(ind

ivid

uals

) in

the

loca

l aut

hori

ties

and

cou

nty

coun

cils

, 20

07

(inc

Ludi

ng t

hOse

On

LeaV

e)

sOu

rce:

bip

arti

san

pay

sta

tist

ics

loca

l au

tho

riti

esco

un

ty c

ou

nci

lsto

tal

all

wo

men

men

all

wo

men

men

all

wo

men

men

paid

a m

On

thLy

saL

ary

720

500

575

200

145

300

254

300

205

900

48 4

0097

4 80

078

1 10

019

3 70

0

- fu

LL-t

ime

empL

Oye

es49

9 50

037

4 40

012

5 10

020

4 70

016

0 00

044

700

704

200

534

400

169

800

Of

wh

ich

wO

rkin

g pa

rt-t

ime

72 2

0065

300

6 80

046

500

42 9

003

600

118

700

108

200

10 5

00

- pa

rt-t

ime

empL

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1 00

020

0 80

020

200

49 6

0045

900

3 70

027

0 60

024

6 70

023

900

paid

an

hO

urL

y ra

te94

700

77 4

0017

300

14 2

0010

600

3 60

010

8 90

087

900

20 9

00

tota

l81

5 20

065

2 60

016

2 60

026

8 50

021

6 40

052

10

01

083

70

086

9 0

00

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70

0

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100

59 5

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20 9

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2 50

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77 9

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tem

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00

Page 38: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

38facts38facts

% % % 80% %

020406080100

%%%%%

/

/

-

()

()

Average pay of the 15 largest occupations in the local authorities, 2007Employees on a monthly salary incl. those on leave.

at exchange rate: eur 1 = sek 9,40

sOurce: bipartisan pay statistics

Page 39: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

39facts

39facts

Values for groups with less than 50 employees are not presented.

¹ Including biomedical analysts, outpatient care

² Including biomedical analysts, in-patient care

% % % % %

%%%%%

020406080100

/

/

, ²

, ¹

.

-

-

()

()

Average pay of the 15 largest occupations in the county councils, 2007Employees on a monthly salary incl. those on leave.

at exchange rate: eur 1 = sek 9,40

sOurce: bipartisan pay statistics

Page 40: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

40facts

Jobs in the local authorities and county councils per employee organisation, Employees on monthly salary including those on leave and employees on an hourly rate

Landsting

Kommuner

'

,

,

'

källa: den partsgemensamma lönestatistiken

County councils

Local authorities

swedish medical

association

swedish teachers’

council

academic alliance

sktf, swedish association for

managerial and professional

sta�, ssr

swedish muncipal workers’

union

swedish association

of health professionals

Jobs in the local authorities and county councils per employee organisation, Employees on monthly salary including those on leave and employees on an hourly rate

Landsting

Kommuner

'

,

,

'

källa: den partsgemensamma lönestatistiken

County councils

Local authorities

swedish medical

association

swedish teachers’

council

academic alliance

sktf, swedish association for

managerial and professional

sta�, ssr

swedish muncipal workers’

union

swedish association

of health professionals

sOurce: bipartisan pay statistics

An employed individual may have more than one

job, e.g. two part-time jobs in two different oc-cupations. The Swedish

Teachers’ Council includes the Swedish

Teachers’ Union, the Na-tional Union of Teachers

in Sweden, the Swedish Association of School

Principals and Directors of Education and the Swedish Association of Folk High School

Teachers.

Total pay including employers’ contributions in accordance with legislation and agreements in the local authorities and county councils, 2007

annual total pay (eur) 1% equals (eur)

local authorities 27,3 billion 273 million

county councils 11,8 billion 118 million

total 39,1 billion 391 million

at exchange rate: eur 1 = sek 9,40

sOurce: bipartisan pay statistics

Relates to total pay for employees as of 1 November 2007 con-

verted to an annual total including employers’ contributions in ac-

cordance with legislation and agreements.

Page 41: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

41facts

Age distribution by gender in the local authorities,

020000400006000080000100000

Timavlönade

Månadsavlönade

-

-

-

-

-

-

-

-

-

-

källa: den partsgemensamma lönestatistiken

Hourly rate

Monthly rate

20000 40000

020000400006000080000100000

Timavlönade

Månadsavlönade

�0-19

�20-24

25-29

�30-34

�35-39

�40-44

�45-49

�50-54

�55-59

�60-64

�65–70�

sOurce: bipartisan pay statistics

Age distribution by gender in the county councils,

0 5000 10000 15000 20000 25000 30000 35000

Timavlönade

Månadsavlönade

-

källa: den partsgemensamma lönestatistiken

Monthly rate

Hourly rate

10000 5000

0 5000 100001500020000250003000035000 10000 5000

05000100001500020000250003000035000

Timavlönade

Månadsavlönade

�0–19

�20–24

�25–29

�30–34

�35–39

�40-44

�45–49

�50–54

�55–59

�60–64

�65–70

Page 42: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

42facts

Number of jobs in the largest occupations in the local authorities, Employees on monthly salary including those on leave

Män

Kvinnor

/

-

/

källa: den partsgemensamma lönestatistiken

Men

Women

Number of jobs in the largest occupations in the local authorities, Employees on monthly salary including those on leave

Män

Kvinnor

/

-

/

källa: den partsgemensamma lönestatistiken

Men

Women

Number of jobs in the largest occupations in the county councils, Employees on monthly salary including those on leave

Women

Men

.

/

,

/

,

1 including biomedical analysts, outpatient care2 including biomedical analysts, in-patient care day/night

källa: den partsgemensamma lönestatistiken

Number of jobs in the largest occupations in the county councils, Employees on monthly salary including those on leave

Women

Men

.

/

,

/

,

1 including biomedical analysts, outpatient care2 including biomedical analysts, in-patient care day/night

källa: den partsgemensamma lönestatistiken

sOurce: bipartisan pay statistics

An employed individual may have more than one job,

e.g. two part-time jobs in two different

occupations.

An employed individual may have more than one job,

e.g. two part-time jobs in two different

occupations.

¹ including biomedical analysts, outpatient care ² including biomedical analysts, in-patient care day/night

Page 43: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

¹ including biomedical analysts, outpatient care ² including biomedical analysts, in-patient care day/night

Page 44: FACTS AND ANALYSIS 2008 Employer perspectives · FACTS AND ANALYSIS 2008 Employer perspectives on local authorities and county councils

s-118 82 Stockholm, Visitors Hornsgatan 20

Phone +46 (0)8-452 70 00, Fax +46 (0)8-452 70 50

[email protected], www.skl.se

The aim of this series of annual reports is to create an understanding of, and provide knowledge about, the way we address employer policy issues. Each year, we will highlight and analyse some of the issues that we believe are of the highest priority and most important for our work. This year, these issues are local pay formation, responsibility for the work environment, the eu and employer issues and alternative forms of operation.

Employer perspectives on local authorities and county councils

Printed materials from the Swedish Association of Local

Authorities and Regions can be ordered on www.skl.se

or by calling:

Phone +46 (0)20-31 32 30, Fax +46 (0)20-31 32 40

The report can also be downloaded from www.skl.se

isbn: 978-91-7164-349-0