Collective agreements are scarce in Baltic subsidiaries of Nordic companies

(Helsinki 9.1.2006 &#;8211 Juhani Artto) The Nordic countries are well-known for their high unionisation rate and collective agreements’ essential role in the labour market. Nordic companies have long tradition of dealing constructively with union organisations. Therefore one could assume that Nordic companies would apply the same pattern in their operations in the Baltic States.

However, ground-breaking studies, made by the Finnish researcher Markku Sippola, give proof of another company policy towards trade unions. Collective agreements are scarce in Baltic subsidiaries of Nordic companies. The low unionisation rate is not the only factor explaining the scarcity of collective agreements as in many cases the companies themselves have discouraged their employees to organise.

A résumé in English on Markku Sippola’s studies has been made by Aleksi Kuusisto at the Labour Institute for Economic Research. It was published on the web 22 December 2005 by EIRO. Research examines position of unions at Nordic companies’ operations in Baltic States.

This article was first published in English in Trade Union News in Finland