Setting up and running a successful trade union organization The Swedish experience with an international outlook MANUAL LABOUR MARKET DIALOGUE 2 3 About this manual This manual is intended for trade unions within the Labour Market Dialogue Ukraine project (LMDU), in connection with the capacity building workshops for trade unions and employers. The content is in line with the presentations made by the experts during the workshops. The manual is made primarily as a guide for those who are setting up, building, developing and managing national or sectoral (branch) trade union organizations dealing with collective bargaining and other union issues. The experience and examples are mainly chosen from the Swedish system. Much of it is based on the author’s personal knowledge from a long career in Swedish trade unions, with added European and global trade union outlooks. It very much relies on the author’s own experience of what does and does not work in day-to-day practice. The Swedish blue collar trade union IF Metall, a merger of the Swedish Industrial Workers’ and the Swedish Metal Workers’ Union, is used as a model of Swedish trade unions in this manual. Examples from other Swedish unions are also used, especially from the Unionen, a newly merged large white-collar union organization. Naturally, the Swedish experience cannot be automatically transposed to Ukraine, but hopefully this guide will be a good basis for further discussion and useful for the trade union organizations of Ukraine. Even if the wordings at times have the character of “good advice”, this manual should not be considered as any policy statement. Such a statement must be outlined by the trade unions themselves. Stockholm, February 2010 On behalf of the LMDU Expert Team Henning Carlsson © Labour Market Dialogue 2010 4 5 CONTENTS About this manual 3 Introduction 7 The challenges of trade unions 7 Key areas in organization building 8 Chapter 1 Trade union governance 9 1.1 Sound governance 9 1.2 The Statutes 11 1.3 Membership 12 1.4 Institutions of governance 17 1.5 The Structure of the Organization 19 1.6 International trade union activity 20 1.7 The Staff 21 Chapter 2 Building demand-driven services, activities and training 22 2.1 Main tasks 22 2.2 Advisory services 23 2.3 Activities 23 2.4 Training 28 Chapter 3 Strategic planning 31 3.1 Key elements 31 3.2 Vision 32 3.3 Strategic priorities 33 3.4 Objectives and Activity Plan 34 3.5 Evaluation 35 Chapter 4 Communication 36 4.1 Elements of communication/information 36 4.2 Target groups 37 Chapter 5 Advocacy 41 5.1 What is Advocacy? 41 5.2 Advocacy policy and strategy 41 5.3 Advocacy tools 41 6 7 Introduction The challenges of trade unions Trade unions exist first and foremost for their members. In many countries they play an important role as independent, competent and responsible organizations that contribute to the development not only of the labour market but also of civil society. This is mostly done in good cooperation with employers’ organizations and governments, for instance by strengthening democracy through participation in social dialogue, but also by training members to take part in the democratic procedures within their own union. This in turn gives union members knowledge and tools to improve their ability to take active part in democratic civil society as well. It also creates valuable opportunities to promote the interests of the union and its members. This of course is a good model also in a country like Ukraine, which is in a transition period into a market economy. The current situation for employees and trade unions is strongly affected by the fast and large changes in the surrounding world. Jobs are changing; companies are sold and move abroad. Cross-border trade is increasing and countries are growing more and more dependent on each other. We see changes involving an unprecedented global industrial structural transformation. The labour force of the free world market has trebled in the course of twenty-five years. Many new countries and companies participate in the international division of labour, create new values, contribute to new knowledge and offer new markets. This has brought about a remarkable sharpening of competition in traditional branches. Companies must adjust to the new situation in order to stay competitive and survive in a global economy. They will chose different strategies. Whatever strategies they will use, consequences for the workers and their trade unions are bound to follow. We recognize the effects of globalization in our own workplaces in various ways. Companies want more flexibility as to employment forms and wage systems. They will also increase the part of leased staff and short-term employments, to be able to adjust their work organization to customer demand. Many jobs disappear due to technical changes and other jobs get a new content related to new demands. A consumer of today has other demands and expectations on a producer or a service provider than a consumer of yesterday. Unions must also give heed to the companies’ needs for competitive strength and growth, for the benefit of employment, development and job security. Hence trade unions face many challenges when all these factors related to globalization create demands on union members to organize their activities to meet new needs. This has been the case for trade unions in Sweden and other countries with a long experience of acting in a market economy environment. Obviously, the Ukrainian unions, still in the process of changing their role from an earlier economic system into the life of a private global market economy, are very much aware of this shift. 8 A vital necessity for countries in transition is to develop independent, competent and representative organizations in the labour market, for trade unions as well as for employers. To be really legitimate for their members, it is important for the organizations to establish democratic structures and decision-making procedures. Other means for trade unions to meet the present challenges are to improve their cooperation with other unions in the country, for instance through coordination in collective bargaining and other relevant issues of common interests. The globalization of economy, industry and trade also makes it important and necessary for the unions to establish and maintain international trade union contacts and cooperation, through membership in relevant international trade union federations. This is a recommendable approach for Ukrainian unions in the transition period. By doing so, the Ukrainian unions acquire knowledge from sister organizations with a long experience of union activity in market economy countries. The greatest future challenge of all for trade unions is to recruit new members. Recruitment is a never-ending process and must be included in the core strategy for the future in all unions. Key areas in organization building This manual will cover the most important circumstances, situations and platforms, the basic principles, structural features and driving forces that have to be considered when setting up and running a successful trade union organization – in short, the key areas in organization building. As a readable format is desirable, the manual does not claim to be exhaustive. In the first place, attention is paid to situations that frequently occur in the real life of a trade union organization; to a great extent this means dealing with day-to-day business and practical matters within the organization. The identified key areas and chapters are: • Trade union governance • Building demand-driven services, activities and training • Strategic planning • Communication • Advocacy 9 Chapter 1 Trade union governance 1.1 Sound governance Sound governance is the foundation upon which a successful trade union organization is built. It is important that an organization has the necessary institutions and tools to ensure credibility, integrity and authority in all its activities. Failures in good governance damage the reputation and reduce the effectiveness of the organization, and have a negative impact on the reputation of those it seeks to represent. Bad governance is also detrimental to the recruitment of new members. Especially in countries in the midst of reform and transition, as Ukraine, it is essential that trade union organizations provide good examples of sound governance practice, since governance models from an earlier regime may be inferior. 1.1.1 Key factors for a sound trade union To establish the capacity to run a strong and successful trade union, it is necessary to regularly review the strength and unity of one’s own organization, the competence of its members and their representatives, and the functioning of the institutions and the tools. Weak, splintered unions do not have the ability to act for their members as a heavy counter-weight to well managed companies and employers’ organizations, nor can they be respected in the civil society. A well-developed and strong trade union may be described as having: • Legitimacy through a high level of member density • An efficient representation and defence of its members • A foundation of democratic values and a well functioning internal democracy • Good cooperation with other trade unions • Recognition and influence as an actor in civil society and on the political scene 1.1.2 Independent, democratic and competent structures The main task for trade unions is to consolidate their influence and enhance their capacity to protect all employees. In order to do so, the unions must strive to make their organizations relevant to the employees, and make them see the advantage of trade union membership. This requires independent and democratic union structures. Accordingly, unions must be representative and competent in order to attract potential members, and be accepted by the civil society as serious actors.