Notes
Slide Show
Outline
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Industrial Relations in France‑ Environments and Ideology
  • Lecture 1 of 4
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Administrative
  • Reading for Next Class


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Review
  • Canada‑ Modified version of the American system
  • Britain‑ Decentralized bargaining by autonomous parties
  • Sweden‑ Highly centralized, highly structured bargaining by centrally controlled parties
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Today
  • Themes
  • Environments
  • Ideology


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I‑ Themes of French IRHRM
  • Highly regulated and legalistic system
  • Radical and Incompatible Ideologies
  • Disunity of the Labor Movement and influence of anarcho‑syndicalist traditions
  • Weakness of bargaining and strength of law in determining working conditions
  • Symbolic Uses of Conflict
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II‑  Industrial Relations Environments in France
  • The Political context
  • Fifth Republic‑
    • Constitution since 1958
    • Preceded by two other Republics dating from 1870s
  • Government
    • Broad Presidential Powers - esp. defense and foreign policy
    • 2 chamber Parliament
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II‑  IRHRM Environments
  • Parties
    • Union for a Popular Movement - UMP
    • Union for French Democracy - UDF
    • Socialist Party - PSF
    • Communists - PCF
    • National Front
    • Huge number of splinter parties
    • Political parties have incompatible goals
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II- Party Representation – Chamber of Deputies 2002
  • UMP – 355
  • UDF – 29
  • PSF – 140
  • PCF – 21
  • Others – 32
  • Senate
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II‑  IRHRM Environments: Technology
  • Modern Industrial Economy
    • Major deposits of iron ore, coal and bauxite
    • Major producer of steel, machinery, textiles and clothing, motor vehicles
    • Import most petroleum and food
  • Per capita GDP
  • Education
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II‑  Economic Context
  • Relies on planning more than other western governments
  • Much state ownership
  • 2003 highest tax burden in course after Sweden
  • Social benefits include pregnancy allowances, child allowances, free health care including prescriptions, and free education through university level
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II‑ Economic Context
  • Unemployment 2004 about 10.1%


  • Up from 8.1% 2001


  • Has been in this high range since about 1990
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III‑  Ideology
  • Not highly compatible
    • Revolution of 1789
    • 1871 Paris Commune
  • Parties
    • Unions strongly anti‑capitalist ideologies
    • Employers extremely anti‑union and paternalistic
  • Corruption
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Next Time
  • The Trade Union Movement
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French IRHRM‑ The Trade Union Movement
  • Lecture 2 of 4
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Administrative
  • Reading for Next Class
  • Paper Reminder


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Review
  • Republic and Parliamentary Democracy
  • Highly developed and highly regulated economy
  • Extreme and incompatible ideologies of the parties
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Today
  • General Characteristics of Union Movement
  • The Confederations – General
  • The CGT
  • The CGT-FO
  • The CFDT
  • Support
  • Minor Confederations and Their Support
  • Other Issues


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I‑ General Characteristics of the Union Movement
  • Hough‑"French trade unionism is weak, ineffective, chaotic, even tragic..."
  • Unions developed as industrial wings of radical political movements
    • Reflect ideological divisions of international labor movement
    • Remain highly ideological and political
    • All 3 major confederations espouse socialism
    • Legacy of syndicalism
    • Tendency to oppose bargaining
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I‑ Unionization Rates
  • No accurate data
    • Perhaps 9% overall
    • Perhaps under 6% in private sector
  • Disproportionately public sector
  • Union support much greater than membership
    • Influence much greater than membership would indicate
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I‑ Low Unionization Rates
  • Low dues but still few members fully financial
    • Rely on core of militant activists
    • French worker more likely to offer his life to his union than to pay it dues
  • Unions weak at enterprise level
    • Major union confederations have de‑emphasized this level
    • Prefer to act where they can claim to advance interests of the entire working class
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I‑ Why Such Union Weakness
  • Employer opposition
  • Non‑members choose not to join because often get benefits anyway and joining tends to attach one to a political ideology
  • Union traditionally didn’t need majority status to have bargaining rights
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II‑ The Confederations‑ General
  • Five sizable confederations, 3 Principal ones
  • None as large as single largest German union
  • Three largest together fewer members than two largest UK Unions
  • Confederations typically claim many more than actual membership
  • Confederations consist of affiliated industrial federations.  Industry may have one federation from each confederation
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II‑ The Confederations‑ General
  • Many major unions independent
  • With some exceptions, confederations often have strong control over the affiliated industrial federations
  • Workers typically think of themselves as members of confederation rather than union (federation)
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II‑ The Confederations‑ General
  • Principal tasks of confederations (within the IR system)
  • Formulating national policy
  • Dealing with government
  • International meetings
  • Recently, some bargaining with employer umbrella organization
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III‑ The CGT
  • Founded 1895
  • Communists became dominant leadership group in 1947
    • Communists emerged from war with organization in tact and with solid resistance credentials
    • General secretary always on PCF Political Bureau
    • 1992 announced would no longer follow PCF in policy but would lead
    • Generally view relations between employees and employers as relationships of exploitation
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IV‑ The CGT
  • 2003 About 800,000 active members
  • Extreme rhetoric of CGT justifies employer refusals to recognize and negotiate while these employer refusals justify the CGT's extreme public rhetoric
  • CGT Confederation least likely to sign bargaining agreements
    • Prefers national agreements setting minimum conditions which local struggles can improve
    • Opposes agreements with no-strike or arbitration clauses
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V‑ The CGT‑FO
  • Formed from 1947 split in CGT


  • 2003  280,000 members


  • Membership largely among white collar workers and in public sector
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VI‑ The CFDT
  • Only one with reasonable membership data
    • Perhaps has finally overtaken CGT as largest
    • About 840,000 in 2003
  • Founded as French Confederation of Catholic Workers‑ 1919
  • Became progressive socialist favoring self-management
  • Has evolved into pragmatic bread and butter union
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VII- Support
  • CGT 32%, CFDT 25%, FO 18%
  • Note that their overall support is clearly much greater than their actual membership
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VIII‑ Minor Confederations & support
  • CFTC
    • 1964 split with CFDT ‑ Retains confessional ties
    • About 100,000 members
  • CGC
    • Founded after WWII
    • Organizes unions of executives, foremen, salesmen, technicians, draftsmen and senior clerical workers
    • About 80,000 members
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IX‑ Other Issues
  • Representative union status
  • Some federations have great autonomy within the confederations while others are pure dependencies
  • Unions survive and remain important perhaps less due to bargaining than due their other roles
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IX- Workplace Level Organization
  • Personnel Delegates
  • Comites d' enterprise‑ works council
    • Required in plants with over 50 employees
    • Chosen by all employees
  • Small employers can choose one
  • Union delegates‑ shop representatives
  • In law, technical distinctions among roles but in practice any and all may be a vehicle for worker discontent and union activism
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Next Time
  • Employer Organization
  • Government Organization
  • Rule-making
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IRHRM in France ‑ Employers, Government and Rulemaking
  • Lecture 3 of 4
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Administrative
  • Reading for Next Time
  • Collect Papers
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Review
  • Somewhat unstable political system with inconsistent ideologies
  • Highly productive economy
  • Weak, chaotic, highly politicized and radicalized union movement‑ multi‑unionism
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Today
  • Employer Organization
  • Government Organization
  • Rulemaking – Public Policy
  • Rulemaking – Collective Bargaining


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I‑  Employer Organization
  • Three levels of employer associations
    • Nationwide‑ umbrella
    • Industry‑wide
    • Regional
  • Employers, unlike unions, almost completely unified on IRHRM policy
  • No explicit political support but frequent financial support to parties of the right
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I‑  CNPF
  • Formed in 1945
    • Initially largely to represent industry in dealing with government
    • Largely association of associations
  • Broad membership
  • Little formal authority over affiliates but growing in some ways
  • 1999 renamed as MEDEF
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II‑  Government Organization – Government as an Employer
    • Some industrial enterprises treated just like the private sector
      • Renault
      • Air France
    • Others treated as Civil Service and covered by special statutes
      • Railroads
      • Electric and gas
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II‑  Government Organization- Government as Regulator
  • Labor Ministry's Inspection Service
    • Oversees application of labor laws and regulations at work place
    • Inspectors help resolve disputes & informally chair some negotiating sessions
  • Laws requiring compulsory mediation and arbitration rarely enforced
  • Workplace worker representatives


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III‑  Rulemaking‑ Public Policy
  • Government involvement and legislation
  • More prominent in the French system than most other western systems
  • Much more important than collective bargaining
  • Government engages in extensive consultation with employers and unions
  • Unemployment Insurance
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III‑  Rulemaking‑ Public Policy
    • 35 hour week since 2000
      • Includes subsidies to employers who create more jobs
      • Limits on hours apply to managers as well
      • Limit on annual overtime of 180 hours
    • 5 weeks vacation
    • 11 paid holidays
    • Retirement at age 60


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III‑  Rulemaking‑ Public Policy
  • Very tight controls on ability of employer to layoff employees
  • 2002 law bans psychological harassment and addresses issues of stress at work
  • Others include sickness, maternity, severance, family allowances, unfair dismissal, and minimum wage
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III‑  Rulemaking‑ Public Policy
  • Regulation of Bargaining
    • 1950 law established principle of collective bargaining but not mandatory
      • Collective bargaining agreements cover nonunionists and can be extended by Labor Minister to other areas or employers
      • Also encouraged plural unionism
      • Since 1978 only one representative union needs to sign agreement for validity
      • Requires all companies with more than 50 employees to establish works councils
    • No “good faith” obligation at any level
    • Compulsory unionism and check‑off illegal
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IV‑  Rulemaking‑ Collective Bargaining
  • FO believes in upholding agreements but to CGT and previously CFDT they are just temporary truce in continuing struggle
  • Bargaining Structure‑ Seems designed so enterprise management won't have to deal face‑to‑face with union
    • Local or enterprise
      • Only minority of employees covered
      • Rarely produced any kind of agreement in past but increasingly does so, especially in large enterprises
      • In general union plays little role in day‑to‑day plant activities
    • Most employers bargain only through employer associations
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IV‑  Industry-wide Bargaining
  • Usually between employers’ association and each federation
  • Set minimum wages and job classifications.  Deal with unemployment comp and retirement systems, as well as apprenticeship and training
  • Valid if any representative union signs and covers all workers
  • Cover overwhelming majority of firms and employees - perhaps 80% of employees
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IV‑  Summit Bargaining
    • MEDEF only got formal authority in 1969 to negotiate agreements binding members
    • Increasingly important
    • Wages not discussed, MEDEF lacks authority to do so
    • Discuss unemployment compensation, retirement, apprenticeship and training
    • 2004 agreement designed to reduce gender disparities
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IV‑  Rulemaking‑ Collective Bargaining
  • Agreements of no fixed duration


  • Wages
      • Traditionally employers have bargained only enough over wages to avoid legislative determination
      • Negotiated wages matter little since actual wages above negotiated level
      • Wages actually determined at enterprise level
      • Highest employment costs in the course
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IV‑  Rulemaking‑ Collective Bargaining
  • Bargaining Issues & Agreements


  • At industry level a major issue had been menualisation ‑ demand to raise the status of wage earners to that of salaried workers
  • 1970 blue collar workers became salaried
  • Industry agreements do little to restrict individual plant management.  Little about hiring, layoffs, promotion, etc.
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Next Time
  • Conflict
  • Grievance Administration
  • Comparisons
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French I.R. ‑ Conflict, Grievance Administration and Comparisons
  • Lecture 4 of 4
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Administration
  • Reading for Next Class – BLW chapter on Italy


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Review
  • Employer and Government Organization for IRHRM
  • Large Role of Public Policy
    • Procedural
    • Substantive
  • Bargaining largely at industry level
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Today
  • Industrial Conflict
  • Administering the Rules
  • Themes and Comparisons
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I‑  Industrial Conflict
  • Basic Patterns
    • Total work days lost 1990-99 just above Sweden, Germany and Britain but below Italy and Canada
    • Lots of strikes but most very short, hit and run tactics
    • Union strike calls often honored by non‑members, but typically only about 50% response to strike call
    • Strikes less designed to create economic pressure than to display militance for internal consumption and to win public support
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I‑  Industrial Conflict
  • Basic Patterns
    • Constitution protects right to strike but lockouts and political strikes illegal ‑ grievance strikes legal
    • Frequently employers offer an anti‑strike bonus which is forfeit if a strike occurs or even pays a bonus to strike breakers
    • Basic characteristic of French strikes is spontaneity.  Strikes over industrial issues but content largely symbolic and ideological
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I‑  Industrial Conflict
  • The Revolt of 1968
    • Began as student revolt but soon spread to workers
    • At its peak, 10 million on strike and engaged in sit‑downs bringing economy to complete halt
  • Recent Conflict
    • General downward trend since about 1980
    • Work time lost increasingly concentrated in public sector
    • Growth of strikes led by "coordinates" temporary groups unaffiliated to any of the union centers



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I‑  Recent Conflict
    • Major strike of 1995 - largest since 1968
      • Began November 24 on railroads
      • Gradually other transport and then other public sector workers joined
      • At peak country near standstill and over 1/3 of civil servants on strike
      • Led by FO and CGT.  CFDT leadership opposed
      • Polls showed most Frenchmen sympathetic to strikers, not government
      • Ended after three weeks with government delaying action on rail cuts and retirement but going ahead with health changes and welfare reforms
      • 5 million work days lost
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I‑  Recent Conflict
  • December 2001 Euro strike
  • December 2001 Air Traffic Controllers
  • February-March 2004 pension strikes
  • March 2004 strike by researchers
  • January 2005 public service strike
  • October 4, 2005 nationwide protest strike
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II‑  Administering the Rules
    • Personnel Delegates - Their job to present individual and collective complaints
      • Can be grievance or alleged legal violation
      • Can also be new demand
      • Employer must meet with personnel delegates monthly
    • Shop representatives ‑ represent union but have only observer status
    • Labor Court is the legally required last step for all grievances
      • Bi‑partite
      • Elected members by labor and management
      • Available to union and non‑union employees to deal with legal violations, violations of collective agreements, or violations of individual contracts of employment
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III‑ Themes and Comparisons
  • Highly regulated and legalistic system
  • Radical and Incompatible Ideologies
  • Disunity of the Labor Movement and influence of syndicalist traditions
  • Weakness of bargaining and strength of law in determining working conditions
  • Symbolic Uses of Conflict
  • State has effectively weakened unions
  • Comparisons with Canada, Britain, and Sweden
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Next Time
  • Begin Italy
  • See Labourstart and Atlapedia