Negotiating Our Way Up by OECD

Author:OECD
Language: eng
Format: epub
Tags: employment
Publisher: OECD Publishing
Published: 2019-11-18T00:00:00+00:00

Annex 3.A.

A taxonomy of collective bargaining systems

In order to provide an overarching view of the functioning of collective bargaining systems while, at the same time, capturing as much as possible the granularity, complexity and diversity across countries, a novel taxonomy of collective bargaining is used to conduct the empirical work, notably to investigate the link between the main features of collective bargaining systems and labour market performance at macro level. Three main aspects are considered to group countries based on the conceptual framework developed in Chapter 2: the level of bargaining, the degree of actual centralisation or organised decentralisation as defined by the rules and use of extensions, derogations, opt-out, and the presence of the favourability principle with respect to wages, and the degree of wage co-ordination. Grouping countries necessarily requires some simplifications and therefore the detailed discussion in Chapter 2 should be kept in mind when comparing and assessing the functioning of the different bargaining systems across countries.

The dashboard in Chapter 2 based on the answers to the OECD policy questionnaires allowed identifying five main groups of countries:

A first group includes countries with predominantly centralised and weakly co-ordinated collective bargaining systems. In this group of countries, sectoral agreements play a strong role, extensions are relatively widely used and derogations from higher-level agreements are either limited or not often used. In 2015 France, Iceland, Italy, Portugal, Slovenia, Spain and Switzerland fell in this group.

Note: In Chapter 2 Spain and Switzerland were mentioned in an intermediate group between the rather centralised and organised decentralised ones. The number of observations between 1980 and 2015 for such an intermediate group, however, is too small to be used for econometric purposes.

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