Brussels, 11/05/2006
Says ETUC General Secretary John Monks: “Europe must be open to change. However, shifting the full burden of adjustment onto workers is not the solution. To reach higher productivity and more innovation, Europe needs a secure workforce.”
There is widespread abuse of fixed-term contracts in the Spanish labour market, where one third of work contracts are temporary. Yet insecure working conditions erode workers' motivation and involvement in the workplace, and undermine efforts to upgrade workers' skills. They are an obstacle to innovation and productivity, as evidenced by the absence of productivity growth in Spain over the last five years. Improving workforce security by fighting excessive flexibility makes good social and economic sense. The ETUC invites other governments in Europe to identify instances of precarious work and to take action. It also invites the European Commission to examine what can be done on this issue at European level.
Main points of the social dialogue agreement in Spain:
- After more than 24 months on a fixed-term contract in the same enterprise and doing the same job, over a reference period of 30 months, the worker's contract becomes one of indefinite duration.
- Employer bonuses for four years when target groups (women, youngsters, longer-term unemployed) are offered an open-ended contract.
- Precise definition of and action against illegal posting of workers between firms.
- Cuts in employer social security contributions.
- Extended unemployment benefits for older workers, measures to increase protection of flexible fixed-term workers.