Trade Unions Welcomed by UK Bosses
British bosses do not regard the Government's proposed legislation on trade union recognition as a threat.
According to a MORI survey commissioned by leading law firm Osborne Clarke, employers generally have a positive relationship with unions, with more than two thirds of unions highly rated for their ability to see management's point of view (69%).
Their flexibility and willingness to communicate management's point of view were also given the thumbs up, although individual comments from employers suggested that unions need to be more commercially focused and responsive to the needs of management and the business if they are to maintain their position.
Osborne Clarke commissioned the report in advance of the current row which has broken out between trade union leaders and the government over fears that Peter Mandelson will dilute the forthcoming Fairness at Work" legislation.
Earlier this week at the Labour Party Conference, Mandelson failed to scotch rumours that he was considering watering down some of the proposals included in the White Paper - risking the wrath of the unions.
Other surprising factors emerge from the survey, which targeted 140 directors and senior managers of leading UK firms in three business sectors - facilities management, financial services and transport.
Of those employers who anticipate a recognition claim, 44% believe a claim will come from professional and managerial levels; 36% from skilled workers and 52% from semi-skilled and unskilled workers.
It also emerges from the report that, although two thirds (or 67%) of those who anticipate a claim think it will succeed, very few would take strategic steps to pre-empt the legislation. Nine out of ten of all respondents say they are unlikely to de-recognise a union or ask them to beauty parade". Three-quarters say they will probably not open talks with a single preferred union.
A similar pattern emerges on European Works Councils. Of those who will be covered by the legislation once it is extended to the UK in December 1999, nearly half have no current plans to put one in place, potentially missing out on the opportunity to agree a mechanism in advance of the legislation which would take them out of its ambit.
A proposal to extend the definition of the term 'employee' to 'all those who work for someone else regardless of whether or not they are strictly employed under a contract of employment' raised some concerns amongst bosses. With outsourcing and subcontracting a growing feature of British employment, 16% thought the temporary staff market would decline and 8% anticipated the move would have a serious" impact with enormous" cost implications.
Nick Moore, Osborne Clarke's Head of Employment, said: The level of satisfaction employers have expressed with trade unions confirms that a positive and productive relationship between employer and union is good for business.
What surprised us is how few employers want to manage these processes - and are apparently happy to let recognition claims and the European Works council legislation wash over them - especially when there are so many options they should be exploring which might improve the situation for them.
That's not to say that there is total apathy. We are already working with a number of our employer clients to develop their options in advance of this new legislation with some gratifying results," he said.
Technical details
MORI interviewed a total of 140 directors and senior managers. Interviews were carried out by telephone between 24 August and 11 September. Results are unweighted.
Osborne Clarke is one of the country's leading commercial firms with over 450 staff in London, Thames Valley and Bristol. Employment and industrial relations law is one of Osborne Clarke's key areas of specialisation and its employment unit is one of the strongest and fastest-growing in the country.