Energy unions demand implementation of Memorandum on social aspects

Following on the heels of the signing of the Memorandum of Understanding on the social aspects of the South East European Energy Community (18 October) and the European Commission Conference on capacity building for social dialogue in South East Europe (19-20 October), the 7th Energy Round Table for unions in South East Europe focused on the recent developments with the internal market electricity and gas and the implementation of the Memorandum.

The unions welcomed the signing of the memorandum after the 3 year trade union campaign which also saw national actions on 28 June. The energy trade unions demand a concrete implementation of the Memorandum:

* Discussion between social partners and the government on ensuring electricity and gas remain affordable, also for domestic households and especially the vulnerable;

* A social dialogue with content;

* Employer(s) who play their part, and including in collective bargaining and reaching agreements;

* A firm and ambitious time table for the implementation of the EU social acquis of relevance for the energy sector such as the Information and Consultation Directive, the EWC directive, Transfers of Undertakings Directive and others;

* The rapid establishment of the Social Forum. The social forum should meet regular (mtgs once a year do not provide the necessary dynamics), have a Steering Group to plan, prepare and follow up, and focus on how the Memorandum is implemented in the different countries;

* Consider how the European Social partners (in gas and in electricity) can contribute to the process of reform;

* Urge the European Commission and the European and International Financial Institutions to speed up investment but not with unrealistic conditions and not with demands for privatisation.

Put a stop to privatisation
The unions repeated their demand for a moratorium on privatisations during the process of establishing the market for electricity and gas. As the Employment study of the Commission has demonstrated, introducing liberalisation and privatisation at the same time leads to negative effects and severe consequences for the work force.Unions pointed out it also replaces public with private monopolies.

Speakers highlight change in energy sector and need for social dialogue
The conference was opened by Milorad Terzic, the president of the energy workers in Montenegro. He focused on the problems ordinary citizens and industry and public services have when confronted with black-outs and rising prices. Speakers at the Conference included the Deputy Minister for Energy of Montenegro, Mr. Canovic. He explained the difficult situation of Montenegro and other countries in the region and the importance of investment to ensure the energy systems will be able to deliver sustained economic growth. His government is committed to discuss with the trade unions and employers the implementation of the Memorandum. Slovenian business manager Goradz Azman represented Eurelectric and gave an overview of the internal market developments in the EU and the region underlining the importance Eurelectric attaches to achieving a functioning wholesale market. Francois Ziegler of the European Commission (DG Employment) made the link betweent the social dialogue as included in the Memorandum and the social dialogue between the European social partners and which can even lead to binding agreements with the force of law.

The EPSU Deputy General Secretary presented the Memorandum and possible priorities, the work of EPSU on collective bargaining, the activities of the European Social Dialogue in gas as well as electricity and the European Works Council Directive and existing EWCs.

Roumanian and Macedonian colleagues gave examples of how they are involved in dealing with restructuring. Lessons:

* The unions need to be involved, as part of the government committees that deal with restructuring

* The principle of No Forced Redundancies has to be agreed

* The unions will need to have concrete proposals and alternatives (if they want to be listened to)

* Trade union unity is primordial otherwise the unions are played against each other

* The employers and government need to recognise that agreements are the appropriate way to deal with change

The 7th Energy Round Table was organised by EPSU/PSI and the Montenegro Energy Trade Union and received financial support from the Friedrich Ebert Stiftung. More then 50 participants from electricity, gas and other unions participated. The conference took place in the town of Igalo in Montenegro, 25-26 October 2007.


European Federation of Public Service Unions
Representing 215 unions - 8 million public service workers