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Dissertation_Paula Aleksandrowicz_12 ... - Jacobs University

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espective constituency and inhibits the coordination and pushing through of interests<br />

(Keller 1999: 30-31).<br />

Trade unions have lost ground after the transformation (EC 2004c: 18). Of workers<br />

surveyed by the employers´ association Lewiatan (2006: 19-21) employed in the private<br />

sector, only six per cent belonged to a trade union, and of those in state-owned enterprises,<br />

28.5 per cent. The remaining areas where they still play a role are state-owned enterprises<br />

and branches with high importance for the national economy (energy sector, the military,<br />

etc.).<br />

As of 2004, union density in Poland amounted to 17 per cent (European Social Survey;<br />

EIRO 2007). About 90 per cent of all companies do not have any workplace representation<br />

(Towalski 2004). 22 per cent of workers are employed in a company with such a body, and<br />

35 per cent of the workforce is covered by a collective agreement (EIRO 2007).<br />

Due to the decline of union density after transformation, Schroeder (2004) asserts the<br />

tendency towards barring collective agreements and pushing working conditions under the<br />

factual minimum standards. I would assume this occurs especially in private, greenfield<br />

investments with foreign capital. For the subject of my study, this means that in Poland the<br />

state has the power to develop early exit options or to close them. In distinction to Germany,<br />

trade unions do not have impact on those regulations, and companies do not have leeway in<br />

legal and financial terms to develop firm-based early exit options (<strong>Aleksandrowicz</strong> 2006).<br />

In 1989, trade unions lost the power to co-decide in cases of dismissals and were to be<br />

only consulted in such matters (Socha/Sztanderska 1991: 6); a further curtailment in their<br />

powers was accomplished by law of 1. June 2004. In cases of mass-layoffs, the employer<br />

has to draw up an agreement with shop-level trade unions regulating the exact procedure of<br />

staff reductions, but in cases when an agreement cannot be reached the employer may<br />

independently set up respective regulations (http://www.gazeta.prawna.pl/akcje/<br />

abc_przedsiebiorcy/pamiec.html). In 2002, a new provision was introduced which allowed<br />

the employer to indefinitely suspend any collective agreement when faced with financial<br />

difficulties (Towalski 2004).<br />

Breaches of collective agreements and labour laws are frequent in Poland and other<br />

CEEC, e.g. with regard to low and delayed wages, working overtime and violations of<br />

occupational safety and health (Mailand/Due 204: 189; Kulpińska 2005: 4-5). Collective<br />

agreements in Poland usually set the framework for remuneration (including severance<br />

payments in case of lay-offs and retirement, jubilee awards and other wage supplements),<br />

90

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