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Applicable Collective Agreement

A collective agreement may be universally applicable. Universal applicability means that all employers working in the collective bargaining industry must comply with the provisions of the collective agreement. The provisions in collective agreements are minimum requirements. Thus, contractual wages cannot be changed by what a collective agreement requires, even if it is a new version of the text or a new collective agreement. To change them, the employer must obtain the explicit consent of the employee. Only purely conventional remuneration can be modified by a new collective agreement. A collective agreement can also be identified by the company`s NAF or EPA code. This code characterizes the main activity of the company from the French nomenclature of activities. The number assigned by INSEE (French Statistical Institute) to each company and each of its subsidiaries consists of four numbers and one letter.

Workers are not required to join a union in a given workplace. Nevertheless, most industries, with an average union training of 70%, are subject to a collective agreement. An agreement does not prohibit higher wages and better benefits, but sets a legal minimum, much like a minimum wage. In addition, an agreement on national income policy is often, but not always, reached, bringing together all trade unions, employers` organisations and the Finnish government. [1] A collective agreement that is not of general application is considered normally applicable. The provisions of a normally applicable collective agreement are binding on employers who have entered into such a contract directly or who are members of the employers` organization that have entered into it. The employment test in question refers to an employment sector or sector defined in accord with current bargaining practices. Models of collective organization and collective bargaining define these areas. The starting point is that an area is determined by the employer`s main area of activity. If, in the employer`s field of activity, the model of collective organisation and regulation of labour relations follows the principle of union by branch, collective agreements are eligible for a given sector, whereas, if they follow the principle of the professional union, they are eligible for certain professions. The degree of organization of employers is a factor in the influence here. A collective agreement applies to your employment relationship if you are a member of the union, if your employer is a member of the employer organization and if the union and the employers` organization have negotiated a collective agreement.

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