The Swedish Industrial Relations System
| Published date | 01 November 1974 |
| DOI | http://doi.org/10.1111/j.1468-2230.1974.tb02408.x |
| Author | Stig Gustafsson |
| Date | 01 November 1974 |
THE
SWEDISH
INDUSTRIAL
RELATIONS
SYSTEM
THE economic conditions and the rapidly growing industrialisation
of Sweden towards the end
of
the nineteenth century provided
a
natural breeding ground for the creation of labour unions. Even
as early as the
1870s
a few collective agreements were made. One
union after another was founded; and in
1898
the Confederation of
Swedish Trade Unions
(L.O.)
was formed.
In
1902
the employers formed the Swedish Employers’ Con-
federation (Svenska Arbetsgivareforeningen, S.A.S.). The primary
weapon of the organisation was the extensive use of sympathetic
lockouts.
It
has been said that this
‘‘
tough
yy
policy was a great
help to the
L.O.
in its efforts to recruit members, In any case
it seems likely that both the size and the structure of the
L.O.
were greatly influenced by the appearance of the Employers’ Con-
federation. The Industrial branch structure of the S.A.F. organi-
sation was no doubt one important practical reason for the
L.O.
to emphasise the principle of industrial unionism, meaning that
all workers of different kinds occupied in one industry should belong
to the same union. This, again, seems to have been a necessary
condition for the final success in organising the workers in industry
up to about
95
per cent. and salaried employees to about
75
per
cent.
The Central Organisation of Salaried Employees
(T.C.O.)
was
founded in
1944.
Many National Unions are older. Almost all
groups of salaried employees have organised themselves into trade
unions. Engineers and technicians, foremen and supervisors, bank
and insurance officials, teachers, members of the police and armed
forces, as well as civil servants, including clergymen and local
government staff, are all organised. A number of professional cate-
gories have formed their unions on an occupational
or
craft basis;
but the majority have co-operated with other professional cate-
gories in building up industrial unions. The large-scale membership
of the organisations (at present about
75
per cent.) clearly indicates
that the majority
of
salaried employees join trade unions.
Ever since the beginning
of
this century collective bargaining
on the Swedish labour market has followed very broad principles,
inasmuch as Industry-wide collective bargaining dominates the
picture. In conformity with this, there is (with some exceptions)
for each branch one employers’ association, one national union
and one. collective agreement. Thirty-nine employers’ associations
are affiliated to the S.A.F., twenty-five national unions are affiliated
to the main organisation on the Workers’ side, and twenty-two
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THE
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REVIEW
VOL.
07
unions to the T.C.O. During recent years the two more important
organisations, the
S.A.F.
and the
L.O.,
have increasingly cen-
tralised the negotiation-system through recommendations to the
affiliated associations and unions to follow certain principles in
wage questions. These recommendations do not, however, make
collective bargaining in other respects superfluous, and the system
of collective agreements within each branch between the employers’
association and the corresponding trade union is as fully maintained
as previously.
During the last two decades the organisations of salaried em-
ployees have grown in importance. These include both Industrial
employers and foremen, and their organisations cover both the
private and the government sector. The T.C.O. is the confederation
organising the majority of them. The subject of their negotiations
is the so-callcd general conditions. With very few exceptions
salaries are fixed individually at negotiations between the enter-
prise in question and the employees. During more recent years,
however, the unions of salaried employees have also negotiated
collective agreements regarding general increases in salaries. In
entering upon the question of negotiations
it
is necessary to point
out the differences in the statutes of the S.A.F. and the L.O.
respectively .
Within the S.A.F. the decision-making power rests exclusively
with its board. This means that no branch organisation
or
individual
enterprise is allowed to make a collective agreement without the
approval of the board. In case of a certain majority being for
it, directions may in certain cases be issued concerning other con-
ditions of fundamental importance for the labour market.
However, on the
L.O.
side the power of decision rests with
the various national unions. Formerly the arrangement was highly
decentralised and workers covered by certain negotiations had to
vote whether they should accept or reject a collective agreement.
After a change in the regulations such
a
ballot,
if
used at all, has
only an advisory effect. The real power of decision rests with
the board of the national union. The
L.O.
itself exercises its
great influence mainly through giving advice and through the per-
sonal authority of its leaders.
If
one has regard only to the
regulations, the power of the
L.O.
is restricted to the possibility
of promising
or
refusing aid in conflicts.
It
is sometimes believed that the peaceful development of the
Swedish labour market has to a considerable degree been the result
of the activities of the government mediation authority. As
a
matter of fact the participants in the negotiating process are very
anxious to be entirely free both to negotiate and-if necessary-to
fight out their differences without the government’s interference.
There is no such thing as compulsory arbitration in Sweden.
The government mediation authority acts under certain condi-
tions. These mediators or mediation committees have no right,
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