A look at history 1930-1940: Social partnership as a model of success - working together instead of against each other
ORGANISATOR is celebrating its 100th anniversary this year. Also celebrating its 100th anniversary in 2019 is the Swiss Association for Standardization (SNV). Together, we take a look at history in several articles, here at the decade in which the peace agreement between the social partners was concluded.
Social partnership is regarded as an important pillar for the economy in Switzerland and is often proudly described as a model of success. A significant pioneer for the Helvetic social partnership is considered to be the so-called Peace agreement in the Swiss metal and machinery industry.
The peace agreement in the Swiss metal and machinery industry
In 1937, the peace agreement is signed in the Swiss metal and engineering industry. It is intended to secure industrial peace in Switzerland and will make a decisive contribution to the country's sustained and gratifying economic growth in the decades that follow.
How does the peace agreement come about?
As in other countries, strikes were a frequent phenomenon at the end of the 18th and beginning of the 19th century. Between 1880 and 1914, there were over 2,400 strikes, and the class struggle hardened. The clashes reached their peak in 1918: 250,000 workers and trade unionists took part in the general strike, and three people were killed by law and order troops.
The rigid fronts between the social partners are softening to
The fascist threat from the near abroad increases, dictators are on the rise in Europe. Hitler dissolves the trade unions, the Swiss franc loses massively in value. Against a background of social and economic insecurity, unemployment and loss of real wages, the Federal Council wants to introduce compulsory arbitration, although this instrument is rejected by the majority of employers as well as the unions. Now the social partners are striving to expand contractual relations.
National Council Konrad Ilg (1877-1954, President of the Swiss Metalworkers' and Watchmakers' Federation, SMUV) takes the initiative and meets with Ernst Dübi (1884-1947, President of the Employers' Association of Swiss Machinery and Metal Industrialists, ASM). On July 19, 1937, they signed a five-page agreement for the watch and metal industry. This document, which is binding on both parties, stipulates an absolute peace obligation and a multi-stage arbitration procedure for the next two years. It also regulates new rights and obligations such as the procedure for resolving disputes, wage determination, insurance, vacation compensation and employee participation. To ensure compliance with these provisions, the contracting parties each deposit a security of CHF 250,000 with the Swiss National Bank. The peace agreement is the basis for the collective labor agreement (CLA), which has been in full force since 1974. The signed peace agreement of 1937 (ASM copy) is now on display in the National Museum in Zurich.
Machinery sector: Cooperation SNV and SWISSMEM
Standards create uniform standards for objects and services. Thanks to this standardization, products are used more appropriately, safely and efficiently, and cooperation becomes easier. Particularly in the international context, standards ensure the exchangeability and thus the tradability of products and services. Within SNV, the mechanical engineering industry is represented by a so-called specialist division. On behalf of SWISSMEM, SNV has been managing the industry's standards for many years and represents the standardization interests of the machinery industry in the European standards bodies European Committee for Standardization (CEN) and at international level in the International Organization for Standardization (ISO).
Sources: Social Archive, Federal Department of Economic Affairs, Education and Research, Wikipedia, SWISSMEM.
"Labor peace is an important locational advantage"
In an interview with Ivo Zimmermann, Head of Communications and Member of the Executive Board of SWISSMEM, it becomes clear that it is still possible to draw a line between the historical events of 1937 and the current situation of the Swiss social partnership.
The 1937 Peace Agreement covers nine articles or topics in five pages - how comprehensive is the CLA today?
Ivo Zimmermann: The treaty currently comprises 58 articles and two annexes on 73 pages. Under this Link you can find the current CLA.
What are the advantages of a CLA?
The CBA of the Mechanical, Electrical and Metal Industries (MEM Industries) guarantees progressive working conditions for the employees of the subordinated companies. In return, they are obliged to respect the absolute duty of peace. This means that the work process may not be disturbed by fighting measures. Industrial peace is an important advantage of Switzerland as a workplace.
At what intervals is the CLA renegotiated?
As a rule, every five years. The current MEM industry CLA (MEM CLA) came into force on July 1, 2018 and is valid until June 30, 2023.
How hard is the negotiation?
The contracting parties to the MEM-GAV are the ASM (SWISSMEM), the employee associations Angestellte Schweiz, Kaufmännischer Verband Schweiz and Schweizer Kader Organisation, as well as the Unia and Syna trade unions. Each of these organizations brings its demands into the negotiation process. The negotiations are correspondingly long and tough.
Is the CLA of SWISSMEM also binding for non-members?
The MEM industry CLA is not generally binding. Currently, around half of the more than 1100 SWISSMEM member companies apply the MEM CLA.
How many strikes do you record each year?
The CLA stipulates an absolute obligation to maintain peace. This means that any kind of industrial action is prohibited in the companies covered by the CLA. In the past ten years, there have only been two serious labor disputes in the MEM industry.
To what extent is the peace agreement of that time still known today? For example, do the employees of SWISSMEM the history of the peace agreement?
SWISSMEM employees know the value and history of the peace agreement very well. The same applies to the employees in the MEM companies. The social partners also conduct joint training sessions for employee representatives covering this topic.
How important is the agreement in Switzerland to renounce strike weapons and lockouts?
That is absolutely central. Absolute labor peace is an important locational advantage of Switzerland as a workplace. It can be the deciding factor for investment decisions in favor of the Swiss location.
How often do employers and employees sit down at the negotiating table?
The social partnership functions well in the companies. Discussions between employee representatives and management take place regularly. If differences of opinion arise, the employee representatives and management try to resolve them at the company level. If this does not succeed, the CLA sets out clear processes for settling the matter in association negotiations or even before a court of arbitration.
