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Co-ordination of Workers’ Education and Consultation about the Labour Market Regulations and Organising with a Special Focus on Nordic Companies in Estonia, Latvia and Lithuania. Main partner organisations: ICFTU – International Confederation of Free TU; LO/TCO Bist å nsn ä mnd (Sweden);

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    1. Co-ordination of Workers’ Education and Consultation about the Labour Market Regulations and Organising with a Special Focus on Nordic Companies inEstonia, Latvia and Lithuania

    2. Main partner organisations: ICFTU – International Confederation of Free TU; LO/TCO Bistånsnämnd (Sweden); LPSK – Lithuanian TU Confederation; LBAS – Latvian TU Confederation; EAKL – Estonian TU Confederation; TALO – Estonian TU for Professional Employees. Other possible partner organisations: ETUC, GUF, Norwegian, Finnish, Danish TUs, other labour movement NGOs. Project Partners

    3. ICFTU Vilnius Bureau Jasinskio 9 Vilnius, Lithuania E-mail: Tel.: +370 699 05263 Fax: +370 52124788 Project Co-ordination Office

    4. Commerce; Finances; Services; Printing; Media; Telecommunication; And other interested areas having Nordic investments. Target Sectors

    5. Trade unions have better skills in reaching out to the unorganised workforce in the targeted sectors; The workforce in the targeted sectors have a better knowledge and understanding of their rights in working life; Informational network for economical migrants / potential migrants developed; Better co-ordination in the Nordic-Baltic trade union family; Trade unions have better skills in assisting in forming EWCs; EWC information co-ordination network for employees from the Baltic states. Expected Results

    6. Increasing trade union membership; Better interrelations in organising; Better EWC participation in target sectors; Many unions from targeted sectors openly sharing information (update of the data base); Further development of; Number of EWCs being established, rising interest/request from local (company) trade unions for information on EWCs. Indicators

    7. Project Activities – Work plan

    8. Total population of Lithuania - 3.5 million; Lithuanian labour force - 1.6 million; over two-thirds employed in the private sector; Lithuanian employee skills - 42% with higher education, 24% with specialised education Lithuania's labour costs are among the lowest in the European Union; Since July 1, 2005, the minimum monthly salary is 550 LTL (€ 160); the minimum hourly salary is 3,28 LTL (~ € 1); the average gross monthly wage in the 4th quarter of 2004 was 1,331 LTL (€ 385). Background Information (LT)

    9. GDP growth (2003) 7.5% Inflation (2003) 2.9% Inflation annual average over 5 years 2.46% Accumulated FDI (2003) 2.8 billion 2004 2005 Gross wages (LV) 207.56 241.54 In the public sector 239.99 279.75 Private sector 188.75 219.24 Minimum wages - 80 lats (115 euros) Background Information (LV)

    10. Background Information (EST) • Total labour force (thous., 2004) 659.1 • Employment rate (%) 56.8 • Unemployment rate (%) 9.7 • Minimum wages EUR 172 • Average monthly wage (gross) EUR 462 • The highest gross wage is in financial intermediation and the lowest in agriculture and hunting sector.

    11. Top 10 Foreign Investors in Lithuania, 2004 Telia/Sonera (SE/FI) SEB (SE) TDC(Tele Danmark A/S) (DK) Yukos (RU) Statoil ASA (NO) Phillip Morris (USA) Baltic Beverages Holding (FI//DK/SE) Hansapank/Foreningsparbanken (EST/SE) Vattenfall (SE) DFDS Tor Line (DK) Lithuania's Top Five Investors (%), 01.07.2004 Denmark 15,8 Sweden 14 Germany 9,3 Finland 8,6 Estonia 8,4 Most popular sectors: manufacturing, trade, communications, finance. Countries having investments in the Baltic States (LT)

    12. Latvia's Top Five Investors (in mln. LVL) 1. Sweden - 243,5 2. Germany – 203,2 3. Denmark – 158,9 4. Finland – 156,3 5. USA – 123,2 Countries having investments in the Baltic States (LV)

    13. Countries having investments in the Baltic States (EST) FDI by country in 2005 (%) • Sweden 54,5 • Finland 19.9 • United States 4,2 • The Netherlands 2,8 • Norway 2,4 Companies • Eesti Telecom (SE/USA); • Eesti Uhispanka/SEB (SE); • Hansapank (SE); • Kinda Nordic Tsement (SE/NL) • Sampo Pank (FI)

    14. SERVICE SECTORS Finances: SEB – Vilniaus Bankas (LT; ~1600), Eesti Uhispank, Latvijas Unibanka; Föreningssparbanken/Swedbank– Hansa Banks in LT (~2500 employees), LV (~1200), EST (~2300). Nordea - LT (100 employees), LV (117), EST (142). Commerce: ICA RIMI – one of the leading retailers in the Baltics; Kesko (FI) – in Latvia and Estonia; JYSK – all 3 countries; Narvesen (NO). Hotels: Radisson SAS, Scandic, Reval Baltics; Sectors & Biggest Companies

    15. SERVICE SECTORS (cont.) Security: Group4 Falck, Securitas – 50 % of the market in the Baltic states. Telecommunications: Tele2, Ericsson, TDS Mobile International (DK) – all 3 countries; Telia/Sonera – Lithuanian/Estonian/Latvian Telecom; Omnitel GSM (LT) - 100 % of GSM companies are owned by Nordic. MANUFACTURING SECTORS Building: NCC; Constructus. Textile & Wood: Many small enterprises producing for Nordic companies (e.g. IKEA). Sectors & Biggest Companies

    16. General TU membership in the Baltic countries LV - ~15 % ES - ~12 % LT - ~12% TU membership in the Nordic companies ~ 15.000 members in the Baltic states: ES - ~8.000; LV - ~4.500; LT - ~2.500. 25 % of these members are in the telecommunications sector.

    17. Main sectors and membership in 3 Baltic countries

    18. Web Page -

    19. Information on: Nordic-Baltic co-operation - links to trade unions, commont projects (including ), etc.; Data base on Nordic companies in the Baltic countries and trade unions; Migration - information for migrant workers prepared by Nordic unions and governments; Events in the framework of the project - calendar and reports/photos from activities. Project ResultsWeb Page -

    20. There were different activities organised in: Estonia meetings with employees in Falck Security; meeting with the employer in Falck Security; meetings with employees in Kesko Food AS; meetings with employees in Rimi; Skanska shop steward took part at Skanska EWC as an observer; information material prepared and printed. Project Results -Local Activities

    21. There were different activities organised in: Latvia meetings with employees in Rimi; meetings with the management of Rimi Latvia and ICA Baltic; meetings with employees in Kesko Food AS; meetings with employers and employees in Nordea Bank protest campaign against outsourcing in the telecom sector; information material prepared and printed; Meetings planned in the building, industry and food sectors. Project Results - Local Activities (2)

    22. Lithuania meetings at workplaces organised by Lithuanian TU of Textile Workers and TU of Forestry Workers; distribution of organising leaflets in Rimi; meetings with employees in Falck Security; meetings with employers and employees in Nordea Bank; representative from Lietuvos Draudimas (Danish Codan) took part in EWC; collective agreement signed for subcontracting companies in the building sector (in co-operation with Danish SID). Trade unions established in: Falck Security Lithuania (DK) Texdana; textile enterprise (DK) Hansa bank Lithuania (SE) Hair and Beauty sector (in co-operation with Danish DFKF) Project Results - Local Activities (3)

    23. sectoral competition; not clear which union should organise new sectors; different regional division to GUFs (Baltic countries are in different sub-regions); necessity of structural changes (strengthening of regional structures, individual membership, flexible membership schemes); necessity to have closer co-ordination with Nordic TU secretariats; campaigning should be organised both in Nordic and Baltic countries at the same time; Challenges (1)

    24. necessity of sub-regional (Nordic-Baltic) framework agreement; 90 %of membership in Nordic companies are from past times; little/no membership in new sectors; outsourcing; subcontracting; call centres; migration. Challenges (2)

    25. Sources