Denmark : toward a law protecting the right of unions to collective bargaining

“We can fight social dumping by using the weapon of labor dispute”, said the minister of labor, Claus Hjort Frederiksen, on declaring on June 20, 2008 his intention to submit a bill taking into account the recommendations of the commission charged with evaluating the consequences of the European court decision in the Laval un Partneri case ( see article n° 071034 and n° 071042) and proposing solutions. In this case, the court of justice judged that the action of a Swedish union against a Lithuanian company which had posted employees to a work site in Sweden without respecting the collective agreement of the sector, had infringed the legislation on the free circulation of services in the EU. This judgment had aroused widespread fears in Denmark, as it is interpreted by many as an infringement of the right to launch collective disputes and as a threat to the regulation of the labor market by the social partners, jeopardizing thereby the survival of the Danish model (v. article n° 080094). For this reason the government has set up this commission composed of representatives of unions, employers and several ministries. In its report issued on June 19 this commission recommended adapting Danish law in the light of this judgment, modifying the legislation on the detachment of  workers (udstationeringsloven) so as to compel the management of foreign services to align the wages  of their employees on those of Danish workers doing the same job. 
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atives of unions, employers and several ministries. In its report issued on June 19 this commission recommended adapting Danish law in the light of this judgment, modifying the legislation on the detachment of workers (udstationeringsloven) so as to compel the management of foreign services to align the wages of their employees on those of Danish workers doing the same job.

Adapting legislation. This proposal has the double objective of protecting Danish workers against social dumping and of

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