In the Viking case concerning unions' right to act to force an employer to apply a collective agreement, the Court recognized that a union's right to take a collective action is a fundamental right, but that it is subordinate to the respect of economic freedoms, such as freedom of establishment. These actions must truly aim at protecting workers' interests and they must be proportionate. (Ref. 071012)
Viking Line, a Finnish company owner of a ferry boat which plies the route between Estonia and Finland, decided to reflag the ferry by registering it in Estonia, in order to be able to employ an Estonian crew, paid less than what is in practice in Finland, to face the financial distress caused by important competition from Estonian companies. The Finnish seamen’s union (FSU) strongly opposed to this decision and asked the International Transport workers’ Federation (ITF) to intervene as part of its action to fight against flags of convenience. The ITF advised, in a circular sent to its affiliates, not to negotiate with Viking, which prevented Estonian unions from negotiating with the ferry company.
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