Sweden: creation of a wage guarantee fund for subcontracting workers in construction

The agreement reached on March 31 between Byggnads (construction workers’ union) and Sveriges Byggindustrier (Swedish construction firms) helped avoid a strike announced as the biggest in the sector in 80 years.  But the stakes were big: defining financial responsibility in case of absence of remuneration in a subcontracting firm.  At first, Byggnads wanted joint liability for the contracts, but it is happy with the solution found.  Byggindustrier said the agreement is a compromise and the Svenskt Näringsliv employers’ organization does not want this system to be extended to other sectors.  Other provisions of the agreement supervise subcontracting.
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Creation of a guarantee fund. Byggnads and Byggindustrier are relieved with this agreement that ends a conflict that has been dormant for months. The union absolutely wanted businesses to be jointly liable, as it is in Norway, but it had to content itself with another solution, which it claims achieves the same objective: creating a “Monitoring and Surveillance Fund” (ordning och reda fonden) financed by businesses affiliated with Byggindustrier. Thus, workers who haven’t received the salary

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