About the sectoral social dialogue committee of the construction industry

1. About the sectoral social dialogue committee of the construction industry Tibor Pallay Co-president Deputy president of the National Federation of Construction Contractors

2. History: • February 2001: start of the PHARE programme ”Strengthening the autonomous social dialogue” • 2003: establishing the SSD committees • 15. September 2003: establishing the SSD committee of the construction industry • 27. January 2004: completion of the PHARE programme • 2004-December 2009: temporary operation • 1. January 2010: legal basis [Act 74/2009, 22/2009(30.09.)Reg.of the Social and Labour Min.] Tibor Pallay

3. Founders/employers’ side: • National Federation of Hungarian Contractors • National Construction and Construction Industry Federation • Hungarian Cement Association • Hungarian Construction Materials Association • Hungarian Federation of Forestryand Wood Industries Pallay Tibor

4. Founders/employers’ side : • Hungarian Association of Craftmen's Corporations • National Association of Hungarian Master Carpenters • Association of Hungarian Furniture and Woodworking Industries Pallay Tibor

5. Founders/employees’ side: • Trade Union Federation of Construction Wood and Construction Material Industry Workers • National Federation of Trade Unions in the Construction and Allied Industries • Trade Union of Forestry and Wood Industry Workers Pallay Tibor

6. Present form of the SDC of the construction industry: • Separation of wood and furniture sector • On the basis of the decision of the Participation Certification Committee: MCSz separates ,ÉÉSZT receives the observer status • On the basis of a new decision of the ÁRMB: from 2010 ÉTSZOSZ receives the observer status, too Pallay Tibor

7. Core objectives: • Short term: • sectoral collective agreement for the construction industry • Long term: • assess the situation of vocational training, develop a concept Pallay Tibor

8. Achievements • Sectoral collective agreement: • 2006: base agreement • 2007: amandement after 2 years • 2009: minor amandements • 2010: negotiations are in progress • mandatory expansion • wage agreement Pallay Tibor

9. Achievements: • Vocational training: • fact-finding study • needs assessment • participation in the development of the system • successful conferencies Pallay Tibor

10. Main activities: • involvement in actions against black employment (agreement with the government, conferencies etc.) • labour safety road show • inter-portfolio committee for the construction industry • publication of the periodical Construction industry dialogue • develop and maintain internatoinal contacts Pallay Tibor

11. Operational framework of the SSDC: • Secretariat, secretaries • SSDC and its committees (regulation, finances, information, IT) • Sectoral Participation Certifying Committee • Sectral Dialogue Center • Act on the Operation of Sectoral Social Dialogue Committees Pallay Tibor

12. Factors strengthening the interest conciliation elimination of black and grey employment is a joint interest decent pay for decent work: eliminate the irrationally low prices (GVH,Kbt) introduction of gross hourly fees (including costs) Pallay Tibor

13. Factors weakening the interest conciliation fragmentedunion landscape weakly organised employers no comprehensive government concept, only partial steps: black employment, carousel-debts, efficiency of controls frequently amanded legislation majority of Hungarian employees have not recognised the benefits of the conciliation of interst yet (avoiding rules, looking for loopholes) Pallay Tibor

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