ABSTRACT

In 1996 a binding four-year sectoral agreement replaced a labour ordinance (ordenanza laboral ) which contained a cumbersome pay structure. The new agreement lays down basic conditions regarding grading systems, disciplinary procedures and training, which is monitored by a joint committee (comision paritaria) of the signatory partners. Pay is determined by an extensive network of collective agreements. Some 555,083 workers (71 per cent of the total HI workforce) were covered by 104 company and 47 provincial agreements.