Transcript Slide 1

Scenarios of strategies of social
partners’ cooperation in the
hairdressing sector to improve the
quality of work and employment
Andrea Broughton
14 March 2014
the institute for employment studies
Overview
 Aims of the project
 Methodology
 Presentation of the four scenarios
 Policy pointers
Aims of the project
 To identify current and future challenges for the
hairdressing sector in relation to the quality of work
and employment
 To examine how and at what levels the improvement
of quality of work and employment can be addressed
by the social partners
 To use a methodology that takes uncertainty into
account, provides space for the involvement of the
stakeholders, and which may lead to guidance for
action
Methodology
 Desk research on working conditions and quality of
work in the hairdressing sector in eight countries (DE,
DK, FR, IT, LT, NL, PL, UK)
 Focus groups of the social partners
 Survey of salons and employees in all eight countries
 Construction of four scenarios to answer 2 questions:
● What strategy should the social partners in the
hairdressing sector adopt in order to achieve an
improvement of the quality of work and
employment?
● What will the future of social partnership in the
hairdressing sector look like in 5-10 years?
The four dimensions of job and
employment quality
Scenario 1: the rosy glow of craft sector
values
Overview
 Image of the sector is much improved, due to recognition of the value
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of people working with their hands
Consequence of technology having been tried but having ultimately
failed due to the lack of social interaction and some high-profile
mishaps
Due to this increase in status and qualification levels pay increases,
but this is compensated for by reduced labour turnover
The social partners are in a strong position due to high membership
levels, a result of a more stable workforce
The social partners have been able to push through a drive to
professionalise career paths, competences and qualifications, with a
comprehensive pan-European and recognised standard for
qualifications across the sector, which facilitates mobility of
employees around Europe
Increased demand and competition among young people for training
places
The future of social partnership
 This is a positive world for the social partners
 Membership levels are likely to be high as it will be
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easier to recruit from a more stable workforce
The social partners can engage with members during
the design and offer of training
Possible challenges due to polarisation of salons that
adhere to training standards and those that do not
How should the social partners organise these two
different parts of the sector?
The social partners may need to engage in a different
way on issues such as pay, working conditions, career
progression and composition of the workforce
Social partner strategies to improve
quality of work
 The social partners may be able to use their strong
membership base to negotiate more EU-level
agreements on working conditions
 The social partners will have to engage on pay – issues
around the balance of the social partners in this
different world
 The social partners may be able to play a role in
advising salons on how to engage with training and
qualification provisions at EU level
 Demographic considerations in a low staff turnover
environment
Mapping on to the quality of work
indicators
Challenge of building a comprehensively-recognised European-level
framework. Further training and development will become more important in
a low workforce turnover environment. Salons might be able to form networks
to provide training.
 Likely to be upward pressure on pay, but maybe downward pressure on pay for
younger workers. Changing role of tipping? Possible reduction in the level of
self-employment. Social protection and workers’ rights would improve if levels
of self-employment and informal working fell.
 Positive effect on health and safety: higher status of the profession may lead
employers to engage more fully with h&s. Employers may be concerned about
retaining workers. Lower levels of self-employment and informal employment
would also have a positive impact on h&s. Wellbeing is likely to increase in line
with an increased number of employed and well-trained workers. There may
be a need for the social partners to focus on the health and safety needs of
older workers.
 Possible negative effect on work-life balance if levels of self-employment falls,
but employers may want to retain key workers and therefore be keen to offer
more flexibility. The social partners would be in a strong position and may be
able to negotiate agreements on work-life balance.
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Scenario 2: Robohair
Overview
 Technological advances begin to change the shape and composition of the
hairdressing sector:
● Automated hair-washing and hair-cutting machines, remove much of the
need for stylists to engage in actual washing and cutting of hair
● Nanotechnology and products that can be taken orally or by injection to
change hair colour will cause a collapse in conventional hair dye products
● Technology is developed to stop male hair loss
 Manufacturers of technological products and equipment become players in
the sector
 Workers need to be trained more regularly in order to keep up with
technological developments
 Polarisation of the market:
● on the one hand, the high-tech salons, attracting a young, trendy crowd
● On the other hand, more conventional salons with an older clientele, who
mistrust the technology and want social interaction
The future of social partnership
 The social partners might find it logical to split
into different sections in order to serve the
different areas of the market
 On the high-tech side, part of the membership
offer could include training and advice and
guidance on technology
 The social partners would need to ensure that
the low-tech part of the sector is not seen as
not as relevant or useful
Social partner strategies to improve
quality of work
 Negotiation and joint texts on the use of the new technology,
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covering health and safety, working hours, contact with the new
technology, training and skills development and also possibly pay
The social partners could also get involved in setting common EU
standards on equipment and materials
Joint social partner discussions could also cover prices and
quality of equipment and materials
The social partners could become involved in designing and
delivering training courses for those working with new
technology
More complicated collective bargaining – upward pressure on
pay in the high-tech salons, downward pressure in the low-tech
salons
Mapping on to the quality of work
indicators
 Employees no longer exposed to traditional health risks, but new risks may
emerge from the new technology. The social partners could provide advice
and guidance to employers and employees, including risk assessment.
Possibility of amending existing EU-level health and safety agreement.
 New skills will be needed in terms of working with the new technology.
Job roles would have to be redesigned, in some countries by collective
bargaining. The social partners could play an active role in this, also
working with equipment manufacturers and suppliers. Increased
importance of continuing professional development and further training,
in order to keep up with changes.
 Job security good in the high-tech part of the sector. Less mobility in the
“low tech” part. Potentially polarising effect on pay. Social partners might
want to consider specific collective agreements that address the
employment security needs of all employees
 In the high-tech part, working patterns are likely to change. There may be
a need to have people on call to help out if there are technological
problems. In the low-tech part, work-life balance is likely to be easier,
with a relatively high level of self-employment
Scenario 3: the rise of the mall
Overview
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Economic uncertainty in Europe, resulting from factors such as climate change,
political uncertainty, growing scarcity of resources and an ageing population, begins
to have a profound impact on the structure of the sector
The high street continues to shrink, as the popularity of the out-of-town shopping
mall grows
Salons become increasingly part of a larger shopping mall and subject to its opening
hours
More salons are taken over by chains, which can better manage the difficulties of
being part of a shopping mall
Implications for the role of the salon in the community
The independent salons that remain try to broaden their service offer
The sector polarises between larger chains and self-employed mobile hairdressers,
leading to the development of a “wild west” part of the sector, not subject to
regulation
Presence of chains initiates a price war along the lines of recent developments in
retail
Downward pressure on pay and conditions
Relationships between salons and suppliers are tense in a price-conscious world
The future of social partnership
 This scenario could have a profound effect on the development of the
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social dialogue
The smaller salons may decide not to be members of employer
organisations, as may the growing number of self-employed mobile
hairdressers.
The membership base for trade unions would also be under threat, as selfemployed workers are less likely to join a trade union.
Membership levels in the larger chains may hold up and perhaps rise as the
number of these chains increase.
A drop in the volume of social dialogue, as the membership level on both
sides shrinks.
This world could potentially have a negative impact on quality of work and
pay and conditions for employees in the sector, as money is tight and
salons cope with economic uncertainty.
This would make social dialogue more difficult, as the social partners
struggle to resolve the tensions between salons, suppliers and employees.
Social partner strategies to improve
quality of work
 The social partners could counter falling membership by offering
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specific services to members, such as advice and guidance on
regulatory issues
Target the larger chains for membership recruitment, with dedicated
advice and guidance for chains, including on regulatory compliance
This may be attractive to chains as they will not like the unfair
competition from the “wild west” part of the sector
Social dialogue and collective bargaining would have to focus very
narrowly on balancing salons’ needs for cost-cutting in an uncertain
world and employees’ needs for decent pay and working conditions
This may be something of an impossible task in a world of cut-throat
competitions and trade unions therefore run the risk of seeming to be
effective if they cannot counter it
An alternative strategy might be to focus on issues such as work-life
balance, training and competence development, flexible working and
job quality, including ensuring health and safety
Mapping on to quality of work indicators
 Diversification of the service offer will require adequately trained
staff: smaller salons could create networks to offer training. The social
partners could work with training providers on the content of the
training courses, and map and anticipate training needs.
 Work-life balance issues would play a key role in recruitment and
retention, in the absence of increases in pay. The social partners could
campaign on minimum weekly working time and get involved in the
provision of childcare.
 Lack of regulation would increase health and safety risks: competitive
advantage for those covered by regulation. New treatments could pose
new health and safety risks. The social partners could advise on
emerging risks and be involved in amending legislation.
 Polarisation of career and employment security: larger chains vs
smaller salons. Pay likely to be squeezed and workers’ rights will
depend on whether workers are active in the regulated or unregulated
part of the sector. The social partners could campaign to reduce the
unregulated part of the sector
Scenario 4: global warming leads to the
dry salon
Overview
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Economic uncertainty: the effects of global warming and climate change begin
to increase the cost of water and energy and cause economic instability
worldwide
Wet cuts, blow-drying and hair dyeing are still available, but much more
expensive for customers, as salons need to pass on increased costs
An added cost for salons is intensified waste treatment procedures
Salons develop alternative treatments, such as dry cuts and the use of dry
shampoos increases
Salons reduce opening times in order to keep water, lighting and heating costs
down
Growth in mobile hairdressing in customers’ homes
The sector polarises into salons that offer expensive treatments for special
occasions, those that offer a reduced service based on dry cutting, and lowcost mobile hairdressers
Smaller salons link up to form networks in order to share the cost of offering
certain treatments and purchasing products
A secondary market develops of rogue salons that do not abide by regulation
The future of social partnership
 Employers’ membership base may decrease as salons
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have less money and the informal market grows
Employers could counter this by offering advice on
water and energy usage
Trade unions could also suffer membership losses as
numbers of salons shrink
Trade unions might be able to remain relevant by
campaigning issues such as working time/opening
hours and trying to appeal to self-employed mobile
hairdressers
There may be some discussion about whether the
social partners should have different sections that
deal with the different parts of the market
Social partner strategies to improve
quality of work
 The social partners could try to negotiate an agreement on climate
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change and what this means for the sector, looking at issues such as
water use, energy use, opening hours and use of products
This could lead to a good practice guide for employers, setting out
some basic standards for employees, such as training on the use of
new products, and guarantees of a minimum number of hours, in
the context of reduced opening times
The social partners could try to engage with relevant stakeholders,
such as those involved in the management of water and energy and
manufacturers of the different kinds of products that would be in
use in this world
The social partners could try to attract self-employed workers by
offering specific services to them
Collective bargaining could engage with issues such as effects on
pay and working time
Mapping on to quality of work indicators
 Shorter opening times will reduce working time and pay and may
cause a move into self-employment. Chair renting, short-time
working and skills development schemes could help
 Revised working hours and schedules may affect work-life balance.
The social partners could try to ensure advance scheduling and be
involved in shared social infrastructures, eg childcare or shift
swapping
 New knowledge, tools and skills will be required in a world of
water shortage. The social partners could be involved in the
drafting and delivery of training and should engage with new
stakeholders
 There will be fewer problems related to working with water and
chemical dyes, but new issues may emerge with dry treatments.
Home hairdressers would be more vulnerable to MSDs. The social
partners could play a role in risk assessment and training and
information about new products and procedures
Policy pointers (1)
 Connecting to salons
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● Be aware of the reality of day-to-day working in salons
Engaging with new stakeholders
● These could include manufacturers of new products and
technology and climate change and waste disposal advisors.
Bipartite monitoring dialogue
● It may be useful to establish and maintain a bipartite dialogue at
sector level (where possible) in order to monitor change and
develop ways in which to respond
Action at EU level
● The social dialogue framework could tackle issues training and
development, career progression, working hours and, possibly also
pay
Engaging with skills needs
● The social partners could maintain their relevance by getting
involved, or more involved, in the development and possibly even
the delivery of skills and qualifications
Policy pointers (2)
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Partnerships with education institutions
● The social partners could act as the bridge between the salons and the
education providers in order to determine the types of skills needed in
the sector, and be involved in the development and provision of training
Tackling low pay
● Skills development, reductions in social charges, collective agreements,
statutory minimum wage
Continuing focus on health and safety
● most prominent concern linked to quality of work and working conditions.
Exchange of good practice; involvement in the identification of new risks
Focusing on flexible working
● flexible working time schedules and on-call working with minimum
weekly hours
Promoting work-life balance issues
● Involvement in setting up and running childcare facilities
Best practice exchanges
● Seminars and workshops in which selected national practices could be
showcased
Policy pointers (3)
 SME networks
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● For example, networks to participate in and offer training
Fighting the informal economy
● Lobbying governments, campaigning for a reduction in social
charges
Including the self-employed
● Include self-employed hairdressers in the social dialogue process
in some way, maybe through specific branches or sections
Organising differently to cope with polarisation of the sector
● Special sections or branches catering to different sectoral needs.
Possibility of concluding separate collective agreements
Exploring alternatives to redundancies
● Redeployment, upskilling, employability and short-time working
Engaging in social security provision
● set up schemes for individuals who do not have full entitlement to
social security.