In a letter to Minister of Economic Affairs Erkki Keldo (Reform), who made the proposal, the confederation's CEO, Arto Aas, wrote that while employers certainly understand the desire to cut costs, this should not come at the expense of reducing the rights of both employers' and employees' representatives.

The national conciliator's (Riikliku lepitaja) main role is to mediate labor relations disputes.

"What is more, assigning new duties to the chancellor of justice will also incur costs, including hiring new staff, training, and other expenses," Aas said.

The employers also disagree with the stripping of their right to nominate a candidate for the national conciliator position.

Furthermore, they argued that any national conciliator must have practical experience in business, the labor market, and collective labor relations.

Conversely, the justice chancellor's main requirements are to have a legal academic education and to be a recognized lawyer – not the main focus of mediation in this case.

"Resolving labor disputes is generally not a legal argument," Aas said.

The ideal national conciliator, in the employers' eyes, would be someone with hands-on experience in the labor market, one who is well-versed in its dynamics and can mediate and negotiate between parties effectively.

"At the same time, they must also be sufficiently trusted and respected by the disputing parties. These types of individuals are typically found via collaboration between both sides of the labor market, namely employers and unions, and are based on their suggestions," Aas went on.

"The justice chancellor is however appointed by the Riigikogu, at the president's proposal, with no input from parties to the labor market. It is clear that the justice chancellor's main focus and expertise are not labor-related," he added.

In addition to these concerns, the employers criticized the government's practice in Estonia of setting unreasonably short deadlines for stakeholders to provide feedback on proposed legislation, and of taking over or placing more closely under its gaze functions carried out by non-governmental bodies.

"In the same way, we are troubled by the rising tendency of some politicians to annex the roles of social partners (for example, in the minimum wage discussions). This cannot reflect a healthy political culture," Aas cautioned.

On September 16, Keldo sent a draft bill for coordination and feedback, proposing to transfer the duties of the national conciliator to the Chancellor of Justice.

Feedback on this was expected just two days later, on September 18.

The explanatory memorandum accompanying the bill stated that transferring the national conciliator's duties to the justice chancellor's remit would improve the quality and efficiency of resolving collective labor disputes, due to the greater capacity of the chancellor's office.

However, the current national conciliator, Meelis Virkebau, considers the bill regrettable and misguided, arguing that it dismantles a well-functioning system of collective labor dispute resolution that has been in place for a quarter of a century.

Chancellor of Justice Ülle Madise has also expressed skepticism about the bill, warning that transferring the national conciliator's duties to her office could lead to conflicts, even as the promised financial savings to the state may not materialize in any case.

The law which would be amended is the Collective Labor Disputes Resolution Act.

--

Follow ERR News on Facebook and Twitter and never miss an update!