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ISS and FIET Alliance

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ISS is The World's Leading Provider of Facilities Services incl. Cleaning, Catering, Building Maintenance, etc. to Hospitals, Airports, B&I, Nursing Homes, etc. ISS has a turnover of USD 3.5 billion p.a. It has 230,000 employees, which makes it the 10th largest employer in Europe and it operates in 34 countries (market leader in 20 countries in Europe, Asia and Brazil).

ISS, has established a global policy for employee relations, in what has been hailed as a significant international union-company partnership agreement.

Working with Fiet, the international trade union federation, ISS has devised a policy to ensure a standard approach to pay and working conditions across the 140 countries in which it operates throughout Europe, Asia and Latin America. The agreement guarantees the right to belong to a trade union and to enjoy core standards of pay, training and working conditions for its 126,000 employees.

The company says it concluded that there was a need for a global approach to employee relations after it conducted a corporate review of HR strategies on training, working time and salaries. It formally rejected the approach, taken by many organizations in the sector, of undercutting competitors to win contracts through low pay and poor working conditions.

ISS describes the move as an attempt to set an example to the rest of the industry and to improve "the public perception and esteem of the service worker".

Waldemar Schmidt, group chief executive, said the agreement was a "historic development in ISS's social dialogue" and, potentially, a trendsetter in global employment issues.

"This is the first time that the group has formally stated its policy towards the trade unions," he said. "Our experience is that well-run unions and organized labor can be a guarantor of benefits for both the company and its employees. We see standards for the industry as part and parcel of establishing and retaining market leadership."

Reference:

Anslinger, P. Jenk, J. (2004). Creating Successful alliances.

CITE THIS AS:

YouSigma. (2008). "ISS and FIET Pay Agreements." From http://www.yousigma.com.

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