DGB Executive Committee Berlin Adopted on 13 March 2017 G20 Action on Digitalisation -the trade union perspective The G20 states generate 80 percent of the global gross domestic product, and according to figures of the International Labour Organization (ILO), they also provide 60 percent of employment worldwide. It is therefore encouraging that the G20 is focusing on work in the future in the discussions of its ministers of labour and social affairs. It is particularly positive that the current German presidency of the G20 has put the topic Future of Work at the top of the agenda for the next meeting of ministers of labour, which will take place in May 2017 in Bad Neuenahr. The digital future will be a topic for discussion at the meeting of G20 ministers in charge of digitalisation in April in Düsseldorf. The intended result of these two meetings is a roadmap for the G20 states detailing how to approach the challenges of the digital age and the associated fundamental changes in labour relations in future while taking their respective national environments into consideration. Here, the consequences of digitalisation for the workplace, social security, investments and education must play an important part. The digitalisation debate should not primarily focus on technology or what is technically feasible but on people. The German Confederation of Trade Unions welcomes the political creative drive that underlies these plans for the G20, as new questions have arisen in the context of digital structural change that require political answers. During this process, the heterogeneous conditions and needs of the G20 member states must be taken into consideration. However, the joint concern of the G20 should ultimately lead to a political strategy for Good Work under the conditions of the digital transformation process. 1. Good Work Many hopes are pinned on the digitalisation of the workplace: increased efficiency, new or more senior tasks, relief from difficult physical labour or excessively high work intensity, greater self-determination for employees regarding the place and time at which work is performed and an improvement of ergonomic conditions. At the same time, there is the risk of digitalisation leading to job losses, the precarisation of employment, for example in business platforms or through the increased reallocation of labour, the restriction of co-determination, the downgrading of jobs through lack of investments in further training by governments and employers or through use of technology (if it is not used in terms of Good Work), and increased stress, particularly psychological. Additionally, this could promote the surveillance and disproportionate performance and behaviour monitoring of employees through the gathering and use of large quantities of data and the implementation of sensors in production. The available scientific employment forecasts identify various scenarios. The question is not whether digitalisation will change and continue to change the workplace but how. The goal is to create opportunities for companies and employees and to reduce risks. These opportunities for digital transformation are not diametrically opposed to the inherent risks, but they will only present themselves once employees concerns and reservations regarding job security and data protection have been eliminated. Here, the objective is to counter the possible obstacles to realise the potential of digitalisation for sustainable economic and social innovations. This works best if the employees are involved in the process and can help shape their working and living conditions. Milestones for Good Work in the digital age 1
(1) Digitalisation accelerates globalisation and changes systems of value creation as well as market and power structures. In the Internet economy, data is traded as the new oil of the global economy. This leads to new opportunities for employment and prosperity but also to new requirements for the political framework. In addition to standards for data usage and data security, as well as political approaches to dealing with data as an economic resource, international agreements are required to strengthen the protection of employee data and thus prevent digital surveillance and behaviour monitoring. (2) The networking of virtual environments and reality, artificial intelligence and machines, as well as the interaction of smart machines and people through the Internet of things, creates new business models, networks and markets. In this process, digital platforms become hubs that offer new employment opportunities but also have the potential to change labour relations. This calls for binding international regulations for handling digital platforms that cover areas from employment law and tax law to competition law and address the question of market power regulation. The fundamental principles and rights at work must not be undermined and pay disparity must not be allowed to increase. (3) The digital age must be regarded as a process of structural development that can lead to excellent opportunities for employment and prosperity if the G20 actively supports employees with a policy of enablement. This particularly includes offers for qualification, the development of new job profiles, social security and working time sovereignty. (4) The social partners have a decisive role in tackling the digital structural change. Partnership structures must be supported and the co-determination and participation of employees must be strengthened as a key element of the necessary processes of negotiation and developed according to the requirements of the digital workplace. (5) The social security systems must be adapted to the changes and consequences of digitalisation. Employers and main contractors must be held responsible for the social security of employed persons. The social security of self-employed persons working alone must also be ensured. (6) The use of digital technologies for Good Work in the future requires the organisation and development of interdisciplinary, participative and international labour research. In particular, research accompanying technology and preventive technology assessment are necessary with regard to autonomous and partially autonomous systems. (7) The danger of jobs in the service sector and in services of general interest being further devalued must be counteracted, as must any widening of the gender wage gap. Additionally, the German Confederation of Trade Unions supports the L20 Priority Recommendations published by the International Trade Union Confederation and the TUAC in January 2017 (see www.labour20.org) which urge the G20 states to turn words and resolutions into deeds in several policy areas. In closing, the German Confederation of Trade Unions wishes to express its support for the Centenary Initiative on the Future of Work of the International Labour Organization (ILO). There are a number of international organisations currently focusing on this topic. However, due to its tripartite structure (governments, employees, employers), the ILO is the only one in which employees' organisations can actively shape the consultation and decision processes. In 2019, the ILO will celebrate its centennial anniversary. This anniversary shall be the occasion for adopting a declaration on the future of work to 2
prepare the organisation for the coming challenges both programmatically and politically in the same manner as the historically important ILO declaration from Philadelphia in 1944 (see ww.ilo.org). The German Confederation of Trade Unions urges the G20 states to support the centenary initiative of the ILO in keeping with its theme of creating greater social justice. Further requirements and recommendations of the German Confederation of Trade Unions on Work 4.0 largely address the current German presidency of the G20 but are also intended as food for thought for unions regarding work in the future (http://www.dgb.de/themen/++co++1c8e9a74-cf17-11e5-929e- 52540023ef1a). 2. Maintaining good regulation and fair competition Digitalisation also offers excellent international opportunities for better offers and solutions of global problems. At the same time, it must be regulated so that its benefits are not cancelled out by the deterioration of working and living conditions. Digitalisation allows for accelerated globalisation. It not only facilitates international business relationships but is increasingly allowing providers from different countries to offer services on the same target market online. Digital platforms play a key role here, as they can bring together providers and consumers of online services from all over the world. For example, translation, programming, research and writing work can be executed online regardless of the countries in which the provider and consumer are located. Therefore, some industries are seeing a massive increase of competition between providers of such services based in different countries. This global competition is putting pressure on collectively agreed wages, salaries, social security and workplace safety regulations, as the national states and national social partners no longer have the possibility of intervening in the case of international performance of services. There is a great danger that more and more of such tasks will not be carried out by employees with social security but by falsely self-employed or self-employed persons working alone without security and for extremely low pay. Especially in times that are increasingly threatened by the renationalisation of economic policy, trade unions are campaigning for the definition of fair and good working conditions throughout global value networks. Global value networks and the international division of labour must not be allowed to cause salaries or social security regulations to come under fire. It must be ensured that the person that succeeds in a competitive market is not the one with the worst pay, the lowest social standards and the weakest health and safety safeguards. If the G20 advocates for fair international competition, it must ensure that globalisation does not threaten wages, salaries, social security and health and safety at work. We expect the G20 to discuss this problem and take steps to combat social dumping. Digital platforms can play an important role in the implementation of good working conditions. If platforms are dominant on the market, they can determine market access for providers and consumers. In this case, state regulation must ensure that they are obligated to comply with fair competition and non-discrimination laws and good working conditions. With respect to employed persons offering services through digital platforms, the definitions of employee and especially of employer and company conditions must be further developed so that the platforms fulfil their responsibility for good working conditions. These platforms should be included to combat wage and social dumping. To maintain Good Work, the area of crowdworking must also be regulated. The International Labour Organisation (ILO) has made important contributions in this field. 1 1 Cf. ILO, Strengthening social protection for the future of work, paper presented at the 2 nd Meeting of the G20 Employment Working Group 15-17 February 2017, Hamburg and further papers at ilo.org. 3
Companies such as Google, Amazon and Facebook have enormous market power on their respective markets that urgently requires supervision. They not only change economic structures but also influence the functioning of democratic decision-making processes. As these companies operate globally, international cooperation is necessary to confront them effectively. The cooperation between states is necessary to ensure that internationally operating platforms and portals follow the rules of data protection, consumer protection and good working conditions and can be taxed effectively. Relevant financial transactions must be recorded to prevent the spread of digital black markets. For platforms operating across borders, appropriate international rules are required that close regulatory and recording gaps. 3. Investments in research and digital infrastructure Research and development are key areas for digitalisation. To ensure that digitalisation is oriented towards good working conditions, gender equality and social and environmental goals, the state must prioritise these areas in its research policy. More public funding should be allocated to research in these fields. We call for the targeted support of projects based on the broad participation of employees, works councils, trade unions, consumer organisations, environmental associations and civil society. Broad participation will ensure that digitalisation is aligned with the needs of people and society. Extending global infrastructure will also allow digitalisation to be used internationally for improving living and working conditions. It is a public duty to ensure that all regions are supplied with adequate digital networks. Here, affordable access to the network and to the according user devices must be guaranteed. It is not enough to count on private companies to handle the network extension. Structurally weak regions must also be able to participate in digitalisation; ensuring this is a public duty. Therefore, more state resources must be invested in the growth of digital infrastructure. In particular, this comes under the auspices of regional and development policy. 4. Digitalisation and education Professional and organisational requirements for work and business processes are changing due to digitalisation and demographic change, both between and within industries, and are likely to cause upheaval in the labour market given the skills shortage, innovative products and new business models and production strategies. We want to create opportunities for employees and better counter the risks of dequalification and job loss. This will only succeed if we promote and improve people s digital competence on a large scale, from school to apprenticeship to further training at the workplace. Tailored government initiatives and promotion programmes are required here. The digital development in the area of education must not lead to responsibility for public education being placed on the digital industry. Programmes such as learning analytics 2 must be analysed as to the professionalism, responsibility and data protection safeguards of teaching staff. Comprehensive media literacy includes old as well as new media in equal measure based on the good analogous skills of the learners and teachers. As regards education, the significance of findings in developmental psychology and the role of teachers must be strengthened. An increase of management in terms of staff and time must accompany digitalisation in all areas of education. Strict data protection as well as comprehensive co-determination regarding saved data, privacy protection and the introduction of digital work and teaching technologies must be ensured. We call for adequate staff resources in the form 2 Learning analytics are characterised by the collection and interpretation of various forms of data that are produced by or gathered from learners. Access to the data is possible if learning opportunities and processes are supported with electronic systems and data is collected on the usage behaviour. 4
of additional employees, needs-based teaching hours and support systems for the maintenance and administration of the digital infrastructure in the field of education. Professional development is a key area of activity necessary for the maintenance of employability, capacity to act and innovative ability of employees and businesses. A new understanding of qualification and skills development is required. Labour organisation, further training and employee development must be coordinated and developed further. In the digitalised workplace, the main focus will be on lifelong learning. Therefore, clear structures, a stronger obligation, reliability and planning dependability are indispensable for the learning process. Employees require the right to qualification counselling as a catalyst for various forms of further training with legally guaranteed study time, reliable options for leave, secure funding, obligatory support models and improved quality assurance. 5