Romanian Employers' Organizations Search for Strategic Solutions; July 11, 2006
Bucharest; July 11, 2006 - In a time when the legislation on employers' organizations is undergoing some important changes, issues concerning representation and promoting members' interests are going under scrutiny. Offering a forum of discussion for both the employers' organizations and their members, Center for International Private Enterprise Romania (CIPE Romania) organized, at the initiative of the Alliance of Romanian Employers' Confederations, a roundtable entitled "Romanian Employers' Organizations - Serving Members' Needs". The event took place on July 7th in Bucharest, Romania, and was attended by representatives of 14 employers' organizations, federations and confederations, as well as members and representatives of the business community. The guest speaker was Mr. Antonio Penalosa, Secretary General of the International Organization of Employers.
Mr. Penalosa emphasized that the main problem for the employers' movement in Romania is division. "A common voice that represents the interests of Romanian employers is absolutely necessary. Competition is good for business, but bad for employers' organizations." Antonio Penalosa stated the principles of a strong employers' organization in the 21st century: unity, strength, professionalism, finances, solidarity, independence, leadership, flexibility, providing services, openness to dialogue, visibility & success. In Mr. Penalosa's opinion, the Romanian employers should gather in one strong organization that can more effectively speak for the business community.
The participants agreed on the cohesion principle, but show no enthusiasm for the idea of one big organization. Regarding the necessity of an employers' organizations law, different views have been exposed. Mihai Manoliu, Secretary General for the Alliance of Romanian Employers' Confederations, considered that "the law doesn't change anything for the better and the right of free association should not be limited in any way. The employers' organizations can negotiate and collaborate without a law regulating these activities." Antonio Penalosa replied that many countries do not have this kind of legislation, but that transparency in the employers' organizations' relations with the political parties is essential.
As far as the role and image of employers' organizations are concerned, the participants agreed that these aspects need clarification both at organizational level, as well as within the economic and politic environment. Maria Grapini, President of the Light Industry Employers' Federation, insisted on the need to prepare future leaders in the employers' organizations. She also said that members should be made clear on the fact that employers' organizations are not service providers and have to focus on representing members' needs through lobby and advocacy.
Representatives of the employers' organizations charged the government with a lack of interest for their points of view and with a reticence for real dialogue. Marian Dumitrescu, Vice president of the National Council for Private Small and Medium Sized Enterprises in Romania, declared that employers' organizations should not rely on governments' friendship. Adrian Izvoranu, General Director of the Industry, Services and Commerce Employers' Confederation, said that it is easier to make lobby in Brussels than in Bucharest, but the solution could be organizing employers by sector in order to avoid competition and clearly define responsibilities. Asked how could employers' organizations in Romania initiate an efficient dialogue with the government, Mr. Penalosa answered: "The employers' organizations got to much involved in politics. Public policies should be influenced through legislative initiatives and an active promotion of ideas and opinions. In other countries, employers' organizations created professional lobby groups and educated politicians in that respect."
Mihai Rajnita, Secretary General of the Romanian Hotel Industry Federation, considers that "employers' organizations should learn from foreign investors how to organize and to promote their interests through lobby and advocacy. Also, each sector should unite in employers' federations, following the example of some European countries."
Regarding the relations with the members, participants emphasized the lack of a real communication, in the sense that members find it hard to express their expectations and needs and organizations fail to promote the activities that the members benefit from. Some participants said that businesspeople are not familiar with employers' organizations since these have not managed to determine any significant change in the business environment. There have been also voices stating that employers' organizations should concentrate more on building a positive image of the businesspeople as they generate revenue and create jobs. On the other hand, businesspeople are not keen on volunteering for employers' organizations without seeing the immediate benefits.
The general conclusion was that discussions and collaboration are indispensable to establish common objectives and strategies that would lead to the strengthening of the Romanian employers' movement. There has been a proposal to organize a conference that could bring the employers' organizations together. Mr. Penalosa affirmed his availability to support this endeavour, both through the IEO's expertise and his personal presence.
Center for International Private Enterprise (CIPE) is an American organization founded by the U.S. Chamber of Commerce in 1983 in the belief that economic freedom and political freedom are intertwined. Over the last 20 years, CIPE has supported more than 800 local initiatives in more than 95 developing countries to organize business associations and involve businesspeople in policy advocacy, institutional reform, and responsible governance.
Center for International Private Enterprise Romania (CIPE Romania) promotes democratic values and economic growth by providing support to business associations, employers' associations and chambers of commerce.
CIPE Romania started its activity in 2000 with a project funded by USAID with the aim to support business association development in the information technology, manufacturing, and tourism sectors. CIPE Romania also worked with multi-sector and women's associations, as they had members in each of the target sectors. Under this three-year program CIPE Romania was responsible for a number of activities including technical assistance for institutional development, support for public policy advocacy initiatives, information for targeted associations through forums, think tanks, and conferences, grants, creation of investment opportunities, and a volunteer experts program.
Between 2003 and 2004 with financial support from National Endowment for Democracy, CIPE Romania implemented a program dedicated to the creation and the development of the Coalition of Women Business Associations in Romania (CAFA) in order to assist business women in becoming an important player in the public-private dialogue.
At present, CIPE Romania is implementing a project aiming to create a network of women's business groups in the Balkan region that can actively promote a legislative agenda in order to improve both the status of women entrepreneurs and the overall business environment.
CIPE Romania is also working toward the set up of an Institute for Organization Management which will provide training for the leaders and executives of business associations and chambers of commerce.
For more information on CIPE activities, please visit the website:
www.ciperomania.org
Mr. Penalosa emphasized that the main problem for the employers' movement in Romania is division. "A common voice that represents the interests of Romanian employers is absolutely necessary. Competition is good for business, but bad for employers' organizations." Antonio Penalosa stated the principles of a strong employers' organization in the 21st century: unity, strength, professionalism, finances, solidarity, independence, leadership, flexibility, providing services, openness to dialogue, visibility & success. In Mr. Penalosa's opinion, the Romanian employers should gather in one strong organization that can more effectively speak for the business community.
The participants agreed on the cohesion principle, but show no enthusiasm for the idea of one big organization. Regarding the necessity of an employers' organizations law, different views have been exposed. Mihai Manoliu, Secretary General for the Alliance of Romanian Employers' Confederations, considered that "the law doesn't change anything for the better and the right of free association should not be limited in any way. The employers' organizations can negotiate and collaborate without a law regulating these activities." Antonio Penalosa replied that many countries do not have this kind of legislation, but that transparency in the employers' organizations' relations with the political parties is essential.
As far as the role and image of employers' organizations are concerned, the participants agreed that these aspects need clarification both at organizational level, as well as within the economic and politic environment. Maria Grapini, President of the Light Industry Employers' Federation, insisted on the need to prepare future leaders in the employers' organizations. She also said that members should be made clear on the fact that employers' organizations are not service providers and have to focus on representing members' needs through lobby and advocacy.
Representatives of the employers' organizations charged the government with a lack of interest for their points of view and with a reticence for real dialogue. Marian Dumitrescu, Vice president of the National Council for Private Small and Medium Sized Enterprises in Romania, declared that employers' organizations should not rely on governments' friendship. Adrian Izvoranu, General Director of the Industry, Services and Commerce Employers' Confederation, said that it is easier to make lobby in Brussels than in Bucharest, but the solution could be organizing employers by sector in order to avoid competition and clearly define responsibilities. Asked how could employers' organizations in Romania initiate an efficient dialogue with the government, Mr. Penalosa answered: "The employers' organizations got to much involved in politics. Public policies should be influenced through legislative initiatives and an active promotion of ideas and opinions. In other countries, employers' organizations created professional lobby groups and educated politicians in that respect."
Mihai Rajnita, Secretary General of the Romanian Hotel Industry Federation, considers that "employers' organizations should learn from foreign investors how to organize and to promote their interests through lobby and advocacy. Also, each sector should unite in employers' federations, following the example of some European countries."
Regarding the relations with the members, participants emphasized the lack of a real communication, in the sense that members find it hard to express their expectations and needs and organizations fail to promote the activities that the members benefit from. Some participants said that businesspeople are not familiar with employers' organizations since these have not managed to determine any significant change in the business environment. There have been also voices stating that employers' organizations should concentrate more on building a positive image of the businesspeople as they generate revenue and create jobs. On the other hand, businesspeople are not keen on volunteering for employers' organizations without seeing the immediate benefits.
The general conclusion was that discussions and collaboration are indispensable to establish common objectives and strategies that would lead to the strengthening of the Romanian employers' movement. There has been a proposal to organize a conference that could bring the employers' organizations together. Mr. Penalosa affirmed his availability to support this endeavour, both through the IEO's expertise and his personal presence.
Center for International Private Enterprise (CIPE) is an American organization founded by the U.S. Chamber of Commerce in 1983 in the belief that economic freedom and political freedom are intertwined. Over the last 20 years, CIPE has supported more than 800 local initiatives in more than 95 developing countries to organize business associations and involve businesspeople in policy advocacy, institutional reform, and responsible governance.
Center for International Private Enterprise Romania (CIPE Romania) promotes democratic values and economic growth by providing support to business associations, employers' associations and chambers of commerce.
CIPE Romania started its activity in 2000 with a project funded by USAID with the aim to support business association development in the information technology, manufacturing, and tourism sectors. CIPE Romania also worked with multi-sector and women's associations, as they had members in each of the target sectors. Under this three-year program CIPE Romania was responsible for a number of activities including technical assistance for institutional development, support for public policy advocacy initiatives, information for targeted associations through forums, think tanks, and conferences, grants, creation of investment opportunities, and a volunteer experts program.
Between 2003 and 2004 with financial support from National Endowment for Democracy, CIPE Romania implemented a program dedicated to the creation and the development of the Coalition of Women Business Associations in Romania (CAFA) in order to assist business women in becoming an important player in the public-private dialogue.
At present, CIPE Romania is implementing a project aiming to create a network of women's business groups in the Balkan region that can actively promote a legislative agenda in order to improve both the status of women entrepreneurs and the overall business environment.
CIPE Romania is also working toward the set up of an Institute for Organization Management which will provide training for the leaders and executives of business associations and chambers of commerce.
For more information on CIPE activities, please visit the website:
www.ciperomania.org
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