The main variables within the framework of sectoral bargaining are centralization vs decentralization, and coordination vs non-coordination (and every possible combination of those). These are all in contrast to fully decentralized systems with no sectoral bargaining (eg US & UK)
A fully centralized system is one in which the bargaining that happens at the national/sectoral level is binding. In decentralized systems, sectoral bargaining sets parameters which firms must follow (minimum and maximum wages for each position) or allows for selective opt outs
Coordination refers to the degree to which there is cross-sector cooperation in negotiations. For example, non-tradable sectors (like services) may agree to moderate wage growth in line with tradable sectors (mostly manufacturing) to maintain competitiveness and high employment
This is a super important element, and it allows countries to adjust to macroeconomic conditions more easily and maintain higher employment during downturns
Finland and Belgium are examples of centralized and coordinated systems, Germany and Denmark are less centralized but still coordinated.
France and Switzerland are centralized but uncoordinated systems, and Greece and Ireland are neither centralized nor coordinated
France and Switzerland are centralized but uncoordinated systems, and Greece and Ireland are neither centralized nor coordinated
