. The decree may limit the scope of the collective agreement, but not extend it: Wet AVV Art. 2. In Netherlands case-law, it is customary to distinguish between the different types of provisions which may constitute a collective agreement.  On the one hand, a collective agreement may contain binding clauses that are binding only on the parties to the collective agreement. On the other hand, collective agreements are distinguished by the fact that they contain so-called normative clauses: clauses that govern the relationship between the worker and the individual employer. Other provisions may, as a general rule, be imposed on the individual employer, .b the social partners or third parties (Social Fund, other employers within the same organisation or branch). Finally, the social partners can use the collective agreement to set up two-branch institutions and funds for issues such as vocational training and early retirement. The law contains provisions on the obligations of the social partners as well as on the position of the parties to individual contracts covered by the collective agreement. The position of third parties is based on case law, in particular a series of decisions of the Dutch Supreme Court.
 However, to be considered a collective agreement, the contract must also meet certain formal requirements. The contracting parties must be organisations in full legal capacity and the agreement must be notified to the Ministry of Social Affairs.  If the agreement does not contain these elements, it may still be legally binding, but it will not produce the special effects conferred on collective agreements by the 1927 Act. If the parties have no intention at all of creating a legally binding instrument, their agreement can only be a gentlemens agreement. Disputes concerning the characterization of agreements between trade unions and employers have arisen mainly in the field of enterprise restructuring. Agreements containing social plans for collective redundancies or restructuring agreements are not always considered to be collective agreements within the meaning of the 1927 Act. . The Dutch system therefore does not respect a more favourable legal concept for resolving disputes between collective agreements of different levels. On the contrary, the system of exemptions favours voluntary submission to a more specific agreement over a sectoral agreement which, whatever the content of the agreements, is generally binding.
However, this system depends on the action of the undertaking bound by a particular agreement. If this company does not apply for an exemption, it is bound to the inter-trade agreement after the entry into force of the decree of general applicability.  In Sweden, around 90% of employees are covered by collective agreements and 83% in the private sector (2017).   Collective agreements generally contain minimum wage provisions. Sweden has no legislation on minimum wages or laws to extend collective agreements to disorganized employers. Unorganized employers can sign replacement agreements directly with unions, but many are not. The Swedish model of self-regulation applies only to companies and workers covered by collective agreements.  NJORD Law Firm provides legal advice on all challenges related to collective agreements. .