Trade union for freelancers – Is it necessary?

What is a trade union?

Let's first look at what a trade union really is. A trade union is essentially a large community, to which you regularly pay to be a member.

The money you pay to the union is used to fight for your interests as a worker such as pay, working conditions or in relation to work injuries, with some unions also offering personal advice or help with career planning.

It is a general opinion that trade unions are better suited to larger companies and public employees.

Most often we see trade unions as being the sword and shield of the wage earners.

The trade unions fight and protect the employees' collective agreement against the employers' demands for poor working hours and working conditions - poor pay and poor working environment.

So why should you as a self-employed person, freelancer or sole trader prioritize time and money on a trade union which is used to fight for wage earners who are not you?

It may be a good idea because there is also another side to the matter; trade unions are for everyone!

Trade unions, in the traditional sense, are built on a relic from a time when the labor market looked completely different.

Times are changing, and today we see a huge increase in the number of people working online, from home and not least freelance.

The trade unions have therefore followed the times and have adapted to it labor market we have today.

Let us therefore initially demystify the often mistaken view; Trade unions ARE also for the self-employed.

If you are more interested in the unions right now and here, you can find much more information about unions for the self-employed here.

What is the difference between an A-kasse and a trade union for the self-employed?

A-kasse and trade union - do you really have to be a member of it all? And what is the difference?

In short, the A-kassen provides financial security, while the trade union can help you as a self-employed person with advice and a number of other things, which we will get into in more detail later in this article.

The explanation lies in the name; A-kasse, which is short for unemployment fund, ensures the employee an income in case of unemployment. 

Roughly speaking, you can say that the A-kassen helps you when you are out of work, while the trade union helps you while you are in work.

You do not necessarily have to have a trade union and A-kasse in the same place, and if you do not want to be a member of both or any of the parts, it is also entirely up to you to choose yourself.

You can read more about the difference between A-funds and trade unions here.

How do you find the 'right' trade union for the self-employed?

The boring answer is that the best thing to do is to do a little research on the various unions.

There are countless trade unions, with some being industry specific, while others are more general and offer a wide range of services at different price points.

Which trade union is right for you is therefore very individual.

So even though it's a bit of a broad answer; Look through the various trade unions and find the one that is absolutely right for you and your needs!

When do you, as an independent freelancer, need a trade union?

All freelancers and self-employed people who need sparring, legal advice, a larger network or even courses will be able to benefit from being a member of a trade union.

But are there any disadvantages to being a member of a trade union for the self-employed?

There is, of course, a financial cost associated with a trade union that cannot be avoided.

Seen in the context of the invaluable knowledge and sparring that a trade union can contribute, it is in many cases worth the price.

What does membership in a trade union for the self-employed cost?

The price for a union can vary and it is best to contact the union directly for the most up-to-date information on self-employed union membership. 

However, it can be pointed out that many trade unions offer a discount on membership for the self-employed, as your working conditions are different from those of the usual wage earner.

What can a trade union help the self-employed with?

There is a big difference between what a trade union can help an employee and an independent freelancer with.

The different tasks and working conditions require different offers and solutions from the trade union.

As a sole proprietorship, a trade union for the self-employed can give you input and help, which can be an advantage, since as a freelancer you often work alone and may lack sparring partners in stressful situations.

Here, a trade union can be a helping hand and i.a. give you the opportunity to make use of sparring and advice for your business.

Below you will find a list of some of the areas that a trade union can offer to the self-employed, freelancers and sole traders:

• Rules for tax and VAT:

As you probably already know, it can be difficult to keep track of tax and VAT. “What do I have to subtract?”, “how much will I actually get paid next month?” etc.

Here the trade union can be of great help and can guide you through the 'tax' jungle. If you can't wait to hear back from a union, you may be able to find the knowledge you need here.

• Pension:

We all dream of living out our old age on a holiday island surrounded by palm trees and sandy beaches, but the dream is quickly shattered if we do not have the financial means to sweeten life later in life.

Here, a trade union for the self-employed can help guide you on the right path towards your palm life dream or simply a safe life as a pensioner.

If you want to be sure you have enough money in the account for that time, you can read a lot more about pensions here.

• Business strategies and development:

If you are stuck and need help to be pulled out of the mud, a trade union for the self-employed can be both your rope and your tractor – your personal lifeline!

The trade union can be your permanent or loose sparring partner and can both help with marketing and budget.

All types of work can benefit from an extra set of eyes.

• Law:

An important part of the company's operation is, of course, legal.

And as important as it is, it can be just as complicated.

Fortunately, the trade unions employ skilled lawyers who can help you navigate the legislation.

This may, for example, be with regard to the creation and review of contracts, legal assistance or company and personnel law.

• Courses and networks:

Trade unions are often large networks with access to good resources, which their members can of course benefit from.

One of these advantages is good and close relationships and connections, which you can seek out yourself and use to strengthen your or your company's network.

In addition, they often offer various courses that you can enroll in to develop your skills or acquire a new tool for your toolbox.

You can get inspiration for various courses here.

• Overtime:

Many self-employed people work a lot; i.e. many self-employed people work TOO much.

The trade union for the self-employed can, among other things, help you find ways to separate your working day and leisure time.

If you find it difficult to put the work phone away and check e-mails under the table at dinner, then the trade union can help you achieve a good balance with a focus on more than just work.

Trade union for the self-employed - must or must not?

After all, a trade union is like a self-employed person nice to have, but not need to have.

Whether you can benefit from becoming a member of a trade union is entirely up to you, but regardless, it can be a good idea to familiarize yourself with the subject and do a little research on the various trade unions, so that you at least know what you can alternatively turn down to.

You can say that a trade union is only an advantage to be a member of if you actually get to use it and thus get value for your money. 

On the other hand, you can also quickly end up in a situation where you need sparring from a trade union, so it can definitely be worth considering.