Unlike purely social-democratic states in Europe, the Nordic model that Iceland adopted borrows aspects of both a social-democratic and liberal-welfare state. Iceland not only sees high government involvement in providing social welfare and amenities as with the social-democratic model, but like the liberal-welfare model, it is also heavily reliant on free trade and markets. The country relies on an open capitalistic market for economic growth, yet also embraces a corporatist system that allows for wage bargaining to occur between the labor force and employers in order to protect workers and ensure provisions like unemployment benefits are ensured. Currently, the legislation that ensures these benefits is The Act on Trade Unions and Industrial Disputes, which was adopted in 1938 and has been amended five times since its inception to adjust to the rise of globalization. In Section 1, Articles 1–13 grant trade unions the right to organize and negotiate with employers over fair wages for its members as well as representation for their members in the event of workplace conflicts. These rights for organized unions set forth by the Ministry of Welfare not only provide the country's labor force fair and equal representation within their respective industries, but also allow for these organizations to maintain an active relationship with the Icelandic government to discuss economic issues, promote labor and social equality, and ensure benefits for unemployed laborers, as these unions are highly centralized and not politically affiliated.