Summary Minutes. Meeting of Directors General for Industrial Relations. 4 December 2009 Hotel Meliá Princesa. Madrid

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1 1. Adoption of the Agenda Summary Minutes Meeting of Directors General for Industrial Relations 4 December 2009 Hotel Meliá Princesa. Madrid Mr A. Silva (Chair) (Acting Director - DG Employment, Social Affairs and Equal Opportunities European Commission) opened the meeting and welcomed all participants. He thanked the Spanish authorities for the warm welcome in Madrid. The Agenda was adopted. 2. Presentation of the Spanish Presidency's priorities in the social affairs field Having recalled the particular context in which the Spanish Presidency was going to take place(economic crisis, new Treaty, new Commission), Mr Jose Luis Villar Rodríguez. (Director General for Labour. Ministry of Labour and Immigration) referred to the two main axes of the Spanish presidency, the post Lisbon strategy (recovering from the crisis while simultaneously strengthening long term employment) and the renewed Social Agenda from the Commission. As for conferences, Mr Villar mentioned one on the posting of workers and social rights (17-18 March Oviedo) and another on the evaluation of the EU strategy on health and safety at work (22-23 April, Barcelona). The Spanish presidency will also deal with several legislative proposals relating to: a revision of Directive 92/85/EEC (pregnant workers); the prevention of injuries from sharps; and possibly also the extension of the coverage of seafarers in several labour law directives, and minimum health and safety requirements for workers' protection against the risks associated to electromagnetic fields. 3. Approval of the minutes of the meeting of Directors General held on 5 June 2009 in Stockholm. The minutes were approved 4. The Working Time Directive - State of play Mrs Madeleine Reid (Labour Law Unit - DG Employment, Social Affairs and Equal Opportunities European Commission) recalled the recent history of the Commission proposal on the review of the Working Time Directive and underlined the outstanding issues (non conformity by several Member States; legal uncertainty; constant stream of complaints, petitions, questions from citizen, calls for action by European Parliament and some Member States), which lead to the conclusion that the status quo is not acceptable to the Commission. One possible way out currently examined by the Commission is to assess the extent to which the current directive is able to respond to the needs of workers, employers, public services in the XXI century, and on this basis prepare a comprehensive review of the directive. In terms of process, there will be 2 exercises carried out in parallel in 2010: a) the two-stage consultation of social partners; b) an in-depth impact assessment covering social, economic and legal aspects.. 9 delegations took the floor (IE, HU, DE, FR, BE, SE, MT, UK, ES): they all agreed on the need to solve the existing problems and welcomed the initiative announced

2 by the Commission: Furthermore, they raised the following issues: the concern about the length of time needed with the proposed approach and the prolonged legal uncertainty; the scepticism as to the success of a review in the current crisis; the need to guarantee workers' health and safety and the need to reinforce social dialogue within undertakings; the need to involve Member States closely in the preparation of the impact assessment; the need for keeping flexibility for workers; the need to investigate further topics (real voluntary character of longer working hours; connection between longer working hours and the possibility to enter the labour market); the fear that if more issues are opened the agreement might prove to be more difficult. Mr Silva concluded the discussion on this item by mentioning that the impact assessment would be carried out ensuring maximum transparency and including the results of the consultation of social partners. He insisted on the need of a broad assessment in order to gather the maximum consensus amongst the different stakeholders. 5. Maritime labour law issues: Having given an overview of the European Integrated Maritime Policy, Mr Nicolas Breczewski (Labour Law Unit - DG Employment, Social Affairs and Equal Opportunities European Commission) presented in more detail the following actions: 5.1. Reassessment of exclusions concerning seagoing workers from the scope of labour law directives state of play Having described the legal problems raised by the exclusion of seafarers from the scope of labour law directives and the results of the two consultations of social partners already carried out, Mr Breczewski referred to the study that is being finalized for the Commission in order to support the impact assessment of a possible legislative initiative to be presented within the next few months. The Polish delegation referred to the sensitive and complicated issues related to the posting of workers and the consequences in terms of private international law. Mr Silva replied that the notion of territory being crucial in the posting of workers directive, a simple suppression of the exclusion of seafarers from the scope of this directive, would not be enough 5.2. Directive 2009/13/EC state of play. Having described the main features of the directive and the relation between the entry into force of the Directive and the entry into force of the ILO Convention, which it mirrors, Mr Breczewski asked the participants about the usefulness of setting up an expert group for the implementation of the directive before the entry into force of the convention. Attention was also drawn to the fact that so far, no EU Member state had yet ratified the Convention. 2

3 The German delegation pointed out that the ILO Convention would be ratified in 2010 through a very broad maritime Act. It also expressed interest in further exchange of information between Member states and the Commission on this matter. LU informed that ratification of the ILO Convention would be done at the end of 2010-beginning of PL informed that a committee of experts has been set up with the task of preparing the Polish ratification. (Draft Bill on the Ratification of the Convention is expected in 2010) Proposal of a Council Decision authorising Member States to ratify, in the interests of the European Community, the Work in Fishing Convention, 2007, of the International Labour Organisation (Convention 188) state of play. Having pointed out that a political agreement had been reached at the beginning of the week, Mr Breczewski explained that it was a recommendation to ratify. He also informed that the social partners do not exclude entering into negotiations 5.4. Questionnaire concerning working time of fishermen (art. 25, Dir. 2003/88/EC) - state of play. Having described the obligation for the Commission to report, Mr Breczewski recalled the questionnaire that the Commission had sent to Member States before the summer break and requested their cooperation. 6. Presentations and information by delegations on recent developments regarding Industrial Relations in the Member States Short time working in Austria Mrs Ritzberger- Moser (Director General. Federal Ministry of Labour, social Security and Consumer Protection) described the main features of the Austrian short time working scheme as an instrument of labour market support. She then described the procedure to use the system, the conditions, the sharing of contributions between the employers and the State, the role of social partners and the combination with training. As for the use of short time working in Austria she pointed out that in the autumn, about workers were using the scheme. 10 delegations took the floor (ES, UK, DE, NL, HU, SE, MT, IT, IE, BE) either to request clarifications about the Austrian system or to describe the short time working schemes available in their countries. Mrs Ritzberger- Moser replied to the questions Update on the Laval case in Sweden Mr Hult (Director Ministry of Employment) informed about the adoption of the final decision by the Swedish Court following the ECJ ruling. The Court decided that the Trade Union had to pay damages of punitive character to Laval (50,000 euros) and legal costs (200,000 euros). No economic damages were awarded since these were not proven by the company. 3

4 6.3. Engaging for Success - enhancing performance through employee engagement Mr Matthew Hilton. (Director for Employment Regulations - UK Department for Business, Innovation and Skills) presented the UK new work on employee engagement further to an independent report. He insisted on the non-regulatory approach and referred to the tools used by the UK government to support employee engagement in companies; he also invited participants to consult the report Mr Hilton ended his presentation by updating the participants on the UK government's Pay & Work rights campaign by referring to the new single helpline at the disposal of vulnerable workers and its encouraging first results. In this connection the German delegate mentioned the initiative "New quality at work" launched 10 years ago to create networks between employers and employees (including the election of a best employer) The new Estonian Employment Contracts Act Mrs Egle Käärats (Deputy Secretary General on Labour Policy. Ministry of Social Affairs) presented the grounds and purposes of the labour law reform as well as the main features of the new Employment Contracts Act which entered into force on 1st July She referred to the following matters: conclusion of employment contract; secondary obligations; conclusion of fixed-term contracts; working time; holidays and leave; employee liability; notice periods in case of lay-offs; severance pay; compensation in case of unlawful dismissal; special norms concerning pregnant workers, parents and workers representatives; unemployment benefits; life long learning. Mrs Käärats finished her presentation by referring to the reorganisation of the institutions. She invited participants to consult the English version of the Act f Psycho-social risks: stress at work Mr Joël Blondel (Head of Service Ministry of labour, social relations, family, solidarity and city) referred to the recent events in France that have put the subject of psycho social risks at the front page. He then mentioned the plan announced by the French Minister in October with four strands: 1. the social partners in large undertakings should endeavour to conclude agreements on the matter; 2. Information and support to SMEs; 3. Provisions on psycho-social risks to be included in the social plans accompanying restructuring plans; 4. Seminars throughout France. Mr Blondel concluded by mentioning that this will be a priority issue in the Second National plan for health and safety at work 7. Presentation by the Commission on current and forthcoming activities in the fields of: 7.1. Social dialogue at Community level (inter-professional and sectoral). 4

5 As far as cross industry social dialogue is concerned, Mr Armindo Silva firstly referred to the ongoing actions in the framework of the bi-annual work programme : agreement on inclusive labour markets; joint research on the employment dimension of climate change related policies; joint contribution of the European Social Partners to the definition of the EU 2020 strategy. He then mentioned the major success that was the recent framework agreement on the revision of the Parental leave Directive. Finally, the EU cross industry social partners continue their work in view of a joint analysis of the ECJ rulings related to economic freedoms and fundamental social rights of workers (Viking, Laval, Ruffert, Luxembourg). As for sectoral social dialogue, Mr Silva referred to the ongoing actions: in the hospital sector, following the agreement by the Social partners, the Commission's legislative proposal for a framework directive on preventing injuries from sharps is currently with the Council for adoption; In the personal services sector, social partners are about to conclude negotiations on a framework agreement on working environment, with a focus on risk prevention and health protection; in the professional football sector, social partners have made further progress towards an autonomous agreement on minimum requirements for European professional football players' contracts, to be signed early The Commission has received requests from sectoral social partners for the creation of four new sectoral social dialogue committees in the following sectors: metal industry, education, paper industry, and sports. The Commission is currently assessing the work of the European sectoral social dialogue committees during the 10 years with a view to issue a new Communication on European sectoral social dialogue early 2010, containing proposals for practical improvements and procedural changes to the functioning of the European sectoral social dialogue committees 7.2. Restructuring and adaptation to change. Mr J-F Lebrun (Head of Unit DG Employment, Social Affairs and Equal Opportunities European Commission) enumerated the activities recently carried out in the field of restructuring: publication of Restructuring in Europe report; guide for training in SMEs; checklist on restructuring processes; sectoral studies; several restructuring fora; European partnership in the automotive sector. As for ongoing activities, he referred to: the toolkit on restructuring; the national restructuring seminars and the website anticipedia As forthcoming activities, Mr Lebrun referred to the sectoral skills councils and new restructuring fora. Mr Lebrun finished his intervention by calling all Member States to participate in the work carried out by the Dublin foundation on collective redundancy notifications Labour law Mr F. Pérez Flores (Labour Law Unit - DG Employment, Social Affairs and Equal Opportunities European Commission), recalled the main activities in this field since the last meeting: a) meetings of expert groups (on transposition of Directives 2008/104 -temporary work- and 2009/38 - European Works Councils-; on directive 2008/94 (insolvency of the 5

6 employer); on posting of workers group and subgroup-; on transnational company agreements); b) launch of studies (on the protection of pensions in case of insolvency of the employer; on the legal aspects of the posting of workers; on the economic and social effects associated with the phenomenon of posting of workers; on the feasibility of a strengthened cooperation between labour inspectorates and other monitoring bodies in the prevention of undeclared work. As for the main activities foreseen in the next few months, Mr Pérez Flores listed the following: a) legislative activity : Preparation of proposal of amendment to Directive 2003/88 (Working Time); preparation of proposal to amend several directives in order to include seagoing workers or vessels in their scope; proposal of a Council Directive concerning the agreement on the organization of working time in internal navigation (conditional upon agreement of social partners). b) reports : on the review of the application of Directive 2003/72/EC European Cooperative Society; on the implementation of the Directive 91/383 on safety and health of atypical workers; on the implementation of Council Directive 94/33 on the protection of young people at work; on the operation of the provisions of the working time directive with regard to workers on board seagoing fishing vessels; on the implementation and application of certain provisions of Directive 2008/94/EC on the protection of employees in case of insolvency of the employer. c) studies : to support an impact assessment of EU legislation on working time; to evaluate the application of information, consultation and participation directives ; on national measures to protect workers' rights in subcontracting chains; on the characteristics and effects of company agreements in the Member states; on transfers of undertakings in insolvency situations; on the implementation of Directive 2005/47 (working time for rail workers). 8. Any other business Mr Bocksteins, (General Advisor - Federal Public Service Employment, Labour and Social Dialogue) invited the participants to the next meeting of the group that will be held in Brussels on 28 May Mr Silva thanked all delegations for their participation, in particular the hosting delegation for their hospitality, and declared the meeting closed. 6

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