EU legislation on Employee involvement

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1 EU legislation on Employee involvement Evelyne Pichot Brussels, 22 June 2009

2 Employee involvement in restructuring First directives back to the seventies To deal with restructuring situations Collective redundancies Transfer of undertakings (Change of employer) The objectives Establish a dialogue: obligation to inform and consult Protect the employees Disminish social impact

3 Obligation to especially infom and consult employees Where collective redundancies are contemplated (Directive 98/59/EC) Information on proposed dismissals Consultation on ways of avoiding dismissals or reducing their number Consultation on social accompanying measures to mitigate consequences (retraining, ) Where transfer of undertaking are envisaged (Directive 2001/23/EC) Information on motives and implications Consultation on measures in relation to employees

4 Workers involvement part of H&S policy New policies towards Health & Safety since eightees Objective to ensure an improved degree of protection through information, dialogue and balanced participation Workers involvement part of framework Directive on H&S (Directive 89/391/EEC) Obligation of employer To inform and consult workers To allow them to take part in discussions on all questions relating to safety and health at work

5 A need for regular and general information and consultation process New policies on corporate restructuring, anticipation and management of change since late ninetees Objective to ensure anticipative employee involvement Framework Directive on Information and consultation (Directive 2002/14/EC) Right for employees to be regularly informed and consulted About economic and social situation of company About future prospects Through representatives (trade unions or elected)

6 Transnational information and consultation Need to address the increasing transnational dimension of companies and restructuring since ninetees Directive on European Works Councils (EWCs) 1994/45/EC, reinforced recently (Directive 2009/38/EC to apply in 2011) Right to Information-consultation through EWCs In large companies (+1000 employees in EEA) Procedure established per agreement 890 EWCs representing 16 million employees

7 Transnational employee involvement including board-level participation To be provided, preferably by agreement in any: European Company (SE) : Directive 2001/86/EC European Cooperative Society (SCE) : Dir. 2003/72/EC Company resulting from cross border merger (10th company law): Directive 2005/56/EC Under discussion in future European private company

8 Information and consultation: a fundamental right Charter of fundamental rights of the European Union, Art. 27 "Workers or their representatives must, at the appropriate levels, be guaranteed information and consultation in good time in the cases and under the conditions provided for by Community law and national laws and practices"

9 Workers involvement A learning process, particularly at transnational level Issues: not only economic/employment, also strategic, health & safety, training, mobility,.. Importance of continuity Importance of the link between transnational, National and local employee representatives Examples of informal or formal negotiation at transnational level, notably on fundamental rights, H&S, restructuring

10 Links to the Labour law DG Employment, social affairs and Equal opportunities

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