Opinion of the Economic and Social Committee on the 'Green Paper - Partnership for a new organization of work'
C 73/122 EN Official Journal of the European Communities 9. 3. 98 Opinion of the Economic and Social Committee on the ‘Green Paper — Partnership for a new organization of work’ (98/C 73/29) On 21 April 1997 the Commission decided to consult the Economic and Social Committee, under Article 2(2) of the Treaty establishing the European Community and the Protocol (No 14) on social policy, on the ‘Green Paper — Partnership for a new organization of work’. The Section for Social, Family, Educational and Cultural Affairs, which was responsible for preparing the Committee’s work on the subject, adopted its opinion on 13 November 1997. The rapporteur was Mr Meriano, the co-rapporteur Mrs Engelen-Kefer. At its 350th plenary session (meeting of 10 December 1997), the Economic and Social Committee adopted the following opinion by 91 votes to one with four abstentions. 1. Introduction 1. 1. The Green Paper on the partnership for a new organization of work aims to add to the on-going debate on employment prospects in the European Union, and explores the scope for boosting employment and competitiveness through better organization of work at the workplace. As stated in the introduction, ‘the focus is on a new organization of work. While there is no one model, this concept implies, in particular, the replacement of hierarchical and rigid structures by more innovative and flexible structures based on high skill, high trust and increased involvement of employees’. In this context, the document cites the Ciampi report on boosting the competitiveness of European industry, according to which ‘a cooperative approach to a different organ- ization of work within the firm will improve industrial relations, allow greater worker participation in decisions and potentially lead to a better product quality’. 1. 2. In the Commission’s view, whilst the Ford model of organization, based on mass production, has helped to create unprecedented levels of prosperity, it is not sufficiently flexible to meet current needs. Over the last few decades, new forms of organization have come to the fore, such as total quality management, just-in-time and ‘Kaizen’ (continuous improvement) production systems, which aim in various ways to create a flexible type of firm with high levels of trust and openings for highly qualified staff, and capable of providing continuous quality and productivity improvements. 1. 3. A transformation of this type can be explained by a combination of three factors: human resources, which are much better educated and prepared for an increasingly creative role; the markets, where consumers increasingly demand a variety of high-quality, innovative products and services; and technology, where the dawn of the information society can only fulfil its promise if it is accompanied by organizational renewal. Each of these factors has a considerable impact on the structure of the firm, the organization of work and industrial relations. 1. 4. All these aspects give rise to issues of various types, affecting the way production, training and partici- pation are organized. These issues are multifaceted in practice and concern the following areas in particular: — education and training; — labour law and industrial relations; — wage systems; — working time; — taxation; — social security; — health and safety at work; — environmental issues; — equal opportunities; — integration of people with disabilities; — labour market policies; — modernization of the public sector; — telework. 1. 5. Each of these issues presents challenges, particu- larly as regards identifying the reasons and arrangements for the changes in organization of work, but also concerning the updating of labour policy as a whole, and the chance to create what the very title of the green paper refers to as ‘a new partnership’. 9. 3. 98 EN Official Journal of the European Communities C 73/123 1. 5. 1. SMEs are no less affected by these issues than larger firms: ‘in particular the lack of resources necessary for systematic organizational planning tends to hinder (their) long-term personnel development’ (1). out at corporate and sectoral level, cannot be seen as a linear, global process, as the arrangements and timescales are likely to differ according to individual circumstances. In particular, the notion of a new partnership is based on the assumption that the current changes are just as much social as technological in nature. Since many firms and many public administration departments still adhere to traditional organization patterns, the green paper’s view is that a partnership — i. e. the quest for partici- pation-based concepts of management which, rather than trying to identify a new, hard and fast system of organization, seek to introduce a procedure designed to find the best solutions for each individual sector and firm — seems to be the most logical approach to the problem. 2. 3. With this in mind, the Committee believes that any useful discussion of the issues raised in the green paper must be underpinned by a pragmatic analysis of the best practice so far established within the field at EU level. This analysis should aim to identify possible areas of agreement, bearing in mind that the greatest advances have so far been achieved at corporate level, and that an inappropriate — or at any rate premature — tightening up of regulations could, ultimately, diminish their impact, both in terms of the quest for greater flexibility and productivity at work, and of the welcome boost to employment. 2. General comments 2. 1. In a global economy, Europe’s competitiveness will depend on the extent to which it manages to boost its ability to innovate, and find more ‘intelligent’ solutions to the organization of work and technology. The aim must be to optimize the relationship between technology and work organization, and the use of human resources. Hierarchical forms of corporate organization and traditional Tayloristic methods of organizing work do not always meet the demands of a flexible organ- ization of production and services which can immedi- ately adapt to changed market requirements. They must be replaced by new formulas for production and work organization, in which human potential can fully develop as the prerequisite for the ability to innovate. 2. 2. Whilst noting that the social partners have been familiar with the issues raised in the green paper for some time, the Committee feels that the Commission’s initiative can usefully encourage them to engage in in-depth talks. There is often the clear impression that, in the European debate on boosting competitiveness and productivity, and creating more employment, the emphasis lies too heavily on reducing labour costs. Although a reduction in the statutory non-wage com- ponent could make an important contribution, economic and technological restructuring requires firms to adopt new strategies if they are to hold their own against international competition. Thus, the document provides a welcome basis for discussion, as part of consultations interested groups within society, and involving all without prejudice to the independence of the social partners. The Committee, however, would first stress that the on-going transition from a Taylorist system of work organization to the new systems currently being tried (1) COM(97) 128 final, point 26. In this last respect, since the green paper ‘has also to be situated in the wider context of the various Community initiatives related to employment’ (par. 2), the Com- mittee believes that the problem as a whole demands a dynamic approach, in which, rather than merely defending current employment practices, the emphasis is on the need to strike a new balance between flexibility and social protection, with a pivotal role for the development of continuing vocational training systems, and of new employment arrangements. The more flexible organization of production and work must take place within a statutory and contractually- regulated framework of social protection. The regulation of working conditions and terms of employment by means of legislation and collective agreement, and the creation of new forms of work organization based on participation and trust, are mutually dependent rather than mutually exclusive. A new balance must be struck between flexibility and social protection, to include all necessary reforms of labour and social legislation and the rules laid down by collective agreement, but without leading to an erosion of social standards. 2. 4. The Committee believes that there is also a need to pay greater attention to the different circumstances in the public and private sectors, and to state unequivocally how far the public authorities may intervene in the proposed partnership, in order to provide a better assessment of how this might impact at national and European level. The Committee would also point out that, when working out potential agreements, the social partners must fulfil the task of improving both corporate and worker performance. To do this corporate communication structures and collective bargaining procedures must be adapted to ensure that the level of involvement needed for a participatory approach is secured. The Commission’s proposed partnership for a new organization of work is to be firmly endorsed. The reorganization of work and C 73/124 EN Official Journal of the European Communities 9. 3. 98 production processes can only be successfully achieved in consultation with the employees concerned, and with the participation of the representatives of company interests and the trades unions. At European and at national level, corporate experiences of new forms of organization should be exchanged, and the testing of such models should be actively supported within the framework of the fifth R&D Framework Programme and European structural policy, as suggested by the group of experts on the social consequences of the information society. Here, it is essential to foster the goodwill of both sides. 3. Specific comments 3. 1. Looking first at the reasons why new forms of work organization have been introduced only gradually, the Committee notes that the hearing organized as part the preparatory work on the opinion and the of evaluation of the relevant documents both broadly confirm the green paper’s analysis in this regard. Although conditions differ in individual com- 3. 1. 1. panies and sectors, it would be true to say that the crucial impetus to seek innovative solutions came, in most cases, from growing market competition. This upset the balance that had existed up to then by helping already expanding companies to grow even faster. 3. 1. 2. According to a recent OECD study (paper 42874 of 25 September 1996), at least a quarter of all companies, particularly large ones, would appear to have experienced the impact of this phenomenon. It is felt particularly keenly in the manufacturing sector, especially the assembly industry (e. g. motor vehicles), but also applies to the service sector and to financial services in particular. 3. 1. 3. In many countries, public services too have been moving in this direction, as empty state coffers lead to cuts in spending; this is one aspect which requires greater consideration. 3. 1. 4. At the hearing, it was also noted — rightly — that flexibility takes various different forms (duties, working time, annualized working hours, part-time working, limited-term contracts, wage systems, etc. ). Moreover, it became clear that participation takes many different forms in practice depending on how far workers are involved (information, consultation, co-determina- tion). 3. 1. 5. In many countries, this trend was encouraged by the public authorities through industrial and techno- logical incentives (1). (1) The OECD paper mentioned above lists a comprehensive catalogue of measures. 3. 1. 6. This was particularly evident in the case of a number of SMEs and the organizations which support them in the ongoing processes of change, particularly as regards the training and retraining of staff at all levels. In this connection, the hearing also drew attention to other requirements, such as the development of a new type of professional management. At the same time, it was stressed that so far SMEs have shown themselves particularly adroit at adapting to changing market conditions. In many cases, this is due to their special position in relation to the institutional framework; while making for more flexibility, this is no guarantee of greater security. The Committee feels that these are issues which demand attention, all the more so given the substantial — and inescapable — role SMEs play in developing the production system as a factor in the continual renewal of economic structures. Finally, in its analysis of prevailing conditions, 3. 1. 7. the Committee would note both the desire and the capacity of trade union organizations to play an active part in developments to date. This has included promot- ing structures which, in their different ways, favour worker involvement in corporate restructuring and boost their representatives’ commitment to innovation in the various negotiations. 3. 1. 8. One company submitted an interesting report to the hearing on the experience it had gained in this field, showing, at least in part, the requirements and main features of a tried and tested participatory company management system: well-qualified, effective represen- tation of interests as an essential element in overcoming polarization in relations; greater employee responsibility and scope for action, while at the same time reducing supervision costs; and the optimization of production processes coupled with an ongoing reflection on forms of work. A look at best practices in areas most directly 3. 2. affecting new forms of work organization has, in the first instance, confirmed — including in financial terms — the crucial importance which has to be attached to the development of systematic plans for improving those skills linked to new forms of work organization. 3. 2. 1. Such skills are, in most cases, the key element in promoting forms of work organization which are marked by a high degree of individual responsibility and participation, coupled with the comprehensive decentralization of decision-making processes and an increasing need for vocational adaptability. 9. 3. 98 EN Official Journal of the European Communities C 73/125 3. 2. 2. The available data show that the situation in this regard can vary considerably in the industrialized since countries and within the European Union, vocational adaptability depends very much on the general level of basic training. This fact, which is already adequately recognized in the reorganization of manufacturing industry, is perhaps even more evident today in the service sector (1). The Committee is in broad agreement with the 3. 2. 3. views expressed by the European Commission and supports the need to reform training. Initial training is primarily about imparting key qualifications and social skills. Given continually changing conditions on the labour market, a broad interdisciplinary basic training is particularly important. The use of new information and communication technologies has resulted in a continual need for new skills within companies them- selves. New structures of work must be set in place which promote the acquirement of such skills and these must be linked to systematic continuous training plans. The ‘spirit of partnership’ means, among other things, that workers have ways of working out what skills they need and ask for relevant training. As the green paper points out, training may sometimes involve external activities organized by third parties outside the firm. For this reason, the nature and conditions of the training arrangements must be regulated by agreements with the representatives of company interests and the social partners in compliance with collective agreement. This is the only way to ensure that workers’ creativity and willingness to learn — elements essential to any company’s innovative performance — can be utilized and a positive climate created for further training. The Committee’s findings during the course of 3. 2. 4. its work also show that, along with training measures, the possibilities of ‘self-education’ must also be provided within the company. It was also suggested that where companies have spare training capacity after training their own workers, they should be encouraged to offer their trainers’ time to train the unemployed and young offenders. This could be done by publishing information on such initiatives as in the Transatlantic Civil Society Dialogue (TACD) and/or by means of business best practice awards. (1) In this connection, the above-mentioned OECD paper makes a distinction between various models which can be applied to market economy systems (Canada, the USA and, with considerable differences, Australia, New Zealand and the United Kingdom), to systems based on the quest for national consensus (Austria, Belgium, France, Germany, the Netherlands, the Scandinavian countries in general and Switzerland), to the corporate field (Japan) and to the various systems which exist in Greece, Ireland, Italy, Portugal, Spain and Turkey. 3. 2. 5. In the case of SMEs, it became clear how important it is to pursue initiatives promoting, integrated learning structures. A very interesting case in point is the work of the employers’ federations and workers’ organizations in the French farming sector. These are jointly led bodies committed to the pursuit of training objectives. They negotiate agreements with the national employment office giving seasonal workers satisfactory job security with various employers, thus avoiding dismissal. In the field of continuing training too, the obvious relevance of a direct link between training content and employment demand clearly demonstrates the appropriateness of structures in which socio- occupational and trade union organizations have joint representation. Initiatives of this kind are part of the general 3. 2. 6. scheme of measures designed to help SMEs adapt to new market conditions by developing new forms of organization of work. 3. 3. Yet the wide range of experience brought to the Committee’s attention confirms the obvious relationship between vocational training, organization of work and working hours. Against this backdrop, the Committee feels 3. 3. 1. compelled to reiterate emphatically the views it expressed in the previous own-initiative opinion on this issue: ‘There is no single uniform model of reduction and reorganization of working time which the European authorities can issue by “decree”. There is however a compelling case to promote “made-to-measure” working time options’ (2). This view is broadly in line with what is said in the green paper: ‘The way work is distributed has to be planned and working time patterns have to be adapted to the new situation’ (3). 3. 3. 2. On the other hand, it would be wise to recall the recommendations which the above-mentioned own-initiative opinion gave both to the European Union and to the governments of the Member States, namely its encouragement of the social dialogue and collective agreements, at appropriate levels, on the reduction and reorganization of working time and the need for unequivocal legislation on equal treatment of part-time workers. 3. 3. 3. In this regard, the Committee would note the European framework agreement on part-time work, concluded as part of the social dialogue. 3. 3. 4. The Committee believes that this agreement, which follows on from a similar one on parental leave, (2) ESC own-initiative opinion on working time, 30. 10. 1995, OJ C 18, 22. 1. 1996. (3) Green paper (COM(97) 128 final), box following point 50. C 73/126 EN Official Journal of the European Communities 9. 3. 98 represents a point of departure for further agreements on other atypical or flexible forms of work which, in line with the agreement on social policy appended to the relevant protocol in the Maastricht Treaty (1), are transposed in the form of Council decisions, thereby becoming binding in the signatory states by legislation or by corresponding agreement. 3. 3. 5. The Committee feels that the findings to date in this field give reasonable grounds to assume that the two sides of industry will one day reach agreements which (a) meet the need of companies to adjust working conditions to changed production and market con- ditions, and (b) meet the needs of workers of both sexes preparing for retirement or seeking to combine a career and family life who wish to avail themselves of training opportunities in order to expand their knowledge and boost their chances of promotion (2). In this way, these agreements increase the competitiveness of the company concerned, improve employees’ working conditions and help tackle unemployment. In addition, of course, they also respond to employees’ personal needs, to which, even in corporate circles, growing importance is now being attached. This is particularly true of the need shared by many workers for more individual responsi- bility and involvement in their work, for a working life that is also compatible with outside — particularly family — interests and for greater independence in time management. 3. 3. 6. Against this background, the Committee also feels that the gradual testing of new forms of work organization at both corporate and, where appropriate, sectoral level cannot be looked at in isolation from the possible impact this will have on the terms and conditions of employment. This makes it essential to develop an overall reference framework which protects the employees concerned from possible discrimination. In doing this, attention must also be paid to promoting the competitiveness of Europe’s economy and avoiding administrative, financial and legal constraints which could stand in the way of SME establishment and development (3). In this way the measures taken by the European Union could lead to a more adaptable legal framework, which is, of course, an essential element, particularly in innovation. 3. 4. Furthermore, the experience of firms looked at to date would indicate that corporate restructuring and redistribution of work tasks is often linked to the development of new wage systems. These may be a way of helping introduce an element of participation into the working environment, for instance, via profit-sharing and other incentives. 3. 5. However, the Committee feels that the issue under consideration here is inextricably bound up with guaranteeing real worker participation in the process of work reorganization and, more generally, in the restructuring of the companies concerned. 3. 5. 1. All those whose experiences were looked at in the course of this study expressed similar calls, and concurred in stressing the need to change the structures of communication within firms and to increase the options for staff to participate. This is an essential element in boosting a sense of co-responsibility. 3. 5. 2. It should be noted that the recently compiled Commission consultation document (4) makes explicit reference to the green paper under review here and points out that an appropriate and effective level of employee information and consultation at a time of high unemployment makes it easier to take effective preventive action on employment in industry; in this way, particularly as far as job losses are concerned, problems may be identified and anticipated and their social costs avoided or reduced. In this connection, the Committee would also 3. 5. 3. point to its opinion on the previous Commission communication on this issue (of 29 May 1996) which is referred to in the fifth paragraph of the new paper. This leaves it up to the social partners to determine the expediency of a European arrangement, which would ideally be based on an agreement worked out at national level. 3. 5. 4. The Committee feels that this issue is set to grow in importance. It is not only a question of protecting workers from the risk that the quest for more competitiveness may have an adverse impact on employment and health. It is also about recognizing that greater worker participation is essential if the company itself is to realize its goals. Research projects carried out in this field by the European Commission itself have shown that direct worker participation at the workplace is most effective where permanent structures are in place in the form of company representation bodies and/or trade unions. (1) Now incorporated into the Amsterdam Treaty. (2) Cf. European Framework Agreement on part-time work, 5th general recital. (3) Ibid. , 7th general recital. (4) Consultation document for the Community level social partners concerning information and consultation of introduction, workers within the national framework, 7th paragraph. 9. 3. 98 EN Official Journal of the European Communities C 73/127 3. 6. As for the impact of new models of work organization on employment trends in the companies analyzed, the cases looked at naturally reveal various, quite different scenarios. These range from situations in which workforce levels have been maintained, or redundancies kept to a minimum in companies in difficulty, to considerable job increases which, particu- larly in the case of some industrial SMEs, have exceeded even the most optimistic forecasts. The findings always depended, of course, on 3. 6. 1. the market situation which varied from country to country and sector to sector. However, the best practices looked at were marked by an ability to surmount in some cases serious crises and to boost productivity and competitiveness in an incontrovertibly sustainable way. 3. 6. 2. The Committee feels that, in a situation such as today’s, marked in Europe by high unemployment, there is no alternative but to join in the green paper’s clear call for the debate on new forms of work organization to be conducted as part of a general employment strategy designed to combat joblessness. 3. 7. Moreover, the introduction of new forms of work organization undoubtedly has to be determined basically through negotiations between the social part- ners; however, as far as social security is concerned, this development clearly touches on areas outside the social partners’ remit and, consequently, requires legislation. 3. 7. 1. In this respect, the preamble to the aforemen- tioned framework agreement on part-time work recognizes that decisions on legal issues related to social security lie with the Member States. Indeed, an appropriate adaptation of social security systems to the new conditions is essential if the types of discrimination dealt with in this agreement are to be eradicated completely, a point already made by the European Council in Dublin in its declaration on employment. 3. 7. 2. In this connection, the Committee would draw attention to its opinion on the communication from the Commission on the future of social protection (1), particularly the section headed Backing developments in working practices which looks, among other things, at the 1994 ILO Convention and Recommendation on part-time work, and clearly demonstrates the need for social security systems and pension arrangements to be adapted to fit into these new working patterns and for adequate assurances to be given that ‘people with (1) Opinion on the communication from the Commission on the future of social protection: a framework for a European debate, OJ C 66, 3. 3. 1997. inflexible or atypical forms of work do not receive a low level of social protection or even lose it altogether’ (2) (3). 3. 7. 3. The hearing organized as part of the work on this opinion raised all the issues brought to bear in the green paper relating to the economic and social impact of the current changes in the organization of work. 3. 7. 4. Particular attention was paid to aspects directly affecting SMEs. At the moment, SME development is clearly linked, not least as regards suppliers and subcontracting, to the corporate restructuring process which, in turn, is largely the reason behind the emergence of new forms of organization of work. 3. 7. 5. Thus, problems of health and safety at work were looked at particularly closely, on the basis, among other things, of the study carried out last year by the Dublin foundation. This study demonstrated the importance of adapting existing arrangements to con- ditions which have changed as a result of new forms of work organization. In general terms, stress was laid on the need to back up company-based innovations by a corresponding reform of the social security system in order to protect and promote the equal treatment of women and men at the workplace. 3. 7. 6. In terms of both planning and practical appli- cation, the momentum towards modern industrial safety as it is understood in the European directives can be stimulated by new forms of work organization, and vice versa. The structures and institutions of industrial safety, well as the experience gained in this field, are a valuable resource for the spread of new forms of organization of work. The Committee expects the European Com- mission to come up with initiatives to promote pilot projects designed to integrate health and safety at work into the development of new forms of organization of work. 3. 7. 7. Teleworking and distance working were also debated on and proved to be of increasing importance. However the discussion revealed that a common defi- nition, framework and understanding still needed to be specified and analyzed. The Committee welcomes the Commission’s initiative (4) to launch, in the first half of 1998, consultations with the social partners on whether and to what extent Community action and protection of teleworkers is advisable. (2) Ibid. , point 4. 3. 7. 2. 4. (3) In this context, it should be noted that the Committee is at present working on an opinion on the communication from the Commission: Modernizing and improving social protection in the European Union; this paper was the conclusion of deliberations covered by the preceding document. (4) Communication from the Commission on ‘The social and labour market dimension of the information society’ — people first — the next steps (COM(97) 390 final, 23. 7. 1997, p. 9, paragraph 31 ‘key actions’). C 73/128 EN Official Journal of the European Communities 9. 3. 98 3. 7. 8. Finally, one issue raised which was not touched on in the green paper was how information can help SMEs develop new activities and the extent to which these activities are suited to the self-employed, particu- larly in the farming sector. 4. Conclusions 4. 1. In arriving at its conclusions, the Committee has broadly taken account of the important contributions made in the course of the hearing. It would be wrong to overestimate the value of statements on specific, somewhat unrepresentative situations. However, there is no denying that the cases looked at to date relate, to a greater or a lesser degree, both to sectors at the pinnacle of technological development and to traditional economic activities; one should nonetheless guard against jumping to hasty conclusions as a result of the phenomena analyzed so far, since these phenomena are also found in areas which are not considered so frequently, such as cooperatives and the non-profit- making sector. Some of the cases illustrated in the green paper are particularly informative on this point. 4. 1. 1. One business expert gave a detailed list of the difficulties encountered on the road towards a new organization of work and the accompanying changes in corporate power structures. This expert felt that these difficulties might even compromise the results of restruc- turing, not only as far as protecting workers’ interests was concerned but also in respect of the feasibility of the new management strategies themselves. This description is certainly useful in showing the difficulties inherent in any period of transition when new responsi- bilities have to be shouldered, for example the loss of acquired security and guarantees, problems of forward planning and the mistrust which arises from the clashes sometimes entailed in new organization of work; as already pointed out, this leads to new kinds of conflict between the parties concerned which all must try to resolve. Besides the not inconsiderable scale of these 4. 1. 2. new conditions, matters of principle are also clearly involved, compelling the social partners to embark on a critical reassessment of their traditional ways of thinking. 4. 2. The current situation warrants differentiated procedures and lines of attack depending on the circum- stances of each case. This therefore requires the utmost vigilance on the part of all concerned as to what changes have occurred and what their impact is likely to be, particularly on employment. As the work on this opinion progressed, it was useful to be reminded that attention to the changing nature of working conditions represents major progress in itself and that this, more that any theoretical speculation, has a real effect on the quality of the solutions arrived at gradually through negotiation. 4. 2. 1. As has been stressed more than once, vigilance of this kind must be exercised, above all by companies themselves; the partnership proposed by the Commission in this field is designed to open up a new dimension in relations between the social partners and to ensure regular monitoring of what avenues are open for significant moves towards flexibility and participation. it 4. 2. 2. Apart from the possible extension of certain company-based solutions to some situations within a particular industry, is possible to draw general conclusions, particularly in the context of social dialogue in specific sectors. It is also possible, where appropriate, to secure agreements between the social partners. Such agreements have already been reached in social policy, and are designed to form a common reference framework based on general principles and minimum regulations which can become binding by Council decision, or else are implemented autonomously by the parties to the collective agreement. 4. 2. 3. While developments to date have undeniably been fraught with difficulties and held back by delays, some of the results achieved have been encouraging. This shows that, to move towards a new organization of work, it is essential to adapt contractual agreements to the gradually emerging new conditions. It also demonstrates that legislation in this sensitive and crucial area should not be allowed to undermine the social partners’ autonomy, but must, where deemed necessary, be based on agreements between the social partners, particularly at a sectoral level (1). 4. 2. 4. The debate sparked off by the Commission with the publication of this green paper and the ensuing consultations must therefore be seen as a part of the process of reflection. Without prejudice to the bodies responsible for reaching agreements in individual cases or to their freedom of action, it is hoped that all the other institutions concerned will become involved. Contributions are welcome, for example, from univer- sities, local bodies and non-governmental organizations of all kinds, including, of course, the organizations represented on the Committee which have not so far been directly involved in the social dialogue. 4. 3. The Committee thus sees the partnership for a new organization of work put forward in the green paper as a challenge not only for the Committee but for the other European institutions as well, and as an (1) Such agreements have recently been concluded, for example in the agricultural sector (EFA/ETUC — GEOPA/COPA — Recommendation Framework Agreement on the improve- ment of paid employment in Agriculture of 24 July 1997) and in the cleaning sector (Memorandum of SENI-Eurofiet on new sources of employment of 21 October 1996). 9. 3. 98 EN Official Journal of the European Communities C 73/129 invitation for the Committee to be involved in the consultation process. The Committee believes that the green paper is a part of the more general Commission campaign to actively promote the process of adapting the social infrastructure of Europe to the new conditions of international competition and changed worker requirements. As for the more direct involvement of the authorities in discussions on the partnership proposals, the Committee welcomes the fact that the paper draws attention to modernizing the public sector. The inclusion of the public sector is quite obviously essential if progress is to be made towards a more flexible administration the economy with enhanced participation. The of Committee would point out that a sine qua non for the modernization of the public sector is to ensure that management responsibility is tapped to the full. Another prerequisite is to operate in a manner which takes account of economic efficiency factors and considers the specific interests of employers and employees in cost-benefit analyses. The Committee hopes that the encouragement of the authorities will play a positive role in future progress in this area and if possible, lead to a wider debate within society and its institutions; however, the authorities should not thereby diminish the role of the social partners in the exercise of their freedom of collective bargaining. 4. 3. 1. The Committee does not see new forms of work organization as an optimum and definitive solution to the problems affecting employer-worker relations. However, in the quest for such solutions it would advocate focusing on human dignity, protecting and promoting the individual’s freedom to realize his/her full potential and build up a sense of responsibility, reducing and eliminating health risks in work and Brussels, 10 December 1997. production processes and encouraging a working environment which develops both the vocational and personal skills of employees and gives them the tools for decision-making, communication and cooperation, opening up career prospects. It would also recommend action to combat the traditional gender-based division of labour and to help develop new, highly qualified fields of employment for women. Measures should also aim to strengthen the basis for efficiently-run well-managed companies. 4. 3. 2. Cooperative forms of work, in which staff have a greater opportunity to develop their skills and are given more responsibility and scope for participation, could help strike a new balance between employees’ needs on the one hand and the advantages for companies of a more flexible organization of production and labour on the other. Lastly, the Committee would stress that it is in the interests of all parties that Europe’s entire workforce should be sufficiently highly qualified to be ‘employable’ in new jobs, thereby facilitating restructur- ing and boosting growth and security in the process of change. A high level of long-term unemployment in tandem with a shortage of labour in expanding sectors is neither economically nor socially acceptable. Negotiations and agreements between the social partners at various levels hold the key to building up a training and security network to back up the public system thereby helping to enhance the workforce’s ‘employa- bility’. The Committee would also point out that the speed of change and skills required in the workplace make it necessary in future to mobilize all public education and vocational training facilities more effec- tively than hitherto. The President of the Economic and Social Committee Tom JENKINS