Proposal for a Council Directive establishing a general framework for informing and consulting employees in the European Community
5. 1. 1999 EN Official Journal of the European Communities C 2/3 II (Preparatory Acts) COMMISSION Proposal for a Council Directive establishing a general framework for informing and consulting employees in the European Community (1999/C 2/03) (Text with EEA relevance) COM(1998) 612 final - 98/0315(SYN) (Submitted by the Commission on 17 November 1998) THE COUNCIL OF THE EUROPEAN UNION, Having regard to the Agreement on Social Policy attached to the Protocol (No 14) on Social Policy annexed the European the Treaty establishing Community, and in particular Article 2(2) thereof, to Whereas the Commission, pursuant to Article 3(2) of the Agreement on Social Policy, has consulted management and labour at Community level on the possible direction of Community action on the information and consulÜ tation of workers in undertakings within the European Union; Having regard to the proposal from the Commission, Having regard to the opinion of the Economic and Social Committee, Acting in accordance with the procedure referred to in Article 189c, Whereas the Commission, considering after this consulÜ tation that Community action was advisable, has again consulted the social partners on the content of the planned proposal, pursuant to Article 3(3) of the said Agreement, and the social partners have presented their opinions to the Commission; to Whereas, on the basis of the Protocol on Social Policy annexed the European the Treaty establishing Community, and with the exception of the United Kingdom of Great Britain and Northern Ireland, the Member States of the European Community, hereinafter referred "Member States’, desirous of implementing the Social Charter of 1989, have adopted an Agreement on Social Policy; to as the Whereas Article 2(2) of the said Agreement authorises the Council to adopt minimum requirements by means of directives; Whereas, pursuant to Article 1 of the Agreement, a particular objective of the Community and the Member States between management and labour; dialogue promote social to is Whereas point 17 of the Community Charter of FundaÜ mental Social Rights of Workers provides, inter alia, that "information, consultation and participation for workers must be developed among appropriate taking account of the practices in force in different Member States’; lines, the Whereas, having completed this second stage of consulÜ tation, the social partners have not Commission of the process potentially leading to the conclusion of an agreement, as provided for in Article 4 of the said Agreement; their wish informed initiate to Whereas the existence of legal frameworks at national and Community level intended to ensure that workers are involved in the affairs of the undertaking employing them and in decisions which affect them has not always prevented serious decisions affecting workers from being taken and made public without adequate procedures having been inform and implemented beforehand to consult them; Whereas there is a need to strengthen dialogue and promote mutual trust within undertakings in order to improve risk anticipation, make work organisation more flexible and facilitate employee access to training within security, make the undertaking while maintaining employees increase needs, of to undertake measures and employees’ availability employability, promote their increase to activities adaptation aware C 2/4 EN Official Journal of the European Communities 5. 1. 1999 employee involvement in the operation and future of the undertaking and increase its competitiveness; timely information and consultation Whereas is a prerequisite for the success of restructuring and adapÜ tation of undertakings to the new conditions created by globalisation of the economy, particularly via the develÜ opment of new forms of work organisation; the new European context described above; but whereas, in view of the scale and impact of the proposed action, these objectives can be better achieved at Community level by regulations introduction of minimum the entire European Community, and applicable whereas the present Directive constitutes no more than minimum necessary to achieve these objectives; the to "anticipation’, "prevention’ and Whereas the European Community has drawn up and the implemented an employment strategy based on concepts of "employaÜ bility’, which are to be incorporated as key elements into all public policies likely to benefit employment, including the policies of individual undertakings, by strengthening the social dialogue with a view to promoting change compatible with preserving the priority objective of employment; Whereas further development of the Internal Market must be properly balanced, maintaining the essential values on which our societies are based and ensuring that all citizens benefit from economic development; Whereas the third stage of economic and monetary union will extend and accelerate the competitive pressures at European level; whereas this will mean that more supportive measures are needed at national level; Whereas the existing legal frameworks for employee information and consultation at Community and national level tend to adopt an excessively a posteriori approach to the process of change, neglect the economic aspects of decisions taken and do not contribute to genuine anticiÜ pation of employment developments within the underÜ taking or to risk prevention; Whereas, as a result of all these political, economic, social and is needed at Community level to make the essential changes to the existing legal framework; legal developments, action Whereas, in accordance with the principles of subsiÜ diarity and proportionality as set out in Article 3b of the Treaty, the objectives of the proposed action, as outlined above, cannot be adequately achieved by the Member States, in that the object is to establish a framework for employee information and consultation appropriate for Whereas the purpose of this general framework is to establish minimum requirements applicable throughout the European Community while avoiding any adminisÜ trative, financial or legal constraints which would hinder the creation and development of small and medium sized undertakings; whereas, to this end, the scope of this Directive should be restricted to undertakings with at least 50 employees, without prejudice to any more favourable national or Community provisions; whereas, in order to maintain the appropriate balance between the abovementioned factors, this minimum may be raised to 100 employees innovative information and measures proposed herein on consultation of employees on developments the employment situation within the undertaking; in the case of the more the in Whereas a Community framework for informing and consulting employees must keep to a minimum the the effective burden on businesses while ensuring exercise by employees of their rights; through Whereas the objectives of this Directive are to be achieved the establishment of a general framework comprising the definitions and purpose of the information and consultation, which it will be up to the Member States to complete and adapt to their own national situation, ensuring, where appropriate, that the social partners have a leading role by allowing them to define informing and consulting employees which they consider to be best suited to their needs and wishes; the arrangements freely for Whereas care must be taken to avoid affecting some specific rules in the field of employees’ information and consultation existing in some national laws, addressed to undertakings which pursue political, professional organiÜ sation, religious, charitable, educational, scientific or artistic aims, as well as aims involving information and the expression of opinions; Whereas undertakings must be protected against public disclosure of certain particularly sensitive information; 5. 1. 1999 EN Official Journal of the European Communities C 2/5 Whereas modernisation of work implies both rights and obligations for the two social partners at undertaking level; Article 2 Definitions and scope Whereas a reinforced and dissuasive sanction, applicable in the case of decisions taken in serious breach of the obligations under this Directive must be established at Community level, without prejudice to the general obliÜ gations of Member States in this respect; to to collective this Directive also applies the subjects Whereas covered by Council Directive 98/59/EC of 20 July 1998 on the approximation of the laws of the Member States relating redundanciesØ(˛) and Council Directive 77/187/EEC of 14 February 1998 on the approximation of the laws of the Member States relating to the safeguarding of employees’ rights in the event of transfers of undertakings, businesses or parts of busiÜ nesses, amended by the Council Directive 98/50/EC of 29 June 1998Ø(ˇ); Whereas other employee information and consultation rights, including those arising from Council Directive 94/45/EEC of 22 September 1994 on the establishment of a European Works Council or a procedure in CommunityÜscale undertakings and CommunityÜscale groups of undertakings for the purposes of informing and consulting employeesØ(—), must not be affected by this Directive, HAS ADOPTED THIS DIRECTIVE: Article 1 Object and principles 1. Ú The purpose of this Directive general employees Community. in undertakings within framework for informing and is to establish a consulting the European procedures, 2. Ú When defining or implementing information and consultation the employees’ representatives shall work in a spirit of coÜ operation and with due regard for their reciprocal rights and obligations, taking into account the interests both of the undertaking and of the employees. employer and the (˛) OJ L 225, 12. 8. 1998, p. 16. (ˇ) OJ L 61, 5. 3. 1977, p. 26. OJ L 201, 17. 7. 1998, p. 88. (—) OJ L 254, 30. 9. 1994, p. 64. 1. Ú For the purposes of this Directive: (a) "undertakings’ means public or private undertakings carrying out an economic activity, whether or not operating for gain, which are located within the territory of the Member States of the European Community and have at least 50 employees, without prejudice to the provisions of Article 4(3); (b) "employer’ means the natural or legal person party to employment contracts or employment relationships with employees; (c) "employees’ representatives’ means the employees’ representatives provided for by national laws and/or practices; of employees’ (d) "information’ means transmission by the employer to information representatives the containing all relevant facts on the subjects set down in Article 4(1), ensuring that the timing, means of communication and content of the information are such as to ensure its effectiveness, particularly in enabling the employees’ representatives to examine the information thoroughly and, where appropriate, prepare consultations; (e) "consultation’ means the organisation of a dialogue and exchange of views between the employer and the employees’ representatives on the subjects set out in Article 4(1)(b) and (c), - ensuring that the timing, method and content are such that this step is effective; - at the appropriate level of management and representation, depending on the subject under discussion; - on the basis of the relevant information to be supplied by the employer and the opinion which the employees’ representatives are entitled to formulate; - including the employees’ representatives’ right to meet with the employer and obtain a response, and the reasons for that response, to any opinion they may formulate; - including, in the case of decisions within the scope of the employer’s management powers, an attempt to seek prior agreement on the decisions referred to in Article 4(1)(c). C 2/6 EN Official Journal of the European Communities 5. 1. 1999 2. Ú In conformity with the principles and objectives of this Directive, Member States may lay down particular provisions applicable to undertakings which pursue directly and essentially political, professional organiÜ scientific or sation, religious, charitable, education, artistic aims, as well as aims involving information and the expression of opinions, on condition that, at the date of adoption of this Directive, such particular provisions already exist in national legislation. Article 3 Information and consultation procedures deriving from an agreement 1. Ú Member States may authorise the social partners at the appropriate level, including at undertaking level, to through negotiated define time agreement the implementing for employee information and consultation requirements referred to in Articles 1, 2 and 4 of this Directive. freely and at any the procedures 2. Ú The agreements referred to in paragraph 1 may laid establish, while respecting the general objectives down by the Directive and subject to conditions and limitations States, by arrangements which are different to those referred to in Article 2(1)(d) and (e) and Article 4 of the present Directive. the Member laid down Article 4 Content of, and procedures for, information and consulÜ tation 1. Ú Without prejudice to any provisions and/or practices more favourable to employees in force in the Member States, employee information and consultation shall, if there is no agreement between the social partners as envisaged in Article 3, cover: (a) information on the recent as well as the reasonably undertaking’s foreseeable development activities and its economic and financial situation; the of (b) information and consultation on the situation, structure and reasonably foreseeable developments of employment within the undertaking and, where the employer’s evaluation that employment within the undertaking may be under threat, the anticipatory measures envisaged, in particular for employee training and skill development, with a view to offsetting the potential negative developments or their consequences and increasing the employability of the employees likely to be affected; suggests (c) information and consultation on decisions likely to lead to substantial changes in work organisation or in contractual relations, including those covered by the Community provisions referred to in Article 8(1). 2. Ú The Member States shall ensure that information and consultation are effective and useful within the meaning of Article 1 and Article 2(1)(d) and (e). To this end, they shall determine the information and consulÜ tation procedures for the subjects listed in paragraph 1. 3. Ú Member States may exclude from the information and consultation obligations referred to in paragraph 1(b) of this Article undertakings with fewer than 100 employees. Article 5 Confidential information to disclose any 1. Ú Member States shall provide that the employees’ representatives and any experts who assist them are not information which has authorised expressly been provided to them in confidence. This obliÜ gation shall continue to apply irrespective of where the said representatives or experts are, even after expiry of their term of office. that the employer 2. Ú Member States shall provide, in specific cases and within the conditions and limits laid down by national to legislation, communicate information or undertake consultation when the nature of that information or consultation is such that, according to objective criteria, it would seriously harm the functioning of the undertaking or would be prejudicial to it. is not obliged Article 6 Protection of employees’ representatives Employees’ representatives shall, when carrying out their functions, enjoy adequate protection and guarantees to enable them to perform properly the duties which have been assigned to them. Article 7 Protection of rights for appropriate 1. Ú Member States measures in the event of non compliance with this Directive by the employer or the employees’ represenÜ tatives; in particular, they shall ensure that adequate shall provide 5. 1. 1999 EN Official Journal of the European Communities C 2/7 administrative or judicial procedures are available to enable the obligations deriving from this Directive to be enforced, including procedures which may be instituted by the employer or the employees’ representatives where either party considers that the other party is in breach of the obligations provided for in Article 5. 2. Ú Member States shall provide for adequate penalties to be applicable in the event of infringement of this Directive by the employer or the employees’ represenÜ tatives. These penalties must be effective, proportionate and dissuasive. 3. Ú Member States shall provide that in case of serious breach by the employer of the information and consulÜ tation obligations in respect of the decisions referred to in Article 4(1)(c) of this Directive, where such decisions would have direct and immediate consequences in terms of substantial change or termination of the employment contracts or employment relations, these decisions shall have no legal effect on the employment contracts or employment relationships of the employees affected. The non production of legal effects will continue until such time as the employer has fulfilled his obligations or, if this is no longer possible, adequate redress has been established, in accordance with the arrangements and procedures to be determined by the Member States. The provision of the previous paragraph also applies to corresponding obligations under the agreements referred to in Article 3. Within the meaning of the previous paragraphs, serious breaches are: (a) the total absence of information and/or consultation of the employees’ representatives prior to a decision being taken or the public announcement of that decision; or (b) the withholding of information or provision of false information rendering ineffective the exercise of the right to information and consulÜ tation. important Article 8 Link between this Directive and other Community and national provisions 1. Ú This Directive constitutes the general framework for employee information and consultation in underÜ takings in the European Community. It is also applicable to the information and consultation procedures set out in Article 2 of Council Directive 98/59/EC and Article 6 of Directive 77/187/EC. 2. Ú This Directive does not prejudice the provisions adopted in accordance with Council Directive 94/45/EC the establishment of a of 24 September 1994 on in or European Works Council CommunityÜscale undertakings and CommunityÜscale groups of undertakings for the purposes of informing and consulting employees. procedure a 3. Ú This Directive shall be without prejudice to other rights of employees to information, consultation and participation under national law. Article 9 Transposition of the Directive 1. Ú Member States shall adopt the laws, regulations and administrative provisions necessary to comply with this Directive no later than. Ø. Ø. (two years after adoption) or shall ensure that the social partners introduce the required provisions by way of agreement, the Member States being obliged to take all necessary steps enabling them to guarantee the results imposed by this Directive at all times. They shall forthwith inform the Commission thereof. 2. Ú Where Member States adopt these provisions, they shall contain a reference to this Directive or shall be accompanied by such reference on the occasion of their such official publication. The methods of making reference shall be laid down by the Member States. Article 10 Review by the Commission later than. Ø. Ø. (five years after adoption), the Not Commission shall, in consultation with the Member States and the social partners at Community level, review the application of this Directive with a view to proposing to the Council any necessary amendments. Article 11 This Directive is addressed to the Member States. TABLE I: STATUS AND AIM OF NATIONAL PROVISIONS ON INFORMATION AND CONSULTATION ANNEX Main legal basis or agreement Status of information and consultation Aim Germany Act Obligation + right Collective agreements may provide for or derogations representation additional Employer and works council must cooperate in a spirit of trust (. Ø. Ø. ) for the well being of employees and smooth running of the establishment They must address contentious matters with a genuine desire to reach agreement and present proposals intended to settle differences between their points of view United Kingdom Code of conduct Act: collective redundancies, transfers, information on negotiations Voluntary, negotiations directives except and information on of transposition Information with a view to negotiating with recognised unions Ireland Code of conduct Act: collective redundancies, transfers ThreeÜyear agreement Voluntary, directives except transposition of Information with a view to negotiating In Partnership 2000, agreement: to develop partnership at undertaking level Belgium Act, royal decrees and collective labour agreements Right + obligation The function of the works council is to involve employees more closely in the running of the undertaking and forward looking employment policy with a view to creating a better climate between employers and employees by improving organisation of the right to information and consultation enjoyed by employees’ representatives, while respecting the head of the undertaking’s management responsibilities and rights Luxembourg Act (+ undertaking agreements) Obligation Workforce delegation: to safeguard and protect employees’ rights Joint committee: non specified general scope, various duties Netherlands Act + collective agreements Obligation Works council: in the interests of the smooth running of the undertaking in all respects, and to the benefit of consultation with the workforce representation Denmark InterÜfederation agreement Obligation Act: coll. redundancies, transfers Implementation of permanent cooperation. The parties attempt to reach agreement by codetermination within the Cooperation Committee C 2 / 8 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s 5. 1. 1 9 9 9 Main legal basis or agreement Status of information and consultation Aim Italy Constitution + Act + inter federation agreementØ+ sectoral collective agreement Right Obligation agreements under some collective Spain Act (+ inter federation agreement) Right + obligation Portugal Greece France Sweden Finland Act Act Act Act Right Right Obligation Austria Act Obligation Act + collectives agreements Obligation Obligation Union representation of employees Constitution: with a view to the employee’s economic and social develÜ opment and in line with production requirements, the State recognises the right of employees to participate in undertaking management in the manner and within the limits laid down by the law InterÜfederation agreement: joint assessment of the situation and develÜ opment of the undertaking, treatment of the social effects of changes and restructuring, regulations on negotiations Employees are entitled to participate in the management of their underÜ taking through their representative bodies InterÜfederation agreement: communication and dialogue at all levels through negotiation, improvement of To protect employees’ interests and play a democratic role in the life of the undertaking Participation and consultation role (. Ø. Ø. ) with the aim of improving workers’ terms and conditions of employment in connection with the development of the undertaking Collective voice of employees, allowing their interests to be considered whenever decisions are being made on the undertaking’s economic and financial development, work organisation, vocational training, and production processes With the aim of developing the undertaking’s activities, improving working conditions, and encouraging codetermination between employer and employees and within the workforce, is necessary to offer employees greater scope for influencing matters relating to work and the workplace it To safeguard and promote employees’ economic, social, health and cultural interests, to permit compensation of interests for the good of both employees and undertaking 5. 1. 1 9 9 9 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s C 2 / 9 TABLE II: INFORMATION AND CONSULTATION THRESHOLDS Body or arrangement Base level Threshold (number of employees) Germany Betriebsrat (works council) Economic committee Establishment Undertaking 5 permanent employees 100 permanent employees United Kingdom Recognised union or elected representatives Establishment 20 employees for information/consultation in the event of collective redundancies Ireland Belgium Recognised union Works council Establishment no threshold Establishment (or undertaking) 100 Information and consultation through committee on health and safety at work or trade union delegation Establishment Luxembourg Workforce delegation Joint committee Netherlands Works council Direct matters information and consultation on economic and social Denmark Italy Spain Portugal Greece Cooperation committees Tillidsmanden (shop steward) Trade union representation Agriculture Workforce delegates Works council Workers’ committee Trade union organisation Workers’ council Establishment Undertaking Establishment Establishment Undertaking Undertaking Establishment Establishment Establishment Establishment Undertaking no threshold Undertaking Establishment 20 50 20Ü100 15 150 35 10Ü35 35 5Ü6 depending on collective agreement 15 5 6Ü50 50 C 2 / 1 0 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s 5. 1. 1 9 9 9 Body or arrangement Base level Threshold (number of employees) France Sweden Finland Austria Workforce delegates Works council Union delegates Codetermination Act (Union delegates) Collective redundancy (Union delegates) Betriebsrat (works council) Establishment Undertaking Establishment Undertaking Establishment Establishment 11 50 no threshold 30 20 5 permanent employees 5. 1. 1 9 9 9 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s C 2 / 1 1 TABLE III: LEVELS OF EMPLOYEE REPRESENTATION REGARDING INFORMATION AND CONSULTATION Establishment InterÜestablishment or undertaking National group European (Directive 94/45/CE) Germany Works council General works council Statutory Group works council Arrangements variable Transposing Act United Kingdom Shop stewards if unions recognised SingleÜemployer combined committee Joint consultative committee voluntary Higher level joint committee Irregular Irregular Ireland Belgium Shop stewards CoÜordination Some cases Works council Joint meetings Possible Luxembourg Workforce delegation Joint works council Statutory Delegates’ committees Few Voluntary until December 1999 Transposing Act Act + transposing collective agreement Act pending Netherlands Works council Central works council Optional Group works council Arrangements variable Transposing Act Denmark Italy Cooperation committee Central or main committee Optional Single union representation CoÜordination Usual CoÜordination In most groups Spain Works council InterÜcentre committee Depending on collective agreement Portugal (SubÜcommittee) Workers’ committee Optional Transposing Act Transposing interfederation agreement Transposing Act Act pending Greece France Workers’ council CoÜordination Possible CoÜordination Possible Transposing decree Establishment committee Central undertaking council Statutory Group council Statutory Transposing Act C 2 / 1 2 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s 5. 1. 1 9 9 9 Sweden Finland Establishment InterÜestablishment or undertaking National group European (Directive 94/45/CE) Union delegates Negotiating body Usual Negotiating body Usual Transposing Act Union delegation Union delegation Codetermination rights at undertaking level Form of cooperation Austria Works council Central works council Statutory Group representation According to agreement + subsidiary requirements Transposing Act Enlarged option since 1993 Transposing Act 5. 1. 1 9 9 9 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s C 2 / 1 3 TABLE IV: OBJECT AND MANNER OF INFORMATION AND CONSULTATION Information Consultation Germany The works council, in performing its tasks (. Ø. Ø. ), must be informed fully and in good time by the employer. Documents essential to the performance of its tasks must be placed at its disposal on request at any time Consultation prior to decisions Right to be consulted, usually after a period of thinking time with a view to expressing an opinion in full knowledge of the facts Favourable opinion or agreement needed in some cases United Kingdom Information and consultation compulsory in the event of collective redundancies and transfers. Voluntary in other cases Ireland Belgium Provision of information to unions with a view to collective bargaining Voluntary in other cases Information and consultation compulsory in the event of collective redundancies and transfers. Voluntary in other cases Information prior to decisions, coherent and comparable in time, is the subject of comments and exchanges of views. The members of the works council may ask for additional information, put questions, and express criticism, suggestions and opinions; the head of the undertaking must say how he intends to follow these up Economic and financial information must be supplemented, where approÜ priate, by similar information on the legal entity and information on the economic and financial entity which the undertaking forms part of A written report is required in certain cases Consultation prior to decisions In the event of major changes: information in good time and before dissemiÜ nation, proper consultation in advance, especially on the repercussions on employment If collective redundancies are planned: a series of meetings with the represenÜ tative bodies, possibility of presenting arguments to avoid or limit the effects, possibility of proposing alternative solutions. The employer must consider and reply to questions, arguments and proposals Luxembourg Transmission of information to representatives on the running and status of the undertaking + annual general report Regular consultation, also in writing Reasoned replies decisions likely to have a decisive influence to Joint Committee opinionsØ+ consultation prior to Netherlands The head of the undertaking is required, on request, to provide (. Ø. Ø. ) full information and details which the central works council needs in order to perform its functions On request: in writingØ+ specific information The head of the undertaking must request an opinion, in time for it to influence the decision to be taken, by transmitting details of the reasons for decisions and the consequences. A consultation meeting must take place before the works council expresses its opinion. When the works council has expressed an opinion, it must be notified of the decision in writing by the head of the undertaking, together with the reasons why it is not consistent with the opinion where this is the case C 2 / 1 4 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s 5. 1. 1 9 9 9 Denmark Italy Spain Portugal Greece France Sweden Information Consultation Information must be presented in accessible form, early enough for an opinion to be expressed and proposals made The parties attempt to reach an agreement Information/consultation: according to sectoral collective agreementØ+ compulsory in the event of redundancies and transfers + assessment of the situation by the parties to obtain common information needed to define the objectives of undertaking negotiations + contacts prior to negotiations Information/consultation: different procedures depending on subject + information for employees on subjects likely to have direct or indirect repercussions on industrial relations Prior consultation in the event of changes likely to affect employees Right to receive all functions information they need in order to perform their Opinion prior to decisions Regular informationØ+ before implementation of decisions Deliberation with the employer Regular informationØ+ on certain occasionsØ+ right to carry out studies and research needed for performance of functions Different procedures depending on subject The works council must, in order to draw up a reasoned opinion, be provided with precise information in writing, sufficient time to consider the matter, and the employer’s reasoned response to its observations. Consultation must precede the taking and implementing of decisions The employer must keep the trade union organisations (. Ø. Ø. ) regularly informed of production and financial developments, as well as the main points of staff policy. If possible without excessive cost or inconvenience, the employer must, at the request of the trade union organisations, provide them with copies of documents and help them to examine the various matters (accounts, economic aspects) Before deciding on a major change in activity, the employer must, on his own initiative, negotiate with the trade union organisation (. Ø. Ø. ). The employer must suspend his decision during negotiations Finland Information must be presented in a way that permits discussion on the subject Before any major decision, the employer must negotiate with the employees concerned or their representatives (. Ø. Ø. ) to discuss the reasons for the planned decision, its effects and the possible alternatives. Proposals must be tabled in writing five days before the start of negotiations 5. 1. 1 9 9 9 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s C 2 / 1 5 Austria The works council may request copies of available documents Consultation on current matters at least once every three months, or once a month at the works council’s request Information Consultation Information and consultation: the employer is required to keep the works council informed and consult it at its request Procedures depending on subject If changes are planned, the plans must be transmitted as soon as possible, and in any event early enough to permit consultation The works council may make proposals C 2 / 1 6 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s 5. 1. 1 9 9 9 TABLE Va: SUBJECTS AND PROCEDURES FOR INFORMATION AND CONSULTATION - ECONOMIC MATTERS Information and consultation of specific workforce representation; does not take account of any possible participation of representatives in the undertaking’s social bodies eØ= establishment/uØ= undertaking/nØ= threshold/-Ø= no threshold Structure Economic and financial situation Development of activities Production and sales Investment projects Germany Immediate information and prior consultation in the event of structural changes e20 Information: once a year (assembly) e5 Information: once a year (assembly) e5 Full and immediate information u100 Full and immediate information u100 Information: 4 times a year in writing Economic committee to meet once a month u100 Information: 4 times a year e20 (orally) e1000 (in writing) Meeting to discuss annual balance sheet u100 Economic committee to be provided with full and immediate information u100 United Kingdom Information and consultation voluntary Ireland Belgium Basic dossier every 4 years Articles, organisation, financial structure e50 Information and consultation voluntary Information once a year: written reportØ+ auditor + meeting Information 4 times a year on situation as regards achievement of production and productivity objectives Written summary 15 days before meeting e50 Basic dossier every 4 years Production, productivity Information once a year: state of the market, order book Information 4 times a year: anticipated sales trends, orders, market, stocks: MeetingØ+ written report 15 days before meeting e50 Information once a year: development programmes e50 Basic dossier every 4 years: competition position, productivity, cost prices, personnel costs Information once a year: balance over 3 years. Profit and loss accounts: report in writingØ+ auditorØ+ meeting Information 4 times a year: anticipated development of costs, cost prices, budget management, possibly by objective Written summary 15 days before meeting e50 5. 1. 1 9 9 9 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s C 2 / 1 7 Structure Economic and financial situation Development of activities Production and sales Investment projects Luxembourg Annual report Written report and consultation twice a year on developments Prior information and consultation on decisive changes e15 Annual report e15 Annual report e15 Annual report e15 Information and consultation once a year: accounts u150 Written report, consultation twice a year developments u150 Written report and consultation twice a year u150 Information on running of undertaking once a month u150 Written report and consultation twice a year on developments u150 Annual report on investments made e15 + written report and consultation twice a year u150 Prior information and consultation on investment policy repercussions u150 Netherlands Denmark Italy Spain Basic information in writing every 2 years e35 Annual report on accountsØ+ chartered accountant Consultation on transfer of authority e35 explanation of reasons and consequences, consultation meeting, opinion with 1Ümonth staying effect Information on forecast documents Information twice a year on undertaking results and forecasts e10 (direct) e35 Information twice a year on the undertaking’s operation, activities and forecasts e10 (direct) e35 Information twice a year on activities and forecasts e10 (direct) e35 Information twice a year on investments in the Netherlands and abroad Explanation of reasons and consequences, consultation meeting, opinion with 1Ümonth staying effect e35 Information 6 times a year on situation and forecasts u35 Procedures depend on branch and undertaking agreements e15 (5 agricultural sector) Prior information and consultation on changes in articles Opinion within 15 days e6 Examination of accounts Regular information on the economic situation in the sector e6 Information 4 times a year e6 Information 4 times a year on the situationØ + production programme e6 e6 C 2 / 1 8 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s 5. 1. 1 9 9 9 Structure Economic and financial situation Development of activities Production and sales Investment projects Portugal Information on plans for changes u- Information on the situation regarding accounts, budget and financing procedures Opinion on budget and financial plans u- Information on general activity plan - Plans for changes u- Information on production organisation; rates of use of personnel and equipment Information and opinions on plans and budgets u- Information on forecasts, sales volume and administration, supplies u- Greece Prior information and consultation on reasons for and effects of changes u20 Possibility of requesting any information on the economic situation and policy Annual information e50 Negotiations u20 General operation u20 e50 Annual information e50 Negotiations, general operation u20 e50 Annual information Proposals on means of improving productivity of all production factors e50 Prior information e50 France Sweden Basic document every 2 years u50 Annual report on transfers of capital Information to group committee u50 Annual report containing turnover and profit figures, distribution, etc. u50 Annual accounting docuÜ mentsØ+ analysis by chartered accountant u50 Basic document every 2 years u50 Annual report u50 Consultation on the general running of the undertaking u50 Annual report: 4 times a year trends in orders and development of production programme - oral u300 Annual report on investments u50 Information in the event of changes e- Obligation to negotiate, with staying effect in the event of major change Regular information Regular information Possibility of examining accounts e- Obligation to negotiate, with staying effect in the event of major change e- Regular information e- Obligation to negotiate, with staying effect in the event of major change e- 5. 1. 1 9 9 9 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s C 2 / 1 9 Structure Economic and financial situation Development of activities Production and sales Investment projects Finland Immediate information in the event of important changes u30 Information on accounts Report twice a year on the economic situation and outlookØ+ at group level where appropriate u30 Report twice a year on the situation, indicating the outlook in terms of production, markets and cost structureØ+ at group level where appropriate u30 Obligation to negotiate, on the basis of written proposals, before any major investment: 6Üweek staying effect if the workforce is to be cut u30 Report twice a year on the economic situation Immediate information in the event of important changes in economic and financial trends Obligation to negotiate, on the basis of written proposals, before any change in activities affecting the situation of the workforce: 6Üweek staying effect if the workforce is to be cut u30 Austria Information and consultation in the event of changes e5 Transmission annual balance sheetØ+ necessary explanations Information and consultation on the economic and financial situation Access to available documents e5 Information and consultation on the situation and outlook, with access to available documents Information and consultation on the order situation and the nature and volume of production Information and consultation on investment projects Access to available documents e5 Consultation 4 times a year (once a month on request) on current matters Access to available documents e5 The works council may request documentation e5 C 2 / 2 0 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s 5. 1. 1 9 9 9 TABLE Vb: SUBJECTS AND PROCEDURES FOR INFORMATION AND CONSULTATION - EMPLOYMENT Situation Structure Anticipated developments Anticipatory measures Employability Training plan Germany Information once a year (assembly) Regular information e5 Regular information Codetermination on assessment and remuneration rules Agreement on selection rules and individual measures e5 Full and prompt information, prior consultation The works council may present proposals e5 Full and prompt information, prior consultation e5 Codetermination on application measures: agreement between works council and employer, conciliation committee if no agreement reached e20 United Kingdom Information and consultation voluntary Ireland Information and consultation voluntary Belgium Annual information in writing, by subject Consultation on personnel policy e50 Consultation on vocational training and retraining measures e50 Annual information in writing, by subject Consultation on employment policy Consultation on vocational training and retraining measures e50 Annual information in writing, by subject Information 4 times a year on anticipated employment developments - written summary 15 days before meeting Information in writing 4 times a year on achievement of forecasts, discrepancies between objectives and achievements, changes to forecasts e50 5. 1. 1 9 9 9 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s C 2 / 2 1 Situation Structure Anticipated developments Anticipatory measures Employability Training plan Luxembourg Workforce delegation: opinion and proposal on improvement of terms and conditions of employment e15 Information and consultation once a year on current and expected labour force needs and training/further training/retraining measures which might result Information and consultation on decisions with a decisive impact on planned social measures u150 Consultation before transmission of application for overtime or part time working u150 Workforce delegation: opinion and proposal on improvement of terms and conditions of employment u150 Information and consultation once a year Prior information and consultation on training measures before decisions u150 Netherlands Annual social report e35 Annual social report Annual social report Annual social report Compulsory agreement on rules for recruitment, redundancy, promotion and assessment e35 Consultation on recruitment, opinion with 1Ümonth staying effect e35 Compulsory agreement on rules for recruitment, redundancy, promotion, assessment and training e35 Obligation to draw up a training plan Compulsory agreement on training rules e35 Denmark Italy Spain Information and consultation 6 times a year u150 Procedures depend on branch and undertaking agreements Information on all employment contracts e6 Information 4 times a year on probable development of employment, expected new contracts e6 Information on mobility decisions Information and consultation on assessments regarding jobs and restructuring Opinion within 15 days e6 Information and consultation Opinion within 15 days e6 Portugal Information on personnel management Information on personnel management Consultation on the social balance sheet u- Prior opinion on changes to classifications, promotions u- Recommendations on apprenticeships, retraining, further training u- C 2 / 2 2 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s 5. 1. 1 9 9 9 Situation Structure Anticipated developments Anticipatory measures Employability Training plan Greece Possibility of requesting any information on personnel management policy u20 Prior information on changes u20 e50 Information u20 e50 Agreement on training u20 e50 Agreement on training u20 e50 France Social balance sheet, annual summary of main statistics: information and consultation u50 Meetings of training committee u50 Consultation on employment, working and training conditions u50 Annual report including wage trends u50 Annual report u50 Productivity u300 Monthly analysis of employment situation: oral u50 Annual consultation on developments in employment, skills, annual/multiannual forecasts, explanations of discrepancies Written report 15 days beforehand u50 Annual consultation especially on planned and implemented healthØ& safety and training measures Written report 15 days beforehand u50 Information and consultation on training results and plans, broken down by category, duration and type u50 Sweden Regular information on personnel policy e- Prior consultation before concluding or terminating employment contracts Obligation to negotiate on management planning e- Obligation to negotiate on management planning e- 5. 1. 1 9 9 9 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s C 2 / 2 3 Situation Structure Anticipated developments Anticipatory measures Employability Training plan Finland Regular information on wage statistics by category u30 GroupÜlevel assessment of changes envisaged in the number and categories of employees u30 Information on training results and plans, broken down by category, in conjunction with employment forecasts u30 Obligation to negotiate on recruitment criteria u30 Obligation to negotiate on plans concerning employment and training and corresponding employment and training plans associated with cuts in the workforce or changes to contracts. Discussion of reasons for decisions, effects and possible alternatives. Written proposals to be submitted five days before the start of negotiations u30 Obligation to negotiate on the vocational training budget u30 Austria Consultation 4 times a year, on request Once a month on topical matters The works council may ask for documents e5 Information on recruitment needs and associated personnel measures e5 Cooperation procedure on training and retraining: Agreement between works council and employer. Conciliation committee if no agreement reached e5 C 2 / 2 4 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s 5. 1. 1 9 9 9 TABLE Vc: SUBJECTS AND PROCEDURES FOR INFORMATION AND CONSULTATION - CHANGES Work organisation New technologies Production transfers Merger Cutback/closure Relocation Germany Full and immediate information (e-)Ø+ consultation (e5)Ø+ codetermination (agreement between works council and employer; conciliation committee if no agreement reached) (e20) United Kingdom Information and consultation voluntary Information and consultation in accordance with transfer and redundancy directives e20 Ireland Information and consultation voluntary Information and consultation in accordance with transfer and redundancy directives e20 Belgium Information + commentsØ+ written summary of figures - if possible before implementation Consultation e50 Consultation 3 months before implementation e50 InformationØ+ commentsØ+ written summary of figures - if possible before implementation e50 Immediate information to works council and employees e20 Information + comments + written summary of figures - if possible before implementation e50 Effective prior consultation on repercussions, employment prospects, work organisation and employment policy If collective redundancies are envisaged: Written report, series of meetings, replies to questions, arguments and alternative proposals e20 Luxembourg Prior to major decisions, information and consultation on employment repercussions u150 Prior information and consultation e15 Information and consultation in the event of redundancies (e15) and transfers (u150) 5. 1. 1 9 9 9 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s C 2 / 2 5 Work organisation New technologies Production transfers Merger Cutback/closure Relocation Netherlands Compulsory agreement on conditions of employment e35 Consultation: description of reasons and consequences, consultation meeting, with one month staying effect e35 Information and consultation e10 (direct) e35 Denmark Italy Spain Portugal Greece Information and consultation 6 times a year u35 Information and consultation well in advance u35Ú(u20 for collective redundancies) Consultation e- Consultation e- Procedures depending on collective agreementØ+ information & consultation on collective redundancies e20 Information, consultation and negotiation prior to changes likely to affect employees. Opinion within 15 days e6 u- Opinion prior to changes in classifications and working hours Recommendations on improvements to terms and conditions of employment u- Consultation: opinion prior to all measures leading to a significant cut in the workforce size or a substantial worsening of terms and conditions of employment u- Prior information e50 Prior information e50 Prior information on reasons and effects e50 Prior information e50 Prior information e50 Consultation on changes to working hours Proposals on improvements to terms and conditions of employment Prior consultation where collective redundancies are planned u20 C 2 / 2 6 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s 5. 1. 1 9 9 9 Work organisation New technologies Production transfers Merger Cutback/closure Relocation France Information on production method changes and effects on work and employment: 4 times a year u50 Information and consultation prior to changes in financial or legal organisation u20 Consultation u50 Prior consultation u50 Possibility of consulting experts u50 Prior information in the event of takeover bids u50 Collective redundancies e10 Sweden Finland Information and right of participation in the event of changes in work organisation or terms and conditions of employment e- Obligation to negotiate prior to decisions on major changes in activities; decisions must be suspended during negotiations. If no agreement can be reached at local level, negotiations are transferred to the national level social partner organisations e- Reorganisation: obligation to negotiate: discussion of reasons for decision, effects and possible alternatives Written proposals submitted 5 days before start of negotiations u30 Immediate information on all major changes in the economic and financial situation of the undertaking Group employees to be informed when a decision is planned which will involve a significant change in the activities of the group or a group undertaking and affect the personnel situation Obligation to negotiate: discussion of reasons for the decision, effects and possible alternatives. Written proposals to be submitted 5 days before start of negotiations In the event of workforce cuts: 6Üweek negotiating period, unless otherwise agreed e20 Obligation to negotiate Use of subcontracting u30 Obligation to negotiate sufficiently in advance, stating reasons, financial and economic consequences + measures Obligation to negotiate on employment changes and changes to contracts following a transfer or merger u30 5. 1. 1 9 9 9 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s C 2 / 2 7 Work organisation New technologies Production transfers Merger Cutback/closure Relocation Austria Consultation e5 Consultation e5 Prior consultation e5 In groups: information and right to consultation on current measures or measures planned by the dominant undertaking concerning changes to establishments or other cases with major implications for employees e5 Cooperation procedure in the event of changes: information as soon as possible, and well enough in advance to permit consultation on the policy adopted. The works council can make proposals. In the event of major disadvantages for employees, there must be an agreement between the works council and the employer. Conciliation committee in the event of failure to reach agreement e20 C 2 / 2 8 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s 5. 1. 1 9 9 9 TABLE VI: PROVISIONS ON THE CONFIDENTIALITY OF INFORMATION (national provisions relating to national representations or European works councils) Provisions on confidentiality Information excluded from information rights and obligations Germany The members and alternate members of the works council must not reveal or exploit business secrets which they learn as a result of their works council activities and which the employer has specifically designated as confidential Where the undertaking’s business secrets are implicated United Kingdom Strict definition of confidentiality (Precise financial or economic data are rarely revealed) Ireland Respect for information provided in confidence (94/45/EC) Information considered commercially sensitive by the management, if it can show that the release of such information would be detrimental to the group’s economic and financial interests or if the information corresponds to the rules on non release of information as agreed between management and workforce representatives. In the event on failure to agree on the provision of information: referral to "independent arbiter’ (94/45/EC) Belgium The head of the undertaking may inform the works council that certain information is confidential and its dissemination is likely to seriously harm the undertaking’s interests The head of the undertaking may be allowed exemptions from the principle of compulsory in respect of specific points (e. g. distribution margins), following a reasoned request to an official of the Ministry of Economic Affairs. Such requests are rare information, Luxembourg Respect for the confidentiality of business secrets or information expressly provided by the undertaking in confidence Netherlands Respect for the confidentiality of business secrets or information provided by the undertaking in confidence or information which workforce represenÜ tatives must treat as confidential. The management may not claim confidenÜ tiality without reasonable grounds and must specify the extent, duration and persons concerned If the head of the undertaking refuses to provide information requested by the works council, the "industrial commission’ must give a ruling Where it is conceivable that the functioning of the group will be seriously harmed (94/45/EC) 5. 1. 1 9 9 9 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s C 2 / 2 9 Denmark Italy Spain Portugal Greece France Sweden Provisions on confidentiality Information excluded from information rights and obligations Obligation to treat confidential matters as such, specific cases justified by the undertaking’s interests (94/45/EC) Specific cases justified by the undertaking’s interests, where the information would inconvenience or harm the undertaking (94/45/EC) Respect for the confidentiality of information expressly provided by the undertaking in confidence and likely to seriously harm the functioning or activities of the undertaking Respect for the confidentiality of industrial secrets or financial transactions (94/45/EC) Information likely to disturb the market; disagreements on provision of information are dealt with by a tripartite conciliation committee (94/45/EC) Observance of business secrets, especially on financial matters and those covered by a requirement to the effect that no document entrusted to the works council by the undertaking may be used outside the immediate scope of the works council or for purposes other than those for which it was made available Information on industrial, commercial or business secrets, manufacturing techÜ niques or processes, strategic commercial data on markets, clients or suppliers (94/45/EC) Financial information, where dissemination or use thereof might seriously affect the operation of the undertaking or cause irreparable damage to its economic or financial competitiveness on the market or to public confidence in its solvency, functioning or product quality (94/45/EC) Members of workforce committees are bound to respect the confidentiality of information received in that capacity. The employer must justify the confidential nature of information Obligation to treat information of particular importance to the undertaking with discretion, and possibility of agreement on the provision of information to third parties The subjects covered by confidentiality (bank and legal transactions, subjects of national to importance, patents, etc. ) are excluded from information the right Members of the works council and trade union representatives are obliged to observe confidentiality as regards manufacturing processes and to treat with discretion information of a confidential nature specified as such by the employer Chartered accountants who assist works councils are required to observe professional secrecy A party required to provide information may negotiate on its confidentiality; if negotiations fail, and there is a serious risk of substantial damage to one of the parties or to a third party, confidentiality may be imposed by court order C 2 / 3 0 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s 5. 1. 1 9 9 9 Provisions on confidentiality Information excluded from information rights and obligations Finland Austria A confidentiality obligation on employees, persons providing assistance to them, and their representatives applies to individual data on the underÜ in the absence of an taking’s financial situation and state of health agreement on to commercial information presented as confidential by the employer, the publicising of which would be likely to harm the undertaking or one of its partners the party concerned, and the part of Members of the works council and external persons are required to observe discretion with regard to personal data and business or manufacturing secrets which come to their knowledge, especially those concerning instalÜ lations, processes and technical matters which are presented as confidential 5. 1. 1 9 9 9 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s C 2 / 3 1 TABLE VII: PROTECTION OF EMPLOYEES’ REPRESENTATIVES General provisions Special protection Germany The members of the works council may not be hindered in or prevented from performing their duties. They must not be favoured or placed at a disadvantage. Representatives are entitled to the same pay rises as would be normal for their original job Members of the works council may not be dismissed without the prior agreement of the works council or, failing that, the labour tribunal Candidates also enjoy special protection for six months. A period of protection of one or two years, including training courses, follows the term of office of members United Kingdom The exercising of union rights at the workplace is protected by legislation, which makes interference by the employer illegal Protection as individuals against redundancy in the event of discrimination on grounds of membership (or non membership) of a union and against unfair dismissal after two years’ service Ireland Exercise of union rights Redundancy on account of union activities is illegal, regardless of whether such activities take place outside working time or are authorised under the terms of the person’s employment contract Belgium Representatives must not be favoured or placed at a disadvantage, which means they are entitled to promotion etc. in line with what is normal for their job category Workforce representatives and candidates enjoy special protection during their term of office; restrictions apply as regards redundancy and career develÜ opment Luxembourg General protection Protection against redundancy for representatives, candidates (3 months) and former members (6 months) Netherlands General protection Protection against redundancy for representatives, candidates and former members (for two years) Denmark General protection Protection against redundancy and discrimination Italy Spain General protection General protection Protection against redundancy. Union agreement needed for transfer outside the establishment Protection against penalties, discrimination and redundancy for the duration of the term of office and the following year C 2 / 3 2 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s 5. 1. 1 9 9 9 General provisions Special protection Portugal General protection Legal protection against redundancy for the duration of the term of office and the following five years Greece General protection Legal protection against transfer or redundancy for the duration of the term of office and the following year France General protection Protection against discrimination and disciplinary procedures Impeding union activity, i. e. interfering or attempting to interfere with the freedom of appointment, the proper exercising of workforce representatives’ functions or the exercising of trade union rights in the undertaking, is a punishable offence Protection against redundancy for representatives, candidates (6 months) and former members (6 months). Protected employees cannot be dismissed without a prior opinion from the works council and the authorisation of the labour inspector Sweden Delegates may not be subjected to disadvantageous employment or working conditions because of their position and must, at the end of their term of office, be given a position which in terms of is employment or working conditions, to the one they would have been in if they had not held office identical or similar, Finland General protection Change of job: prior consultation with the union and discussions where appropriate A delegate may not be dismissed for holding office In the event of redundancies owing to a decline in business, the respresentative must be given priority for being retained, if this is particularly important for trade union activity at the workplace. If the representative can only be retained through a transfer, priority applies as long as he/she has the required skills. The union’s interpretation with regard to application of these provisions takes priority Protection against redundancy: Delegates may be dismissed for negligence only with the consent of the majority of employees represented. Delegates may not be made redundant on economic grounds unless their is completely discontinued and it is not possible to assign them to another job commensurate with their occupational skills job Austria The members of the works council must not be hindered in the performance of theirs duties or placed at a disadvantage with regard to pay or promotion The members and alternate members of the works council may not be dismissed during their term of office or the following three months, except on the basis of a court decision. The same applies to candidates during the election process 5. 1. 1 9 9 9 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s C 2 / 3 3 TABLE VIII: RESOURCES AVAILABLE TO EMPLOYEE REPRESENTATIVES Time Training Material resources Experts Germany Release from work activity Release applies also for training Each elected representative: 3 weeks during term of office (4 if newly elected) Training costs covered by employer Costs of works council’s activities covered by employer, who must also provide the necessary premises, physical resources and clerical staff The works council may call upon experts where necessary to allow it to perform functions properly, following a specific agreement with the employer its United Kingdom Where trade unions are recognised, free time must be granted, within reason, to union officials to allow them to carry out their duties and obtain training Free time for training By agreement By unions Ireland By agreement By unions By agreement By unions Belgium Meetings and the time needed to carry out duties are regarded as working time and paid as such. Minimum of 16 hours to examine basic annual information information and Time and facilities needed, with no loss of pay, for training Training costs: compensation fund Premises and materials needed for meetings provided by head of undertaking The works council may call on the assistance of experts at the employer’s expense Facilities needed to carry out duties to be provided under the best possible circumstances The auditor reports to the works council on the annual accounts and management report Luxembourg Meetings during working hours Time credit Possibility of during working time attending training Operating costs covered by employer the Advisers to either side may attend meetings C 2 / 3 4 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s 5. 1. 1 9 9 9 Time Training Material resources Experts Netherlands Meetings during working hours Time credit Minimum of 5 days training a year (paid) Training costs covered by a tax Costs covered by the employer: possibility of agreement on annual budget Facilities which the works council its reasonably needs functions to perform The works council may invite one or more costs experts. Consultation borne by employer if he is informed in advance of the costs to be incurred Disagreements referred to Industrial Commission Denmark Meetings regarded as working time By unions Costs covered by the parties By unions Amount of time by agreement Italy Spain Time credit By unions Premises provided By unions Time credit By unions Premises provided By unions Portugal Time credit By unions The employer must provide necessary resources the Permitted, especially relating to safety and hygiene Experts paid by unions Greece Time credit By unions Provision of premises By unions France Time credit Training on economic matters for 5 days per term of office. Regarded and paid as working time Provision of properly premises and necessary equipment equipped Operating subsidy: 0,2Ø% of wage bill council may ask a The works chartered accountant, paid by the management, to examine the annual accounts, for the economic committee, right of warning, collective redundancies assistance forecasts, The works council may consult an the management, expert, paid by concerning the introduction of new technologies 5. 1. 1 9 9 9 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s C 2 / 3 5 Time Training Material resources Experts Sweden Finland Austria Time spent carrying out duties is paid Possibility attending of training without loss of pay union Provision of meeting needed room as Possibility of appointing consultants before major changes. The underÜ taking must pay, as long as the costs remain reasonable Time spent on procedure is paid codetermination By unions Meeting room By unions Dispensation from work activity Training time 3 or 5 weeks per term of office, not paid by employer Possibility of setting up a works council financed by emÜ ployees’ contributions of 0,5Ø% of gross pay fund, consulting qualified Possibility of persons and calling in experts when changes are planned C 2 / 3 6 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s 5. 1. 1 9 9 9 TABLE IX: PENALTIES Consequences of failing to comply with information and consultation obligations in the case of collective redundancies Germany Redundancies invalid, may lead to reinstatement of employee or increased compensation Penalties for hindering or disrupting works council’s activities United Kingdom "Protective award’ Ireland "Protective award’ Belgium Suspension of period of notice if in progress. If the employee has been dismissed, he or she will be entitled to request reinstatement and payment of lost wages. If the employee is not reinstated, he or she is entitled to extra compensation on top of normal redundancy pay Penalties for impeding activities Possible loss of federal government aids Luxembourg Civil compensation Penalties for impeding activities Netherlands Employees entitled to request reinstatement (not compulsory). If the employer does not agree to reinstatement, he must pay additional compensation plus lost wages After mediation by the Industrial Commission, the works council may take legal action to enforce compliance with the law Denmark Fines Italy The employer’s notice placing employees under the "mobility scheme’ is invalid Immediate proceedings to enforce suspension of "anti union attitude’: penalties for failure to comply Spain Redundancies invalid, with possibility of reinstatement or compensation/financial penalties Penalties (serious infringements) 5. 1. 1 9 9 9 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s C 2 / 3 7 Consequences of failing to comply with information and consultation obligations in the case of collective redundancies Portugal Redundancies invalid Fine Greece Redundancies invalid Penalties for impeding activities France Redundancy procedure and its effects invalid. Possibility of reinstatement or compensation Administrative decision suspends procedure (obligation to restart the procedure) Penalties for impeding activities Sweden Priority given to union interpretations during proceedings for failure to comply with negotiated or statutory provisions Damages payable to unions Fine Finland Additional compensation for employees Fine for failure to cooperage Austria The failure must be taken into account by the arbitration committee fixing compensation for employees Fine C 2 / 3 8 E N O f f i c i a l J o u r n a l o f t h e E u r o p e a n C o m m u n i t i e s 5. 1. 1 9 9 9