UNICE defies deadline on consultation

Date: 22/01/1998

By Simon Coss

EMPLOYERS in the EU look set to clash with the European Commission and trade unions over planned new rules to ensure workers in national firms are told about plans for major restructuring.

Social Affairs Commissioner Pádraig Flynn said last summer that EU rules on 'worker consultation' in national companies were needed to complement the existing Works Council Directive, which only covers major multinational firms operating in the EU.

His call came in the wake of the furore surrounding car manufacturer Renault's shock decision to close its factory in Vilvoorde, Belgium.

The move is designed to ensure that, in future, workers are informed about such significant developments in advance.

Under the terms of the Maastricht Treaty's social chapter, such rules can be drafted in negotiations between the 'social partners' - the European Trade Union Confederation (ETUC), EU employers' federation UNICE and CEEP, which represents public sector employers.

But if they do not reach agreement, the European Commission can impose a settlement.

In this case, UNICE has not decided whether it wants to negotiate or not, prompting warnings from both the Commission and trade unions that time is running out. They say that employers must make up their minds before the end of February.

"We have confirmed to the Commission that we want to negotiate on this issue and we want to ensure that a limit of 15 February is respected," said ETUC spokesman Wim Bergens.

Patience at the Commission seems to be wearing equally thin. "The deadline has already expired," said one official.

UNICE argues it is unreasonable to ask it to make a decision before it has had time to consult all its national organisations fully.

"We are in the throes of a rather deep discussion at national level and I would be extremely upset if people pushed us into a corner and said 'you have to do this by 15 February'," said secretary-general Zygmunt Tyszkiewicz. "A consultation, if you go down to grass roots, can easily take four or five months."

Tyszkiewicz says one of the reasons his organisation is having to consult so closely is that when Flynn asked for initial reactions to the plan last summer, UNICE's response was almost completely ignored. "We were disappointed that the second consultation document did not reflect the views of employers. This created quite a backlash in the member states," he said.

The Commission rejects this claim. "It is simply not true. You can see from our second stage consultation that we faithfully reflected their views," said one Flynn aide.

UNICE argues that EU rules on worker consultation in national companies are not necessary, insisting there is no 'European' dimension to the issue. The organisation says it is not opposed to the idea of rules per se, but insists that the principle of subsidiarity - that decisions should be taken at the most devolved level possible - should be applied.

UNICE looks set to clash with the Commission and trade unions over planned new rules to ensure workers in national firms are told about plans for major restructuring.