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IR Notes 149 – 7 October 2020
www.irshare.eu
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A question for…
Jean-Philippe Charpentier (CFTC), Secretary, Verizon EWC
You won a victory in the courts in
the United Kingdom by securing a ruling that Verizon’s
management should be punished for failing to consult your
European Works Council (see 3. Companies). Do you feel that
success in court will encourage management to engage in dialogue
with you again? Needless to say, that’s what we’re hoping.
We took our case to court because we were seeking recognition of the
fact that there had been a breach of the EWC’s right to be informed
and consulted. Our aim is to have the European Works Councils
Directive applied, so that the EWC will be consulted in advance,
before management makes its decision. And we won our case. However,
instead of encouraging management to engage in dialogue with us,
this lawsuit has prompted it to adopt a different position: one of
rejecting our demands in the context of the current renegotiation of
the EWC agreement, which is coming to the end of its term. The
company’s HR manager told me privately that what has happened – i.e.
the company being taken to court – will never be allowed to happen
again, because the EWC will no longer be endowed with the resources
needed to act in this way. That’s why management is planning to use
this renegotiation to weaken the EWC’s powers. Instead of taking the
current agreement as the starting point and revising it, management
wants to start with a blank sheet of paper, review the EWC’s
composition by abolishing the seat granted to countries with fewer
than 80 employees (which will oust a few members) and turn the EWC
into a gentlemen’s club. This is all so that they can continue
making decisions in the USA and applying them in Europe, without
first either informing or consulting the EWC. Management is
threatening to apply the subsidiary requirements of the directive
when the current agreement expires, even though we believe that the
previous agreement will continue to apply until such time as a new
one has been signed. In short, taking legal action to assert our
rights is prompting management to take reprisals, with a view to
ensuring that the company can no longer be taken to court.
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European Industrial Relations Dictionary
In case reading IR Notes inspires you to explore this subject further, we
are providing links to
the European
Industrial Relations Dictionary published by Eurofound. This is
updated at regular intervals by IR Share, which publishes IR Notes. The term definitions
are available in English and can easily be converted into other
languages using on-line translation tools.
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and Aimee
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Lead
story
Teleworking
looks like it is here to stay
“It now appears very likely that the experience of working from home during the
COVID-19 crisis will lead to a growth in teleworking when the crisis abates”,
explain the authors of the new study published by the European Foundation for the
Improvement of Living and Working Conditions (Eurofound), based on more than 87,000
responses to an on-line questionnaire. This remarkable piece of work is a follow-up
to the first study published in May, which highlighted the fact that 37% of people
currently employed in the EU have switched to teleworking, due to the pandemic (see
Telework). In many cases
(24%), this was the first time they had worked from home (see IR Notes 142, Lead
story, EN ES DE IT). The new
study, which was performed in July, i.e. just after the various lockdown
periods, includes a specific chapter devoted to teleworking experiences during
Covid-19. Nearly one half of the employees making up the sample were working from
home at least part of the time during the pandemic. Unsurprisingly, those working
from home were disproportionately urban-based, white-collar, well-educated, service
sector employees. One third of teleworkers reported that they were working
exclusively from home (more than 50% in Belgium and more than 40% in Ireland, Italy,
Spain and France). Less than one half (47%) indicated that their employer had
provided the equipment needed to work from home – due to the fact that the
transition to working from home was unplanned. Teleworkers report more often than
employees as a whole, that they are working during their free time, especially where
there are children in the household. They also report that most of the time, there
is no physical separation between work and living spaces. However, this experience
seems to have been a positive one for many employees (70%). More than three quarters
of the employees questioned (78%) reported that they preferred to work from home, at
least occasionally. The preferred frequency is several times per week (32%),
slightly ahead of several times per month (just over 20%). Very few respondents
(13%) indicated that they would like to work from home every day. Lastly, the study
emphasises that there is no general consensus regarding a switch to “teleworking
only”: nearly one half (45%) of the persons questioned who had not worked from home
during the Covid-19 crisis reported that they would prefer to never
telework. > Find out more: the conclusions
of this vast study, which also relates to employment, and the risks of poverty or
social exclusion, are “stark and alarming”, says Eurofound. Young people, the
unemployed and women are the categories suffering a disproportionately high impact,
compared to other categories of the population. 8% of employees who responded had
lost their job since the Covid-19 crisis (13% of self-employed workers)
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1. European
Union
Proposal
Revision of the “Carcinogens” Directive :
On 22 September, the European Commission put
forward a fourth
amendment of Directive 2004/37/EC on carcinogens and mutagens, following the
revisions applied in December 2017 (see IR Notes no. 89),
January 2019 (see IR
Notes no. 113) and June 2019 (see IR Notes no. 123).
It establishes limit values for acrylonitrile and nickel compounds. And it revises
the limit value for benzene downwards. > Find out more: interview with
Agnes Jongerius in IR Notes 148; Questions
and answers press release
issued by the Commission and press
release.
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Social
update
Promoting an anti-racist Europe :
On 18 September the European Commission unveiled the “EU
anti-racism action plan 2020-2025“ (see press
release) announced by its President, Ursula von der Leyen, at her recent
State of the Union speech (see IR
Notes 148). Within the framework of this vast plan, which affects all areas,
the Commission will present, in the field of employment and work, an implementation
report for Directives 2000/43/EC relative to implementing the principle of equal
treatment between persons irrespective of racial or ethnic origin and 2000/78/EC
establishing a general framework for equal treatment in employment and occupation
(see Racism and xenophobia; Discrimination on the grounds of racial
or ethnic origins). It might subsequently take legislative
initiatives with a view to revising these texts by 2022. The Commission welcomes the
“diversity charters” adopted by companies in the private sector, and is planning a
high-level meeting to be held in May 2021, before publishing “an online toolkit to
help companies assess their internal diversity and diversity strategies based on
adjustable staff surveys, a downloadable questionnaire and recommendations for
improving diversity in their organisation on the basis of the results of the
assessment.” Moreover, the next “action plan on the European Pillar of Social
Rights” is presented as an instrument that “will also contribute to better
addressing discrimination in the area of employment.” This action taken by the
Commission to promote an anti-racist Union means that the topic in question will
compel recognition as a subject for social dialogue, including at company level.
This is already the case in Germany, where the trade-union federation IG BCE has
recently drawn up a model agreement for its members, with a view to signing company
agreements aimed at fighting racism (see IR Notes 146, 2.
Member States).
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Minimum wage : The European
Economic and Social Committee (EESC) has adopted an opinion
relating to “Decent minimum wages across Europe”. The opinion advocates “a
common EU approach with clear policy objectives for the Member States to achieve,
through different means, and ensuring the involvement of the social partners.” This
initiative, forming “part of well-functioning collective bargaining systems, could
ensure that workers’ rights to fair remuneration and to freedom of association and
employers’ needs in relation to productivity and competitiveness are safeguarded.”
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Due diligence : In an exploratory
opinion adopted on 18 September, the European Economic and Social Committee
declares that the time has come for the European Commission to propose legislation
establishing mandatory due diligence (“due diligence obligations”). Victims of
business-related HR infringements must have guaranteed access to fair proceedings,
courts and authorities. The future EU initiative “should guarantee a broad coverage
of the HR and environmental rights definition including workers’ and trade union
rights.” This due diligence obligation would be aimed at all companies (with
appropriate adaptations for SMEs), which would have to perform risk analysis, put in
place follow-up measures, track their effectiveness, communicate and involve the
“trade union organisations represented in the company”. >
Note: On 29 November, the Swiss are due to vote in a
referendum on the adoption of due diligence legislation governing Swiss
multinational companies.
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- Artificial intelligence :
The European Parliament’s Committee on Legal Affairs has
adopted a report on artificial intelligence (AI). It is inviting the European
Commission to present a new legal framework outlining the ethical principles to
be used when developing, deploying and using artificial intelligence, robotics
and related technologies in the EU, including software, algorithms and data (see
Digitisation). The
committee is calling for human-centric, human-made and human-controlled AI that
will take account of social and environmental responsibility, and respect for
fundamental rights, while at the same time incorporating safeguards against bias
and discrimination. The vote in plenary is scheduled for the 19-22 October
plenary session (see press
release).
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2. Member
States
Germany
- Supervision of teleworking :
In an interview,
the Federal Minister of Labour, Hubertus Heil (SPD) announced the preparation,
this autumn, of a draft law for supervising (home-based and mobile) teleworking
that will grant employees “new freedoms, but will also protect them from a
complete separation of their work and their private life”.
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France
A Facebook post can constitute grounds for
dismissal : On 30 September, the French
Supreme Court [Cour de cassation] issued a ruling upholding the dismissal
of a female employee of the clothing manufacturer Petit Bateau who, in April 2014,
posted a photo previewing the 2015 spring-summer collection on her Facebook page,
which was accessible to “her friends” (including fashion professionals and
competitors). One of the exhibits produced by the employer in support of its
dismissal proceedings was a photo taken from the employee’s Facebook account, sent
in by another company employee, who was a Facebook “friend” of the employee who was
dismissed. The dismissed employee argued that this evidence was inadmissible, as
copying a post from her private account represented a breach of her privacy. The
Court acknowledged the breach of privacy, but it emphasised that “producing evidence
that breaches the employee’s privacy was essential for the purpose of exercising the
right to submit evidence and proportionate to the goal being pursued, i.e. that of
defending the employer’s legitimate interest in protecting the confidentiality of
its business” was consistent with Articles 6 and 8 of the Convention for the
Protection of Human Rights and Fundamental Freedoms. > Find out
more: Court
of Cassation ruling (no.19-12.058) of 30 September 2020 and commentary
by lawyer Maître Blandine Allix.
- Paternity leave to be
extended: Paternity leave is due to be doubled from July
2021 (see press
release). At the present time, fathers enjoy 11 days’ paternity leave in
the form of an allowance paid by the Social Security system, plus the three days
of “leave for the birth of a child” provided for by the Employment Code and
remunerated by the employer. The aim is to add a further 14 days, financed by
the Social Security system, in order to reach a target of 28 days, seven of
which would be compulsory. An employer who prevents an employee from taking
these seven days would be liable for a fine of 7,500 euros. Consultation with
the social partners is due to take place before this measure passes into law. As
a result, this measure may well undergo further changes prior to its adoption,
particularly since the employers are calling for flexibility, e.g. the option of
splitting leave into shorter periods.
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Estonia
- Collective agreements extended :
In June, the Supreme Court issued a decision, stipulating
that current legislation does not allow the signatory parties to a collective
agreement to extend this agreement to all employers in the sector, contrary to
the practices in force for some years now, both in terms of extending collective
agreements in the healthcare and transport sectors, and of setting the
minimum wage at national level. In response to this development, the government
plans to change the law and to establish an official criterion for
representativeness, whereby an agreement could be extended if the members of
signatory employers’ organisations employ in total at least 20% of employees in
the sector concerned. For the moment, no criterion is planned for the signatory
trade unions.
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Switzerland
- Paternity leave and free movement :
In a referendum held on 27 September, the
Swiss voted for the introduction of ten days’ paternity leave, to be taken
within six months following the child’s birth, either in one continuous block or
several discontinuous blocks of leave. It will be remunerated at a level of 80%
of the employee’s wage (capped at 196 euros per day). They also voted to
maintain freedom of movement between the EU and Switzerland for workers, and
vice versa. In the canton of Geneva, citizens voted for a minimum wage of 4,186
Swiss francs (3,880 euros) to be paid to the 30,000 workers who do not enjoy the
higher minimum wages set by collective labour agreements.
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3.
Companies
European
works councils
Failure to comply with the consultation
procedure : la juridiction britannique chargée d’examiner
les contentieux relatifs aux CE européens, le Central Arbitration Committee (CAC), a
sèchement condamné l’entreprise américaine Verizon, dans une décision
du 9 octobre 2019, pour ne pas avoir respecté les termes de son accord de CE
européen. Dans le cadre d’une réorganisation conduisant à la suppression de 216
postes en Europe dans huit pays, la direction de Verizon s’est contenté d’informer
le comité restreint du CE européen, avant l’annonce officielle. Or, dans un tel cas,
l’accord prévoit une réunion non pas seulement d’information, mais aussi de
consultation d’un comité restreint élargi aux représentants des pays affectés qui
siègent au CE européen (see Information and consultation).
Ne donnant pas suite aux demandes du secrétaire du CE européen de convoquer un
comité restreint élargi, la direction a été condamnée par le CAC, pour n’avoir pas
respecté la procédure et à prendre en charge des frais d’avocats engagés par le CE
européen pour défendre ses intérêts. Following this decision, the EWC instigated
further legal proceedings before the London Employment Tribunal, which was called on
to rule whether the company should be fined. In the judgment
it handed down on 1 October, the Tribunal confirmed that it had found against the
company’s management and imposed a fine of £35,000 on it, plus £5,000 in legal fees.
These two decisions are important, because the issue of how dispute-related legal
proceedings can be financed by a EWC – which, in the vast majority of cases, does
not have its own budget – arises on a regular basis. They also highlight the
difficulty of securing official recognition of a breach of the information and
consultation regulations, and the ineffectiveness of any sanctions imposed: in this
case, a fine imposed two years after the event.
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European
company
- Restructuring : “Managing
the crisis caused by the Covd-19 pandemic must not come at the expense of
employees. We need intelligent solutions and not mass redundancies in 2021”,
warns the Works Council of the European company Airbus SE (SE-WC), in a statement
issued on 23 September, after a plenary meeting. The Council goes on to say:
“Saving jobs must be the absolute priority, as it is only with the employees
that there can be any future prospects after the crisis”, emphasising several
demands aimed at preventing any compulsory redundancies.
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Trade
unionism
- Trade-union network :
On 15 September, the European Federation of
Public Service Unions (EPSU) launched a plan to set up a European trade-union
network in two multinational companies operating in the healthcare sector: the
Norwegian group Norlandia
(5,750 employees) and the French group Colisée (16,000 employees),
which specialises in support and care services for the elderly. The aim is to
set up a trade-union network, and then embark on negotiations with a view to
creating a EWC.
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4. Studies
and reports
Promoting social dialogue : At a
time when the European Commission is reaffirming the need to promote social dialogue
and collective bargaining, the European Foundation for the Improvement of Living and
Working Conditions (Eurofound) is publishing a study
that is intended to provide food for thought, not only for the Commission itself but
also for any national actors planning to strengthen social dialogue. Social
dialogue, which serves “the general interest, […] should be supported by public
policy”. The authors emphasise that the social partners should also be supported “in
their efforts to increase their membership, representativeness, and capacity to
negotiate and implement agreements”, and they also call for the deployment of a
legal framework favourable to bipartite social dialogue at national level.
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