These categories group together and put in context the legislative and non-legislative initiatives which deal with the same topic.
Employment and social policy > Social dialogue and employee participation
These categories group together and put in context the legislative and non-legislative initiatives which deal with the same topic.
Employment and social policy > Social dialogue and employee participation
Dialogue with the social partners constitutes one of the pillars of the European social model. Firmly anchored in the Treaty establishing the European Community, it embraces discussions, consultations, negotiations and joint actions involving the representative social partner organisations. The European social dialogue, which can be bipartite or tripartite, supplements the national social dialogue arrangements which exist in most Member States. Based on the principles of solidarity, responsibility and participation, it constitutes the main channel through which the social partners contribute to the establishing of European social standards and play a vital role in the governance of the Union.
EUROPEAN SOCIAL DIALOGUE
CROSS-INDUSTRY SOCIAL DIALOGUE
Framework agreements
SECTORAL SOCIAL DIALOGUE
FORUM FOR SOCIAL DIALOGUE
INFORMATION, CONSULTATION AND PARTICIPATION OF EMPLOYEES
These categories group together and put in context the legislative and non-legislative initiatives which deal with the same topic.
Employment and social policy > Social dialogue and employee participation
Communication from the Commission. Partnership for change in an enlarged Europe – Enhancing the contribution of European social dialogue [COM(2004) 557 final – Not published in the Official Journal].
The European social model places great emphasis on the need for social dialogue. The purpose of this Communication is to promote awareness and understanding of the results of the European social dialogue, to improve their impact and to promote further developments based on effective interaction between different levels of industrial relations.
In addition, the enlargement of the EU also presents a challenge for the European social dialogue. Partnership will be of particular importance in managing the impact of continuing restructuring in these countries. Enlargement will also challenge the technical capacity of the European social partner organisations in the new Member States.
Following the Communications in 1998 on “Adapting and promoting the Social Dialogue at Community level” and in 2002 on “The European social dialogue, a force for innovation and change”, and against the backdrop of the mid-term review of the Lisbon Strategy, the Commission feels that it is a good time to take stock of the European social dialogue.
The main challenge ahead is to improve quality in work with a view to positively managing all dimensions of economic, social and environmental change in order to ensure sustainable development and social cohesion. The Commission calls on the European and national social partners to take part in a genuine partnership for change by stepping up their efforts to address the issues identified below:
If the European social partners are to make an effective contribution to achieving the objectives of the Lisbon Strategy, good interaction between the different levels of industrial relations is essential. The Commission urges the social partners and Member States to work together to reinforce the administrative capacities of national social partner organisations, for example through the possibilities provided by the structural funds – in particular the European Social Fund (ESF).
The results of the European social dialogue could therefore be improved by enhancing the synergies between the various sectors as well as between the European cross-industry and sectoral levels. For example, in the area of lifelong learning, some sectors (postal services, banking, cleaning industry) have referred to the cross-industry framework of actions.
The Commission also feels that the social partners could explore possible ways in which the European social dialogue and European works councils (EWCs) could complement one another. Increasingly, the range of issues being considered within EWCs is expanding beyond the core issues of company performance and employment to embrace subjects with a strong European dimension such as health and safety, equal opportunities, training and mobility, corporate social responsibility and environmental issues.
The Commission’s role in supporting social dialogue
According to Article 138(1), the Commission has the task of promoting the consultation of management and labour at Community level. It must therefore take any relevant measure to facilitate their dialogue by ensuring balanced support for the parties. The Commission encourages the social partners to make use of the possibility for certain issues to be fleshed out through negotiations at all relevant levels and to step up support for the European social dialogue structures in the context of enlargement.
It is however important to note that, as the social partners are autonomous and social dialogue in the EU is based on the freedom of the right to association, capacity-building is essentially a bottom-up process depending on the efforts of the social partners themselves.
In order to identify the social partners to be consulted under Article 138 of the EC Treaty, the Commission carries out representativeness studies on the European organisations. It proposes that these studies should be carried out by the Dublin Foundation’s European Industrial Relations Observatory.
The Commission will raise the profile of the European social dialogue and assist the social partners in following up their texts by:
The Commission considers there to be a need for a framework to help improve the consistency of the social dialogue outcomes and to improve transparency. It will examine the possibility of drawing up a more extensive framework.
Background
The European social dialogue has evolved since it was introduced in 1985, and it is now well-established. Quantitatively, the work of the various social dialogue committees has resulted in the adoption of more than 300 joint texts by the social partners and they have undertaken many joint transnational projects. In qualitative terms, there has been a shift towards greater autonomy. This is reflected by the increasing adoption by the social partners of ‘new generation’ texts, characterised by the fact that they are to be followed up by the social partners themselves.
This evolution of the social dialogue is consistent with the Commission’s efforts to improve European governance. The social dialogue is a pioneering example of improved consultation and the application of subsidiarity in practice.
Communication from the Commission to the Council, the European Parliament, the European Economic and Social Committee and the Committee of the Regions – Improving quality in work: a review of recent progress [COM(2003) 728 final – Not published in the Official Journal]
Document by the European Commission’s Directorate-General for Employment and Social Affairs. Recent developments in the European inter-professional social dialogue 2002-03 [ ].
These categories group together and put in context the legislative and non-legislative initiatives which deal with the same topic.
Employment and social policy > Social dialogue and employee participation
Tripartite cross-industry social dialogue
Tripartite social dialogue is conducted between wage earners, employers and the European institutions. It essentially takes place at cross-industry level, on political and technical issues, particularly in areas such macroeconomic policies, employment, social security, education and training.
This type of dialogue aims at ensuring the effective participation of social partners in implementing the European Union’s (EU) economic and social policies. As such, the European social partners meet at the Tripartite Social Summit for Growth and Employment, the role of which is laid down in Article 152 of the Treaty on the Functioning of the EU (TFEU). They may also get together within working groups and at specific seminars.
Bipartite cross-industry social dialogue
Bipartite social dialogue is conducted between social partner organisations. At cross-industry level it takes place principally within the Social Dialogue Committee (SDC).
Under the framework of their cooperation, the social partners may adopt agreements which are implemented in the Member States through national procedures and practices (Article 155 of the TFEU).
In addition, in certain areas the social partners may request that their agreements be adopted in the form of a Decision by the Council, following a proposal by the Commission and informing the European Parliament. This procedure can only be implemented in the areas listed in Article 153 of the TFEU: for example, it relates to working conditions, health and safety of workers, social security, protection in the case of termination of an employment contract, etc.
European social partners
At cross-industry level, European workers are represented by:
European employers are represented by:
These categories group together and put in context the legislative and non-legislative initiatives which deal with the same topic.
Employment and social policy > Social dialogue and employee participation
Commission Communication of 5 July 2002, framework for the promotion of employee financial participation [COM(2002) 364 final – Not published in the Official Journal].
At the Lisbon Summit, the Union set itself the goal of “becoming the most competitive and dynamic knowledge-based economy in the world, capable of sustainable economic growth with more and better jobs and greater social cohesion”. Employee participation can make a significant contribution to realising this aim. If it is handled properly, it can not only increase companies’ productivity, competitiveness and profitability but also encourage employee participation, increase the quality of employment and contribute to greater social cohesion.
The positive results that financial participation schemes for employees have produced in many countries certainly have some bearing on the fact that this question has become a Union-wide political priority. Moreover, an increasing number of enterprises have started to become aware of the possibilities offered by such schemes, i.e. motivating employees and aligning their interests with those of the shareholders, and also recruiting and keeping staff. Employee participation in profits and enterprise results therefore goes hand in hand with a certain number of advantages for enterprises, employees and the economy as a whole.
Forms of financial participation
Financial participation of employees in the profits and results of the enterprise may take many different forms. The common element – and their main characteristic – lies in the fact that they are intended to give employees, usually all employees, access to the enterprise’s profits and/or results.
The PEPPER reports (PEPPER I and PEPPER II) on promoting employee participation in profits and enterprise results and Council Recommendation 92/443/EEC divided the types of financial participation schemes into two main categories:
This communication deals with the following main aspects of employee financial participation:
General principles
A review of the various forms of financial participation has shown how different the schemes are. Nevertheless, there are some essential elements and principles which characterise the majority of the schemes and the Member States’ policies.
The general principles defined in this communication may serve as a benchmark for identifying good practice;
Transnational obstacles
Differences in tax systems, social security contributions and the general legal framework or even cultural differences frequently make it impossible for enterprises to devise and apply a joint financial participation scheme in various places in Europe.
The main transnational obstacles are as follows:
How to promote financial participation
In order to increase employee financial participation in profits and enterprise results in Europe, the Member States have to pursue and intensify their efforts to set up a favourable legal and fiscal environment. Furthermore, as the extent to which financial participation has become established varies from one country to another, there is considerable scope for stepping up the exchange of information and experience.
The Commission will promote the exchange of information and good practice by activities such as making comparative assessments of national policies and practices, including financial participation in the peer review programme under the Employment Guidelines or organising national conferences.
Reinforcing social dialogue
All the evidence suggests that the advantages of financial participation are greater when the schemes are introduced in a partnership with employees and when they are part of an overall approach to participatory management.
The Commission attaches particular importance to supporting the social partners’ initiatives on financial participation, including exchanges of information and experience, formation of networks and research and studies.
Financial participation and small and medium-sized enterprises (SME)
The advantages of employee financial participation are not confined to large enterprises with profitability concerns. SMEs can also benefit from these advantages. The Commission attaches particular importance to the specific situation of SMEs and encourages research into their specific problems.
Improving information by research and studies
The Commission continues to support and carry out research projects to provide supply any information which is missing. It focuses particularly on collecting data on how and where participation schemes are implemented, the impact of financial participation on company performance, quality of work, social cohesion and the situation of financial participation in acceding countries. It also asks the European Foundation for Improving Living and Working Conditions to pursue its activities in the field of employee financial participation.
Establishing networks
In order to step up dissemination of information and experience and to make the possibilities of financial participation more widely known, it is important to promote a permanent dialogue at European level. The Commission supports the establishment of the following networks: university networks and networks of experts, social partners, enterprises and institutes.
Financial support for financial participation initiatives
Financial support is available via various channels: the “Industrial relations and social dialogue” budget heading and Community incentive measures in the field of employment. Under Article 6 of the Regulation on the European Social Fund, the Commission may finance innovative action designed to promote new approaches and identify examples of good practice.
The activities set out in this Communication initially cover the period 2002-2004. Following this, the progress achieved in meeting the defined objectives will be assessed in a process that will closely involve all the parties concerned. A decision will be taken on future initiatives on the basis of this assessment.
These categories group together and put in context the legislative and non-legislative initiatives which deal with the same topic.
Employment and social policy > Social dialogue and employee participation
Council Decision 2003/174/EC of 6March2003 establishing a Tripartite Social Summit for Growth and Employment.
The task of the Tripartite Social Summit is to ensure social dialogue between European institutions and employers’ and workers’ representatives. The Summit takes place within the context of cross-industry dialogue. Its agenda therefore includes issues affecting all economic sectors and workers within the European Union (EU).
In addition, the Treaty on the Functioning of the European Union (TFEU) henceforth recognises the Summit’s contribution to the proper conduct of European social dialogue (Article152).
Operation
The Summit meets at least once a year, before the spring European Council. It brings together representatives of:
The agenda for the Summit is determined jointly by the representatives of the institutions and the social partners.
Background
The Social Summit replaced the Standing Committee on Employment following a joint decision of the social partners at the Laeken Summit in December 2001.
It institutionalises the informal social summits held since December 2000 in the context of the Lisbon Strategy for Jobs and Growth.
| Act | Entry into force | Deadline for transposition in the Member States | Official Journal |
|---|---|---|---|
|
Decision 2003/174/EC |
6.3.2003 |
– |
OJ L 70, 14.3.2003 |
These categories group together and put in context the legislative and non-legislative initiatives which deal with the same topic.
Employment and social policy > Social dialogue and employee participation
Communication from the Commission of 26 June 2002 – European social dialogue, a force for innovation and change [COM(2002) 341 final – Not published in the Official Journal].
The Commission presents a set of guidelines aimed at strengthening the social dialogue, in other words the social partners’ contribution to the work of the public institutions, in order to improve public governance and economic and social reform within the European Union (EU).
Developing the social dialogue within the EU
First, the Commission wishes to increase the consultation of the social partners in the drafting of European legislation. Consulting the social partners is compulsory in the areas of employment and social policy but optional concerning sectoral issues and the transposition of European legislation at national level.
The Commission is keen to extend this consultation to all legislative initiatives having social repercussions. It will also improve the procedures and rules for consultation.
In addition, the effectiveness of the social dialogue is linked to the representativeness of the social partners at European level. The Commission therefore encourages co-operation between national organisations and the improvement of their internal governance.
The social partners are also encouraged to broaden and enhance the social dialogue by concluding more agreements to be integrated into European law and by developing the processes for sectoral and intersectoral dialogue.
The Commission wishes to raise the profile of the results of European social dialogue. For example, it will organise meetings at EU level and within the Member States but will also distribute information by publishing regular reports and setting up a specific Internet site.
Finally, the EU supports the improvement of social dialogue at all levels of governance. The Commission therefore proposes, in particular, to improve training for the European social partners and representatives of national authorities, and to promote local social dialogue and corporate social responsibility.
Contribution to growth and employment
The actions of the social partners contribute to the attainment of the growth and employment goals set by the Lisbon Strategy. These goals are associated in particular with the management of change in the organisation of work, employee training, the promotion of equal opportunities and active ageing policies.
In this context, the Commission will analyse and compare the quality of industrial relations in the various Member States. It also proposes that the social partners should be assisted by Member States and by European financing in the introduction of policies associated with the Lisbon Strategy.
This Communication also proposes to set up a Tripartite Social Summit for Growth and Employment, bringing together the troika of Heads of State or Government, the Commission President and a restricted delegation of social partners.
International co-operation
Countries committed to the EU enlargement process must structure and build the capacities of their organisations of social partners. In this respect, candidate countries may benefit from co-operation with European organisations and from European financing.
In addition, the processes of social dialogue must be encouraged in the context of EU foreign policy. The social partners of the EU and non-Member States may exchange experience and best practice, particularly concerning the countries of the Euro-Mediterranean Partnership, the EU Partnership with Latin America, with the African, Caribbean and Pacific (ACP) countries, and with the United States and Japan.
Lastly, the European social partners can play a role as experts in the context of multilateral negotiations, particularly within international organisations.
Communication from the Commission of 20 May 1998 adapting and promoting the social dialogue at Community level [COM(98) 322 final – Not published in the Official Journal].
Communication from the Commission of 18 September 1996 concerning the Development of the Social Dialogue at Community level [COM(96) 448 final – Not published in the Official Journal].
Communication from the Commission of 14 December 1993 concerning the application of the Agreement on social policy presented by the Commission to the Council and to the European Parliament [COM(93) 600 final – Not published in the Official Journal].
These categories group together and put in context the legislative and non-legislative initiatives which deal with the same topic.
Employment and social policy > Social dialogue and employee participation
The Directive imposes a works council or an information and consultation procedure in Community-scale undertakings and Community-scale groups of undertakings on the basis of an agreement negotiated between employees’ representatives forming a special negotiating body and the central management of the undertaking. It also defines the procedures for the operation of this body. In the cases identified by the Directive in which an agreement cannot be reached, it stipulates the provisions which subsidiary requirements to be established by the Member States must satisfy.
Council Directive 94/45/EC of 22 September 1994 on the establishment of a European Works Council or a procedure in Community–scale undertakings and Community–scale groups of undertakings for the purposes of informing and consulting employees [See amending acts].
The main provisions of the Directives are as follows:
The central management:
Special negotiating body
This body, comprising a minimum of three and a maximum of the number of Member States:
The members of the special negotiating body and of the European Works Council, and any experts who assist them, will not be authorised to reveal any information which has expressly been provided to them in confidence.
Exemptions from the Directive
Community-scale undertakings and Community-scale groups of undertakings in which there is already an agreement covering the entire workforce, providing for the transnational information and consultation of employees, will not be subject to the obligations arising from the Directives. When these agreements expire, the parties involved may decide jointly to renew them. Where this is not the case, the provisions of the Directives will apply.
Subsidiary requirements
Subsidiary requirements laid down by the legislation of the Member State in which the central management is situated will apply:
These subsidiary requirements must satisfy the provisions set out in the Annex, whereby:
Background
The purpose of this Directive is to improve the right of employees in Community-scale undertakings and Community-scale groups of undertakings to be informed and consulted.
Directive 97/74/EC extends the scope of this Directive to the United Kingdom.
This Directive shall be repealed by Directive 2009/38/EC (FR) with effect from 6 June 2011 when the latter enters into force. The modernisation of the legislation carried out by this new Directive has many objectives. It aims to ensure the effectiveness of employees’ transnational information and consultation rights, to increase the number of European Works Councils and to enable the continuing functioning of their constituent agreements. These provisions also aim to strengthen legal certainty for the establishment and functioning of European Works Councils.
| Key terms used in the act |
|---|
|
| Act | Entry into force | Deadline for transposition in the Member States | Official Journal |
|---|---|---|---|
|
Directive 94/45/EC |
22.9.1996 |
22.9.1996 |
OJ L 254 of 30.9.1994 |
| Amending act(s) | Entry into force | Deadline for transposition in the Member States | Official Journal |
|---|---|---|---|
|
Directive 97/74/EC |
15.12.1997 |
15.12.1999 |
L 10, 16.1.1998 |
|
Directive 2006/109/EC |
1.1.2007 |
1.1.2007 |
OJ L 363 of 20.12.2006 |
Directive 2009/38/EC of the European Parliament and of the Council of 6 May 2009 on the establishment of a European Works Council or a procedure in Community-scale undertakings and Community-scale groups of undertakings for the purposes of informing and consulting employees (Recast) (Text with EEA relevance) [Official Journal L 122 of 16.5.2009].
Commission report of 4 April 2000 on the application of the Directive on the establishment of a European works council or a procedure in Community–scale undertakings and Community-scale groups of undertakings for the purposes of informing and consulting employees [COM(2000) 188 final – not published in the Official Journal].
These categories group together and put in context the legislative and non-legislative initiatives which deal with the same topic
Employment and social policy > Social dialogue and employee participation
Directive 2009/38/EC of the European Parliament and of the Council of 6 May 2009 on the establishment of a European Works Council or a procedure in Community-scale undertakings and Community-scale groups of undertakings for the purposes of informing and consulting employees (Recast) (Text with EEA relevance).
This Directive aims at guaranteeing employees’ transnational information * and consultation * rights. It provides for the establishment of a European Works Council or a procedure for informing and consulting employees in Community-scale undertakings * and groups of undertakings.
Matters dealt with by the European Works Council or the information and consultation procedure are of a transnational nature.
The powers of the European Works Council and the scope of the information and consultation procedure concern: all establishments of the undertaking or all establishments in a Community-scale group situated in the Member States.
Member States may provide that this Directive shall not apply to merchant navy crews.
The dominant influence of an undertaking
The Directive defines a “controlling undertaking” – i.e. which exercises a dominant influence over a “controlled undertaking”. This influence is established if an undertaking:
Creation of a European Works Council
The central management of the undertaking or the group is responsible for establishing a Council or an information and consultation procedure. If a representative is not appointed, where the management is not located in a Member State of the European Economic Area (EEA), it is the responsibility of the establishment or undertaking which employs the largest number of workers in one of the Member States.
The central management shall initiate negotiations to establish the European Works Council or the information and consultation procedure. It shall act:
A special negotiating body shall be formed by employees’ representatives. They may be elected or appointed, according to the number of employees in each Member State where the undertaking is present. The special group shall negotiate an agreement with the management in order to define the operation of the European Works Council and the arrangements for implementing a procedure for the information and consultation of employees.
The members of this group shall receive the same protection as employees’ representatives, as laid down by national legislation and/or practice in the country where they are employed.
Context
Directive 94/45/EC is repealed with effect from 6 June 2011, the date on which this Directive enters fully into force.
| Key terms |
|---|
|
| Act | Entry into force | Deadline for transposition in the Member States | Official Journal |
|---|---|---|---|
| Directive 2009/38/EC |
5.6.2009 |
5.6.2011 |
OJ L 122 of 16.5.2009 |
These categories group together and put in context the legislative and non-legislative initiatives which deal with the same topic.
Employment and social policy > Social dialogue and employee participation
Directive 2002/14/EC of the European Parliament and of the Council of 11 March 2002 establishing a general framework for informing and consulting employees in the European Community – Joint declaration of the European Parliament, the Council and the Commission on employee representation.
The purpose of this Directive is to establish a general framework for improving the information and consultation rights of employees * in undertakings * within the European Community.
Two important principles are highlighted:
This Directive applies to undertakings with at least 50 employees in a Member State or to establishments * with at least 20 employees in a Member State. The choice is left to the Member States, which also establish the manner in which the number of employees is calculated.
Particular provisions applicable to undertakings which pursue directly and essentially political, professional, charitable, educational, scientific or artistic aims, or aims involving information * or the expression of opinions, may be adopted on condition that such provisions already existed in national legislation on the date of adoption of the Directive.
Member States may authorise the social partners to define freely, through agreement, the procedures for implementing the employee information and consultation * requirements referred to in the Directive.
Employee information and consultation covers three areas in relation to undertakings:
Member States must establish the procedures for applying the principles set out in the Directive with a view to ensuring the effective application of employee information and consultation. They also have the option of limiting the information and consultation obligations of undertakings with fewer than 50 or 20 employees.
Confidentiality arrangements are included, to the effect that:
When carrying out their functions, employees’ representatives must have adequate protection and guarantees to enable them to perform their duties.
The Directive makes the Member States responsible for ensuring compliance with its provisions (through adequate administrative or judicial procedures at national level).
The following are regarded as serious breaches of the obligations laid down in the Directive:
In the event of a serious breach with direct and immediate consequences in terms of substantial changes to or termination of employment contracts or relationships, the decisions taken have no legal effect. This situation continues until the employer has fulfilled his information and consultation obligations. If this is no longer possible, the employer must establish adequate redress in accordance with the arrangements and procedures in place in the Member States.
The provisions of the Directive do not prejudice Council Directive 94/45/EC on the establishment of a European works council or a procedure in Community-scale undertakings and Community-scale groups of undertakings for the purposes of informing and consulting employees.
The Directive makes provision for a review of its application no later than five years after its adoption, in consultation with the social partners and Member States, with a view to proposing to the Council any necessary amendments.
Background
In its Communication on worker information and consultation [COM(95) 547 final – not published in the Official Journal], the Commission took stock of Community action in the field of information, consultation and participation of employees. Several directives have already been adopted in this area (‘ collective redundancies ‘, ‘transfers of undertakings’ and ‘European works councils’).
Despite the existence of specific provisions on employee information and consultation, the Commission emphasised the need to redefine the Community legal framework in order to establish more binding rules. In its Communication, the Commission set out various options for the approach to be taken by Community action and encouraged the social partners to identify the arrangements for a general framework.
Following this Communication, on 4 June 1997, the Commission launched a phase of consultation with the social partners on the basis of Article 3(2) of the Agreement on Social Policy. The European Trade Union Confederation (ETUC) and European Centre of Enterprises with Public Participation and Enterprises of General Economic Interest (CEEP) indicated their willingness to enter into Community-level negotiations on the subject. However, the Union of Industrial and Employers’ Confederations of Europe (UNICE) declined to participate in negotiations, as it considered the project to be at odds with the principle of subsidiarity and felt that the subject concerned the internal organisation and management of companies and therefore came under companies’ own management prerogatives.
In the absence of a consensus among the social partners, the Commission presented a proposal for a Directive.
| Key terms used in the act |
|---|
|
| Act | Entry into force – Date of expiry | Deadline for transposition in the Member States | Official Journal |
|---|---|---|---|
| Directive 2002/14/EC [adoption: codecision COD/1998/0315] | 23.3.2002 | 23.3.2005 (23.3.2007 for some Member States) | OJ L 80 of 23.3.2002. |
Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions of 10 October 2007 entitled ‘Reassessing the regulatory social framework for more and better seafaring jobs in the EU (first phase consultation of the social partners at Community level provided for in Article 138(2) of the Treaty)’ [COM(2007) 591 final – Not published in the Official Journal].
This Communication advocates various changes to European legislation on working conditions and employee information and consultation in the European Union’s maritime sector. Concerning the present Directive, the Commission intends to verify, in connection with a scheduled implementation report, the conformity of the legal provisions contained in Article 3(3), according to which ‘Member States may derogate from this Directive through particular provisions applicable to the crews of vessels plying the high seas’.
These categories group together and put in context the legislative and non-legislative initiatives which deal with the same topic.
Employment and social policy > Social dialogue and employee participation
Report of the European Commission Directorate-General for Employment, Social Affairs and Equal Opportunities – Industrial Relations in Europe 2006 [Not published in the Official Journal].
Social dialogue is a social policy tool, which has particular importance in the revision of the Lisbon Strategy adopted in 2005. In fact, the participation of social partners is essential in achieving the Strategy objectives and making the European Union (EU) the most competitive knowledge economy in the world.
Employee representation and the capacity of employers’ organisations varies depending on the Member State. As such union density, defined as the ratio between actual and potential membership, is generally lower in southern Europe and in Central and Eastern Europe. This density also varies depending on the sector of activity, gender or age of employees. The power and structure of employers’ organisations are also relatively diverse. Their density is generally higher than that of trade unions, except in the Nordic countries.
Autonomous collective agreements enable a free definition of wage policies and working conditions and can be used to establish social rights. The current trend is for agreements to be used to derogate from some legal standards.
Employee representation in the workplace is one of the distinctive features of the Community’s industrial relations system. Differences exist between Member States in terms of the structure of national representation models, but also in terms of sector of activity, establishment size and occupational category. Lack of representation is more significant in the private sector than in the public sector. The requirement for informing and consulting workers is regulated by Directive 2002/14/EC.
Building the capacity of new Member States and candidate countries to manage industrial relations is a priority, pursued through technical cooperation actions. In particular, these actions aim at encouraging the participation of social partners in fora at European level and strengthening tripartite dialogue at national level.
The 20th anniversary of the launch of the European social dialogue presented an opportunity to assess its progress, which is characterised by an increased autonomy of European social partners. This Report highlights the importance of tripartite dialogue in meeting the Lisbon objectives. In particular, bilateral dialogue is used for implementing flexicurity and lifelong learning models, as well as the autonomous European framework agreement on teleworking. The multi-annual work programme for European social dialogue (2006-2008) should encourage future progress.
Between 2004 and 2006 Community legislation was developed in different sectors. Directives were adopted in the areas of health and safety at work, regarding the exposure of workers to electromagnetic fields, to carcinogens and mutagens and to artificial optical radiation. The Agreement on mobile workers carrying out cross-border interoperability services was implemented by Directive 2005/47/EC. In 2005 the Commission presented a Communication on employment and restructuring companies. In addition, a new Directive regulates cross-border mergers of companies and employee consultation procedures.
Progress has also been made in tackling discrimination and equal treatment in matters of employment. Provisions relating to mobility, workers’ right to residency and the coordination of social security schemes have been simplified. Since 2006 E-forms have been replaced by the European health insurance card for European Union (EC) and European Economic Area (EEA) citizens.
The labour market of today is moving towards greater flexibility, atypical working conditions and increased diversity in terms of contracts and working hours. Employment flexibility could present a risk to social cohesion. Together with other risk factors, it could result in the creation of vulnerable situations.
Flexibility should be balanced out by different factors such as economic growth, stable job creation, internal flexibility in companies and improving the quality of work. If economic results cannot be directly linked to a social dialogue model, industrial relations systems with strong union representation and where the social partners participate in the political process tend to be more competitive. This is the case when trade unions and employers’ organisations act in a coordinated way.