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LAST DECEMBER THE multi-national vehicle manufacturer General Motors (GM) announced the ending of car production at its Vauxhall plant at Luton with the loss of 2,000 jobs. A European day of action was organised on 25 January by the European Metalworkers Federation (EMF) at all European plants of the US-based motor manufacturer. EMF reported that over 40,000 GM employees in Europe stopped work 16,000 in Germany, 7,000 in Belgium, 11,000 in the UK, 1,000 in Portugal and 5,000 in Spain. EMF general secretary, Reinhard Kuhlmann, stated that 'this striking example of European solidarity cannot fail to impress GM management'. The British government, the T.U.C., and the European T.U.C. (ETUC) all condemned the company's action especially for the lack of advance warning that both they and the workers had been given. However this was not the first time that workers had found out about the loss of their jobs on the radio or by mobile phone message. After the Renault plant at Vilvoorde in Belgium was closed down in 1997 with the press being told at the same time as the works council, moves began in the EU to draw up a directive to ensure that companies properly consulted and informed their employees.
In 1998 a 'proposed Directive establishing a general framework for informing and consulting employees in the European Community' was put forward by the European Commission. However successive presidencies kept the measure off the EU agenda. The first ministerial discussion of it was not until October 2000 at the Council of Employment Ministers. It subsequently emerged that the U.K. government, which had already voiced disapproval of the directive, was coordinating a 'blocking minority' of Member States, including Germany, Ireland and Denmark, although of these only the British objected in principle. This combination of circumstances led to strains between the T.U.C. and the U.K. government. In a letter to Tony Blair, T.U.C. general secretary John Monks wrote 'Once again a successful company has announced a major strategic decision with no prior warning to unions, the local community, or the government. British labour law makes it quicker, cheaper, and easier to sack workers in the UK. It is intolerable that British workers get such second-class treatment from multinational companies'. He continued 'The position of the UK Government in seeking to block the proposed European Directive providing a minimum standard for such rights is increasingly indefensible in the face of these events'.
On the European level the ETUC led a delegation to the Council of Social Affairs ministers during the French presidency in December where they expressed support for French efforts to get a majority for the law. The British representative on the delegation, from the T.U.C., referred to the Vauxhall case and opposed the British government's unyielding stance. However it once again proved impossible to get a majority to move the directive nearer to completion. The current EU presidency, held by Sweden, has signalled its intention to reach agreement on the measure by the end of its term of office in June and the opposition of German trade unions to their government's membership of the blocking minority is thought likely to shift the German position. This, taken with the progress that the French apparently made in accommodating the objections of Ireland, Germany and Denmark seems likely to leave the U.K. isolated. It has been recently reported that the British government will consult the T.U.C. and the C.B.I. on a review of employee consultation on redundancies.
The provisions of the proposed directive establishing a general framework for informing and consulting employees
Article 1 defines the purpose of the directive, taking into account the interests both of the undertaking and employees
Article 2 defines information as 'transmission by the employer to the employees' representatives of information containing all relevant facts on the subjects set down in Article 4' and consultation as 'the organisation of a dialogue and exchange of views between the employer and the employees' representatives on the subjects'..
Article 3 allows Member States to authorise the social partners to make their own agreements on information and consultation.
Article 4 defines the information to be provided on the 'situation, structure and reasonably foreseeable developments of employment within the undertaking'.
Article 5 stipulates that confidential information given to employees' representatives shall not be disclosed by them.
Article 6 insists that employees' representatives have adequate protection when carrying out their duties.
Article 7 concerns penalties for non-compliance including the voiding of any changes to employment made by employers in breach of the directive.
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The text of the proposed directive can be found on the Internet at |
FIXED-TERM CONTRACTS are on the increase all over Europe and in Italy the trade union confederations have lost no time in implementing the EU directive on fixed-term work. In an agreement with employers cases are laid down where fixed term contracts may not be used such as to replace workers on strike, fixed-term workers must be payed the same as equivalent full timers and any renewals or extensions to the contract must not exceed 36 months.
IN SPAIN THERE continues to be disbelief among the unions as regards official government inflation forecasts. This led them to negotiate cost of living indexation in 70% of collective agreements in 2000 and these have now payed dividends as an inflation rate of 4% has been announced for that year. The indexation will trigger pay rises for 5.8 million workers. The government forecast was 2% and despite the discrepancy they are sticking to this figure for 2001 and raising the minimum wage by only this amount.
MEANWHILE IN PORTUGAL bank workers are looking enviously at their counterparts across the border because Spanish employees earn about 50% more. With consumer prices rising at 3.9% annually, the unions are seeking at least 4% this year
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