European Union negotiators have approved a new law that gives workers in large companies more say over major decisions such as restructuring. An agreement between the European Parliament and the EU's 27 national governments late on Thursday amends legislation on European works councils to oblige management to consult such bodies over significant changes in their companies.
"This new legislation will strengthen European works councils to better inform and consult workers during restructuring, which is particularly important in the current economic climate," the European Commission said in a statement. The parliament will still need to vote on the bill while EU governments rubber-stamp it, but this is not seen as a hurdle.
Under current law, such councils can be created in a company employing more than 1,000 workers at the request of at least 100 of them. Its amendment clearly defines what is meant by consultations between management and workers to avoid situations in which, for example, employees are surprised by a factory closure.
Unionists have said this happened last year when Finnish mobile phone maker Nokia decided to close a plant in Germany without consulting the works council beforehand. Separately, officials said privately that the parliament and governments had made some progress on legislation that would cap the working week, although Britain continued to oppose some aspects of the bill.
The parliament and governments will hold a last-chance meeting next week on the draft law that would end opt-outs given to Britain and 14 other EU members from the bloc's 48-hour limit on the working week, one parliamentary official said. If they fail to clinch a deal, the draft will be thrown out after years of tough negotiations and the executive European Commission will have to propose a new law.