Brussels, 08/10/2004
The trade union movement is aware that the legislation implemented on 8 October provides a European standard for information, consultation and participation of workers in European companies. The European trade union movement has already debated the modernization of company law and is convinced that information, consultation and participation of workers is an asset for modern corporate governance and will lead to economic advantages for companies.
As from 8 October the European Company (SE) legislation is applicable to companies throughout Europe, although it is only in Austria, Belgium, Denmark, Finland, Hungary, Iceland, Sweden and United Kingdom that the SE directive has been transposed in time. The delay in the other EU member states is to the detriment of workers' rights enshrined in European law because no employee can be involved in negotiations to organise the future representation of workers' interests in the absence of the appropriate national legislative provision, even if employers may wish to set up an SE on their territory. Hence the ETUC urges all the governments concerned to take the steps required to achieve national transposition.
In the view of the ETUC the European Company (SE) gives rise to new opportunities for both sides of industry. This is the first time that businesses are enabled to operate within a single legal body throughout Europe. But it is also the first opportunity for involvement of all SE employees subject to the same European standard of information, consultation and participation. This is the reason why the European trade union movement welcomed this new legislation in October 2001 as an historic achievement on the road to improved industrial democracy and civil society in Europe.
The European trade unions are wondering which company, which investor, will take the initiative to show their willingness to complete the European Social Model by making use of the new legal provisions and by introducing obligatory workers' participation into the highest decision-making bodies also. Such an initiative will constitute a practical indication that management systematically respects social interests when making strategic decisions. It will also set a good example of corporate governance for the future. Establishment of an SE is the one way of embedding corporate business activities within the heart of societies - and not outside them. It is up to the two sides of industry to exploit this opportunity to maintain and further the historic achievements achieved by earlier European-level directives in this sphere.
With the exception of UK, as well as the three Baltic states and Cyprus, where obligatory workers' participation does not exist at national level, experience from those countries which already have board-level representation, in administrative or in supervisory boards, shows that this is not only an asset to democratic societies but also an economic advantage for the companies concerned.
For this reason, the European trade unions fail to understand the objections voiced on the employer side, at national as well as at European level, against the social spirit of the new legal provision. Moreover, as we all know, the enhanced role of Europe's working men and women is underlined by the fact that the contents of Article 27 of the European Charter of Fundamental Rights will become part of the European Constitution, making the information and consultation of employees into a fundamental right.
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