The European Parliament has published a draft directive that proposes substantial reforms to the 2009 European Works Council Directive.
The European Parliament has published a draft directive that proposes substantial reforms to the 2009 European Works Council Directive. Following successful interinstitutional negotiations between the European Parliament and the Council of Ministers, the text has now reached a stage where it is highly likely to become law.
As we previously outlined, the draft directive's most impactful change is the proposed abolition of "Article 13" and "Article 3" status. These provisions have, for the past three decades, allowed hundreds of multinational businesses to operate outside national European Works Council laws. In this second article, we explore the new legal framework that will apply to all businesses once the directive is enacted.
A European Works Council is a body that facilitates information and consultation with European employees of large multinational businesses on transnational issues. EWCs are composed of employees' representatives from each country that is a member of either or both of the European Union and the European Economic Area (Member State), in which a business has employees. They operate separately from national information and consultation bodies.
The concept of an EWC dates from 1994, when Directive 94/45/EC was enacted. That legislation was extended to apply to the UK in...
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