European Works Councils - Comments on the functioning of the recast directive

Key messages

• BusinessEurope recognises a European Works Council can improve information flows in a company, support employee engagement, and facilitate the introduction of cross-border initiatives. BusinessEurope therefore supports policy efforts aiming to improve the functioning of EWCs in practice, as was the case when the Recast Directive was negotiated.

• There is only limited experience of practical operation of the Recast Directive. More time is needed to assess its full impact on the functioning of EWCs. There is evidence that EWCs are a « learning process » with cooperation between management and employees usually getting better with time.

• The current framework is fit for purpose, so there is no need for a revision but for awareness amongst employee representatives and management of the procedures and benefits of creating EWC’s. A revision would only create uncertainty and pressure for companies and employees to change already well-functioning EWCs showing also lack of respect for existing agreements. BusinessEurope is therefore opposed to a revision of the Recast Directive.