RWE Energy signs Euro-agreement on handling restructuring
In this issue of European Employment Review, we highlight a recent agreement signed by management and the European Works Council (EWC) at RWE Energy. The deal lays down Europe-wide minimum standards to be observed in the event of restructuring.
RWE Energy is the sales and grid division of the Germany-based utilities multinational RWE. The agreement seeks to minimise the detrimental consequences of any restructuring for the 28,000-strong workforce and ensure a high standard of information and consultation across Europe. In restructuring, redundancies must be avoided as far as possible and there should be a focus on: early and phased retirement; voluntary redundancies and severance packages; part-time work; employee transfers; training; and employee mobility.
RWE Energy has joined a growing list of companies that have signed European-level agreements with their EWCs. Other examples include Axa, Danone, Deutsche Bank, Dexia, Ford, General Motors and Unilever. A key theme in this bargaining has been dealing with the effects of transnational corporate restructuring.
Although the number of firms involved is still small, it appears that management and employee representatives in some multinationals see cross-border restructuring as an issue that it makes sense to deal with through negotiations at European level. With such restructuring continuing apace across Europe, it is unlikely that RWE Energy will be the last company to take this route.
Mark Carley, Editor, European Employment Review |
