This ETUC note intends to address and rectify inaccuracies in BusinessEurope's recent assertions related to the revision of the EWC Directive.

On 22 March 2024 European employers' organization BusinessEurope has issued a statement on EWCs ahead of the EMPL Committee on 3 April 2024. Given the several inaccuracies in the statement, ETUC needs to rectify them and present a clear and reliable state of the situation on the proposed revision of the European Works Councils (EWC) Directive.

Contrary to BusinessEurope's claims, the proposed revision does not grant EWCs new decision-making powers. Instead, it aims to reinforce existing rights established over the past three decades, ensuring greater transparency and effectiveness in cross-border labour relations.

BusinessEurope has raised concerns that the revision would transform EWCs into co-decision-making bodies, evoking similarity to co-determination bodies. However, the EWC remains a body of solely information & consultation (no participation & no board-level representation) as they were supposed to be from the outset. The recently proposed Directive seeks to enforce existing rights; it does not introduce new ones. Hence, the very nature of EWCs does not change at all.

One of BusinessEurope's main contentions revolves around the issue of transnationality, expressing fear of legal uncertainty. Surprisingly, legal uncertainty actually arose because the original purpose of the directive was undermined. The intention of a law can be found in the so-called recitals, the part that is not legally binding but shall guide the interpretation of the directive. The demand of the  ETUC is to incorporate this text into the core of the directive. The Commission's proposal comes very close to fulfil this demand. Now that body and recitals are aligned, there is more legal certainty.

Finally, BusinessEurope claims that the proposed revision would damage well-functioning EWCs and existing social dialog practices. However, the problems identified by the ETUC find their sources in reliable and sound facts and figures from ETUI database and research work. They have been largely confirmed by the Commission in several impact assessments. This is precisely why the Commission decided to act and to put forward a proposal to revise the directive. The proposed changes aim to enhance the efficiency, effectiveness and legitimacy of EWCs by aligning them more closely to the reality on the ground and in business operations. 

Considering these elements, it is evident that the claims of BusinessEurope are not reflecting the reality on the ground. The ETUC urges stakeholders to seek accurate information from credible sources and reject attempts to undermine labour rights and cross-border social dialogue.