More democracy at work

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09/07/2024 Event

INVITATION: ETUC EWC CONFERENCE 2024

Brussels, 09 July 2024

08/07/2024 News

Negative ECJ verdict on co-determination

Find her more information on the recent court ruling on co-determination rights in Germany.

12/06/2024 News

Report: Tesla helping to trash Europe’s rights record

Tesla’s attack on collective bargaining is part of a “worrying trend”

28/05/2024 News

Corporate Sustainability Due Diligence Directive Adopted by the Council

Find out about the core aspects & implications of the newly adopted Corporate Sustainability Due Diligence Directive.

Topics

Topics

European Works Councils

Around 10 million workers have the right to information and consultation on company decisions at European level through their EWCs. The current EU legislation presents fundamental weaknesses. The ETUC calls for substantial improvements of the EWC directive.

Information, consultation & participation ​

Since its early days, European integration also includes a commitment to the right for workers to be involved in company decision-making. Today Democracy At Work is a fundamental value and a guiding principle of the EU.

Company Law & corporate governance

The fragmented provisions for workers’ information, consultation and participation rights for different company forms across the EU is likely to lead to a race to the bottom of worker involvement. The ETUC calls for a European minimum standard for worker involvement applying to all European company legal forms and to cross-border restructurings regulated at the European level.

Due diligence & subcontracting​

Complex corporate structures and supply & subcontracting chains enable parent companies to circumvent human rights, social & environmental standards. The current legal framework doesn’t bring about enforcement and leads to a race to the bottom in terms of human rights, environmental and social standards. We need to empower workers to fight against violations of human rights.

Insolvency

Across Europe, around 200.000 firms go bankrupt every year, leading to 1.7m job losses. Many of these bankruptcy cases are cross-border, affecting workers from a wide range of EU countries.

Restructuring

Corporate restructuring takes place every day. Too often it’s driven by short-term interests of the capital market and shareholders. These processes risk to have negative impacts for workers: they may experience worse working conditions, lower payment or get laid off.

What’s Democracy at work?

It means democratic involvement & participation of workers and oversight in their workplace. It is a founding European principle, anchored in fundamental rights to join a trade union, to represent and defend workers’ interests – the right to information, consultation and participation, about social dialogue & collective bargaining. Growing globalisation and outsourcing of labour, exacerbated flexibilisation of the labour markets and also the latest recessions have increasingly jeopardised these rights.

The ETUC is fighting for workers’ representatives to be informed and consulted, to have meaningful and timely discussions with management at all relevant levels. Workers need to be actively involved in the decision-making process of their companies or organisations before any important decisions are made.

Why more democracy at work?

Workers and trade unions are essential to any organization, deserving full participation in discussions about activities, economic situations, and employment conditions. 

Recent crises have underscored the need for initiatives that enhance workplace democracy and collective bargaining. Historical evidence highlights that worker involvement and social dialogue are critical for sustainable and long-term recovery.

Key Insights from Past Crises:
- 2008 Financial Crisis: Businesses with robust worker involvement experienced fewer job cuts and better economic performance.
- COVID-19 Pandemic: Companies with strong worker involvement saw reduced negative impacts on employees and improved safety in workplaces, better telework arrangements, and more socially acceptable restructuring processes.

Worker participation directly leads to better working conditions, economic performance, labor rights, and sustainability. Despite this, some businesses still neglect workers' and trade unions' rights in strategic decision-making.

It's time to prioritize democracy at work on the political agenda for a more social, inclusive, and fair Europe!