Greater Employer Redundancy Responsibilities Proposed By EU

The European Committee of Employment and Social Affairs has drafted a report called Information and Consultation of Workers, Anticipation and Management of Restructuring, which recommends that companies offer greater assistance to employees affected by redundancy, which will be put to the European parliament for a first reading in October.

One suggestion in the report, called for by Spanish MEP Alejandro Cercas, is that companies with more than 500 employees install training programmes to help improve the workers’ employability. Another is that businesses would be obliged to monitor the impact of redundancy on employees’ mental health, both for the employee being made redundant and those remaining in work.

The report effectively recommends long-term strategic planning by companies and says: “Any restructuring operation shall be integrated into a long-term strategy that aims to ensure and strengthen the long-term sustainability and competitiveness of the company.

“Long-term strategic planning shall include human resources, employment and skills objectives that focus on developing, on a permanent basis, the skills and competences of the workforce in order to increase the competitiveness of the company and its capacity of adaptation, as well as to increase the employability of employees and to manage their internal and external mobility.

“To that end, companies shall recognise the right of every employee to benefit from appropriate training. Employees shall recognise that education and lifelong learning are necessary to enhance their employability and shall accept relevant training offers.”

However, the response to the motion by UK legal and HR experts has been critical, with most calling the proposals prescriptive and only adding to red tape.
CIPD senior public policy adviser Ben Wilmott said he couldn’t see what the proposals would add to legislation on redundancy and consultation.

The motion will be voted on in the European parliament in November and will face opposition from several member states according to Wilmott.