In Summary

European Works Councils (EWCs) bring together employee representatives from the different European countries in which a multinational company has operations. During EWC meetings, these representatives are informed and consulted by central management on transnational issues of concern to the company’s employees.

Directive 94/45/EC is the legal basis for EWCs. It applies to transnational undertakings and groups of undertakings employing more than 1,000 employees in the European Economic Area (EEA), and at least 150 of them in 2 Member States.

In 2009, a recast EWC directive was adopted (2009/38/EC). Although it contains some improvement, many significant loopholes remain, preventing EWCs from exercising their rights effectively. The European Commission’s evaluation of the Recast Directive identified multiple problems with the functioning of EWCs. Some of the weaknesses of the recast directive are:

• Employers can easily stall or completely block the establishment of an EWC.
• EWCs are often informed after final decisions have already been taken.
• Confidentiality clauses are often misused by management to withhold information.

The directive is currently being revised.

In June 2024, ETF with the other European Trade Union Federations (ETUFs) have issued joint recommendations. It provides information and guidance for trade union experts and workers’ representatives in Special Negotiating Bodies (SNBs) and European Works Councils (EWCs) about the ongoing process of the revision of the European Works Council Directive and its implications both for the negotiations of future EWCs and for the operations of existing EWCs.

The transport and logistics sectors are not among the sectors with the most EWCs. Yet, a number of large multinational companies already have an EWC. In the past years, ETF has also seen an increase in the number of EWCs within the sectors it covers. This is unsurprising considering the cross-border nature of many of the large companies within transport. And there is potential for many more.

Should you want more information on EWCs and how they functioning, please visit the ETUI website. You can also access the EWC database where you can find all company related information.