Remarks by Executive Vice-President Dombrovskis at the press conference on the Commission proposal to revise the European Works Councils Directive

Remarks by EVP on the proposal to revise the EWC Directive

Good afternoon, everyone.

Social dialogue is a vital part of our social market economy, future growth and the resilience of our economies.

It brings companies and workers together to reach compromises that improve socio-economic impacts and benefits. When workers are affected by employers' decisions, they must also be properly consulted.

The right to be informed and consulted on relevant matters is part of the European Pillar of Social Rights.

There are several EU and national laws to guarantee this right.

When an issue affects workers in several EU countries, this is where the European Works Councils – or EWCs – come into play.

They provide a platform between employers and employees in companies operating in several EU countries.

They complement the role of national information and consultation bodies.

They make sure that workers are properly involved in issues that are not purely national, and go beyond one country.

As we know from experience, it is essential to involve workers to help anticipate and manage change.

This applies not only in cases of a company restructuring or collective redundancies.

It also holds True in situations where a company stands to grow and thrive, for example, when a company introduces new technologies or working methods to stay ahead of the competition.

Or also transforming production facilities to adapt to changes in consumer preferences, such as demand for greener products.

When workers are involved through social dialogue, our companies stand a greater chance of success.

In this respect, social dialogue is vital for maintaining and enhancing the competitiveness of our economies.

At present, there are around 1,000 European Works Councils representing more than 16.6 million European workers.

Over the past years, we identified some shortcomings, and we were asked by the European Parliament to strengthen the EU Directive on European Works Councils.

Today, we are proposing targeted revisions to make this Directive more effective, clearer and easier to enforce.

Our aim is to enhance the role of EWCs by facilitating how they are set up, promoting more meaningful information and consultation, and making sure that they have the right capacity to do their work.

These changes will improve social dialogue in transnational settings, while preserving the ability of companies to take quick decisions and also protect sensitive or confidential information.

Thank you, and I now pass the floor to Nicolas who will explain the proposal in more detail.

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