Weber, Tina

This report focuses on how Dexia Bank Belgium has responded to the considerable challenges resulting from the financial and economic crisis, and how the transformation of its workforce has been managed under these circumstances. It specifically emphasises the role of the social partner organisations at different levels (European, national, local), their role in the change management process and the impact of restructuring on employment.

This case study demonstrates how Danske Bank, one of the largest banks in northern Europe, has dealt with the impact of the financial crisis. It also shows how it has coped with longer term restructuring requirements arising from rapid expansion and internationalisation of the bank, the integration of IT systems and the relatively high employment density in the sector in Denmark. As well as presenting the approach to restructuring at national level in Denmark, this case study looks at the role played by the company’s relatively new European Works Council in the discussions.

The European Commission decided at the end of July 1999 to launch or pursue proceedings against a number of Member States in relation to poor implementation of Community Directives in the social field. This relates particularly to the pregnant workers' Directive (92/85/EEC) [1], the Directive on minimum health and safety requirements applicable to the use of equipment by workers (89/655/EEC) [2], the transfer of undertakings Directive (77/187/EEC [3], amended by 98/59/EC [4]) and Directives on collective redundancies (now consolidated in 98/59/EC [5]). [1] http://europa.eu.int/smartapi/cgi/sga_doc?smartapi!celexapi!prod!CELEXnumdoc&lg=en&numdoc=31992L0085&model=guichett [2] http://europa.eu.int/smartapi/cgi/sga_doc?smartapi!celexapi!prod!CELEXnumdoc&lg=en&numdoc=31989L0655&model=guichett [3] http://europa.eu.int/smartapi/cgi/sga_doc?smartapi!celexapi!prod!CELEXnumdoc&lg=en&numdoc=31977L0187&model=guichett [4] http://europa.eu.int/smartapi/cgi/sga_doc?smartapi!celexapi!prod!CELEXnumdoc&lg=en&numdoc=31998L0050&model=guichett [5] http://europa.eu.int/smartapi/cgi/sga_doc?smartapi!celexapi!prod!CELEXnumdoc&lg=en&numdoc=31998L0059&model=guichett

The way now seems to be clear for the creation of Union Network International (UNI), bringing together four existing International Trade Secretariats: the International Federation of Commercial, Clerical, Professional and Technical Employees (FIET); the Communications International (CI); the Media and Entertainment International (MEI); and the International Graphical Federation (IGF). The new "super-union" would bring together up to 800 unions with over 15 million members from more than 140 countries around the globe in the rapidly converging fields of new technology, communications and services.

The International Transport Workers' Federation (ITF), with the support of the European Transport Workers' Federation (ETF) have organised for 5 October 1999 a repeat of the day of action they held in September 1998 (EU9809127F [1]) under the banner /Fatigue kills/. The aim of the "international road transport action day", in which over 100,000 drivers worldwide were due to participate, was to highlight the health hazards to drivers and the general public of excessively long working hours. The protest was intended to underline the trade unions' demands for the limitation of working time to a maximum of 48 hours per week in line with International Labour Organisation Convention No. 153 on hours of work and rest periods (road transport) [2], through adoption of legislation at national level in each country. In Europe, unions are demanding the implementation of European Commission proposals [3] to legislate to limit working hours in road transport to an average of 48 hours per week (EU9901144F [4]). Working time negotiations between ETF and the International Road Transport Union (IRU) had broken down in September 1999 (EU9809127F [5]). [1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/industrial-relations-undefined-working-conditions/social-partners-fail-to-reach-agreement-on-working-time-in-road-transport [2] http://ilolex.ilo.ch:1567/public/50normes/ilolex/pdconv.pl?host=status01=iloeng=154=1=(C153 [3] http://europa.eu.int/comm/employment_social/soc-dial/labour/com98-662/com662en.pdf [4] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined-working-conditions/commission-proposes-directives-to-end-exclusion-of-sectors-from-working-time-directive [5] www.eurofound.europa.eu/ef/observatories/eurwork/articles/industrial-relations-undefined-working-conditions/social-partners-fail-to-reach-agreement-on-working-time-in-road-transport

The Council of Economic and Financial Affairs Ministers reached agreement on 8 October 1999 on a Directive amending Directive 77/388/EEC on tax harmonisation [1], enabling Member States, on an experimental basis, to apply a reduced rate of value-added tax (VAT) on certain labour-intensive services. The new Directive was to be formally adopted at a subsequent Council meeting. [1] http://europa.eu.int/smartapi/cgi/sga_doc?smartapi!celexapi!prod!CELEXnumdoc&lg=en&numdoc=31977L0388&model=guichett

An informal Labour and Social Affairs Council of Ministers meeting was held under the Finnish Presidency in Oulu, Finland from 8 to 10 July 1999, with the participation of the European-level social partners and the European Parliament. In line with the priorities of Finnish labour market policy in recent years (FI9708125F [1]), the Finnish government - which took over the EU Presidency in July 1999 - was keen to shift the focus of labour market policy away from youth unemployment towards the problems facing older workers. Ministers expressed concern at the lack of older workers in the labour market. [1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined-social-policies/finland-launches-a-five-year-national-programme-for-older-workers

The new President of the European Commission, Romano Prodi- chosen by the EU Member States and approved by the European Parliament- announced his new 19-member team of Commissioners on 9 July 1999, by common accord with the Member States. The first meeting of the proposed new-look Commission took place on 16 July. Few of the sitting Commissioners survived the shake-out following the allegations of irregularities which had beset the outgoing administration. On announcing his team, Mr Prodi said that: "when I accepted the job of Commission President, I promised to launch a new era of change in the Commission. The Commission needs it. The European Parliament and Member States have asked for it. The European public has urged us to carry it out. This is what I intend to deliver, starting from today.".

On 14 July 1999, the European Commission adopted a Communication entitled A concerted strategy for modernising social protection [1] (COM(99)347 final). The Communication emphasises the key role played by social protection systems in supporting public health and well-being and in redistributing wealth. It is argued that, without social security transfers, nearly 40% of EU households would be living in relative poverty (compared with the actual rate of 17%). Spending on social protection accounts for an average of 28.5% of GDP. [1] http://europa.eu.int/comm/employment_social/soc-prot/social/com99-347/com99-347_en.pdf

In the run-up to the European Council meeting held in Cologne on 3-4 June 1999, the European Trade Union Confederation (ETUC) reinforced its support for the German Presidency's proposal for an "employment pact" (EU9905174N [1]). It argued that an effective strategy for reducing unemployment was necessary to strengthen the European Union's credibility with workers and the public. In a statement on the eve of the summit [2], ETUC welcomed the inclusion of the employment chapter [3] in the Amsterdam Treaty, which came into force on 1 May 1999 (EU9905175N [4]), and the process of formulating and implementing Employment Guidelines [5] (EU9810130F [6]), but argued that in itself this was insufficient. It strongly argued that labour market policy measures had to be effectively combined with growth-oriented economic policy measures: "active employment and labour market policies coupled to essential economic reforms can help create the jobs Europe needs only if they are part of a strong growth scenario than we have today." [1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/german-presidency-presents-draft-employment-pact [2] http://www.etuc.org/press/Highlight/pr14e.cfm [3] http://ue.eu.int/Amsterdam/en/traiteco/en/conso2/cons225.htm [4] www.eurofound.europa.eu/ef/observatories/eurwork/articles/amsterdam-treaty-enters-into-force [5] http://europa.eu.int/comm/employment_social/empl&esf/empl99/guide_en.htm [6] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined/draft-employment-guidelines-for-1999-emphasise-continuity