Stockauto, a vehicle storage and distribution firm, has signed a collective
agreement on some of the most controversial issues in the current debate on
reform of the Spanish labour market: the creation of secure employment, the
definition of the objective reasons for dismissal and the search for
procedures to make working time more flexible
The shock announcement by French motor manufacturer Renault, on 28 February
1997, of the closure of its plant at Vilvoorde, led to an unprecedented
public display of condemnation among the political establishment of the
European Union (EU). The closure of the plant, in the Belgian Prime
Minister's constituency near Brussels, with the loss of 3,100 jobs, was
apparently announced without prior consultation with worker representatives.
The move was justified by Renault as being part of a wider reorganisation
aimed at making savings of over FRF 825 million per year. The closure of the
only Renault production site in Belgium is likely to lead a further 1,000
redundancies among suppliers and subcontractors; jobs which, in the current
economic climate in Belgium, are unlikely to be replaced in the near future.
The announcement came as a particularly heavy blow to a workforce who had
thought their jobs safe, having negotiated a major flexibility and investment
package only four years previously. The plant is generally regarded as being
highly productive and achieving high levels of quality. The decision by
Renault to close this plant in July 1997 has been interpreted by many workers
as a warning that even a willingness to accept more flexible working
practices can in future no longer be regarded as a guarantee for job
security. The predicament of the workers at Vilvoorde has led to an
unprecedented display of worker solidarity, not only among employees at other
Renault production sites in Europe, but also among workers in other troubled
On 19 March 1997, Parliament passed a reform of the Arbeitszeitgesetz(AZG,
Working Time Act) - see Record AT9702102F . This necessitated minor
changes to the Arbeitsruhegesetz(ARG, Leisure Time Act) which were also
passed on 19 March. However, the parliamentary Labour and Social Affairs
Committee, at the behest of the social partners, had introduced wording
allowing more flexibility than hitherto in regard to Sunday work, causing a
major public debate in its wake. In future it will be possible for the social
partners to conclude collective agreements permitting exceptions from the
general ban on Sunday work. They can only do so, the law states, if it is
necessary in order to avoid economic disadvantage or to safeguard employment.
As far as this is feasible, the collective agreement has to specify the
activities to be permissible on Sundays and the time allowed for them. Until
now it was not possible to grant specific exemptions from the ban on Sunday
work except if the technology required continuous production. The Minister of
Labour and Social Affairs could, however, permit a whole industry to work on
At the end of February 1997 the education and employment minister, James
Paice, was warning that "people ignore at their peril the value of investing
in learning", arguing that too many employers still do not realise the value
of investing in their employees. He went on to say that action should be
taken immediately to drive up skill levels and standards to keep up with
growing international competition. Employers were said to be a crucial part
of this process but, it is "not how much you invest in training, its how you
invest it". The Government thus backs the Investors in People (IIP) standard,
as it shows that spending money on people is an investment and not a cost.
At the beginning of 1997, the total privatisation of Telefónica, the largest
Spanish telecommunications firm, was completed. The trade unions in the
company, led by CCOO and UGT, have applied for a judicial review of this
measure, demanding its suspension until the new regulatory framework for the
sector is defined, and a public, universal and quality service is guaranteed
in the area of telecommunications. The Supreme Court has agreed to consider
the appeal but has not suspended the privatisation.
Legislative changes have been introduced affecting "atypical" work under the
Contracts of Employment Act, the Study Leave Act and the Occupational Safety
Act. The changes came into force at the beginning of February and they aim to
bring the legal status of persons in such work closer to the status of
persons under a regular employment contract.
On 5 March 1997 the European Commission issued a Memorandum on the
interpretation of the 1977 Directive on business transfers (77/187/EEC) which
aims to clarify certain aspects of the Directive. It also seeks to address
the criticisms levied against the draft Directive to replace the 1977 text,
launched by the Commission in 1994. The proposed draft sought to take into
account the changed business environment following the implementation of the
single market project.
Until recent years, largely due to the voluntary system of industrial
relations in the UK, a universal national minimum wage has never been more
than a passing thought. Instead, because of the growing awareness of poor
working conditions and low wages, trade boards were established in 1909 in
certain "sweated trades" to set minimum wages and standards. The areas and
industries under the boards' coverage began to widen, so that by the time
they became known as Wages Councils (WCs) in 1945 they covered some 4.5
million workers. But from the 1960s, the WCs came under increasing criticism
for three main reasons:
The 1994 labour market reform led to a spectacular increase in part-time
employment contracts, which had hardly been used in Spain before that time.
This feature describes this development and points out the main
characteristics of the workers employed under these contracts, who are mainly
The Ministry of Labour has chosen 20 municipalities in different parts of
Finland to participate in new forms of working time organisation on an
experimental basis. Results so far have been favourable.
The European Restructuring Monitor (ERM) has reported on the employment impact of large-scale business restructuring since 2002. This publication series include the ERM reports, as well as blogs, articles and working papers on restructuring-related events in the EU27 and Norway.
Eurofound’s European Working Conditions Survey (EWCS) paints a wide-ranging picture of Europe at work across countries, occupations, sectors and age groups. This series consists of findings from the European Working Conditions Telephone Survey (EWCTS) 2021, an extraordinary edition conducted during the COVID-19 pandemic. The survey was first carried out in 1990.
This publication series gathers all overview reports on developments in working life, annual reviews in industrial relations and working conditions produced by Eurofound on the basis of national contributions from the Network of Eurofound Correspondents (NEC). Since 1997, these reports have provided overviews of the latest developments in industrial relations and working conditions across the EU and Norway. The series may include recent ad hoc articles written by members of the NEC.
Eurofound’s work on COVID-19 examines the far-reaching socioeconomic implications of the pandemic across Europe as they continue to impact living and working conditions. A key element of the research is the e-survey, launched in April 2020, with five rounds completed at different stages during 2020, 2021 and 2022. This is complemented by the inclusion of research into the ongoing effects of the pandemic in much of Eurofound’s other areas of work.
Eurofound's representativeness studies are designed to allow the European Commission to identify the ‘management and labour’ whom it must consult under article 154 of the Treaty on the Functioning of the European Union (TFEU). This series consists of studies of the representativeness of employer and worker organisations in various sectors.
This series reports on developments in minimum wage rates across the EU, including how they are set and how they have developed over time in nominal and real terms. The series explores where there are statutory minimum wages or collectively agreed minimum wages in the Member States, as well as minimum wage coverage rates by gender.
The European Working Conditions Survey (EWCS) launched in 1990 and is carried out every five years, with the latest edition in 2015. It provides an overview of trends in working conditions and quality of employment for the last 30 years. It covers issues such as employment status, working time duration and organisation, work organisation, learning and training, physical and psychosocial risk factors, health and safety, work–life balance, worker participation, earnings and financial security, work and health, and most recently also the future of work.
Eurofound’s Flagship report series 'Challenges and prospects in the EU' comprise research reports that contain the key results of multiannual research activities and incorporate findings from different related research projects. Flagship reports are the major output of each of Eurofound’s strategic areas of intervention and have as their objective to contribute to current policy debates.
Eurofound’s European Company Survey (ECS) maps and analyses company policies and practices which can have an impact on smart, sustainable and inclusive growth, as well as the development of social dialogue in companies. This series consists of outputs from the ECS 2019, the fourth edition of the survey. The survey was first carried out in 2004–2005 as the European Survey on Working Time and Work-Life Balance.
This series reports on and updates latest information on the involvement of national social partners in policymaking. The series analyses the involvement of national social partners in the implementation of policy reforms within the framework of social dialogue practices, including their involvement in elaborating the National Reform Programmes (NRPs).
This report explores the association between skills use and skills strategies and establishment performance, and how other workplace practices, in terms of work organisation, human resources management and employee involvement, can impact on this. It looks at how skills shortages can be addressed, at least in part, by creating an environment in which employees are facilitated and motivated to make better use of the skills they already have. This further supports the business case for a more holistic approach to management.
This paper provides an analytical summary of state of the art academic and policy literature on the impact of climate change and policies to manage transitions to a carbon neutral economy on employment, working conditions, social dialogue and living conditions. It maps the key empirical findings around the impact of climate change and the green transitions on jobs, sectors, regions and countries in Europe, identifying the opportunities and risks that climate change policies bring to European labour markets.
In 2022, the European Semester was streamlined to integrate the Recovery and Resilience Facility (RRF) established on 19 February 2021 (Regulation (EU) 2021/241). While facing the geopolitical and economic challenges triggered by Russia’s invasion of Ukraine, Member States have been implementing the national Recovery and Resilience Plans (RRPs) for more than one year and around 100 billion euro in RRF funds have already been disbursed.
As economies emerge from the impact of the COVID-19 pandemic, labour shortages are becoming increasingly evident. These include shortages exacerbated by the crisis in some sectors and professions where they had been endemic for some time. This report will look at measures implemented at national level to tackle labour shortages in the health, care and information and communications technology sectors, as well as those arising from the twin digital and green transitions.
This report explores the drivers of economic and social convergence in Europe, using a selected set of economic and social indicators to examine trends in the performance of individual Member States. It also investigates what role the Economic and Monetary Union plays in convergence, particularly in southern and eastern Member States. The impact of the COVID-19 pandemic on convergence is analysed and initial conclusions are drawn about the impact of EU recovery packages and their ability to prevent divergence.
As part of its response to Russia’s war on Ukraine, the EU swiftly activated its Temporary Protection Directive for those fleeing the conflict in Ukraine – enabling displaced persons to settle in the EU and have access to the labour market and basic public services. This policy brief highlights the main barriers encountered by these refugees (over 5 million people to date) when seeking a job and provides suggestions on how to facilitate their integration.
With the expansion of telework and different forms of hybrid work as a result of the COVID-19 pandemic, it is important for policymakers to consider both the opportunities and the negative consequences that may result. This report will explore potential scenarios for such work. In doing so, it will identify trends and drivers, and predict how they might interact to create particular outcomes and how they are likely to affect workers and businesses. Policy pointers will outline what could be done to facilitate desirable outcomes and to avoid undesirable ones.
Living and working in Europe, Eurofound’s 2022 yearbook, provides a snapshot of the latest developments in the work and lives of Europeans as explored in the Agency’s research activities over the course of 2022. Eurofound’s research on working and living conditions in Europe provides a bedrock of evidence for input into social policymaking and achieving the Agency’s vision ‘to be Europe’s leading knowledge source for better life and work’.
The term ‘hybrid work’ became popular due to the upsurge of telework during the COVID-19 pandemic. The term has been increasingly used to refer to situations in which (teleworkable) work is performed both from the usual place of work (normally the employer’s premises) and from home (as experienced during the pandemic) or other locations. However, the concept of hybrid work is still blurry, and various meanings are in use. This topical update brings clarity to this concept by exploring available information from recent literature and the Network of Eurofound Correspondents.
Housing affordability is a matter of great concern across the EU. Poor housing affordability leads to housing evictions, housing insecurity, problematic housing costs and housing inadequacy. These problems negatively affect health and well-being, create unequal living conditions and opportunities, and come with healthcare costs, reduced productivity and environmental damage. Private market tenants face particularly large increases in the cost of housing.