On 19 January the Central Arbitration Committee (CAC), a labour tribunal with responsibility for EWC issues, delivered its decision in a dispute between the employers’ representatives of the newly formed Emerson European Works Council (EEWC) (first meeting in December 2014) and Emerson management. The CAC said that the company should launch transnational consultations, as long as the conditions are appropriate, regardless of whether the company has all the information on the consequences of a project available or not. But it did not make any order to that effect. The CAC decision also clarifies interesting aspects on the right to expert advice, to information prior to the annual meeting and whether or not EWCs can hire lawyers, paid for by management, to submit cases to the CAC. It shows to what extent the “judicial environment” around a European Works Council (EWC) agreement coming under British law is more supportive of management than other jurisdictions.
The facts. In June 2015, Emerson management informed all employees and subsequently made a press statement concerning its intention to restructure the group by repositioning its numerous businesses. The group’s strategy initially involved spinning off its Network Power business and then for some of its other businesses it would choose from between potential operating partnerships, joint ventures, and sales or purchases. The Network Power “spin-off” was set for September 2016. In July 2015 the EWC secretary requested that management convene a general meeting in line with what the EWC agreement recognizes as extraordinary circumstances.
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