Proposal for a COUNCIL DIRECTIVE on the approximation of the laws of the Member States relating to collective redundancies (codified version)
Date: 1996-11-29
Institutions: European Commission
Subjects: codification of EU law, collective dismissal, consolidation of EU law, job cuts, worker consultation

COMMISSION OF THE EUROPEAN COMMUNITIES 

Brussels, 29.11.1996 
COM(96) 620 final 

96/ 0290 (CNS) 

Proposal for a 

COUNCIL DIRECTIVE 

on the approximation of the laws of the Member States relating to collective 
redundancies 

Modified version^ 

(presented by the Commission) 

EXPIANATORV MEMORANDUM 

1. 

In  the  context  of  a  people's  Europe,  the  Commission, attaches  great  importance  to 
simplifying  and clarifying  Community law so as to make it clearer and more accessible 
to the ordinary citizen» thus giving him new opportunities and the chance to make use 
of the  specific  rights it  gives him. 

This aim cannot be achieved so long as numerous provisions that have been  amended 
several times, often  quite substantially, remain scattered, so that they must be sought 
partly in  the  original instrument  and  partly in later amending ones. Considerable  re 
search  work,  comparing  many  different  instruments,  is  thus  needed  to  identify  the 
current  rules. 

For  this  reason  a  consolidation  of  rules  that  have  frequently  been  amended  is  also 
essential  if  Community law is to be clear  and  transparent 

2.  On  1 April  1987 the  Commission  therefore  decided to instruct its staff  that  all legis 
lative measures should be consolidated  after  no more than ten amendments, stressing 
that this was a minimum requirement  and that departments should endeavour to con 
solidate  at even  shorter intervals the texts for which they were responsible,  to ensure 
that  the  Community rules were clear  and readily understandable. 

3.  The  Conclusions  of  the  Presidency  of  the  Edinburgh  European  Council  (December 
1992)  confirmed  this, stressing the importance of legislative consolidation  as it  offers 
certainty  as to  the  law applicable  to  a given matter  at  a given time. 

It must be undertaken  in full  compliance with the normal Community legislative pro 
cedure. 

Given that no changes of substance may be made to the instruments affected  by legis 
lative consolidation, Parliament, the Council and the Commission  have agreed, by an 
interinstitutional  agreement  dated  20 December  1994, that  an accelerated  procedure 
may be used  for  the  fast-track  adoption  of codification  instruments. 

4.  The purpose of this proposal (l)  for consolidation of Council Directive 75/129/EEC of 
17 February  1975 on  the approximation  of the laws of the Member States relating  to 
collective  redundancies  is to  undertake  official  codification  of  this type. The  new di 
rective will supersede the various directives incorporated in it (?); their content is fully 
preserved,  and  they  are  brought  together  with  only such formal  amendments  as  are 
required  by the codification  exercise itself. 

5.  This consolidation proposal was drawn up on the basis of a prdiminary consolidation. 
in all the official languages, of Directive 75/129/EEC and the instruments amending it, 
carried  out  by the  Office  for  Official  Publications  of  the  European  Communities, by 
means  of  a  data-processing  system  referred  to  in  the  conclusions  of  the  European 
Council  meeting  in  Edinburgh.  Although  the  articles have been  given  new numbers, 
the former  number is printed  alongside in each case for  the reader's convenience; the 
correlation  between the old  and  new numbers is shown in a table contained in Annex 
II  to  the  consolidated  Directive. 

(1)  Entered in the legislative programme for 1996. 
(2)  See Part A of Annex I. 

Proposal  for a 

COUNCIL DIRECTIVE -./.../EC 

of.-

on the approximation  of the laws of the Member States  relating to collective  redundancies 

THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  establishing  the  European 
Community,  and  in particular  Article  100 thereof, 

Having  regard  to  the proposal  from  the Commission, 

Having  regard  to  the  opinion  of  the  European  Parlia 
ment  (l), 

Having  regard  to  the  opinion  of  the  Economic  and So 
cial  Committee (2), 

1)  Whereas  for  reasons  of  clarity  and  rationality  Council 
Directive  75/129/EEC  of  17  February  1975  on  the 
approximation  of the laws of the Member States relating 
to  collective  redundancies  (3) should  be consolidated; 

2)  Whereas  it  is  important  that  greater  protection  should 
be  afforded  to workers  in the  event  of collective  redun 
dancies while  taking  into account  the need  for  balanced 
economic and social development within the Community; 

3)  Whereas, despite increasing convergence, differences  still 
remain  between  the  provisions  in  force  in  the  Member 
States  concerning  the  practical  arrangements  and  pro 
cedures  for  such  redundancies  and  the  measures  de 
signed  to  alleviate  the  consequences  of  redundancy  for 
workers; 

4)  Whereas  these  differences  can  have  a  direct  effect  on 

the  functioning  of  the  internal  market; 

5)  Whereas the  Council  resolution of 21 January  1974 con 
cerning  a  social  action  programme  (4)  made  provision 
for  a Directive  on the  approximation  of Member States' 
legislation  on  collective  redundancies; 

6)  Whereas  the  Community  Charter  of  the  Fundamental 
Social  Rights  of  Workers,  adopted  at  the  Regulation 
Council meeting held in Strasbourg on 9 December 1989 
by the Heads of  State or Government of eleven Member 
States,  states  inter alia in  point  7,  first  paragraph,  first 
sentence,  and  second  paragraph;  in point  17, first  para 
graph;  and  in  point  18, third  indent: 

1. 

75/129/EEC 

3. 

4. 

(adapted) 

(adapted) 

1. 

92/56/EEC 

() 
(2) 

(3) 

(4) 

OJ No L 48,22.2.1975, p. 29. Directive amended by Directive 
92/56/EEC (OJ No L 245,26.8.1992, p. 3). 
OJ No C 13,12. 2.1974, p. 1. 

92/56/EEC 

5. 

75/129/EEC 

2. 

92/56/EEC 
(adapted) 

(adapted) 

92/56/EEC 

7. 

(adapted) 

'7.  The completion of the internal  market must lead to 
an  improvement  in  the  living  and  working  condi 
tions of workers in the European  Community  (...). 

The  improvement  must cover, where necessary,  the 
development  of  certain  aspects  of  employment  re 
gulations  such  as  procedures  for  collective  redun 
dancies  and  those  regarding  bankruptcies. 

( . . .) 

17.  Information,  consultation  and  participation  for 
workers must be developed along appropriate lines, 
taking  account of  the practices in force  in  the vari 
ous  Member  States. 

( . . .) 

18. 

Such  information,  consultation  and  participation 
must  be  implemented  in  due  time,  particularly  in 
the  following  cases: 

—  in  cases of  collective  redundancy  procedures; 

(-

-)'; 

7)  Whereas this approximation must therefore  be promoted 
while  the  improvement  is  being  maintained  within  the 
meaning  of  Article  117 of  the Treaty; 

8)  Whereas,  in  order  to  calculate  the  number  of  redun 
dancies provided for in the definition  of collective redun 
dancies within the meaning of this Directive, other  forms 
of termination  of employment  contracts on the  initiative 
of the employer should  be equated  to redundancies, pro 
vided  that  there  are  at  least five  redundancies; 

9)  Whereas  it  should  be  stipulated  that  this  Directive 
applies in principle also to collective redundancies result 
ing where the establishment's activities are terminated as 
a  result  of  a judicial  decision; 

10)  Whereas  the  Member  States  should  be given the  option 
of  stipulating  that  workers'  representatives  may call  on 
experts  on  grounds  of  the  technical  complexity  of  the 
matters which  are  likely to be  the  subject  of the  inform 
ing  and  consulting; 

11)  Whereas  it is necessary to ensure that employers' obliga 
tions  as  regards  information,  consultation  and  notifica 
tion  apply  independendy of whether  the decision on col 
lective  redundancies  emanates  from  the  employer  or 
from  an  undertaking which  controls that  employer; 

12)  Whereas  Member  States  should  ensure  that  workers' 
representatives  and/or workers have at their disposal ad 
ministrative  and/or judicial procedures in order to ensure 
that  the  obligations  laid  down  in  this  Directive  are  ful 
filled; 

13)  Whereas  this Directive must not affect  the obligations of 
the  Member  States  concerning  the  deadlines  for  trans 
position  of  the  Directives  set  out  in Annex I, Part B, 

HAS ADOPTED THIS DIRECTIVE: 

SECTION  I 

Definitions and scope 

ArticU 1 

75/129/EEC 

1. 

(a) 

For  the purposes  of  this Directive: 

'collective redundancies' means dismissals effected  by 
an  employer  for  one  or  more  reasons not  related  to 
the  individual workers concerned where, according  to 
the  choice of  the  Member  States, the  number  of  re 
dundancies is: 

—  either, over  a period  of 30 days: 

(\)  at  least  10 in  establishments  normally  em 
ploying  more  than  20  and  less  than  100 
workers; 

(2)  at  least  10  % of  the  number  of  workers  in 
establishments  normally  employing  at  least 
100 but  less than  300 workers; 

(3)  at  least  30  in  establishments  normally  em 

ploying 300 workers or more; 

—  or,  over  a  period  of  90  days, at  least  20, what 
ever  the  number  of  workers  normally  employed 
in the  establishments  in  question; 

(b)  Vorkers'  representatives'  means  the  workers'  repre 

sentatives provided for  by the laws or practices of the 
Member  States. 

For the purpose of calculating the number of  redundancies 
provided  for  in  the  first  subparagraph  of  point  (a),  ter 
minations  of  an  employment  contract  which  occur  on  the 
employer's  initiative  for one  or more  reasons  pot  related 
to the  individual workers concerned  shall be  assimilated to 
redundancies,  provided  that  there  are  at  least  five  redun 
dancies. 

92/56/EEC -  Art  1 (1) (a) 
Corrigendum, OJ No L 311,28.10.1992, p. 40 

2. 

This Directive  shall  not  apply to: 

75/129/EEC 

(a)  collective  redundancies  effeaed  under  contracts  of 
employment  concluded  for  limited  periods of  time  or 
for  specific tasks except where such redundancies take 
place prior to the date of expiry or the completion of 
such  contracts; 

(b)  workers  employed  by public  administrative  bodies  or 
by  establishments  governed  by  public  law  (or,  in 
Member  States  where  this  concept  is  unknown,  by 
equivalent  bodies); 

(c) 

the  crews of  sea-going vessels. 

SECTION  n 

92/56/EEC -  Art  1 (2) 

Information  and consultation 

Article  2 

1.  Where  an  employer  is  contemplating  collective  re 
dundancies,  he  shall  begin  consultations with  the workers' 
representatives  in  good  time  with  a  view  to  reaching  an 
agreement 

2. 
These  consultations  shall,  at  least,  cover  ways  and 
means of  avoiding collective  redundancies or reducing  the 
number  of  workers  affected,  and  of  mitigating  the  conse 
quences  by  recourse  to  accompanying  social  measures 
aimed,  inter  alia,  at  aid  for  redeploying  or  retraining 
workers  made  redundant 

Member  States  may provide  that  the workers'  representa 
tives may  call  upon  the  services  of  experts  in  accordance 
with  national  legislation  and/or  practice. 

To  enable  workers'  representatives  to  make  con 
3. 
structive  proposals,  the  employers  shall  in good  time  dur 
ing the course  of  the consultations: 

(a)  supply  them  with  all  relevant  information  and 

(b)  in  any event  notify  them  in writing  of: 

(i) 

the  reasons  for  the  projected  redundancies; 

(ii)  the  number  of categories  of workers to be made 

redundant; 

Corrigendum, OJ No L 311, 28.10.1992, p. 40 

(iii)  the  number  and  categories  of  workers  normally 

Corrigendum, OJ No L 311, 28.10.1992, p. 40 

employed; 

(iv)  the period over which the projected  redundancies 

are  to  be  effected; 

(v) 

the  criteria  proposed  for  the  selection  of  the 
workers  to  be  made  redundant  in  so  far  as 
national  legislation  and/or  practice  confers  the 
power  therefor  upon  the  employer; 

(vi)  the  method  for  calculating  any redundancy  pay 
ments  other  than  those  arising' out  of  national 
legislation  and/or practice. 

The  employer  shall  forward  to  the  competent  public auth 
ority  a  copy of,  at  least,  the  elements of  the written  com 
munication  which  are  provided  for  in  the  first  subpara 
graph,  point  (b), subpoints  (i)  to (v). 

The  obligations  laid  down  in paragraphs  1, 2 and  3 
4. 
shall  apply  irrespective  of  whether  the  decision  regarding 
collective  redundancies  is being  taken  by the  employer  or 
by an  undertaking  controlling  the  employer. 

In  considering  alleged  breaches  of  the  information,  con 
sultation  and  notification  requirements  laid  down  by  this 
Directive, account shall not be taken of any defence  on the 
part  of  the  employer  on  the  ground  that  the  necessary  in 
formation  has  not  been  provided  to  the  employer  by  the 
undertaking  which  took  the  decision  leading  to  collective 
redundancies. 

SECTION  m 

75/129/EEC 

Procedure for collective  redundancies 

92/56/EEC-  Art  1(3) 

75/129/EEC 

Article 3 

Employers shall notify  the competent public author 

1. 
ity in writing of  any projected  collective  redundancies. 

However,  Member  States  may provide  that  in  the  case  of 
planned collective redundancies arising from termination of 
the  establishment's  activities  as  a result  of  a judicial  deci 
sion, the employer shall be obliged to notify the  competent 
public authority  in writing only if the  latter  so requests. 

This notification  shall contain all relevant information  con 
cerning the projected  collective  redundancies  and  the  con 
sultations with workers' representatives provided for in Ar 
ticle 2,  and  particularly  the  reasons for  the  redundancies, 
the number of workers to be made redundant,  the  number 
of workers  normally  employed  and  the period  over  which 
the  redundancies  are  to  be  effected. 

2. 
Employers shall forward  to the workers'  representa 
tives a  copy  of  the  notification  provided  for  in  paragraph 
1. 

The workers' representatives  may send  any comments  they 
may have to  the  competent  public authority. 

Article 4 

1. 
Projected  collective  redundancies  notified  to  the 
competent  public  authority  shall  take  effect  not  earlier 
than  30 days after  the  notification  referred  to  in Article  3 
(1) without  prejudice  to  any provisions  governing  individ 
ual  rights with  regard  to  notice  of dismissal. 

Member  States  may grant  the  competent  public  authority 
the power to reduce  the period provided for  in the preced 
ing  subparagraph. 

2. 
The  period  provided  for  in  paragraph  1  shall  be 
used by the competent public authority to seek solutions to 
the  problems  raised  by  the  projected  collective  redun 
dancies. 

3.  Where  the initial period provided for in paragraph  1 
is  shorter  than  60  days,  Member  States  may  grant  the 
competent  public  authority  the power to extend  the  initial 
period  to  60  days  following  notification  where  the  prob 
lems  raised  by  the  projected  collective  redundancies  are 
not  likely  to  be  solved  within  the initial  period. 

Member  States  may  grant  the  competent  public  authority 
wider powers  of  extension. 

The  employer  must  be  informed  of  the extension  and  the 
grounds  for  it  before  expiry  of  the  initial  period  provided 
for  in paragraph  1. 

4.  Member States need not apply this Article to collec 
tive redundancies arising from termination of the establish 
ment's  activities where  this is the  result  of  a judicial  deci 
sion. 

92/56/EEC -  Art  1 (4) 

SECTION IV 

Final  provisions 

Article 5 

75/129/EEC 

This  Directive  shall  not  affect  the  right of  Member  States 
to apply or to introduce  laws, regulations or administrative 
provisions which are more favourable  to workers or to pro 
mote  or  to  allow  the  application  of  collective  agreements 
more  favourable  to workers. 

92/56/EEC -  Art  1 (5) 

Article 6 

92/56/EEC -  Art  1 (6) 

Article 5a 

ArâskA 

Article 7 

Member States shall ensure that judicial and/or administra 
tive  procedures  for  the  enforcement  of  obligations  under 
this  Directive  are  available  to  the workers'  representatives 
and/or workers. 

Article  7 

Member  States shall  communicate  to  the  Commission  the 
texts of  the  laws, regulations  and administrative  provisions 
which  they  adopt  in the  field  covered  by this Directive. 

75/129/EEC 
(adapted) 

Article 8 

Not  later  than  19 February  1979, Member  States shall  for 
ward  all  relevant information  to the Commission to enable 
it  to  draw  up  a  report  for  submission  to  the  Council  on 
the  application  of  this  Directive. 

(adapted) 

Article  9 

1. 
The  Directives listed  in Annex I, Part A, are  hereby 
repealed  without prejudice  to the obligations of the Mem 
ber States concerning the deadlines for transposition of the 
said  Directives  set out  in Annex I, Part B. 

2. 
References  to  the  repealed  Directives  shall  be 
construed  as references  to  this Directive  and shall  be read 
in  accordance  with  the  correlation  table  in Annex II. 

Article  10 

This  Directive  shall  enter  into  force  on  the  twentieth  day 
following  that  of  its  publication  in  the  Official Journal  of 
the European  Communities. 

This  Directive  is addressed  to  the  Member States. 

Article  11 

Done  at Brussels, 

For the Council 

The President 

ANNEX I 

Part A 

Repealed Directives 
(referred  to by Article  9) 

Council  Directive  75/129/EEC 
and  its following  amendment: 

Council  Directive  92/56/EEC 

10 

Part B 

Deadlines for transposition into national law 
(referred to by Article 9) 

Directive 

Deadline for transposition 

75/129/EEC (OJ No  L 48,  22. 2.  1975, p. 29) 

92/56/EEC (OJ No  L 245, 26. 8.  1992, p. 3) 

19.  2. 1977 

24.  6.  1994 

11 

ANNEX U 

CORRELATION TABLE 

Directive 75/129/EEC 

This Directive 

Article 1 
Article 2 
Article 3 
Article 4 
Article 5 
Article 5a 
Article 6 (1) 
Article  6 (2) 
Article 7 

Article  1 
Article  2 
Article  3 
Article  4 
Article  5 
Article 6 

Article  7 
Article  8 
Article  9 
Article  10 
Article  11 
Annex I 
Annex II 

12 

ISSN 0254-1475 

COM(96) 620 final 

DOCUMENTS 

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06  04  05 

Catalogue number  :  CB-CO-96-616-EN-C 

ISBN 92-78-11925-3 

Office  for  Official  Publications of the European  Communities 

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