June 2007

NEWSLETTER

The information contained in this Newsletter is of a general nature and does not constitute legal advice



LABOUR LAW

 


Transfer of undertakings. Effects on employees’ rights. European Union Commission Report

The European Union Commission Report regarding Council Directive 2001/23/CE of 12 March 2001 analyzes the Directive in light of the experience gained, and in particular, the case law of the European Court of Justice. (More information)

Employees’ health and safety. National reports on the practical application of the Community rules. Harmonisation of the frequency of their presentation

Directive 2007/30/CE of 20 June 2007 harmonises the frequency of the presentation of reports on practical application that each Member State must submit to the Commission on the application of the Community rules regarding safety and health of the employees. (More information)

Whistleblowing. Personal data protection. Enquiry put to the Spanish Data Protection Agency

Enquiry put to the Spanish Data Protection Agency on whether or not the whistleblowing system, that it planned to implement in a company, was in accordance with Organic Law 15/1999 of 13 December on personal data protection. (More information)

 


 

Transfer of undertakings. Effects on employees’ rights. European Union Commission Report

European Union Commission Report regarding Council Directive 2001/23/CE of 12 March 2001 (hereinafter, the “Directive”) on Member States’ legislation on maintaining employees’ rights in the event of the transfer of undertakings

 

The European Union Commission report (hereinafter, the “Report”) analyses the Directive in the light of the experience gained, and in particular, the case law of the European Court of Justice. The Report also takes into account the responses of the Member States and the social partners to the questionnaire that the Commission sent them.

The Report highlights that the Directive establishes the definition of an economic entity (companies, workplaces or parts of companies or workplaces that form an organised set of resources that allow the carrying out of an economic activity) and the requirements to carry out a transfer of undertaking, namely; (i) the change of employer and (ii) maintaining the transferred entity’s identity.

The Report also indicates that the scope of the territorial applicability of the Directive depends on whether the company to be transferred is in a Member State or a member of the European Economic Area.

The transferee will subrogate to the rights and obligations that the transferor had with the transferred employees, and the latter will be free of them unless the Member States agree otherwise (such as Spain).

The collective bargaining agreement applicable to the transferred economic entity will be that which is in force at the moment of the transfer and the working conditions must therefore remain the same until the expiration date thereof. The Member States may limit the period during which the conditions must not be modified (Spain does not provide any limitation).

The Report states that the transfer of undertakings will not affect the rights of employees regarding retirement benefits, incapacity or permanence of inter-professional or professional complementary rules other than the mandatory social security rules of the Member States, unless provided otherwise by the Member States, such as Spain.

The Directive prohibits dismissals where the only reason given is the transfer of undertakings. However, it does not prohibit dismissals for economic, technical or organisational reasons. Note that in Spain this protection does not affect senior executives.

In the event that the employee does not wish to continue working for the transferee, the Member States may determine the outcome of such relationship. In Spain, the employee is deemed liable for the termination of a contract.

The employee representatives will maintain their status if the transferred entity maintains its autonomy.

The transferor and the transferee must report to the employee representatives on a general basis. A consultation period is foreseen when measures concerning employees are adopted. This obligation may be limited by the Member States.

Employees’ health and safety. National reports on the practical application of the Community rules. Harmonisation of the frequency of their presentation

Directive 2007/30/CE of the European Parliament and the Council of 20 June 2007 which modifies Council Directive 89/391/CEE, its specific Directives and Council Directives 83/477/CEE, 91/383/CEE, 92/29/CEE and 94/33/CEE, with the aim of simplifying and rationalising the reports on its practical application. Official Journal of the European Union of 27 June 2007

Directive 2007/30/CE of the European Parliament and Council of 20 June 2007 (hereinafter, the “Directive”) harmonises the frequency of the presentation of reports on practical application that each Member State must submit to the Commission. Only one report must be presented, which will contain a general chapter applicable to all the health and safety directives and specific chapters for the different aspects of every Directive.

The report must be filed before the Commission every five years and when drafting it an official questionnaire compiled by the Commission must be used.

Whistleblowing. Personal data protection. Enquiry put to the Spanish Data Protection Agency

In this enquiry put to the Spanish Data Protection Agency (hereinafter the “Agency”) a Company asked if the whistleblowing system that it planned to implement was in accordance with Organic Law 15/1999 of 13 December on personal data protection.

The Agency held that it is not necessary to obtain the consent of employees in order to handle their personal data provided if they are fully aware that the whistleblowing system exists. Likewise the whistleblowing system must relate only to labour aspects, and must specify the actions that are the object of the accusation as well as the laws, internal rules or codes of ethics to which the accusations refer.

Proportionality must always be present in the whistleblowing system and anonymous accusations must be avoided. Note that the accused cannot be informed about any of the accuser’s details.

The accused must be informed about (i) the recording of all his details (ii) the responsible entity for the whistleblowing system (iii) the facts for which he is accused (iv) the departments and services within his company or the companies of the group that may receive the report and (v) how to exercise his rights of access and correction.

The data held must be deleted within two months following the end of the enquiry.

The Agency must be notified about the handling of the data in order to record it in the Data Protection General Registry.

 


The information contained in this Newsletter is of a general nature and does not constitute legal advice