Mixed reaction in Council to Monti II regulation

Europolitics

The legislative proposals on the posting of workers were given a mixed reception by the employment and social affairs ministers at their informal meeting, on 24-25 April in Horsens, Denmark. The ministers reacted fairly positively to the draft directive that clarifies the 1996 rules, but most member states questioned the relevance of a new regulation to reconcile the right to take collective action with economic freedoms (so-called ‘Monti II’). All eyes are now on the Danish EU Presidency. According to a diplomatic source, the Danes may decide to suspend the discussions on the latter point. Cyprus, which will take up the rotating Council Presidency after Denmark, said that this issue would be a priority during its time at the helm. The rest of the meeting was dedicated to the questions of youth unemployment and pressure on social services.

FIRST DEBATE

During this initial airing of views, on the morning of 25 April, all the ministers praised the overall objective of the proposals, namely to improve the rules governing situations where a worker is sent to work for a limited time period in a member state other than the state where he or she usually works. They nevertheless expressed concerns about the relevance of a new regulation to reconcile the right to take collective action to defend the rights of posted workers, including the right to strike, on the one hand, with economic freedoms on the other, in particular freedom of establishment and freedom to provide services. Many find that this proposal, which requires unanimity in Council, encroaches on national legislation.

The proposed implementing directive, the second text in the posting package, met with a more positive reaction. The ministers voiced support for provisions on administrative cooperation and particularly welcomed the new criteria for concluding that a posting situation exists and for strengthening workers’ rights. Several member states, among them Poland and the United Kingdom, nevertheless voiced doubts about the principle of joint and several liability in the construction sector (Article 12), under which the main contracting party may be held liable for non-payment of the salary of a posted worker.

SERVICES AND UNEMPLOYMENT

The rest of the meeting focused on issues related to the economic crisis in Europe. The ministers were given a summary of the social troika’s discussions with the social partners and the social platform. They then attended a workshop of their choice, on the subjects of first job, social services or the link between employment, education and training policies. The majority of ministers gave “cautious” backing to the idea – defended by the European Parliament and the Commission – of a European guarantee for young people aimed at making sure that young people do not stay unemployed after completing their education or training. They also stressed the importance of tying together youth policies on employment, education and training with the goal of matching skills to market needs.

Representatives of the Social Platform (European social NGOs) attended the workshop on social services and urged the 27 member states to invest in quality employment and social services as a means of exiting the economic crisis. “Social and health services are not expenditure. They are an investment in society’s current and future social cohesion. It is vital to measure the return on social and financial investments, rather than cutting budgets for social and health services,” said Conny Reuter, president of the Social Platform.

The employment package was only briefly discussed due to its very recent publication.
Many find that this proposal, which requires unanimity in Council, encroaches on national legislation