Unions seek more power in firms via EU law revision

By Jan Strupczewski

BRUSSELS, April 11 (Reuters) - European trade unions are seeking more say over major decisions made by firms operating in the European Union, hoping European Commission legislation will bring faster results than union negotiations with firms.

The debate focuses on a revision of a 1994 EU law on works councils which group workers' representatives from the EU countries in which a company operates. The representatives are to be informed and consulted on major changes by management.

"The core interest is that workers get the chance to be involved in major restructuring measures and can anticipate change," said Reiner Hoffmann, deputy general secretary of the European Trade Union Confederation (ETUC).

He cited the example of the world's biggest mobile phone maker Nokia (NOK1V.HE: Quote, Profile, Research), which recently decided to close down a plant in Germany without consulting the works council beforehand.

The current law, which has been up for a review since 2004, does not specify clearly what exactly consultation means -- a flaw the trade unions would like the revised version to correct.

"We think the word consultation should mean you have to get the agreement of the workers, not just inform them," ETUC's spokeswoman Patricia Grillo said.

Changes to the 1994 law have long been opposed by employers. But faced with the possibility that further delays would bring in politicians into the talks, BusinessEurope, which represents 20 million European companies, decided to open negotiations.

The trade unions, however, said on Friday there was not enough time for the talks with Business Europe to come to a successful conclusion before the five year term of the current European Commission ends in 2009 and that the Commission should take over the initiative and propose its own legislation.