Social Dialogue in the EU Chemical Industry Recent Achievements

1. Social Dialogue in the EU Chemical IndustryRecent Achievements Lutz MÜHL Secretary of the Board European Chemical Employers Group

2. The place of Social Dialogue at European level • Institutional recognition • Article 138 of the EC Treaty • European Commission • promotes consultation of social partners at Community level • facilitates their dialogue • ensures a balanced support of both sides • Article 139 of the EC Treaty • Dialogue between the social partners can lead, if they wish, to contractual relations, including agreements • Barcelona European Council 2002 • “The European social model is founded on a healthy economy, a high level of social protection, education and social dialogue”

3. Levels of European Social Dialogue Tripartite dialogue Tripartite Social Summit once or twice a year, includes Social Partners, EU Commission, EU Presidency, EP representatives Bipartite dialogue Cross-industry Social Dialogue Sector Social Dialogue Committees Company level (EWC) and ~40 other sectors

4. The European Chemical Employers Group • 24 member federations • founded as federation in January 2002 (but history of multilateral network) • Independent federation for ‚Social Affairs‘, but linked to the „Cefic-family“representing the European Chemical Industry in many areas • Organises via its member federations more than 12,000 companies in 24 countries employing far above 1 million people • Run by social affairs experts from member federations

5. Where is the added value for Social Dialogue ? Why did we start the Dialogue? (1) • Possibility to work together between industry and employees representatives for the best of industry on EU level • Enables Social Partners to formulate and pass on positions and ideas on subjects dealt with politically at European level (in Europe like everywhere: only if you are an active player on the pitch, you may influence the result of the match) • Possibility to have an exchange of experiences and good practices and to agree on EU-wide recommendations where helpful and appropriate • May give impetus for national level cooperation on issues like industrial policy, Responsible Care and others • Commission has to consult acknowledged Social Partners before taking new initiatives in the area of Social Affairs • Commission is open for consultations on other issues as well, which opens additional advocacy possibilities

6. Where is the added value for Social Dialogue ? Why did we start the Dialogue? (2) • Formalised Social Dialogue in a Sector Social Dialogue Committee (SSDC) has a high rating „in Brussels“ when talking to MEPs, Council, etcetera • This helps not only directly EMCEF and ECEG, but its national members and other Chemical Industry ‘players’ as well (via an improved image of the industry) • In the long run we may be able to contribute to a strengthening of the influence of „the Social Partners“ in the EU as a whole and gradually push back a legislation-minded approach • EU-Commission pays for meetings and travel expenditures of participants to dialogue meetings • Enables more colleagues from both sides to participate in the meetings and thereby strengthens the results, as the meetings become more representative

7. What do we do in the Social Dialogue?Working Programme 2007 / 2008 • In 2007 and 2008 the Social Partners focussed their work on the following three areas: • Industrial Policy, Competitiveness and Employment • Education, Training and Lifelong Learning • Responsible Care and Health and Safety • In addition to continues Working Group meetings on these items, Social Partners did projects on • Health and Safety, focussing on cooperation with Social Partners in downstream industries • Restructuring and Employment

8. Structure of the Dialogue Annual Social Partner Conference~ 50 participantsfrom each side Plenary Meeting (2 per year) ~ 25 members from each side Working Group “Training / Lifelong Learning” ~ 15 membersfrom each side Working Group “Industrial Policy, Competitiveness, Employment” ~ 15 membersfrom each side Working Group “ResponsibleCare, Health & Safety” ~ 15 membersfrom each side ProjectHealth and Safety ProjectRestructuring Projects …

9. Results of Sector Social Dialogue 2003 to 2007 • Joint Memorandum of Understanding on Responsible Care between Cefic, ECEG and EMCEF signed in 2003 • Position papers on REACH have been agreed in 2003, 2005 and again in 2006 throughout the legislative process • Conferences on REACH and its (social) consequences have been organised in 2006 • Good practice in health and safety related to chemical products is being promoted together with „downstream user“ sectors via several brochures and projects since 2005 • Report on training and education systems with ten recommendations based on survey of national social partners has been published in 2006

10. Most Recent Achievements (1) • Joint “lessons learned” on Restructuring agreed in 2008 • accepted need for restructuring and gave commitment not to try to avoid or to slow down necessary restructurings • Good practice and related recommendations are included and all actors are asked to take those into account • Brochure on experience of informing and involving employees and their representatives in Responsible Care Programmes • Including statement from V. Špidla (EU Commissioner) “… The joint promotion of occupational health and safety by the chemical industry Social Partners on European and national level has turned out as a big success and this path should be followed further. With Responsible Care, the chemical industry is running a unique initiative for continuous improvement on environment, health and safety as well as on stakeholder dialogue. …”

11. Most Recent Achievements (2) • ECEG and EMCEF managed to have the EU Commission organising a special Plenary Meeting of the Social Dialogue on ETS on 29 September 2008, just a few days before the crucial vote in the ENVI Committee of the EP • A joint position paper of the Social Partners on the revision of the EU Emission Trading System (ETS) has been signed on 29 September at the occasion of the Plenary Meeting supporting the industries advocacy work

12. Example: Project Restructuring, Managing Change, Competitiveness and Employment (1) • Aims of the Project • Discuss good practice in managing change • Agree on joint statement (“lessons learned”) on • Facts and figures regarding restructuring in the Chemical Industry • Possible ways how to handle the challenges around restructuring • Steps: Workshops for EU15 and EU10+2 countries • 10 & 11 September 2007 in Wiesbaden, Germany • 25 & 26 September 2007 in Prague, Czech Republic • European Social Partner Conference 2007 on 9 November 2007 in Lisbon

13. Example: Project Restructuring, Managing Change, Competitiveness and Employment (2) • Follow-up meeting in February 2008 drafted “Joint Lessons Learned” document • Followed by consultation process internally in ECEG and EMCEF between February and May 2008 • Plenary Meeting in May 2008 approved document • In addition to the Joint Lessons Learned document papers have been prepared by the London School of Economics and the Bulgarian Foundation for Advanced Social Trust on the items discussed during the events • Follow-up: Results should to be taken into account in national and company level activities

14. What else does ECEG do? • Exchange on national social affairs and industrial relations • Trade unions are exchanging information on activities and even try to coordinate policies. It is essential for employers to have the same information available. Thus ECEG organises an exchange on the industry side. • European Social Affairs policies • National regulations in Social Affairs are determined by EU legislation (working time, European works councils, standards for information and consultation of employees, health and safety, temporary agency work …). Others are to come. When helpful, ECEG defines positions on the subjects and works closely together with BUSINESSEUROPE and other sector employers organisations within the European Employers Network (EEN) of BUSINESSEUROPE

15. Thank you for your attention Lutz MÜHL Secretary of the Board ECEG