European labour law is the developing field of laws relating to rights of employment and partnership at work within the European Union and countries adhering to the European Convention on Human Rights.
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The Treaty on the Functioning of the European Union (deriving from the Treaty of Rome) lists in article 153(1) the European Union's competence in the field of labour law. What is conspicuously not included is unjust dismissal of workers, and according to article 153(5) "pay, the right of association, the right to strike or the right to impose lock-outs". As it says, "the Union shall support and complement the activities of the Member States in the following fields:"
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The objectives draw, according to TFEU article 151, inspiration from a number of other treaties and sources, which in turn draw inspiration from the International Labour Organisation and the Versailles Treaty
Articles 45-48 state that workers have the right to move freely and work anywhere in the EU, without discrimination on grounds of nationality, subject to exceptions to preserve public policy, security and health.
There is also an old Directive concerning posted workers which has recently become highly contentious given decisions by the ECJ in The Rosalla and Laval.
The principle of equality regardless of status is a fundamental value in all European member states, and constitutes a core principle that pervades the objectives of every institution.
This is reflected in a number of TFEU provisions.
A number of Directives deal with minimum standards for protecting the pension promise of employers in the event of business trouble, and require minimum standards of funding.
Since the global financial crisis beginning in 2007, the EU acted to create a network of transnational financial regulators in an attempt to prevent the undercutting of standards by countries competing on low regulation. One of these is the European Insurance and Occupational Pensions Authority, which replaced a committee known as the "Committee of European Insurance and Occupational Pensions Supervisors".
The European Union undertakes ad-hoc initiatives to combat unemployment, but only indirectly through better regulation. It does not have any specific fiscal stimulus programme, outside funds used for general regional development. It does, however, have a high level of employment as a key objective of the union, and its agencies monitor employment across the continent.
In the context of business restructuring, the requirement to inform and consult the workforce is most pressing, and the obligation is found in two Directives.
There are two general Directives which allow for ongoing workplace participation.
Furthermore, in the European Company, the "Societas Europea", allows for employee participation on the board of directors.
Theoretically, only the European Court of Human Rights should have competence to decide issues related to collective bargaining and industrial action, as the European Union treaties do not confer competence on the EU to legislate on such issues. The ECHR's scope extends to collective bargaining given the right to freedom of association under article 11.
However, a series of decisions recently determined by the European Court of Justice suggest that where member state law allowing trade union action results in a restriction of one of the fundamental freedoms protected by the European Union Treaties, the ECJ will (controversially) intervene.
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