BETA


2008/2249(INI) Social responsibility of subcontracting undertakings in production chains

Progress: Procedure completed

RoleCommitteeRapporteurShadows
Lead EMPL LEHTINEN Lasse (icon: PSE PSE)
Lead committee dossier:
Legal Basis:
RoP 54, RoP 54-p4

Events

2009/10/08
   EC - Commission response to text adopted in plenary
Documents
2009/03/26
   EP - Results of vote in Parliament
2009/03/26
   EP - Decision by Parliament
Details

The European Parliament adopted by 321 votes to 235, with 11 abstentions, a resolution on the social responsibility of subcontracting undertakings in production chains.

The text adopted by Parliament had been tabled by the PES, ALDE and Greens/EFA groups, pursuant to Rule 45(2) of the Rules of Procedure, as an alternative motion for a resolution to the motion for a resolution contained in the report tabled by the committee responsible.

Globalisation and its corollary of increased competition are bringing about changes in the ways companies organise themselves, including the outsourcing of non-strategic activities, the creation of networks and increased recourse to subcontracting. These changes have had far-reaching consequences for labour relations. Although subcontracting has many positive aspects and has allowed for increased production capacity, it is also generating some economic and social imbalances among workers and might foster a race to the bottom in working conditions.

Awareness raising : in this context, the resolution calls on public authorities and all stakeholders to do their utmost to increase the level of awareness among workers of their rights under the various instruments that regulate their employment relationship and working conditions in the undertakings for which they work and the contractual relationships in subcontracting chains. The Commission is called upon to raise awareness of social responsibility practices among companies and to put forward a proposal on applying the decent work agenda to workers in subcontracting undertakings , and, in particular, on compliance with core labour standards, social rights, employee training and equal treatment.

The European Parliament welcomes the fact that eight Member States (Austria, Belgium, Finland, France, Germany, Italy, the Netherlands and Spain) have responded to the problems connected with the duties of subcontractors as employers by establishing national liability schemes. It encourages other Member States to consider similar schemes, highlighting the fact, however, that implementing the rules in cross-border subcontracting processes is especially difficult when Member States have different systems in place. Parliament emphasises the particular challenges faced by small businesses and therefore calls on policymakers to develop appropriate tools to raise awareness among small businesses.

Sanctions : Parliament takes note of the Commission's proposal for a directive providing for sanctions against employers of illegally staying third-country nationals, in which the Commission proposes the introduction of the concept of joint and several liability into Community legislation. The resolution stresses that this concept is a suitable instrument to guarantee that all subcontractors assume their corporate responsibility in respect of employees' rights.

Community instrument : Parliament calls on the Commission to establish a clear-cut Community legal instrument introducing joint and several liability at European level , while respecting the different legal systems in place in the Member States. It also calls on the Commission to launch an impact assessment on the added value and feasibility of a Community instrument on chain liability as a way of increasing transparency in subcontracting processes and of securing better enforcement of Community and national law. A Community instrument on chain liability would benefit not only employees, but also Member State authorities, employers and, in particular, SMEs in their fight against the grey economy.

Incentives : the resolution stresses the need to promote incentives for companies to make every reasonable effort in good faith to eliminate labour law infringements by subcontractors, including reporting to the authorities and terminating a contract with a subcontractor which engages in illegal practice. It also proposes that the possibility of reconciling family life with work be safeguarded in law at national level for workers in subcontracting undertakings in production chains and that the directives on maternity and parental leave be effectively implemented.

Lastly, the Commission is called upon to:

promote more and better cooperation and coordination between national administrative bodies, inspectorates, government enforcement agencies, social security authorities and tax authorities; develop quality standards for labour inspectorates and to carry out a feasibility study of possible arrangements for establishing a European network of labour inspectorates; ensure effective compliance with Directive 96/71/EC on the posting of workers, including, if necessary, launching infringement procedures.

Documents
2009/03/26
   EP - End of procedure in Parliament
2009/03/23
   EP - Debate in Parliament
2009/02/17
   EP - Committee report tabled for plenary, single reading
Documents
2009/02/17
   EP - Committee report tabled for plenary
Documents
2009/02/11
   EP - Vote in committee
Details

The Committee on Employment and Social Affairs adopted the own-initiative report drawn up by Lasse LEHTINEN (PES, FI) on the social responsibility of subcontracting undertakings in production chains.

Globalisation and its corollary of increased competition are bringing about changes in the ways companies organise themselves, including the outsourcing of non-strategic activities, the creation of networks and increased recourse to subcontracting. These changes have had far-reaching consequences for labour relations. Although subcontracting has many positive aspects and has allowed for increased production capacity, it is also generating some economic and social imbalances among workers and might foster a race to the bottom in working conditions.

In this context, the report calls on public authorities and all stakeholders to do their utmost to increase the level of awareness among workers of their rights under the various instruments that regulate their employment relationship and working conditions in the undertakings for which they work and the contractual relationships in subcontracting chains. The Commission is called upon to raise awareness of social responsibility practices among companies and to put forward a proposal on applying the decent work agenda to workers in subcontracting undertakings , and, in particular, on compliance with core labour standards, social rights, employee training and equal treatment.

MEPs welcome the fact that eight Member States (Austria, Belgium, Finland, France, Germany, Italy, the Netherlands and Spain) have responded to the problems connected with the duties of subcontractors as employers by establishing national liability schemes. They encourage other Member States to consider similar schemes, highlighting the fact, however, that implementing the rules in cross-border subcontracting processes is especially difficult when Member States have different systems in place.

MEPs take note of the Commission's proposal for a directive providing for sanctions against employers of illegally staying third-country nationals, in which the Commission proposes the introduction of the concept of joint and several liability into Community legislation. The report stresses that this concept is a suitable instrument to guarantee that all subcontractors assume their corporate responsibility in respect of employees' rights.

MEPs call on the Commission to establish a clear-cut Community legal instrument introducing joint and several liability at European level , while respecting the different legal systems in place in the Member States. They also call on the Commission to launch an impact assessment on the added value and feasibility of a Community instrument on chain liability as a way of increasing transparency in subcontracting processes and of securing better enforcement of Community and national law. The scope of liability in such an instrument should cover at least wages, social security contributions, taxes and damages in relation to work-related accidents.

The report stresses the need to promote incentives for companies to make every reasonable effort in good faith to eliminate labour law infringements by subcontractors, including reporting to the authorities and terminating a contract with a subcontractor which engages in illegal practice. It also proposes that the possibility of reconciling family life with work be safeguarded in law at national level for workers in subcontracting undertakings in production chains and that the directives on maternity and parental leave be effectively implemented.

Lastly, the Commission is called upon to:

promote more and better cooperation and coordination between national administrative bodies, inspectorates, government enforcement agencies, social security authorities and tax authorities; develop quality standards for labour inspectorates and to carry out a feasibility study of possible arrangements for establishing a European network of labour inspectorates; ensure effective compliance with Directive 96/71/EC on the posting of workers, including, if necessary, launching infringement procedures.

2008/12/12
   EP - Amendments tabled in committee
Documents
2008/11/12
   EP - Committee draft report
Documents
2008/09/23
   EP - Committee referral announced in Parliament
2008/09/09
   EP - LEHTINEN Lasse (PSE) appointed as rapporteur in EMPL

Documents

AmendmentsDossier
66 2008/2249(INI)
2008/12/12 EMPL 66 amendments...
source: PE-416.572

History

(these mark the time of scraping, not the official date of the change)

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  • date: 2008-09-23T00:00:00 body: EP type: Committee referral announced in Parliament, 1st reading/single reading committees: body: EP responsible: True committee: EMPL date: 2008-09-09T00:00:00 committee_full: Employment and Social Affairs rapporteur: group: PSE name: LEHTINEN Lasse
  • date: 2009-02-11T00:00:00 body: EP committees: body: EP responsible: True committee: EMPL date: 2008-09-09T00:00:00 committee_full: Employment and Social Affairs rapporteur: group: PSE name: LEHTINEN Lasse type: Vote in committee, 1st reading/single reading
  • date: 2009-02-17T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=REPORT&mode=XML&reference=A6-2009-65&language=EN type: Committee report tabled for plenary, single reading title: A6-0065/2009 body: EP type: Committee report tabled for plenary, single reading
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  • date: 2009-03-26T00:00:00 docs: url: http://www.europarl.europa.eu/oeil/popups/sda.do?id=16772&l=en type: Results of vote in Parliament title: Results of vote in Parliament url: http://www.europarl.europa.eu/sides/getDoc.do?type=TA&language=EN&reference=P6-TA-2009-190 type: Decision by Parliament, 1st reading/single reading title: T6-0190/2009 body: EP type: Results of vote in Parliament
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docs
  • date: 2008-11-12T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=COMPARL&mode=XML&language=EN&reference=PE415.234 title: PE415.234 type: Committee draft report body: EP
  • date: 2008-12-12T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=COMPARL&mode=XML&language=EN&reference=PE416.572 title: PE416.572 type: Amendments tabled in committee body: EP
  • date: 2009-02-17T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=REPORT&mode=XML&reference=A6-2009-65&language=EN title: A6-0065/2009 type: Committee report tabled for plenary, single reading body: EP
  • date: 2009-10-08T00:00:00 docs: url: /oeil/spdoc.do?i=16772&j=0&l=en title: SP(2009)3245 type: Commission response to text adopted in plenary
events
  • date: 2008-09-23T00:00:00 type: Committee referral announced in Parliament, 1st reading/single reading body: EP
  • date: 2009-02-11T00:00:00 type: Vote in committee, 1st reading/single reading body: EP summary: The Committee on Employment and Social Affairs adopted the own-initiative report drawn up by Lasse LEHTINEN (PES, FI) on the social responsibility of subcontracting undertakings in production chains. Globalisation and its corollary of increased competition are bringing about changes in the ways companies organise themselves, including the outsourcing of non-strategic activities, the creation of networks and increased recourse to subcontracting. These changes have had far-reaching consequences for labour relations. Although subcontracting has many positive aspects and has allowed for increased production capacity, it is also generating some economic and social imbalances among workers and might foster a race to the bottom in working conditions. In this context, the report calls on public authorities and all stakeholders to do their utmost to increase the level of awareness among workers of their rights under the various instruments that regulate their employment relationship and working conditions in the undertakings for which they work and the contractual relationships in subcontracting chains. The Commission is called upon to raise awareness of social responsibility practices among companies and to put forward a proposal on applying the decent work agenda to workers in subcontracting undertakings , and, in particular, on compliance with core labour standards, social rights, employee training and equal treatment. MEPs welcome the fact that eight Member States (Austria, Belgium, Finland, France, Germany, Italy, the Netherlands and Spain) have responded to the problems connected with the duties of subcontractors as employers by establishing national liability schemes. They encourage other Member States to consider similar schemes, highlighting the fact, however, that implementing the rules in cross-border subcontracting processes is especially difficult when Member States have different systems in place. MEPs take note of the Commission's proposal for a directive providing for sanctions against employers of illegally staying third-country nationals, in which the Commission proposes the introduction of the concept of joint and several liability into Community legislation. The report stresses that this concept is a suitable instrument to guarantee that all subcontractors assume their corporate responsibility in respect of employees' rights. MEPs call on the Commission to establish a clear-cut Community legal instrument introducing joint and several liability at European level , while respecting the different legal systems in place in the Member States. They also call on the Commission to launch an impact assessment on the added value and feasibility of a Community instrument on chain liability as a way of increasing transparency in subcontracting processes and of securing better enforcement of Community and national law. The scope of liability in such an instrument should cover at least wages, social security contributions, taxes and damages in relation to work-related accidents. The report stresses the need to promote incentives for companies to make every reasonable effort in good faith to eliminate labour law infringements by subcontractors, including reporting to the authorities and terminating a contract with a subcontractor which engages in illegal practice. It also proposes that the possibility of reconciling family life with work be safeguarded in law at national level for workers in subcontracting undertakings in production chains and that the directives on maternity and parental leave be effectively implemented. Lastly, the Commission is called upon to: promote more and better cooperation and coordination between national administrative bodies, inspectorates, government enforcement agencies, social security authorities and tax authorities; develop quality standards for labour inspectorates and to carry out a feasibility study of possible arrangements for establishing a European network of labour inspectorates; ensure effective compliance with Directive 96/71/EC on the posting of workers, including, if necessary, launching infringement procedures.
  • date: 2009-02-17T00:00:00 type: Committee report tabled for plenary, single reading body: EP docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=REPORT&mode=XML&reference=A6-2009-65&language=EN title: A6-0065/2009
  • date: 2009-03-23T00:00:00 type: Debate in Parliament body: EP docs: url: http://www.europarl.europa.eu/sides/getDoc.do?secondRef=TOC&language=EN&reference=20090323&type=CRE title: Debate in Parliament
  • date: 2009-03-26T00:00:00 type: Results of vote in Parliament body: EP docs: url: https://oeil.secure.europarl.europa.eu/oeil/popups/sda.do?id=16772&l=en title: Results of vote in Parliament
  • date: 2009-03-26T00:00:00 type: Decision by Parliament, 1st reading/single reading body: EP docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=TA&language=EN&reference=P6-TA-2009-190 title: T6-0190/2009 summary: The European Parliament adopted by 321 votes to 235, with 11 abstentions, a resolution on the social responsibility of subcontracting undertakings in production chains. The text adopted by Parliament had been tabled by the PES, ALDE and Greens/EFA groups, pursuant to Rule 45(2) of the Rules of Procedure, as an alternative motion for a resolution to the motion for a resolution contained in the report tabled by the committee responsible. Globalisation and its corollary of increased competition are bringing about changes in the ways companies organise themselves, including the outsourcing of non-strategic activities, the creation of networks and increased recourse to subcontracting. These changes have had far-reaching consequences for labour relations. Although subcontracting has many positive aspects and has allowed for increased production capacity, it is also generating some economic and social imbalances among workers and might foster a race to the bottom in working conditions. Awareness raising : in this context, the resolution calls on public authorities and all stakeholders to do their utmost to increase the level of awareness among workers of their rights under the various instruments that regulate their employment relationship and working conditions in the undertakings for which they work and the contractual relationships in subcontracting chains. The Commission is called upon to raise awareness of social responsibility practices among companies and to put forward a proposal on applying the decent work agenda to workers in subcontracting undertakings , and, in particular, on compliance with core labour standards, social rights, employee training and equal treatment. The European Parliament welcomes the fact that eight Member States (Austria, Belgium, Finland, France, Germany, Italy, the Netherlands and Spain) have responded to the problems connected with the duties of subcontractors as employers by establishing national liability schemes. It encourages other Member States to consider similar schemes, highlighting the fact, however, that implementing the rules in cross-border subcontracting processes is especially difficult when Member States have different systems in place. Parliament emphasises the particular challenges faced by small businesses and therefore calls on policymakers to develop appropriate tools to raise awareness among small businesses. Sanctions : Parliament takes note of the Commission's proposal for a directive providing for sanctions against employers of illegally staying third-country nationals, in which the Commission proposes the introduction of the concept of joint and several liability into Community legislation. The resolution stresses that this concept is a suitable instrument to guarantee that all subcontractors assume their corporate responsibility in respect of employees' rights. Community instrument : Parliament calls on the Commission to establish a clear-cut Community legal instrument introducing joint and several liability at European level , while respecting the different legal systems in place in the Member States. It also calls on the Commission to launch an impact assessment on the added value and feasibility of a Community instrument on chain liability as a way of increasing transparency in subcontracting processes and of securing better enforcement of Community and national law. A Community instrument on chain liability would benefit not only employees, but also Member State authorities, employers and, in particular, SMEs in their fight against the grey economy. Incentives : the resolution stresses the need to promote incentives for companies to make every reasonable effort in good faith to eliminate labour law infringements by subcontractors, including reporting to the authorities and terminating a contract with a subcontractor which engages in illegal practice. It also proposes that the possibility of reconciling family life with work be safeguarded in law at national level for workers in subcontracting undertakings in production chains and that the directives on maternity and parental leave be effectively implemented. Lastly, the Commission is called upon to: promote more and better cooperation and coordination between national administrative bodies, inspectorates, government enforcement agencies, social security authorities and tax authorities; develop quality standards for labour inspectorates and to carry out a feasibility study of possible arrangements for establishing a European network of labour inspectorates; ensure effective compliance with Directive 96/71/EC on the posting of workers, including, if necessary, launching infringement procedures.
  • date: 2009-03-26T00:00:00 type: End of procedure in Parliament body: EP
links
other
  • body: EC dg: url: http://ec.europa.eu/social/ title: Employment, Social Affairs and Inclusion commissioner: ŠPIDLA Vladimír
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  • 4.15.04 Workforce, occupational mobility, job conversion, working conditions
  • 4.15.05 Industrial restructuring, job losses, redundancies, relocations, Globalisation Adjustment Fund (EGF)
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  • date: 2009-02-11T00:00:00 body: EP committees: body: EP responsible: True committee: EMPL date: 2008-09-09T00:00:00 committee_full: Employment and Social Affairs rapporteur: group: PSE name: LEHTINEN Lasse type: Vote in committee, 1st reading/single reading
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  • date: 2009-03-23T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?secondRef=TOC&language=EN&reference=20090323&type=CRE type: Debate in Parliament title: Debate in Parliament body: EP type: Debate in Parliament
  • date: 2009-03-26T00:00:00 docs: url: http://www.europarl.europa.eu/oeil/popups/sda.do?id=16772&l=en type: Results of vote in Parliament title: Results of vote in Parliament url: http://www.europarl.europa.eu/sides/getDoc.do?type=TA&language=EN&reference=P6-TA-2009-190 type: Decision by Parliament, 1st reading/single reading title: T6-0190/2009 body: EP type: Results of vote in Parliament
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  • body: EC dg: url: http://ec.europa.eu/social/ title: Employment, Social Affairs and Inclusion commissioner: ŠPIDLA Vladimír
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EMPL/6/66835
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title
Social responsibility of subcontracting undertakings in production chains
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Initiative
type
INI - Own-initiative procedure
subject