Proposals for an EU-wide overhaul of rules that apply to companies, set to be presented by Ireland’s Commissioner Michael McGrath later this month, could put the quality of jobs in Cork at risk, the Irish Congress of Trade Unions (ICTU) and the European Trade Union Confederation (ETUC) warned today.
The proposals – known as the 28th Company Regime – would add a European company structure in addition to national ones, acting as a 28th option alongside the 27 national systems.
While the European Commission has described the plan as a competitiveness measure, it could allow companies to pick and choose a special EU rulebook, allowing them to dodge European and national labour law and collective agreements.
That would mean companies operating in Ireland but not fully respecting the current standards in relation to pay, conditions and health and safety, in what trade unions are calling a ‘bargain basement’ approach to workers’ rights.
Workers across many sectors, including those that have a strong presence in Cork, would be affected. The ETUC and ICTU are holding a joint event in Cork City to discuss the proposals with local workers, trade union officials, and political representatives.
Owen Reidy, General Secretary of the Irish Congress of Trade Unions said:
“The protections for working people in Ireland are there for a reason: to ensure they are safe at work, and earn a decent wage for the work they do. We’re concerned that Commissioner McGrath’s proposals will take a bargain basement approach to workers’ rights, allowing companies to cherry-pick the weakest and cheapest approach.
“What’s particularly concerning is that the very industries that these proposals target and those with a strong footprint in Cork.
“Since these proposals first emerged, we have had no reassurance and no clarity from the Commission. That will leave workers fearing the worst. We are urging Commissioner McGrath to rule out any diminution of Irish workers’ rights and entitlements as part of this plan.”
Esther Lynch, General Secretary of the European Trade Union Confederation said:
“Europe’s competitiveness challenges will not be solved by creating legal uncertainty or loopholes that undermine fundamental rights, collective bargaining and worker representation.
“Replacing proper pay and employment protections with share options is not the answer. Workers must not be left to pick up the tab when a business gamble fails.
“The evidence is clear: innovation is strongest in countries with robust collective bargaining. Europe should build on its heritage of social dialogue and strong labour law – not bypass it. The quality of jobs in Cork and across Europe is at stake.”
