Text consolidated by Valsts valodas centrs (State
Language Centre) with amending laws of:
14 September 2017 [shall
come into force from10 October 2017];
17 October 2019 [shall come into force from 19 November
2019].
If a whole or part of a section has been amended, the
date of the amending law appears in square brackets at
the end of the section. If a whole section, paragraph or
clause has been deleted, the date of the deletion appears
in square brackets beside the deleted section, paragraph
or clause.
|
The Saeima1 has adopted and
the President has proclaimed the following law:
Law on
Informing and Consulting Employees of European Union-scale
Undertakings and European Union-scale Groups of Undertakings
Chapter I
General Provisions
Section 1. Terms used in this
law:
The following terms are used in this Law:
1) central management -a management body of a European
Union-scale undertaking or a management body of the controlling
undertaking of a European Union-scale group of undertakings;
2) Member State - a European Union Member State, the
Republic of Iceland, the Kingdom of Norway, the Principality of
Liechtenstein;
3) European Union-scale undertaking - an undertaking
with at least 1000 employees within the Member States and at
least 150 employees in two or more Member States;
4) European Union-scale group of undertakings - an
aggregate of a controlling undertaking and one or several
controlled companies, which corresponds to the following
characteristics:
a) the group includes undertaking with at least 1000 employees
employed within the Member States,
b) at least two undertakings of the group are situated in
different Member States,
c) at least one undertaking of the group with at least 150
employees in one Member State and at least one other undertaking
of the group with at least 150 employees in another Member
State;
5) informing - a process in which the employer provides
information to representatives of employees, allowing them to
become acquainted with the subject matter and to examine it;
6) consulting - exchange of views and establishment of
dialogue between representatives of employees and the central
management or any other relevant management body.
Section 2. Purpose of the Law
The purpose of this Law is to ensure the right to information
and consulting of employees of European Union-scale undertakings
or European Union-scale groups of undertakings.
Section 3. Scope of Application of
this Law
(1) This Law shall apply to European Union-scale undertakings
registered in Latvia, and affiliates of European Union-scale
undertakings, registered or situated in Latvia, and to
undertakings belonging to European Union-scale group of
undertakings and registered in Latvia.
(2) Provisions of this Law, except for Section 31, shall not
apply to European Union-scale undertaking or European Union-scale
group of undertakings in the following cases:
1) an agreement on establishing a European Works Council or
determining another procedure for informing and consulting has
been entered into before 22 September 1996, and it applies to all
employees, and also provides for transnational informing and
consulting of employees, or if such agreement has been adapted to
structural changes of European Union-scale undertaking or
European Union-scale group of undertakings, and also where the
parties at the end of the agreement period have agreed on its
extension;
2) an agreement on establishing a European Works Council or
determining another procedure for informing and consulting has
been entered into or it has been amended due to structural
changes of European Union-scale undertaking or European
Union-scale group of undertakings during the time period from 5
June 2009 to 5 June 2011, and also where the parties at the end
of the agreement period have agreed on its extension.
(3) [14 September 2017]
[14 September 2017]
Section 4. General Informing and
Consulting Provisions
(1) The right to information and to consulting of employees of
European Union-scale undertakings or European Union-scale groups
of undertakings is implemented by means of establishing a
European Works Council or by stipulating another procedure for
informing and consulting employees in a European Union-scale
undertaking or European Union-scale group of undertakings.
(2) Measures related to informing and consulting of employees
shall be determined and implemented in a way to ensure their
efficiency, and also efficient decision taking in a European
Union-scale undertaking or European Union-scale group of
undertakings. Within the framework of another procedure for
informing and consulting, the central management and the European
Works Council or representatives of employees shall ensure
cooperation, taking into proper account mutual rights and
obligations.
(3) Informing and consulting of employees shall be carried out
at the relevant management and representation level, taking into
account the nature of the issue under discussion. The competence
of the European Works Council or the scope of another procedure
for informing and consulting employees shall apply only to issues
relating to a European Union-scale undertaking or the entire
European Union-scale group of undertakings or at least two
undertakings or affiliates of an undertaking in at least two
Member States (hereinafter - the transnational issues).
(4) Information shall be provided to representatives of
employees in a timely manner, and also in an appropriate way and
scope to enable them to carry out a comprehensive assessment of
the possible impact and, where appropriate, prepare for
consultations with the managing body of a European Union-scale
undertaking or Union-scale group of undertakings.
(5) Consulting with representatives of employees shall be
performed in a timely manner, and in an appropriate way and to
the extent to allow them, taking into account the information
received within the context of the consulting within a reasonable
period, express their views, without prejudice to the management
responsibilities.
(6) Members of the European Works Council shall inform
representatives of affiliates of European Union-scale undertaking
or representatives of employees of undertakings of a European
Union-scale group of undertakings, or in the absence of such
representatives, all employees, on the course and results of the
performed informing and consulting process.
Section 5. Controlling
undertaking
(1) Within the meaning of this Law a controlling undertaking
is an undertaking of a European Union-scale group of undertakings
that exercises a dominant influence over one or several
undertakings of the European Union-scale group of undertakings
(controlled undertakings).
(2) The dominant influence exists when an undertaking,
directly or indirectly, in relation to another undertaking:
1) holds a majority of the subscribed capital share of this
other undertaking;
2) controls the majority of the votes attached to stocks
(capital shares) of this other undertaking; and
3) may elect or recall the majority of members of the
management body or the supervisory body of this other
undertaking.
(3) If several undertakings of a European Union-scale group of
undertakings concurrently meet the criteria abovementioned in
Paragraph two of this Section, the undertaking meeting the
criteria abovementioned in Paragraph two, Clause 3 of this
Section shall be considered to be the controlling
undertaking.
(4) Rights of a controlling undertaking with respect to voting
and election or revocation of members of a management body or
supervisory body in compliance with Paragraph two of this Section
shall include the rights of any other controlled undertaking and
the rights of any such person or body which acts in its own name
but on behalf of the controlling undertaking or of other
controlled undertaking depending on this controlling
undertaking.
(5) Irrespective of the provisions of Paragraph one and two of
this Section, an undertaking shall not be considered to be a
controlling undertaking over another undertaking where it has
made investments, if this undertaking complies with the
provisions set out in Article 3(5) (a) and (c) of Council
Regulation No 139/2004 of 20 January 2004 on the control of
concentrations between undertakings.
(6) A dominant influence shall not be presumed to be exercised
in the event a liquidation process has been initiated against an
undertaking or insolvency procedures thereof have been
declared.
(7) In order to determine whether an undertaking is to be
recognised to be a controlling company, the law or regulation of
the State in which the relevant undertaking is registered shall
be applicable. If an undertaking is registered outside the
territory of the Member States, the law or regulation of the
Member State in which a representative of the undertaking is
situated or, in the absence of such representative, the
undertaking of the European Union-scale group of undertakings
which employs the greatest number of employees shall apply.
Chapter
II
Establishing European Works Council or Determining Another
Procedure for Informing and Consulting Employees
Section 6. Responsibility of Central
Management
(1) The central management shall ensure establishment of a
European Works Council or determine another procedure for
informing and consulting employees in European Union-scale
undertaking and European Union-scale group of undertakings.
(2) In cases where a European Union-scale group of
undertakings includes one or more European Union-scale
undertakings or groups of undertakings, a European Works Council
shall be established only for the controlling undertaking unless
another agreement has been reached.
(3) If the central management is not situated in a Member
State, the responsibility abovementioned in Paragraph one of this
Section shall be performed by its designated representative in
Latvia. In the absence of such representative, the responsibility
laid down in Paragraph one of this Section shall be carried out
by the management of an affiliate of an undertaking in Latvia or
the management body of an undertaking registered in Latvia and
belonging to a European Union-scale group of undertakings, if the
relevant affiliate of the undertaking or the undertaking employs
the greatest number of employees in the Member States.
(4) The representative abovementioned in Paragraph three of
this Section or in the absence of such representative, the
management of the affiliate of a European Union-scale undertaking
or the management of an undertaking belonging to a European
Union-scale group of undertakings shall be considered to be the
central management.
(5) In order to implement effective informing and consulting
process, the central management, if necessary, shall ensure
training of representatives of employees needed for the
performance of their duties in the international environment.
Training needs and content shall be determined by mutual
agreement between the central management and the special
negotiating body or the European Works Council.
Section 7. Provision of
Information
(1) The central management, as well as the management body of
an undertaking registered in Latvia and belonging to a European
Union-scale group of undertakings shall be responsible that the
information needed for the initiation of negotiations
abovementioned in Section 8 of this Law, is acquired and provided
to the stakeholders, and in particular information regarding the
structure, employees and number of employees of a European
Union-scale undertaking or a European Union-scale group of
undertakings, as well as location thereof in the Member
States.
(2) The number of employees shall be calculated from the
average number of employees employed during the past two years,
also taking into account part-time employees.
Section 8. Creation of the Special
Negotiating Body
(1) In order to organise negotiations with the central
management regarding the establishment of a European Works
Council or regarding the establishment of another procedure for
informing and consulting, upon the initiative of the central
management or upon a written request submitted by employees or
their representatives to the central management, a special
negotiating body shall be established. At least 100 employees or
their representatives in at least two European Union-scale
undertakings or European Union-scale undertaking affiliates
situated in different Member States shall sign the request. If
several requests have been made, the signatures shall be added
together.
(2) If such request has been submitted to the management of an
affiliate of a European Union-scale undertaking or to a
management body of an undertaking belonging to a European
Union-scale group of undertakings and situated in Latvia, it
shall without delay transfer the relevant request to the central
management and notify employees or their representatives
thereof.
(3) The special negotiating body shall without any delay
inform the central management of its composition.
(4) The central management shall inform the management of the
affiliate of a European Union-scale undertaking or the executing
body of the undertaking belonging to a European Union-scale group
of undertakings on the establishment of a negotiating body, its
composition and opening of negotiations. The central management
shall provide this information also to European Union employers
and workers' organisations, unless the central management and the
special negotiating body have agreed that this information is to
be provided by the special negotiating body.
Section 9. Composition of a Special
Negotiating Body
(1) The number of the members of a special negotiating body
shall be determined in proportion to the number of employees
employed in each Member State by a European Union-scale
undertaking or by a European Union-scale group of
undertakings.
(2) Employees employed in a Member State and which make 10%
(or a smaller part of the employees if there are less than full
10%) of the total number of the employees employed in all Member
States shall be represented in the special negotiating body by
one representative of employees.
Section 10. Election of
Representatives of Employees to Special Negotiating Body
(1) Interests of employees of a European Union-scale
undertaking or its affiliates, or employees of undertakings
registered in Latvia and belonging to a Union-scale group of
undertakings shall be represented in the special negotiating body
by the current representatives of employees, unless otherwise
decided by employees.
(2) If there are no representatives of employees or employees
have made a decision to elect other representatives to the
special negotiating body, employees shall, pursuant to the
procedures laid down in the Labour Law, elect representatives
which will represent their interests in the special negotiating
body.
(3) If employees are represented both by employees' trade
union and authorised representatives of employees, such employees
shall authorise their representatives to select the members of
the special negotiating body in proportion to the number of the
employees represented but no less than one member of the special
negotiating body for each European Union-scale undertaking or its
affiliate, or for an undertaking belonging to a European
Union-scale group of undertakings.
(4) The special negotiating body shall involve at least one
representative of employees from each European Union-scale
undertaking registered in Latvia or its affiliate, or from an
undertaking registered in Latvia and belonging to a European
Union-scale group of undertakings. The number of members of the
special negotiating body nominated from Latvia may not exceed the
number of the representatives of employees determined for Latvia
in accordance with Section 9 of this Law.
(5) If the number of European Union-scale undertakings
registered in Latvia or their affiliates, or undertakings
belonging to a European Union-scale group of undertakings exceeds
the number of representatives of employees determined for Latvia
to be appointed to the special negotiating body, representatives
of employees shall agree upon a common representative of
employees for the special negotiating body. Where such agreement
has not been reached, the employees employed in Latvia shall be
represented by a representative of the trade union of that
European Union-scale undertaking or its affiliates, or of that
undertaking belonging to a European Union-scale group of
undertakings which employs the greatest number of employees, or
in the absence of a trade union, by an authorised representative
of employees of such undertaking.
Section 11. Entering into an
Agreement between Special Negotiating Body and Central
Management
(1) The special negotiating body and the central management
shall enter into a written agreement regarding the establishment
of a European Works Council or regarding determination of another
procedure for informing and consulting.
(2) The central management shall, in good time, provide the
special negotiating body with the information and documents
required for the completion of its tasks.
(3) In order to enter into the agreement abovementioned in
Paragraph one of this Section, the central management shall
organise negotiations with the special negotiating body and
notify the management of affiliates of a European Union-scale
undertaking or the executive bodies of a European Union-scale
group of undertakings. The special negotiating body is entitled,
where necessary, to invite experts selected by it, including
competent representatives of trade unions recognised at the level
of the European Union. These experts and representatives of trade
unions upon the request of the special negotiating body may
participate in negotiations in an advisory capacity.
(4) The special negotiating body sis entitled to decide, by at
least two-thirds of the votes of all members, not to open
negotiations in accordance with Paragraph three of this Section
or to terminate the negotiations already opened. Such decision
shall suspend the entering into agreement abovementioned in
Paragraph one of this Section. The central management or the
special negotiating body may make a new request that negotiations
with the special negotiating body be organised not earlier than
two years after the taking of the relevant decision unless the
interested parties agree on shorter periods.
(5) The special negotiating body and the central management
shall mutually agree on detailed negotiation rules. If such
agreement has not been entered into, the special negotiating body
and the central management shall, in the first minutes of the
meeting, determine procedures for organising further
negotiations. Authorised representatives of both parties shall
sign the minutes of the meetings of the special negotiating body
and the central management.
Section 12. Activities of Special
Negotiating Body and Related Costs
(1) The special negotiating body shall take decisions by a
simple majority, with the exception of the case abovementioned in
Section 11, Paragraph four of this Law.
(2) The special negotiating body shall elect a chairperson of
the special negotiating body from among its members.
(3) The special negotiating body, prior to each meeting with
the central management and after it, has the right to hold a
separate meeting in which representatives of the central
management do not participate, using the means needed for
communication.
(4) Costs related to establishment and operation of the
special negotiating body, to election of its members,
organisation of negotiations (premises, materials, staff
required, interpreting facilities), and also to insurance and
official travel of members of the special negotiating body,
inviting of one expert for ensuring the completion of tasks of
the special negotiating body, shall be covered by the central
management.
Section 13. Content of Agreement on
Establishing European Works Council
(1) A written agreement entered into on a voluntary basis
between the special negotiating body and the central management
shall set out the following:
1) undertakings belonging to a European Union-scale group of
undertakings or affiliates of a European Union-scale undertaking
which are covered by this agreement;
2) composition of the European Works Council, allocation of
seats, number of members and term of office, and, if necessary,
composition of a European Works Council Committee, appointment
procedures, functions and procedural rules, if such a committee
is intended to be established. Upon creating a European Works
Council, as far as possible the need to ensure a balanced
representation of employees in accordance with their field of
activity, category, and gender shall be taken into account;
3) The functions of a European Works Council and the
procedures for informing and consulting a European Works Council
by the central management, and also the procedures by which
informing and consulting of a European Works Council and
representatives of employees of the Member State is coordinated,
taking into account Section 4, Paragraph three of this Law;
4) the venue of meetings of the European Works Council, the
frequency and duration of meetings;
5) the financial and material resources to be allocated to the
European Works Council; and
6) the term of coming into effect and validity of the
agreement, the provisions for amending or terminating the
agreement, and also cases where in the context of the agreement
repeated negotiations shall be organised, and the procedures for
these repeated negotiations, including, if necessary, introducing
changes to the structure of a European Union-scale undertaking or
European Union-scale group of undertakings.
(2) If the agreement terms do not include the procedures
referred to in Paragraph one, Clause 3 of this Section for
coordinating the informing and consulting of the European Works
Council and representatives of employees of Member States, it
shall be coordinated both by the European Works Council and
representatives of employees of a Member State in cases where
decisions can significantly change the work organisation or
contractual relations.
Section 14. Determining Another
Procedure for Informing and Consulting
If the special negotiating body and the central management
conclude a written agreement not on establishing of a European
Works Council but on determining another procedure for informing
and consulting, the terms of this agreement shall stipulate the
mechanism used by representatives of employees for organising
meetings and reviewing the acquired information, and in
particular information on transnational issues which
significantly affect the interests of employees.
Section 15. Attribution of
Provisions of Agreement
An agreement entered into between the special negotiating body
and the central management shall be binding on all affiliates of
a European Union-scale undertaking and in case of a European
Union-scale group of undertakings - to all its undertakings in
Member States, unless the agreement on establishing a European
Works Council or determining another procedure for informing and
consulting provide for a wider scope of activity.
Section 16. Other Provisions with
respect to Application, Extension, Termination of Agreements and
Entering into a New Agreement
Where the agreement abovementioned in Section 11 of this Law
does not include provisions regarding its application, extension,
termination and entering into a new agreement, the following
provisions shall apply:
1) it shall be presumed that the agreement entered into shall
apply for an unlimited period;
2) the central management and the European Works Council, or
representatives of employees who act in accordance with another
procedure for informing and consulting employees, may terminate
the agreement at least six months before the expiration of its
term of validity, notifying the other party accordingly;
3) if this agreement is applied for an unlimited period or it
does not include a provision regarding the validity term of this
agreement, the central management and the European Works Council,
or representatives of employees who act in accordance with
another procedure for informing and consulting employees, may
terminate it at least six months before each period of four
years, which shall be counted from the date of the entry into
effect of the agreement;
4) if the term of the agreement has expired and no party has
proposed entering into a new agreement, the term shall be
considered to be extended for the same period of time for which
the agreement was entered into;
5) if the term of the agreement has expired or the agreement
has been terminated, its provisions shall apply until the
entering into a new agreement or up to the time when the
provisions of Section 17 of this Law apply;
6) if the term of the agreement has expired or the agreement
has been terminated, the European Works Council has the right to,
in place of the special negotiating body, enter a new into an
agreement, as well as to take the decisions referred to in
Section 11, Paragraph four of this Law. If it is intended to
enter into a new agreement in order to establish another
procedure for informing and consulting, a new special negotiating
group shall be established in accordance with Section 8 of this
Law.
Chapter
III
Special Provisions Regarding Establishment and Operation of
European Works Council
Section 17. Application of Special
Provisions
Special provisions regarding establishment of a European Works
Council shall apply if:
1) the special negotiating body and the central management
agree on the application of such provisions;
2) the central management within a six-month period from the
date of submission of the request abovementioned in Section 8,
Paragraph one of this Law refuses to open negotiations;
3) the parties within a three-year period from submission of
the relevant request have not entered into the agreement referred
to in Section 11 of this Law.
Section 18. Composition of European
Works Council
(1) The European Works Council shall be composed of employees
of a European Union-scale undertaking or a European Union-scale
group of undertakings which shall be elected by representatives
of employees, or by employees in the absence of such
representatives.
(2) The number of members of a European Works Council shall be
determined in proportion to the number of employees employed by a
European Union-scale undertaking or a European Union-scale group
of undertakings in each Member State.
(3) Employees employed in a Member State and which make 10%
(or a smaller part of the employees if there are less than full
10%) of the total number of the employees employed in all Member
States shall be represented in the European Works Council by one
representative of employees.
Section 19. Establishment Meeting of
European Works Council
(1) The central management, after election of the members of
the European Works Council, shall immediately organise an
establishment meeting at which the regulations for the operation
of the European Works Council shall be taken, as well as a
chairperson and a deputy chairperson of the Council shall be
elected from among the members of the European Works Council.
(2) The European Works Council shall be represented by the
chairperson, but during his or her absence, by the deputy
chairperson of the Council.
(3) The European Works Council shall take its decisions by a
simple majority.
Section 20. Opening Negotiations on
Concluding the Agreement
Four years after the establishment meeting, the European Works
Council shall by a simple majority decide whether to open
negotiations with the central management regarding the entering
into the agreement abovementioned in Section 11, Paragraph one of
this Law, or to continue to apply the special provisions of this
Chapter. If the European Works Council decides to open
negotiations on the entering into an agreement, it has the same
rights and obligations as the special negotiating body.
Section 21. Term of Office of
European Works Council Members
(1) The term of office of European Works Council members shall
be four years unless it is discontinued prior to the end of such
term on the initiative of any member of the Council or due to
other reasons (refusal to perform one's duties, a protracted
disease, infringement of the provisions of this Law and in other
cases).
(2) Once every two years, as from the establishment meeting of
the European Works Council, the central management shall check
whether the number of employees in any Member State has
substantially changed and whether any amendments to the
composition of the European Works Council be made, complying with
the provisions of Section 18, Paragraph two and three of this
Law. The central management shall inform the European Works
Council of the information obtained.
Section 22. Meetings of the European
Works Council with the Central Management
The European Works Council shall at least once a year hold
meetings with the central management in order to obtain
information and consult on the basis of a report drawn up by the
central management on the development and prospects of commercial
activities of a European Union-scale undertaking or a European
Union-scale group of undertakings. The place and time of the
meeting shall be co-ordinated with the central management. The
European Works Council shall organise an additional meeting if
the central management agrees to it. The European Works Council
and the central management shall hold closed meetings.
Section 23. Information Regarding
European Works Council Members
The European Works Council shall without delay inform the
central management or other relevant controlling bodies
concerning members of the European Works Council. The central
management shall forward such information to the management of
the affiliates of a European Union-scale undertaking or executive
bodies of undertakings belonging to a European Union-scale group
of undertakings.
Section 24. Election of
Representatives of Employees to a European Works Council
(1) The European Works Council shall be composed of employees
elected by the employees' trade union if it represents at least
50 percent of a European Union-scale undertaking or its
affiliates, or employees of an undertaking registered in Latvia
and belonging to a European Union-scale group of undertakings, or
by authorised representatives of employees, in cases where
employees are not represented by a trade union.
(2) If there are no representatives of employees in a European
Union-scale undertaking or its affiliate or in an undertaking
registered in Latvia and belonging to a European Union-scale
group of undertakings, the members of the European Works Council
shall be elected by all employees in accordance with the
procedures for electing an authorised representative of employees
laid down in the Labour Law.
Section 25. Competence of European
Works Council
The competence of the European Works Council shall apply to
transnational issues only.
Section 26. Competence of Central
Management
(1) The central management shall hold meetings with the
European Works Council to provide information and consult on the
commercial activities of a European Union-scale undertaking or a
European Union-scale group of undertakings.
(2) The informing laid down in Paragraph one of this Section
shall apply to:
1) the structure, economic and financial position of a
European Union-scale undertaking or a European Union-scale group
of undertakings;
2) the probable development of commercial activities,
production and sales of a European Union-scale undertaking or a
European Union-scale group of undertakings;
3) the situation in the area of employment and its probable
development;
4) investments (investment programmes);
5) substantial organisational changes;
6) introduction of new working methods or production
processes;
7) transfer of production to another location;
8) merger, cut-back or closure of undertakings, their
affiliates or of significant parts thereof;
9) collective redundancies.
(3) Consulting with the European Works Council shall be
carried out for questions laid down in Paragraph two, Clauses 3,
4, 5, 6, 7, 8 and 9 of this Section. Consulting shall take place
in such a way as to enable representatives of employees to meet
with the central management and obtain a reasoned response to
their views.
Section 27. Committee of European
Works Council
(1) In order to ensure coordination of its activities, the
European Works Council shall from its members elect the European
Works Council Committee (hereinafter - the Committee), in the
composition of no more than five members, who shall be provided
with appropriate conditions for carrying out their activities on
a regular basis. The European Works Council shall elect the
chairperson of the Committee.
(2) The Committee or, in the absence thereof, the European
Works Council shall hold meetings with the central management or
with another management body to obtain information and consult on
the circumstances abovementioned in Section 28, Paragraph four of
this Law. Those members of the European Works Council who have
been elected or appointed by the undertakings to which the
aforementioned measures apply, are entitled, together with the
Committee, to take part in the meetings. They shall be organised
as soon as possible on the basis of a report drawn up by the
central management or another management body of a European
Union-scale undertaking or a European Union-scale group of
undertakings of the respective level and regarding which, at the
end of the meetings, members of the Committee shall provide an
opinion, but no later than within a seven days.
(3) The provisions of Section 11, Paragraph five of this Law
shall apply to the meeting and members of the Committee
abovementioned in Paragraph two of this Section.
Section 28. Operation of European
Works Council and Committee
(1) Prior to any meeting with the central management, the
European Works Council and the Committee are entitled to meet
each other without the participation of the central
management.
(2) Expenditure related to the European Works Council and the
Committee, to election or appointment of members of these
institutions, organising of meetings (premises, materials, staff
required, interpreting facilities), and also to insurance and
official travel of members of the European Works Council and the
Committee, inviting of one expert shall be covered by the central
management, providing the material and financial resources.
(3) The central management shall inform the management of
affiliates of a European Union-scale undertaking or executive
bodies of undertakings belonging to a European Union-scale group
of undertakings on the holding of meetings of the central
management and the European Works Council.
(4) If particular circumstances arise or decisions are taken
regarding transfer of property or important parts thereof of an
undertaking or its affiliates to another location, the
liquidation of an undertaking or its affiliates, collective
redundancies and other activities, which significantly affect the
interests of employees, the central management shall, in due
time, inform the Committee or, in the absence thereof, the
European Works Council of such circumstances and shall provide it
with the necessary information and consultations.
(5) The Committee or the European Works Council shall use the
assistance of experts selected at its discretion, if this is
necessary for the performance of its tasks.
Chapter
III.1
Administrative Offences in the Field of
Informing and Consulting Employees of European Union-scale
Undertakings and European Union-scale Groups of Undertakings and
the Competence in Administrative Offence Proceedings
[17 October 2019 /
Chapter shall come into force on 1 July 2020. See
Paragraph 3 of Transitional Provisions]
Section 28.1 Disclosure
of Such Confidential Information to Third Parties Which Has Been
Obtained When Acting Within the European Works Council and the
Special Negotiating Body or Within the Framework of Another
Procedure for Informing and Consulting Employees
For disclosure of such confidential information to third
parties which has been obtained when acting within the European
Works Council, the special negotiating body or within the
framework of another procedure for informing and consulting
employees, a fine from twenty-eight to seventy units of fine
shall be imposed.
[17 October 2019 / Section shall come into force on
1 July 2020. See Paragraph 3 of Transitional
Provisions]
Section 28.2 Failure to
Provide Information to Employees or Their Representatives
For the failure to provide information to employees or their
representatives regarding the structure, employees of a European
Union-scale undertaking or a European Union-scale group of
undertakings and the number and location of such employees in the
Member States in a European Union-scale undertaking or a European
Union-scale group of undertakings, a fine of up to one thousand
four hundred and twenty units of fine shall be imposed on the
employer.
[17 October 2019 / Section shall come into force on
1 July 2020. See Paragraph 3 of Transitional
Provisions]
Section 28.3 Failure to
Cover Expenditure for the Establishment or Operation of the
European Works Council or the Special Negotiating Body in a
European Union-scale Undertaking or a European Union-scale Group
of Undertakings
For the failure to cover expenditure for the establishment or
operation of the European Works Council or the special
negotiating body in a European Union-scale undertaking or a
European Union-scale group of undertakings, a fine of up to one
thousand four hundred and twenty units of fine shall be imposed
on the employer.
[17 October 2019 / Section shall come into force on
1 July 2020. See Paragraph 3 of Transitional
Provisions]
Section 28.4 Failure to
Provide a Report to the European Works Council on the Development
and Prospects of Commercial Activities of a European Union-scale
Undertaking or a European Union-scale Group of Undertakings
For the failure to provide a report to the European Works
Council on the development and prospects of commercial activities
of a European Union-scale undertaking or a European Union-scale
group of undertakings at least once a year, a fine of up to one
thousand four hundred and twenty units of fine shall be imposed
on the employer.
[17 October 2019 / Section shall come into force on
1 July 2020. See Paragraph 3 of Transitional
Provisions]
Section 28.5 Failure to
Inform the European Works Council Committee or, in the Absence
Thereof, the European Works Council of Particular Circumstances
which Significantly Affect the Interests of Employees in a
European Union-scale Undertaking or a European Union-scale Group
of Undertakings
For the failure to inform the European Works Council Committee
or, in the absence thereof, the European Works Council of
particular circumstances which significantly affect the interests
of employees in a European Union-scale undertaking or a European
Union-scale group of undertakings, a fine of up to one thousand
four hundred and twenty units of fine shall be imposed on the
employer.
[17 October 2019 / Section shall come into force on
1 July 2020. See Paragraph 3 of Transitional
Provisions]
Section 28.6 Competence
in Administrative Offence Proceedings
The administrative offence proceedings for the offences
referred to in Sections 28.1, 28.2,
28.3, 28.4, and 28.5 of this Law
shall be conducted by the State Labour Inspectorate.
[17 October 2019 / Section shall come into force on
1 July 2020. See Paragraph 3 of Transitional
Provisions]
Chapter
IV
Final Provisions
Section 29. Confidential
Information
(1) Within the limits of another procedure for informing and
consulting, members of the European Works Council and the special
negotiating body and representatives of employees, as well as
experts and interpreters who provide services to them, shall not
disclose confidential information to third parties.
(2) The prohibition laid down in Paragraph one of this Section
with respect to the disclosure of confidential information to
third parties shall apply irrespective of whether the relevant
party performs or has terminated the performance of his or her
duties.
(3) The central management may refuse to provide information,
the disclosure or use of which, having regard to its character
and objective reasons, may cause substantial harm or losses to
the European Union-scale undertaking or the group of European
Union-scale undertakings.
(4) The rights laid down in Paragraph three of this Section
shall not apply to information concerning the number of employees
in the undertaking.
Section 30. Protection of
Representatives of Employees
(1) Members of the special negotiating body, members of the
European Works Council and representatives of employees within
the framework of another procedure for informing or consulting,
when performing such duties, shall have the same protection and
guarantees as representatives of employees at the national level
in the State in which they act in accordance with national laws
and regulations or practice.
(2) Representatives from Latvia abovementioned in Paragraph
one of this Section shall be granted a vacation so that they
could attend meetings of the special negotiating body or the
European Works Council, or any meeting organised within the
framework of the agreement abovementioned in Section 11,
Paragraph one of this Law, retaining the work remuneration if an
employee has fixed-term salary or the average earnings in case of
a lump sum salary.
(3) If the representatives from Latvia abovementioned in
Paragraph one of this Section attend training required for
carrying out their duties in an international environment, such
employees shall have their work remuneration retained in case of
fixed-term salary or the average earnings in case of a lump sum
salary.
(4) The parties may agree on more favourable conditions for
the protection of representatives of employees than it is laid
down in this Section.
Section 30.1 Special
Provisions for Maritime Field
(1) If the members of special negotiating body, the members of
the European Works Council, and the representatives of employees
within another procedure for informing and consulting are crew of
a sea-going vessel, they have the right to participate in a
meeting of the special negotiating body or of the European Works
Council, or in a meeting organised within the framework of
another procedure for informing and consulting, provided that
they are not at sea or in the port of another country (such
country in which the central management of commercial shipping
company is not located) when the meeting takes place.
(2) If the members of special negotiating body, the members of
the European Works Council, and the representatives of employees
within another procedure for informing and consulting are crew of
a sea-going vessel, the meetings referred to in Paragraph one of
this Section shall be scheduled, where practicable, so as to
facilitate their participation in such meetings. If the member of
special negotiating body, the member of the European Works
Council, and the representative of employees within another
procedure for informing and consulting are unable to participate
in the abovementioned meetings, the information and communication
technologies shall be used, where possible.
[14 September 2017]
Section 31. Adaptation of the
Existing Agreement
(1) If as a result of reorganisation (merger, division, or
transformation) or other measures (alienation of undertakings,
transfer of the business, etc.) significant changes are
introduced to the structure of a European Union-scale undertaking
or an undertaking belonging to a European Union-scale group of
undertakings, and the existing agreement on the establishment of
a European Works Council does not contain provisions for the
adaptation of the European Works Council composition or
activities, or inconsistencies between two or more provisions of
the agreement entered into are found, the central management, on
its own initiative or a written request of at least 100 employees
or their representatives in at least two undertakings or
affiliates of undertakings in at least two Member States shall
initiate negotiations abovementioned in Section 8, Paragraph one
of this Law. These provisions apply also in cases where another
procedure for informing and consulting is established instead of
the European Works Council.
(2) If in the case abovementioned in Paragraph one of this
Section a special negotiating body is established to enter into
negotiations with the central management, in the composition of
the special negotiating body in addition to the members of
special negotiating body, who have been elected in accordance
with Section 9 of this Law, at least three members of the
existing European Works Council shall be included. During the
negotiations until conclusion of a new agreement, the existing
European Works Council shall continue its activities in
accordance with the provisions contained in the agreement between
the central management and the European Works Council.
(3) The provisions of Paragraph one and two of this Section
shall also apply to the European Union-scale undertaking or
European Union-scale group of undertakings, which have entered
into or amended the agreement abovementioned in Section 3,
Paragraph two, Clauses 1 and 2 of this Law and which introduces
significant structural changes.
Section 32. Deciding of Disputes
Disputes arising in connection with the right to information
and consulting of employees of European Union-scale undertakings
or European Union-scale group of undertakings stipulated by this
Law, shall be settled in line with the procedures laid down in
the Labour Dispute Law.
Transitional
Provisions
1. By the coming into force of this Law, the Law on Informing
Employees of European Union-scale undertakings and European
Union-scale Groups of undertakings and Consulting Such Employees
(Latvijas Republikas Saeimas un Ministru Kabineta
Ziņotājs, 2001, No 10; 2008, No 5), is repealed.
2. With regard to European Union-scale undertakings or
European Union-scale group of undertakings, which have entered
into or amended the agreement abovementioned Section 3, Paragraph
two, Clause 2 of this Law shall continue to apply the provisions
of the Law on Informing Employees of European Union-scale
undertakings and European Union-scale Groups of undertakings and
Consulting Such Employees.
3. Part III.1 of this Law shall come into force
concurrently with the Law on Administrative Liability.
[17 October 2019]
Informative
Reference to European Union Directives
[14 September 2017]
This Law contains legal norms arising from:
1) Directive 2009/38/EC of the European Parliament and of the
Council of 6 May 2009 on the establishment of a European Works
Council or a procedure in Community-scale undertakings and
Community-scale groups of undertakings for the purposes of
informing and consulting employees;
2) Directive (EU) 2015/1794 of the European Parliament and of
the Council of 6 October 2015 amending Directives 2008/94/EC,
2009/38/EC and 2002/14/EC of the European Parliament and of the
Council, and Council Directives 98/59/EC and 2001/23/EC, as
regards seafarers.
This Law shall come into force on 6 June 2011.
This Law was adopted by the Saeima on 19 May 2011.
Acting for the President, the Chairperson
of the Saeima, S. Āboltiņa
Riga, 27 May 2011
1 The Parliament of the Republic of
Latvia
Translation © 2020 Valsts valodas centrs (State
Language Centre)