European Restructuring Monitor (ERM)
Eurofound's ERM database on restructuring-related legal regulations provides information on regulations in the Member States of the European Union and Norway which are explicitly or implicitly linked to anticipating and managing change.
Articles 127, 128, 140, 149, 150 (1, 3)
Article 149 stipulates that the employer is obliged to inform the works council at least every three months about:
The employer is obliged to inform the works council about the above mentioned issues in a timely fashion and at the level of detail as to enable the members of the works council to evaluate any possible impact and prepare for negotiations with the employer.
In the article 149 new paragraphs were added, referring to the obligation of the employer, at least every three months, to inform the works council of, with the following text: 5) the number and type of workers employed by him or her, the employment structure (number of fixed-term workers, workers at an alternative place of work, remote work, work through a temporary employment agency, who are temporarily assigned to an affiliated company, or who are temporarily assigned to the employer from an affiliated company, the number of night workers), the employment structure by sex and the development and employment policy 6) the number and type of workers who, before starting work with another employer, informed the master employer about the contract on additional work concluded with another employer
According to article 150, before rendering a decision relevant to the employment situation of employees, the employer must inform and consult the works council about the proposed decision, taking into account its impact on employees. In these cases, the employer must enable the works council to organise meetings upon its request and before its final response about intended decision, in order to obtain additional answers and explanations related to its statement.
According to article 127, if the employer plans to make at least five employees redundant due to business-related reasons (out of at least 20 employees to be dismissed on any other grounds) within a period of 90 days, the employer needs to consult with the works council in order to find alternative solutions. The employer is obliged to supply the works council with all relevant information and notify them in writing about:
The works council may send any comments and suggestions it may have to the employer as well as to the competent public employment service. However, negative opinions, comments and suggestions from the works council do not prevent the employer from proceeding with the projected redundancies.
Employers must inform the competent public employment service on consultations with the works council and disclose to them the same document detailing the reasons and criteria of dismissals provided to the works council. In addition, the employment service needs to be informed of the duration of consultations with the works council, results of the consultations and written remarks of the works council related to dismissals. The employment service may request the employer to postpone either collective or individual redundancies for up to 30 days, if the service believes that the employer can ensure the continuation of employment for the employers during this extended period.
Article 150 defines that other important decisions include in particular those on:
Article 150, which defines obligation to consult before rendering a decision, was amended with a following paragraph:
11) the appointment of a person who is authorized to receive and resolve complaints related to the protection of the dignity of workers.
The establishment of a works council is not an obligation but a right given to employees in all companies except public administration and institutions with fewer than 20 employees. Employees have the right to elect, in free and direct elections, by secret ballot, one or more of their representatives in the works council, which represents them before their employer in relation to the protection and promotion of their rights and interests. If there is no works council in the company, affected workers can demand legal aid and forms of help from the responsible (authorized) trade union.
Eurofound (2015), Croatia: Staff information and consultation on restructuring plans, Restructuring legislation database, Dublin, https://apps.eurofound.europa.eu/legislationdb/staff-information-and-consultation-on-restructuring-plans/croatia
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