Regulating the Employment Relationship in Europe: a Guide to Recommendation No

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Regulating the Employment Relationship in Europe: a Guide to Recommendation No Regulating the employment relationship in Europe: A guide to Recommendation No. 198 Employment Relationship Recommendation, 2006 (No. 198) 98 Governance and Tripartism Department European Labour Law Network (ELLN) REGULATING THE EMPLOYMENT RELATIONSHIP IN EUROPE: A guide to Recommendation No. 198 Governance and Tripartism Department International Labour Office • Geneva European Labour Law Network (ELLN) March 2013 Copyright © International Labour Organization 2013 First published 2013 Publications of the International Labour Office enjoy copyright under Protocol 2 of the Universal Copyright Convention. Nevertheless, short excerpts from them may be reproduced without authorization, on condition that the source is indicated. For rights of reproduction or translation, application should be made to ILO Publications (Rights and Permissions), International Labour Office, CH-1211 Geneva 22, Switzerland, or by email: [email protected]. The International Labour Office welcomes such applications. Libraries, institutions and other users registered with reproduction rights organizations may make copies in accordance with the licences issued to them for this purpose. Visit www.ifrro.org to find the reproduction rights organization in your country. ILO Cataloguing in Publication Data Regulating the employment relationship in Europe: a guide to Recommendation No. 198 / International Labour Office, Governance and Tripartism Department. - Geneva: ILO, 2013 ISBN 9789221263159; 9789221263166 (web pdf) International Labour Office; Governance and Tripartism Dept workers rights / labour relations / social dialogue / labour dispute settlement / judicial procedure / ILO Recommendation / Europe 04.02.5 The designations employed in ILO publications, which are in conformity with United Nations practice, and the presentation of material therein do not imply the expression of any opinion whatsoever on the part of the International Labour Office concerning the legal status of any country, area or territory or of its authorities, or concerning the delimitation of its frontiers. The responsibility for opinions expressed in signed articles, studies and other contributions rests solely with their authors, and publication does not constitute an endorsement by the International Labour Office of the opinions expressed in them. Reference to names of firms and commercial products and processes does not imply their endorsement by the International Labour Office, and any failure to mention a particular firm, commercial product or process is not a sign of disapproval. ILO publications and electronic products can be obtained through major booksellers or ILO local offices in many countries, or direct from ILO Publications, International Labour Office, CH-1211 Geneva 22, Switzerland. Catalogues or lists of new publications are available free of charge from the above address, or by email: [email protected] Visit our web site: www.ilo.org/publns Printed in Switzerland Contents Background to the Guide ...................................................................................................................... v Preamble .............................................................................................................................................. v I. National policy on the protection of workers in an employment relationship .............................. 1 1. Applying a national policy ......................................................................................................... 1 Legislative examples.................................................................................................................. 1 Collective bargaining agreements ............................................................................................. 3 Judicial decisions ....................................................................................................................... 3 Codes of practice and administrative directives ....................................................................... 4 Studies, reviews and reports ..................................................................................................... 6 A combined approach ............................................................................................................... 6 2. Reference to other international labour standards .................................................................. 7 3. Social dialogue (consultation and collective bargaining) .......................................................... 7 The role of social dialogue and collective agreements in defining an employment relationship ..................................................................................................... 8 The role of trade unions in representing specific group categories of workers ....................... 9 Other elements of social dialogue .......................................................................................... 11 4. Specific policy measures ......................................................................................................... 14 Clear guidance to the parties .................................................................................................. 15 Multiple parties ....................................................................................................................... 16 Provide for appropriate and adequate training ...................................................................... 19 5. Special categories of workers to protect ................................................................................ 20 6. Employment relationships and genuine civil and commercial relationships .......................... 22 II. Determining the existence of an employment relationship ......................................................... 28 A. Practical methods .................................................................................................................... 28 1. Legal presumption ............................................................................................................. 28 Statutory presumption ...................................................................................................... 28 Judge-made law ................................................................................................................. 30 2. Determining whether designated groups of workers (e.g. by sector) are either employed or self-employed .............................................................................. 30 3. Employer’s obligation to inform of employment conditions ............................................ 32 4. Primacy of facts ................................................................................................................. 33 B. Criteria for identifying an employment relationship ............................................................... 36 1. Subordination or dependence ............................................................................................ 36 2. Control of the work and instructions ................................................................................. 38 3. Integration of the worker in the enterprise ....................................................................... 41 4. Work performed solely or primarily for another’s benefit ................................................ 41 5. Carried out personally by the worker................................................................................. 42 iii 6. Carried out within specific hours or at an agreed place ..................................................... 43 7. Having a particular duration and continuity....................................................................... 44 8. Requires worker’s availability............................................................................................. 45 9. Provision of tools/materials by the individual requesting the performance of work .................................................................................................. 45 10. Periodic payments to the worker ..................................................................................... 46 11. This remuneration being the sole or principal source of income..................................... 47 12. Payment in kind ................................................................................................................ 47 13. Recognition of entitlements ............................................................................................. 48 14. Travel payment by the person requesting the performance of work .............................. 49 15. Absence of financial risk for the worker ........................................................................... 49 16. Mutuality of obligations ................................................................................................... 50 17. Other criteria .................................................................................................................... 51 III. Adopting measures with a view to ensuring compliance ............................................................. 52 1. Appropriate dispute resolution mechanisms: Inexpensive, speedy, fair, and efficient procedures .............................................................................................................................. 52 2. The role of labour inspection ..................................................................................................
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