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Social Crisis Management in the Coal and Steel Industries • European Models and Experiences •

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Social Crisis Management in the Coal and Steel Industries • European Models and Experiences • 'I ~ Commission of the European Union {': -~····:r r~·-- European Commission Delegation Library Manual 2300 M Street, NW Washington, DC 20037 Social Crisis Management in the Coal and Steel Industries • European Models and Experiences • by Hans-Werner Franz __. \ ' ( ._· Published by the Commission of the European Union Directorate-General V Employment, Industrial Relations and Social Affairs ECSC Readaptation and Social Aspects of Iron and Steel Policies B-1 049 Brussels The case studies forming the basis of Section E of the manual, "Models for social crisis management", were produced by the following persons and institutes: Belgium: Martine Wouters (HIVA, Leuven), Lieven Denolf (KU Leuven), Eline Staelens (BLM, Limburg); Germany: Cornelia Auxel, Andreas Davids (BASIS Dresden), Hans-Werner Franz, Uwe Jlirgenhake, Rainer Lichte, Rainer OHmann, Jiirgen Schulze, Oliver Steigerwald, Detlef Ullenboom, Beate Winter (sfs, Dortmund); France: Raphael Garcia (CEDRES, Paris); United Kingdom: William Rees (City of London Polytechnic), Barry Thomas (University of Durham); Italy: Rolf Uesseler(Rome); Luxembourg: Uwe Jiirgenhake (sfs, Dortmund); Spain: Xavier Matheu, Jaume Benavent, Josep M. Navarro ( CIREM, Barcelona) Coordination of the case studies and of the project: Hans-Werner Franz, Sozialforschungsstelle Dortmund, a member institute of euroNET:WORK&EDUCATION. Luxembourg: Office for Official Publications of the European Communities 1994 ISBN 92-826-5796-5 © ECSC-EEC-EAEC, Brussels-Luxembourg, 1994 Reproduction is authorised, except for commercial purposes, provided the source is acknowledged Printed in Germany Foreword by the editor Since 1980 alone, over 800.000 workers have been forced to leave their jobs as a result of restructuring in the Community coal and steel industries. The European Community has contributed significantly, through financial and various other means, to the social measures implemented to cushion the impact of this restructuring on the workers involved. In so doing, it has supported the programmes set up by undertakings, national authorities and other organisa­ tions involved in the process. The Community's effort has concentrated particularly on making good income losses and also, in a major way, to the reemployment of the effected workforce in an often seemingly desperate labour market. Unfortunately, today we are in the midst of major fresh waves of job losses in the ECSC industries, and this in the context of high unemployment in Europe overall. It is my hope that this handbook will be of use not only now in the Member States of the European Union, but also in the countries of Central and Eastern Europe where similar problems are faced. The aim is to provide concrete assistance to those faced with the need for social crisis management. The wish is supported by my conviction that examples of success stories do indeed bring hope to the workers who are affected. Padraig Flynn Commissioner for Employment, Social Affairs and Industrial Relations Manual Social Crisis Management Foreword by the author This book would not be complete without my thanks to all those who supported me with practical help and advice. First of all, I wish to thank Antoon Herpels and Diane Marshall of the Commission of the European Communities, Directorate-General V/A/4, for their confidence in me and for giving me the task of producing this reference book. Despite their understandable impatience, due to the overall pressure of the crisis, they showed understanding for the missing of promised deadlines. This was very helpful, and relieved some of the pressure on myself. The fact that, despite delays in the production of some case studies for Section E, the book was finished in little more than a year is due to the support of a number of my colleagues from the Sozialforschungsstelle Dortmund, in particular Uwe Jiirgenhake and Rainer Lichte. My discus­ sions with them, and their criticisms, made the writing of a number of chapters easier. Particular thanks go to DetlefUllenboom, who he"lped me in many respects, particularly as a conscientious proofreader and tenacious critic of unclear phrasing, but also as an expert "tracer" of the heading index. Finally, my thanks go to those colleagues from a number of institutes whose case studies provided the basis for most of the chapters in Section E, "Models for social crisis management". Hans-Werner Franz Dortmund, September 1993 Manual Social Crisis Management Contents Information Contents Table of Contents Abbreviations Introduction and guidance on using this manual Manual Social Crisis Management Section A Crisis Al Development and structures of the crisis in the coalmining industry in the steel industry A2 The role of the European Communities Section B Table of Social crisis management Bl Introduction: Contents Who takes action? Those expected to respond in the event of crisis B2 Board of Management and Supervisory Board Forewords B3 Personnel Department Foreword of the editor B4 Works Council Foreword of the author B5 Trade unions B6 Business federations B7 Local authorities Information B8 Region B9 National government Index of abbreviations BlO Labour Market Administration Introduction Bll Other institutions and and guidance on using this manual organisations Manual Social Crisis Management B12 The European Communities Stabilisation of employment Bl3 People D2 Transfers, internal D3 Task forces D4 Bringing work forward Section C D5 In-house services instead of Social crisis management outside services as a planning process D6 Internal work creation programmes Cl Introduction: D7 Accepting work from outside What needs to be done? companies Ways and means of shedding D8 Accepting work at below cost jobs in times of crisis D9 Internal job placement service C2 Measures achievable in the short term Temporary reduction C3 Measures achievable in the of employment medium term DlO Reduction of extra work C4 Measures achievable in the long Dll Supplying workers on contract term D12 Termination of personnel C5 Personnel development planning leasing contracts D13 Bringing leave forward Dl4 Short-notice block leave Section D D15 Bringing forward time off in lieu Instruments of social crisis of overtime management Dl6 Training leave D17 Additional paid leave Dl Introduction: D18 Suspension (discontinuation) of What are social instruments of employment contracts crisis management? Manual Social Crisis Management Dl9 Lay-off with guaranteed re- D34 Dismissal employment D35 Qualitative flexibilisation D20 Unpaid leave D36 Reduction in life-long working D21 Extension of scope of in-service time training schemes D37 Reduction in the number of D22 Additional in-service training hours worked per year facilities D38 Support for self-employment D23 Contract training ventures D24 Short-time working D39 Outside services in place of in- house services Permanent reduction D40 Support for "employment of employment companies" D25 No further recruitment D41 Measures to promote alternative D26 Transfers, external employment opportunities D27 Labour pool D42 Involvement in the re- industrialisation of the region D28 Group-wide job placement serv1ce D29 Non-renewal of limited-duration Section E contracts of employment Models of social D30 Voluntary redundancy with crisis management compensation El Introduction: D31 Non-employment of trained Models are not patent remedies apprentices E2 N ationalisation as a form of D32 Early retirement, taking socialisation advantage of statutory possibilities E3 Ruhrkohle AG (Germany) D33 Early retirement, in conjunction E4 Riconversider (Italy) with accompanying packages of E5 Cassa Integrazione Guadagni social measures Straordinaria (Italy) Manual Social Crisis Management E6 Fondo de Promoci6n de Empleo El3 Sozialplan (Germany) (Spain) El4 Stahlstiftung Saarland E7 Begeleidingsdienst Limburgs (Germany) Mijngebied (Belgium) El5 Carbones de Berga (Spain) E8 British Coal Enterprise (United El6 Beschaftigungsgesellschaft Kingdom) (Germany) E9 !SERBS programme for El7 Qualifizierungszentrum steelworkers (United Kingdom) (Germany) ElO Anti-crisis Division at ARB ED El8 ZWAR Steel (Luxembourg) Zwischen Arbeit und Ruhestand Ell Charbonnages de France (Germany) (France) El9 Trade union initiatives El2 Convention Generale de ElO Crisis management in the Protection Sociale (France) company Index Manual Social Crisis Management Index of abbreviations Abbreviations Notes A ABM ArbeitsbeschaffungsmaBnahme entwicklung in Sachsen e.V., (work creation scheme) Dresden p. 2 El3, El6 BCE British Coal Enterprise E8 ABS Gesellschaft( en) ftir Arbeitsf6r- BetrVG Betriebsverfassungsgesetz derung, Beschaftigung und (Works Constitution Act) E 13 Strukturentwicklung (mbH) B.G.A. Beteiligungsgesellschaft El6 Aachener Region (Financial A.CAP 2000 Accord sur la Conduite de holding company) E3, El3 1'Activite Professionnelle dans BLM Begeleidingsdienst Limburgs les entreprises siderurgiques Mijngebied (Support service El2, E20 for the Limburg coal field) E7 AFG Arbeitsfdrderungsgesetz (Law BSW Badische Stahlwerke AG E20 on the promotion of BWH Bildungswerk Hattingen El7 employment) El3, El6 AG Aktiengesellschaft (limited company) c AHM Altos Homos del Mediternineo CdF Charbonnages de France (the E6 French national coal company) Ell ALG Arbeitslosengeld (unemployment benefit) E 13 CEDRES Cabinet Europeen pour le AliiG Altersi.ibergangsgeld (Age­ Developpement et la Recher­ related transitional allowance) che Economique et Sociale,. El3 Paris Ell, El2 Contrat Formation-Conversion ARB ED Acieries Reunies de Burbach-
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