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UK MOVES TO BLOCK WORKER CONSULTATION

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The Financial Times reports (p2) the British government is confident it can defeat a European Union draft directive...
The Financial Times reports (p2) the British government is confident it can defeat a European Union draft directive requiring all larger companies to consult with workers over redundancies and the sale of subsidiaries.

The draft was published yesterday and affects companies employing 50 or more workers.

However, a deal has been done with Germany which would back the UK in opposing the directive. In return for Bonn's support, the UK is ready to back the commission's company statute proposal which would safeguard worker co-determination in any German company choosing to be covered by the statute.

The UK government also believes it has private assurances from other EU governments in opposing the works council directive.

British ministers argue the EU should not issue a measure requiring mandatory worker consultation in domestic companies on the grounds this breaches the EU's 'subsidiarity ' principle limiting regulation only to areas of transnational interest.
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