Profit sharing, equality and diversity, employment and qualifications on Suez EWC agenda

(20 June 2007)The EWC approved in principle a number of agreements, rejected others and demanded continuation of negotiations on a range of other issues. The agreements are not signed yet, as some consultations are ongoing and a number of minor questions need to be solved. Agreement was reached on:

A profit-sharing agreement: the unions and EWC demanded that the workers would share in the results and profits of Suez. Although the demands were not fully met, a three year agreement will provide for a system in which all workers (worldwide) will share in the results of the company. For 2007 an amount is set aside of 80 million Euros for this based on results of 2006.The results will be distributed in the form of free shares due to a series of technical, legal and taxation related issues. The EWC demands that for 2008 and 2009 a different way is found and the agreement foresees negotiations on this. The EWC and union group were positive that their demands for sharing in the results of the Group were met although a number of issues remain unresolved. It is believed this is the first agreement of its kind.

Equality and Diversity: a working group of the EWC with the unions agreed a framework text on diversity and responsibility. This framework foresees that other issues will be considered including older workers, handicapped, racism etc. A first text was approved on equality and diversity. Important will be that Suez will provide an overview of the situation with regard to equality and diversity in the company and that management and the unions will work our a series targets, indicators and objectives. EPSU Gender Equality officer Nadja Salson was the expert to this group.

Employment and Qualifications: based on French law the unions-EWC group and fully supported by the experts of Secafi extended the subject to cover European level. The agreement foresees that the company has to ensure an improved management of employment and skills, anticipating of future changes in occupations, work, growth etc. It should allow for workers to be able to work also in other parts of the company and prevent redundancies. The agreement also foresees the establishment of a series of structures at European, national, regional and local level to accompany this policy, The actors in these different structures will also receive training. The manner in which it will be provided will be considered. Further discussion will take place on the definition of precarious work.

A number of other issues were discussed. A proposal of management to commit to compensate for (a part of) inflation and thus to guarantee purchasing power was rejected as being not sufficient, in details and broad lines in conflict with bargaining as it takes place in European countries. A discussion on decent wage was proposed as an alternative. A proposal to provide for funding for social activities in the companies was not approved as being far removed from the demands of the trade union-EWC group. It was demanded that negotiations on this continue. The workers' side had also made proposals to improve Trade union rights and ensure that the trade unions would be able to ensure well trained shopstewards who could face up to the challenges and ensure an informed and dynamic counterpart. There was no result on this. The EWC and union group argues that negotiations need to continue and that in a period of 6 months resuls need to be reached.

Background: the EWC of Suez used the occasion of the announced merger with Gaz de France in February 2006 to demand of management of Suez negotiations on a range of issues and which were presented during the extraordinary meeting of the EWC in April 2006. The negotiations were done by a delegation of the EWC (represented by the Bureau), the French trade unions and ETUC (represented by EPSU). The EWC agreement of Suez dates back to 1995 and was signed at the time by ETUC (then represented by EFBWW as Suez owned considerable construction operations. Suez is focused now on water, waste, energy services and electricity and gas.

The EWC discussed a number of other issues such as an overview of the developments in the company provided by Secafi, the merger with Gas de France and the speculation of the intentions of Suez on the Spanish market after it increased its shares in Aguas Barcelona and Gas Natural.

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