51996IP0033

B4-0033/96

Resolution on the proposal for a Council Directive on the approximation of the laws of the Member States relating to the safeguarding of employees' rights in the event of transfers of undertakings, businesses or parts of businesses (COM(94)0300)

The European Parliament,

- having regard to Rule 40(5) of its Rules of Procedure,

- having regard to Council Directive 77/187/EEC on the approximation of the laws of the Member States relating to the safeguarding of employees' rights in the event of transfers of undertakings, businesses or parts of businesses ((OJ L 61, 5.3.1977, p. 26.)),

- having regard to the case law of the European Court of Justice in relation to Council Directive 77/187/EEC,

- having regard to the proposal for a Council Directive on the approximation of the laws of the Member States relating to the safeguarding of employees' rights in the event of transfers of undertakings, businesses or parts of businesses (COM(94)0300),

A. whereas the Commission's proposal is a text that would replace Directive 77/187/EEC rather than amend it,

B. whereas in its proposal the Commission includes a second subparagraph to Article 1(1) which makes a distinction between the transfer of undertakings, businesses or parts of businesses and the transfer of only an activity of an undertaking, the latter being excluded from the scope of the Directive if it is not accompanied by the transfer of an economic entity,

C. whereas this distinction may not be self-evidently clear in practice and such clarity may only be achieved by an accumulative process of case law; whereas there are concerns that this would not be in the interests of legal security and transparency which are among the aims of the proposal,

D. whereas in the joint hearing on the proposal organized on 18 July 1995 by its Committee on Social Affairs and Employment and its Committee on Legal Affairs and Citizens' Rights these concerns were also reflected in the comments of the experts invited to speak at that hearing,

E. whereas these concerns have impeded the forming of a consensus on the proper scope of the Directive,

F. whereas that lack of consensus may mean that other, valuable provisions in the proposal to update Directive 77/187/EEC in line with current business conditions would be lost,

1. Invites the Commission to consider modifying its current proposal to one which amends, rather than replaces, Directive 77/187/EEC, that amending proposal to leave the text of Article 1(1) of Directive 77/187/EEC untouched;

2. Instructs its President to forward this resolution to the Commission.