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Employee Advisory Rights of the Works Council in Westland

Discover the works council’s advisory rights in Westland: how employees influence reorganizations and mergers in the local horticulture economy. Learn about WOR regulations and dispute resolution procedures.

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Employee Advisory Rights of the Works Council in Westland

The advisory rights of the works council form a critical component of Dutch labor law, empowering the works council (OR) to provide advice on significant employer decisions in regions such as Westland. This mechanism enables employees—often working in local horticulture or logistics—to influence changes affecting their jobs and working conditions, such as mergers or restructurings, through their OR. This article explores the details of this right, its application, and its functioning, with a focus on the Westland context.

What Does the Works Council’s Advisory Right Entail?

The works council (OR) is a democratically elected body within companies employing at least 50 staff, including many greenhouse businesses in Westland. The advisory right, governed by the Works Councils Act (WOR), grants the OR the authority to provide a substantiated opinion on key employer decisions. Unlike the consent right, where the employer requires the OR’s approval, the advisory right’s recommendations are not binding. However, the employer must carefully evaluate them and provide compelling justification to disregard them.

This right applies to fundamental shifts in business operations, aiming to protect employees’ interests and ensure decisions are not made unilaterally. For Westland workers, this is particularly relevant in a sector facing economic pressures—such as rising energy costs—that drive changes. This article complements our earlier overview of Termination During Restructuring – Your Rights in Westland, which highlights the OR’s role in dismissal cases.

Legal Foundation of Advisory Rights

The advisory right is rooted in the Works Councils Act (WOR), specifically Article 25, which outlines the topics requiring early consultation and advice from the OR. These include:

  • Transfer of a business unit, such as a horticulture site.
  • Spinoff of activities as an independent division.
  • Sale of shares or bonds.
  • Launch of a joint venture.
  • Mergers with other companies.
  • Establishment or liquidation of a business.

In cases of restructuring—common in Westland’s agricultural sector, often linked to layoffs—additional rules under Article 26 WOR apply. Employers must notify the OR at least one month in advance and allow time for consultation. If the OR fails to provide timely advice, the employer may proceed, but violations grant the OR grounds to approach the District Court of Westland.

Additionally, the advisory right aligns with European law via Directive 2002/14/EC, ensuring robust employee involvement in the Netherlands, including Westland.

When Does the Advisory Right Apply?

The advisory right applies to matters listed in Article 25 WOR and is particularly relevant in Westland for:

  1. Restructuring: When a Westland horticulture company plans to close or relocate departments to cut costs, the employer must consult the OR on the proposal.
  2. Mergers and Acquisitions: In a merger with a neighboring business, the OR must assess the impact on employment and wages.
  3. Strategic Decisions: Outsourcing production or taking on substantial loans may also require consultation.

Routine decisions, such as temporary staff adjustments, fall outside this scope. To clarify the distinction from the consent right:

Aspect Advisory Right (Art. 25 WOR) Consent Right (Art. 27 WOR)
Application Strategic choices like mergers, restructurings Direct employment terms, e.g., schedules or salaries
Employer Obligation Thorough evaluation; strong reason required to reject Explicit approval mandatory
Consequences of Violation OR may involve the District Court of Westland; possible suspension Decision may be annulled

This distinction helps OR members and employees in Westland navigate transitions.

The Advisory Right Procedure

The employer must inform the OR in writing and well in advance—ideally four weeks before the decision is finalized. The OR can then request data, hold discussions, and submit a well-founded opinion, balancing both business and employee interests.

If the advice is ignored, the employer must justify this with a compelling reason. Within a month, the OR can petition the District Court of Westland to suspend or invalidate the decision. Often, this leads to negotiations, allowing the OR in Westland to negotiate improvements, such as a local social plan via the Municipality of Westland.

Practical Examples of Advisory Rights in Westland

Consider a medium-sized greenhouse business in 's-Gravenzande planning a restructuring due to declining sales prices. The employer intends to reduce staff by 20% and outsource tasks. Under Article 25 WOR, they must provide the OR with financial and employment impact details. The OR may propose alternatives, such as flexible hours instead of layoffs. Without adequate justification, the OR can escalate to the District Court of Westland, often accelerating negotiations and securing social safeguards. For personalized advice, contact Het Juridisch Loket Westland.

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