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ARTICLE · 03 APRIL 2018

M&A: Key Considerations In Transactions With EU Employees

The employment law landscape across the EU Member States is often markedly different from that in the US.

European UnionEmployment and HR

The employment law landscape across the EU Member States is often markedly different from that in the US. Here, we take a look at five important employment issues to be aware of when a transaction includes employees in the EU.

1. Employee Representative Organizations. At the outset of any transaction involving EU employees, it is important to identify whether there is any organization representing the interests of such EU employees. Collective labor law is relatively undeveloped on an EU-wide level, meaning that each Member State has its own requirements. But, broadly speaking, it is not uncommon for there to be trade unions, works councils and collective bargaining agreements to contend with in the EU (either at an industry, company or workplace level). For example, in France, a company that has at least 11 employees will have an employee representative body known as a comité social et économique, while in Germany, there will be a works council in place if there are

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