As head of employment at the London office of McDermott Will & Emery, Fraser Younson says an area that should be showing on corporate counsel’s radar is the future requirement for collective consultation under the Information and Consultation Directive 2002. While the legislation does not come into effect until March 2005, it is wise for companies to address this issue strategically as soon as possible.

The legislation will put companies with more than 150 employees at risk of being required (if requested by their workforce) to set up consultative committees known as works councils. Companies will have to inform and consult with these councils about any major changes to the business that might affect job security, and, in effect, negotiate substantial changes in working conditions and work organisations with their employees.