EU ministers announce new WTD proposal

After years of impasse, EU ministers came to a political agreement on the way forward with a long-delayed new Working Time Directive (WTD). This agreement still must be formally adopted as an EU Common Position and run the gauntlet of EU Parliamentary scrutiny. However, as currently drafted, it would be acceptable to the offshore E&P industry.

Above all, it would solve the “Jaeger” issue, which involves a decision by the European Court of Justice holding that any time an employee is at the “call” of the employer constitutes working time. That would make it virtually impossible for most EU employers to manage shift cycles, including traditional offshore rotas.

The sticking point these many years in resolving the court decision had been the UK’s insistence on an “opt-out” from the directive for employees wanting to work longer than the 48-hour weekly maximum. The opt-out was primarily opposed by France, Italy, Spain and Greece, but the Slovenian Presidency cobbled together a compromise supported by a qualified majority of EU Member States. A Member State under the proposal could choose a 12-month reference period – a key objective of IADC for offshore work – but must relinquish the opt-out. If choosing to retain the opt-out, the reference period’s limited to six months.

The proposal has the support of the UK government and is generally endorsed by the offshore industry. However, even if the new version of the WTD becomes law, ongoing litigation involving the application of the earlier WTD in the UKCS will continue in the Scottish Employment Tribunal in Edinburgh in December. Differences between employer and employee groups remain wide in that case.

For more information, contact Brian Petty at 1/202-293-0670 (brian.petty@iadc.org).