Ever since General Motors (GM) worldwide introduced the strategy of improving productivity by outsourcing the conclusion of a legally binding framework has been a top priority for the Employee Representatives of all European GM sites.

To date the experience of the Employee Representatives has shown that outsourcing measures have often not been supported by a business case and have led to negative effects for the company yet GM continued to outsource.

With regard to this, Unions and Works Council Representatives have to date only had some limited or no co-determination rights at a national level to avoid outsourcing or to influence it in a socially acceptable manner.

In order to avoid this, the framework, which will cover all sites of General Motors Europe, sets forth a unique information and consultation process that provides the opportunity for the Employee Representatives to scrutinize the Management planning data, and to submit their own alternative proposals with particular emphasis on taking into account any potential negative effects on restricted workers at the site. In the case of any transfer of employees to a supplier the company gives social guarantees which are considerably above the legal standard in the affected countries. A transfer of employees may only happen on a voluntary basis. The affected employees shall be treated as if they continued to be employed by GM for a minimum period of 5 years. In the event that the company contract with the supplier expires the right to return is guaranteed for a minimum of 5 years also.

In the case of outsourcing the provisions of the framework on minimum standards in the case of outsourcing can be improved upon at the national level as is envisioned for example for the GM/Opel sites in Antwerp (Belgium) and Bochum (Germany).