Akavan Erityisalojen Keskusliitto AEK ry and others v Fujitsu Siemens Computers Oy

In this case the ECJ ruled that the duty consult under the EC collective redundancy Directive was triggered where the strategic decisions or change of activities were taken which compelled the employer to contemplate or plan collective redundancies. In a corporate group, the duty to consult only arises however once the parent company identifies the subsidiary to be affected and is not dependent on the subsidiary employer being able to supply all necessary information to employee representatives. The subsidiary employer must conclude the consultation procedure before the parent company makes the final decision on the redundancies.

Key point: A critical issue for employers in a collective redundancy situation is when does the obligation to hold consultation with their employees arise.