International Industrial Relations in the ENI group

1
International Industrial Relations in the ENI
group

• Dario Ilossi,
• FEMCA CISL, EWC Coordinator
• ETUC Conference
• Social Standards and Globalisation
• Turin, 27th November 2004

Dario Ilossi, November 2004
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ENI and IIR a pathway

• 1995 EWC agreement
• 1996 Health safety European Observatory
• 2001 agreement on training
• 2002 Renewal of EWC agreement
• 2002 International Industrial Relations CSR
  agreement

Dario Ilossi, November 2004
3
AGREEMENTS in 2002 and 2003a remarcable
improvement

• EWC increased role of the Select Committee
• H S Observatory better operativeness
• Training Pilot Project on interculturalism
• IIR and CSR Agreement

Dario Ilossi, November 2004
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ENI IR Protocol, 2001basics and principles

• Peculiar IR tradition
• New needs, new IR system
• running the change
• Information,consultation
• Choises shared as much as possible
• Structured participation
• a sort of Surveillance Board the joint
  Industrial Relation Committee

Dario Ilossi, November 2004
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ENI IR Protocol, 2001Attached agreements

• Training and life-long learning
• guidelines, joint programs
• Environment, health safety
• Joint evaluation and programs
• Staff shares ownership
• Study on feasibility
• International Industrial Relations

Dario Ilossi, November 2004
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ENI IR Protocol, 2001Attached agreement on IIR

• Context increasing ENI internationalization
• Renewal of EWC agreement more efficacy and role
• European H S Observatory increase of activity
• extra-European areas basic standards,
  information consultation

Dario Ilossi, November 2004
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ENI Agreement on International Industrial
Relations and Corporate Social Responsability,
2002

• Contracting parties Eni holding, italian
  sectoral Federations, ICEM
• Dialog on social and economic fall-out of Eni
  presence and expansion
• 4 parts
• observance of core standards
• commitment to the Code of conduct
• implementation procedures
• final provisions

Dario Ilossi, November 2004
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ENI IIR and CSR Agreementcontent and procedures

• active implementation of UN Declaration and ILO
  Conventions
• commitment to optimize and implement the Groups
  principles
• implementation procedures
• internal monitoring
• reciprocal notification of abnormal situations
  or violation, Eni action for eliminating anomalies

Dario Ilossi, November 2004
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ENI IIR and CSR Agreementcontent and procedures
(2)

• Implementation procedures (2)
• parties may agree affermative programs
• propagation of the Agreement
• establishment of constructive IR with democratic
  Unions and workers representatives
• annual meeting
• economic-financial topics, future prospects at
  world level
• development on IR, critical situations
• HS, CSR actions

Dario Ilossi, November 2004
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ENI to-day some figures

• 6th major energetic company
• Market capitalization gt70 Euro Bln
• 2003
• Business in more than 70 Countries
• Approx. 76.000 workers worldwide
• Turnover ab. 51,5 Euro Bln
• Net profit ab. 5,6 Euro Bln
• Privatized company (70)

Dario Ilossi, November 2004
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ENI to-day the structure
Polimeri Europa SpA (petrochemicals)
Dario Ilossi, November 2004
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ENI worldwide (2002)
Dario Ilossi, November 2004
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ENI Workforce as of 31.12.02
Dario Ilossi, November 2004
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ENI WorkforceItaly and abroad
Dario Ilossi, November 2004
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Agreement in practice some cases

• Meeting 2003
• strategic plan 2003-2006
• BTC pipeline (Baku-Tbilisi-Ceyan)
• supposed violation of OECD guidelines, ch. 5
• Dismissal of a worker, Brasil
• Disinvestments/investments extra UE
• Brasil
• Romania

Dario Ilossi, November 2004
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Implementation of the Agreement weakness
points

• Limited commitment of the company
• difficulties of HR communication, central vs.
  local
• no specific programmes
• Inadequacy of the Unions network
• difficulties in local situation and Icem
  coordination
• limited priorities to international affairs
• Activities with other stakeholders
• no Unions involvement

Dario Ilossi, November 2004
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Some remarks and questionsENI agreement a
schematic evaluation

• a significant agreement
• a pionering agreement
• negotiated with Unions
• International Federation recognised
• 3 pillars
• fundamental rights, labour standards
• internal Code of Practice
• information consultation system
• joining IR and CSR
• but it needs improvements

Dario Ilossi, November 2004
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ENI to improve the agreement

• Principles reference to the OECD guidelines on
  multinationals
• Info cons. an enlarged presence
• sensibilization training programmes
• pro-active measures for IR
• cooperation with other stakeholders

Dario Ilossi, November 2004
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ENI to improve the agreement (2)

• Improvement of Operational structure
• monitoring and proposals
• management of critical situations
• concrete support
• networks (Company and Unions)
• affirmative programs (IR, HS, etc.)
• Next meeting on 3rd December

Dario Ilossi, November 2004
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Some remarks and questionsfrom ENI agreement
experience (1)

• Complexity and dynamics of the companies
• Hundreds of subsidiaries, consortiums, etc.
• Temporary business, contract/agency work
• EWC role
• promotion, New Member/Accession States
• but distinct scope and mission
• Company- or sectoral-level agreements
• not alternative level
• word-level sectoral difficulties (ICEM case)

Dario Ilossi, November 2004
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Some remarks and questionsfrom ENI agreement
experience (2)

• Relevance of company culture and identity
• But now extensive need of moral re-entry
• New legitimation for enterprise action
• Making wealth is not sufficient
• Rules and ethic/social practice
• Link between social cohesion and competitiveness
• Sensitive in Europe and Euro-centric companies
• Corporate Social Responsability
• Sustainable development
• Strategic approach for enterprises

Dario Ilossi, November 2004