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Presentation by Dario Ilossi_ FE

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					 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
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
AGREEMENTS in 2002 and 2003:
a 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
ENI IR Protocol, 2001
basics 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
ENI IR Protocol, 2001
Attached 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
    ENI IR Protocol, 2001
    Attached 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
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
 ENI IIR and CSR Agreement
 content and procedures

 “active” implementation of UN
  Declaration and ILO Conventions
 commitment to optimize and
  implement the Group’s principles
 implementation procedures:
        internal monitoring
        reciprocal notification of abnormal situations or
        violation, Eni action for eliminating anomalies

         Dario Ilossi, November 2004
    ENI IIR and CSR Agreement
    content 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
          H&S, CSR actions

          Dario Ilossi, November 2004
ENI to-day: some figures

   6th “major” energetic company
   Market capitalization: >70 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
ENI to-day: the structure




  + Polimeri Europa SpA (petrochemicals)


    Dario Ilossi, November 2004
ENI worldwide (2002)




    Dario Ilossi, November 2004
ENI
Workforce
as of
31.12.02




            Dario Ilossi, November 2004
     ENI Workforce
     Italy and abroad

80
70    66,7
                    62,6
60                                   54,2     55,2     54,4
50                                     45,8     44,8     45,6
                        37,4                                    Italy, %
40       33,3
                                                                Abroad, %
30
20
10
0
       Dec.          Dec.            Dec.     Dec.     June
       2000          2001            2002     2003     2004

       Dario Ilossi, November 2004
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
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
Some remarks and questions
ENI 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
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
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, H&S, etc.)

    Next meeting on 3rd December
       Dario Ilossi, November 2004
    Some remarks and questions
    from 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
    Some remarks and questions
    from 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

				
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