Brussels, 12/12/2014 (Agence Europe) - The Italian Presidency has failed to rally the European delegations behind a highly flexible compromise on a quota of 40% of women on the boards of directors of major European companies. It is now unlikely that a further opportunity for an agreement will arise before June of next year.
Flexible compromise. At the Employment, Social Affairs and Consumers (EPSCO) Council of Thursday 11 December, the Presidency gave up on trying to win over the reluctant delegations to its compromise. The draft directive suggests a quota of 40% of women for non-executive posts on the boards of directors of major European companies quoted on the stock exchange. From 2020, the companies in question which have failed to achieve this figure will be obliged to set in place transparent recruitment procedures to guarantee that the under-represented sex is taken into account on the grounds of merit. In order to secure the support of the delegations opposed to the idea of the quota (Denmark, Estonia, Croatia, Hungary, Slovakia and the Netherlands), the Presidency drafted a compromise bringing in a flexibility clause and postponing the date of entry into force of the directive by three years. However, following discussions which continued until the eleventh hour, the Italian minister, Giuliano Poletti, was forced to accept that there was no majority “allowing progress to be made”, he told the Council.
Delegations divided. However, a great many expectations rested on the shoulders of the German delegation to prevent a blocking minority. Berlin has recently proposed an equivalent measure at national level (30% quota from 2016, see EUROPE 11206). However, Germany ultimately took the view that the proposal was not acceptable “for the time being”, as discussions on the matter have not yet been concluded domestically. Spain, on the other hand, expressed its support for the flexible approach put forward by the Presidency. For their part, Slovenia and Belgium lamented the lack of political will to reach an agreement. These three countries have taken national measures which have proved to pay off in getting more women on the boards of directors of their companies.
Political determination. The European Commissioner for Fundamental Rights, Vera Jourova, said that the member states must show political determination to make progress on the subject, given that the European Parliament has already approved the Commission's text. All hope therefore rolls over to the Latvian Presidency, but as it is not expected to tackle this dossier as a priority, according to one source, no agreement can realistically be expected before the EPSCO Council of June. (MD)