Information and Consultation at Nortel Networks

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Information and Consultation at Nortel Networks

• Eimear OConnor
• Employee Relations (EMEA)

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Nortel Networks at a Glance

• Our history
• Over 100 years at the forefront of major
  technological innovations in telecom
• Our operations
• Serving more than 150 countries
• Our people
• Approximately 36K employees worldwide
• Our financials
• 2002 Revenues of US10.6B
• 2002 RD expenditure of US2.2B

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Our Customers

• Service providers
• Public network carriers
• Wireless operators
• Multi-service operators (cable companies)
• Enterprises
• Small, medium and large businesses
• Financial institutions
• Educational institutions
• Hospitality industry
• Healthcare facilities
• Public institutions and government agencies
• Other industries

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Our Organization

• Addressing the needs of multiple markets and
  customers
• Leveraging technology portfolio across various
  market segments
• Common technological and networking expertise,
  operations and customer service

WirelessNetworks
4.2B
EnterpriseNetworks
WirelineNetworks
2.3B
2.6B
OpticalNetworks
1.5B
2002 Revenues (US)
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Information and Consultation

• Global Approach
• Inform employees directly (Email, webcasts, GIS)
• Respect IR practices of individual countries
• Adhere to principal of UN charter- Right to
  Association
• Regional (European) Level
• European Works Council (NEF)
• IC on high impact change
• Minimise EWC power and manadate over local issues
• National Level
• Local works councils takes presidence over EWC
• Unions
• Other informal structures

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European Level

• NORTEL EUROPEAN FORUM (NEF)
• To create a joint understanding of the
  objectives, strategy, competitiveness and
  performance of the company, its operating
  environment and market position.
• Maintain and reinforce the local consultative
  processes not replace them.
• Improve communication and understanding across
  the Nortel European organisation

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European Level

• NORTEL EUROPEAN FORUM (NEF)
• Subjects for Discussion
• Financial Performance
• Market position
• Strategic development
• People strategy
• Does not include
• Negotiations
• Compensation
• Salaries and other non-wage benefits
• Local/national topics
• Matters relating to individuals

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European Level

• 2002 Activity
• May Annual Meeting
• Sept Extraordinary meeting
• Nov Training
• 2002 NEF Costs 75k approx.

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National Level
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National Level Employee Participation
Information
Consultation
Co-determination (collective bargaining)
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National Level UK Ireland

• No formal structures in place
• Employee representatives elected under certain
  circumstances
• Collective redundancies
• Transfer of undertakings
• National IC Directive
• UK 2003
• Ireland 2004

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Information Consultation

• Not just about compliance!
• Faraday Lectures
• Tech Expo 2003
• Focus Groups

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Information Consultation - Issues

• Investment in time
• Costs
• North American business culture
• Dont always get what you want!

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Why Inform Consult?

• Following due process minimises risk of
  litigation
• Avoid bad PR
• Maintain reputation as a good employer
• Staff feel more involved valued by employer
• Makes employees more aware of the business
  climate
• Employees more responsive better prepared for
  change

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