Updated 18/09/2024
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Article 16 - Impact assessment on employees

Article 16

Impact assessment on employees

When preparing the impact assessment on employees in accordance with Article 12(7), point (o), of Regulation (EU) 2021/23, the resolution authority shall ensure that at least the following elements are reflected in the resolution plan:

(a)

a description of the different types of employees and categorisations of how different types of employees are to be informed and managed in a resolution situation and the estimated impact of the plan on the different types of employees of the CCP;

(b)

a description of how to mitigate loss of critical employees before the resolution and how to create effective incentives in a resolution to maintain critical employees identified based on their value and relevance during a resolution phase; aspects to bear in mind include: (i) any regulatory procedures required to be followed in resolution, (ii) assessments as to the envisaged effectiveness of incentive structures, (iii) the possibility to undertake changes in employment contracts, conditions and organisation during a resolution phase, and (iv) an estimate of any associated costs of maintaining critical employees or recruitment, including an assessment of any associated costs taking into account relevant national rules for compensation and reimbursements during resolution;

(c)

a description of the plan for communication with employees, including a description of envisaged procedures to consult with employees during the resolution process, taking into account any national rules and systems for dialogue with social partners, the management, owners, and staff unions.