Section 2: Employee participation on the Board of Directors and the Supervisory Board.

Where no agreement has been reached and the special negotiating body has not taken the decision provided for in the second paragraph of Article L. 2352-13, employee participation in the European Company is governed by the following provisions: 1° In the case of a European Company formed by transformation, if there is a system of employee participation in the administrative or supervisory body prior to registration, all the elements of…

If only one form of participation exists within the participating companies, this system shall be applied to the European Company, taking into account the proportion or, as the case may be, the highest number of members concerned by participation rights in the administrative or supervisory body. If several forms of participation exist within the participating companies, the Special Negotiation Body shall determine which of these forms shall be introduced in…

In the absence of an agreement by the special negotiating body on the choice of the form of participation, the directors determine the form of participation applicable. The applicable system is always based on the highest proportion or number of members of the administrative or supervisory body concerned by the participation rights.

Where the applicable form of participation consists of recommending or opposing the appointment of members of the board of directors or supervisory board, the European Company Committee shall determine the conditions under which this form of participation is exercised. Where the form of participation chosen consists of the election of members of the board of directors or, where applicable, the supervisory board, the procedure is conducted in accordance with the…

Once the number of seats on the management body concerned has been determined under the conditions set out in Article L. 2353-31, the European Company Committee shall ensure that they are allocated in proportion to the number of employees of the European Company employed in each Member State. By way of derogation from these provisions, the committee shall ensure, as far as possible, that each Member State which had a…