- 15 September 2023
- Posted by: WhiteFin Solutions
- Categories: International, Recruitment
As you might expect, the landscape of labour laws across the European Union (EU) is incredibly complex. Each member country holds a unique set of regulations that govern the employer-employee relationship. These labour laws play a pivotal role in safeguarding workers’ rights, shaping workplace dynamics, and promoting economic stability within their respective nations.
As we embark on a comprehensive exploration of the most significant labour laws within each EU country, we will uncover the multifaceted framework that upholds employment standards, covering diverse aspects such as employment status, contracts, remuneration, working conditions, leave entitlements, and protection against discrimination and unfair treatment.
This journey will illuminate the intricate tapestry of labour rights and responsibilities that collectively contribute to the harmonious functioning of the European workforce, ensuring both the welfare of employees and the sustainable growth of businesses throughout the EU.
The most important labour laws for the top EU countries
The following is a comprehensive list of the most important labour laws for each of the top EU member nations.
1. France
This overview provides a comprehensive understanding of employment law in France, covering various aspects of the employer-employee relationship and legal requirements. Please note that this is a simplified explanation, and specific legal advice should be sought for precise situations.
Employment Status
The existence of an employment relationship in France depends on three main elements:
- Performance of work,
- Compensation, and
- Legal subordination
Legal subordination refers to the employer’s authority to give orders, control work performance, and impose sanctions. Even if the contract states otherwise, an individual might still be considered an employee if these elements are met.
Employment Contracts
While there is no general requirement for employment contracts to be in writing, it is recommended to have a written employment contract outlining the basic terms and conditions of employment. Some types of contracts, such as fixed-term and part-time unlimited-term contracts, must be in writing.
Practicalities
Employers need to register with French authorities, verify employees’ right to work, conduct necessary checks (criminal record, regulatory), and ensure health and safety measures are in place. They should also have insurance for personal injury or disease sustained by employees.
Remuneration
The Collective Bargaining Agreement (CBA) or state minimum wage (SMIC) determines the minimum wage for employees. In financial institutions, variable remuneration is subject to specific rules, including deferral, non-cash instruments, and caps.
Pensions
French pension systems include mandatory schemes for both non-executive and executive employees, provided by Social Security Fund, ARRCO, and AGIRC.
Working Time and Holiday
Statutory working time is 35 hours per week for non-executive employees. Overtime is calculated beyond this. There are maximum limits for daily and weekly working hours. Flexibility is allowed for working time arrangements, and senior executives might have different working time arrangements.
Sickness Absence and Sick Pay
Statutory sick pay is provided for non-occupational sickness or accidents, with the amount depending on factors such as length of service and salary. Employers may be required to top up this pay.
Family and Carer Entitlements
Maternity and paternity leave are available with varying durations based on the number of children. Other statutory leaves like adoption or parental leave exist, and family pay is partly financed by the French Social Security Fund.
Data Protection
Employers need to comply with data protection laws, including a prior declaration to authorities (CNIL) and ensuring appropriate processing of personal data. Employees’ rights regarding their personal data must be respected.
Discrimination
Direct or indirect discrimination on various grounds is prohibited. Equal pay and treatment for employees doing the same work is a general principle. Whistleblowers are protected from dismissal for making “protected disclosures.”
Employment Disputes
Employers must follow disciplinary requirements and procedures, ensuring a fair process that safeguards employees’ rights. Consultation with works councils is required for specific matters.
Business Transfers
Employee contracts automatically transfer to the buyer or new service provider during a business transfer. Dismissals are prohibited during this process, and specific procedures apply for providing information to employees.
Notice Periods
Notice periods for termination vary based on the reason. Contracts or CBAs might alter the statutory minimum. There’s no minimum notice for resignations.
Reasons for Termination
Termination can occur for serious economic or personal reasons, following a fair and reasonable process.
Unfair Dismissal
Employees who believe they’ve been unfairly dismissed can bring claims to a Labour Court, which may award damages.
Redundancy
Dismissals for economic reasons must be unrelated to the employee, with procedures based on the number of employees affected. Severance pay and compensation apply.
2. Germany
This comprehensive overview provides insights into key aspects of employment law in Germany, covering employment status, contracts, obligations, rights, and various legal requirements for employers and employees. It’s important to note that employment law can be complex and may evolve, so specific legal advice should be sought when necessary.
Employment Status
Only individuals classified as “employees” (Arbeitnehmer) are protected under German employment law, distinct from “freelancers” (freier Mitarbeiter). Qualification is based on the practical nature of work relations, not just contractual terms. Legal representatives of employers generally do not have employee status.
Employment Contracts
While not required to be in writing, the main terms and conditions of employment must be recorded in writing within a month of starting. It’s advisable for employment contracts to be in writing.
Practicalities
Employers have various obligations, including company registration, health insurance registration, electronic tax authority registration, trade association/accident insurance registration, and ensuring valid residence titles for non-EU employees.
Remuneration
Employees must be paid at least the national minimum wage, subject to sector and regulatory restrictions. Remuneration is usually regulated by employment agreements, collective bargaining agreements, or works council agreements.
Remuneration in Financial Institutions
Additional restrictions apply to remuneration in financial institutions, including deferral of variable remuneration, clawback provisions, and caps on variable remuneration.
Tax and Social Security Contributions
Employers withhold income tax and pay social security contributions on behalf of employees. Employers are jointly liable for unpaid income taxes, and they must also pay accident insurance.
Pensions
Many companies have their own pension schemes, and employees have the right to participate. Employer-financed schemes are voluntary.
Working Time and Holiday
Maximum daily and weekly working hours are regulated, with collective bargaining agreements potentially affecting working hours. Employees are entitled to paid annual leave and public holidays.
Sickness Absence and Sick Pay
Sick pay is provided for employees unable to work due to illness or injury, with varying payment periods based on the duration of employment.
Family and Carer Entitlements
Maternity and parental leave are available for employees, with periods before and after childbirth. Parental leave can extend until the child’s third birthday.
Data Protection
Employers must comply with data protection laws and can process data for necessary employment-related purposes.
Discrimination
Discrimination based on various grounds is prohibited, including race, sex, religion, disability, age, and sexual identity.
Whistleblowing
Germany lacks specific provisions for whistleblowing, and handling disclosures by employees is assessed case-by-case.
Disciplinary Measures
Employers can issue written warnings for breaches of contractual duties, which may lead to unilateral termination based on conduct-related reasons.
Information/Consultation Requirements and Co-determination
Employees’ interests are represented by bodies like works councils, which have information, consultation, and co-determination rights.
Business Transfers
Employee rights are protected in business transfers, and information must be provided to employees. Dismissals and changes to terms are subject to limited circumstances.
Notice Periods
Statutory minimum notice periods exist, and agreements for longer or shorter notice periods are possible. Garden leave is recognised under certain conditions.
Reasons for Termination
Termination must be socially justified and based on specific reasons, including employee-related, conduct-related, and operational grounds.
Protection against Dismissal
Protection against unfair dismissal applies to employees employed for over six months by employers with more than 10 employees. Special protections exist for certain employee categories.
3. The Netherlands
Here, we’ll provide insights into key aspects of employment law in the Netherlands, covering remuneration, benefits, working time, notice periods, protections against discrimination and dismissal, and various other legal requirements for employers and employees. Keep in mind that employment law is complex and can evolve, so seeking specific legal advice when necessary is important.
Remuneration
Employees must be paid at least the national minimum wage, which varies depending on the age of the employee. There may be regulatory restrictions on remuneration based on the sector or position.
Remuneration in Financial Institutions
Additional regulations apply to remuneration in financial institutions, including deferral of variable remuneration, caps on bonuses, and mandatory clawback provisions.
Pensions
Employers are not obliged to provide a pension scheme, but certain employers are required to have employees participate in mandatory industry-wide pension funds. Collective labour agreements can also require pension schemes.
Working Time and Holiday
Maximum weekly working hours are regulated, with rest breaks and limitations on daily and weekly working hours. Employees are entitled to paid leave and holiday allowance.
Sickness Absence and Sick Pay
Employees unable to work due to illness or injury are entitled to continued payment of a percentage of their salary during the first two years of incapacity, with a cap on the maximum daily wage.
Family and Carer Entitlements
Maternity leave, adoption leave, and unpaid parental leave are available for employees. Female employees are entitled to social security benefits during pregnancy and maternity leave.
Data Protection:
Employers are required to comply with data protection legislation when obtaining, processing, and storing personal data about employees.
Employment Status
Different rights apply to individuals classified as employees, temporary workers, or independent contractors. Employment status is determined by the actual arrangement between the individual and the receiving entity.
Employment Contracts
Employers are required to provide particulars of employment to employees, and while a written contract is not obligatory, many employers opt for written contracts. Collective labour agreements may also impact employment terms.
Consecutive Fixed-Term Employment Agreements
Employers can enter into consecutive fixed-term employment agreements up to a maximum duration, after which the agreement is considered indefinite.
Probationary Period
Probationary periods must be specified in writing, and the duration is set by law based on the type of employment agreement.
Practicalities
Employers have various obligations, including tax registration, right-to-work checks, good conduct checks, and ensuring the health and safety of employees.
Discrimination
Discrimination based on various protected characteristics is prohibited, including age, sex, race, disability, sexual orientation, religion, belief, maternity, and gender reassignment.
Works Councils
In the Netherlands, works councils have significant information, consultation, and approval rights, and their role includes advising on important decisions and changes to employment terms.
Transfer of Undertaking
When an undertaking is transferred, rights and obligations from employment agreements transfer by law. Consultation with works councils and information to employees is required.
Advance Warning of Renewal or Non-Renewal
Employers must provide advance written warning to employees about renewing or non-renewing fixed-term employment agreements.
Notice Periods
Statutory minimum notice periods are specified, and agreements for longer notice periods are possible. Garden leave and payment in lieu of notice are options.
Summary Dismissal
Both employers and employees can terminate an employment agreement with immediate effect under specific circumstances. Disputed summary dismissals can be challenged.
Reasons for Termination
Unilateral termination of employment requires a “reasonable ground.” Different procedures apply based on the reason for dismissal.
Transition Fee
Employees with at least 24 months of service are entitled to a transition fee in certain termination scenarios. There are caps and exceptions based on circumstances.
Collective Dismissal
Employers proposing to dismiss a significant number of employees within a specific period are subject to consultation, notification, and information obligations.
4. Italy
This comprehensive overview provides insights into key aspects of employment law in Italy, covering employment status, contracts, collective agreements, remuneration, working hours, holidays, sick leave, discrimination, disputes, redundancy, and various other legal requirements for employers and employees. As with any legal matters, it’s important to seek specific legal advice when needed, as employment law can be complex and subject to change.
Employment Status
Individuals providing services in Italy are classified as subordinate employees, self-employed workers, or agents, each with different rights. The classification depends on the actual arrangements between the individual and the employer. Self-employed workers or agents could be reclassified as employees based on the way they are managed.
Employment Contracts
Employers must provide employees with written particulars of employment, including job details, wages, hours, holidays, probationary period, and notice, within 30 days of employment. While a written contract is not obligatory, most employers recognise the value of tailoring terms in a written contract.
Collective Agreements
Employers often apply national collective agreements (NCAs), which are sector-specific and cover a wide range of employment terms, including minimum salary, holidays, notice periods, duties, and disciplinary sanctions.
Practicalities
Employers must fulfil various obligations, including registration with social security and insurance authorities, right-to-work checks, compliance with health and safety regulations, and relevant filings related to employment contracts.
Remuneration
While there is no national minimum wage, employees are entitled to receive a salary proportional to their work. If an NCA is applied, employees must receive at least the minimum wage specified in the agreement.
Remuneration in Financial Institutions
Financial institutions often supplement base pay with benefits and variable remuneration, subject to restrictions such as deferral, caps, and clawback provisions.
Pensions
Employers must enrol employees in the mandatory state pension scheme, with both parties contributing. NCAs may also provide for defined contribution supplemental pension funds.
Working Time and Holiday
The standard working week is 40 hours, and the maximum weekly working hours must not average more than 48 hours over four months. Rest breaks, weekly hours, and holiday entitlement are regulated, with variations allowed under NCAs.
Sickness Absence and Sick Pay
NCAs provide for time off due to illness or injury, with entitlement to retain the job. Statutory sick pay is determined by the applicable NCA.
Family and Carer Entitlements
Discrimination by employers based on various protected characteristics, such as age, sex, race, disability, and more, is prohibited. Equal pay for equivalent work is also mandated.
Data Protection
While there is no specific legislation protecting whistleblowers, specific protections apply to employees of the Italian Public Administration.
Employment Disputes
A set procedure is outlined for dealing with disciplinary matters against employees, ensuring proper notification and defence rights.
Consultation Requirements
Employers must inform and consult with trade unions and employees’ representatives in certain cases, including business transfers and collective redundancies.
Business Transfers
When a business or part of it is sold, employees assigned to that part automatically transfer to the buyer. Employers must inform and consult with relevant parties.
Notice Periods
Notice periods are set by NCAs based on the employee’s length of service. Statutory minimum notice periods exist and can be substituted with payment in lieu.
Reasons for Termination
Termination must be justified by a company-related reason, a justified subjective reason (misconduct), or just cause (serious breach). Unfair dismissal claims can be brought before the Italian Employment Court.
Redundancy
Collective redundancies are subject to a consultation process with employees’ representatives and trade unions if a certain number of redundancies are proposed in a specific period.
5. Poland
This comprehensive overview provides insights into key aspects of employment law in Poland, covering employment status, contracts, remuneration, working time, leave entitlements, data protection, discrimination, disputes, and various other legal requirements for employers and employees. As employment law can be complex and subject to change, it’s advisable to seek specific legal advice when needed.
Employment Status
Individuals providing services in Poland are classified as either employees or parties to civil law contracts. The classification depends on the intent of the parties and the legal relationship between them. The scope of employer obligations varies depending on the type of contract.
Employment Contracts
Employment contracts in Poland must be in writing, executed in Polish, and include basic terms and conditions such as parties, type of contract, work details, place, wages, and hours. The contract must meet or exceed the standards set in the Polish Labour Code.
Remuneration
Employers must register employees with tax and social security authorities. Non-EU/EEA employees need a valid work permit.
Remuneration in Financial Institutions
Additional benefits and variable remuneration are common in financial institutions, subject to restrictions for material risk takers.
Pensions
Eligible workers must be enrolled in a national pension scheme, with mandatory contributions from the employer.
Working Time and Holiday
The standard working week is 40 hours, but flexible working time systems are allowed. Overtime work is acceptable and must be paid. Rest breaks, holiday entitlements, and public holidays are regulated.
Sickness Absence and Sick Pay
Statutory sick pay is available for employees unable to work due to illness, subject to conditions.
Family and Carer Entitlements
Statutory maternity leave, maternity pay, and parental leave are provided. Fathers are entitled to paternity leave. Parents can share parental leave.
Data Protection
Employers must comply with data protection legislation and employees can request access to their personal data.
Discrimination
Discrimination based on various characteristics is prohibited. Equal pay for equivalent work is required.
Consultation Requirements
Consultation obligations primarily involve recognised trade unions, covering various situations including termination, dismissals, telework, workplace regulations, transfers, and collective redundancies.
Business Transfers
In the event of an employing establishment transfer, the employment relationship automatically transfers with existing terms and conditions.
Notice Periods
Statutory notice periods range from two weeks to three months, with the possibility of shorter periods in certain circumstances.
Termination of Employment by Mutual Agreement
Employers and employees may mutually terminate the employment contract, with conditions differing from those in the Polish Labour Code.
Unfair Dismissal
Employers must provide reasons for termination and consult with trade unions if applicable. Employees may seek compensation or reinstatement if termination provisions are violated.
Redundancy
Employers must carry out fair redundancy selections and consultations to minimise unfair dismissal or discrimination claims, with specific requirements for collective redundancies.
6. Portugal
This overview provides insights into key aspects of employment law in Portugal, covering employment contracts, remuneration, working time, leave entitlements, data protection, discrimination, and various other legal requirements. Keep in mind that employment law can be complex and subject to change, so it’s recommended to seek specific legal advice when necessary.
Employment Contracts
Written employment contracts are generally not required except for specific types, such as fixed-term contracts, part-time contracts, contracts with foreign employees, and others. Employers must provide certain particulars in writing, and collective labour agreements are common.
Practicalities
Employers are liable for employee-caused damages, even if against instructions. Companies with reciprocal participation or group relationships can be jointly and severally liable.
Remuneration
Portugal has a national minimum wage, applicable to all full-time employees. Collective bargaining agreements are common and may set higher minimum wages.
Remuneration in Financial Institutions
Additional benefits and variable remuneration are common, and subject to restrictions. Special rules apply to material risk takers, including deferral, non-cash instruments, and clawback of variable remuneration.
Pensions
Both employers and employees contribute to social security, covering pensions and other social protection schemes. Supplementary pension schemes may be offered by some employers.
Working Time and Holiday
Maximum working periods are set, but alternative regimes can be established in collective bargaining agreements. Employees are entitled to at least 22 holiday days, nine public holidays, and two optional holidays.
Sickness Absence and Sick Pay
Sick pay is provided by state social security schemes for up to 1,095 days, covering a percentage of the employee’s salary.
Family and Carer Entitlements
Mandatory maternity leave, paternity leave, and shared parental leave are provided. The latter is paid at varying percentages of salary.
Data Protection
Employees’ data is protected under European Data Protection regulations. Employers have restrictions on requesting personal information unless justified.
Discrimination
Employers cannot discriminate based on various characteristics, including parentage, age, gender, sexual orientation, disability, nationality, religion, and more.
Whistleblowing
There’s no specific legal protection for employees who blow the whistle.
Consultation Requirements
Employees can establish works councils, which must be consulted on various decisions, such as promotions, business changes, terminations, and insolvency.
Business Transfers
In case of business transfers, existing employment contracts automatically transfer to the purchaser.
7. The Republic of Ireland
This overview provides insights into key aspects of employment law in The Republic of Ireland, covering employment contracts, remuneration, working time, leave entitlements, data protection, discrimination, and various other legal requirements. Please note that employment law can be complex and subject to change, so it’s recommended to seek specific legal advice when necessary.
Employment Status
Individuals’ rights and classifications (employee, self-employed, or independent contractor) vary, and statutory employment rights generally apply to employees.
Employment Contracts
While not legally required, written statements with specific particulars must be provided to employees within two months of starting employment.
Practicalities
Employers must register with the Irish Revenue Commissioners, ensure employees’ right to work, conduct relevant checks, and maintain health and safety.
Remuneration
Employees are entitled to the national minimum wage, with varying rates over time.
Remuneration in Financial Institutions
Base pay is supplemented with benefits and variable remuneration, subject to restrictions, particularly for material risk takers.
Pensions
Employers and employees contribute to social insurance for state benefits, including pensions, with optional supplementary pension arrangements.
Working Time and Holiday
Weekly working hours are limited, with exceptions, and employees are entitled to annual leave, public holidays, and additional holiday entitlement.
Sickness Absence and Sick Pay
Employers are not obliged to pay sick pay, but state welfare may provide payments after a specified period of absence.
Family and Carer Entitlements
Maternity leave, paternity leave, parental leave, and carer’s leave are provided, each with specific entitlements.
Data Protection
Employers must comply with applicable data protection legislation, and employees have the right to access their personal data.
Discrimination
Employers and employees are prohibited from discrimination based on various characteristics.
Whistleblowing
Statutory protection is provided for whistleblowers disclosing wrongdoing in both public and private sectors.
Consultation Requirements
Large businesses must consult employees on transnational matters, and Irish businesses with over 50 employees must consult with a works council.
Business Transfers
Employees’ contracts transfer automatically in case of a business sale or service provider change.
Notice Periods
Statutory minimum notice periods exist for both employers and employees, with additional specifications in employment contracts.
Reasons for Termination
Termination must be based on specific reasons such as conduct, capability, redundancy, breach of statute, or “some other substantial reason.”
Unfair Dismissal
Employees with at least 12 months’ service can claim unfair dismissal, potentially leading to reinstatement, re-engagement, or compensation.
Redundancy
Employers must implement redundancies fairly and provide notice, with specific consultation procedures for collective redundancies.
8. Spain
This overview provides insights into key aspects of employment law in Spain, covering employment contracts, remuneration, working time, leave entitlements, data protection, discrimination, and various other legal requirements. Please note that employment law can be complex and subject to change, so it’s recommended to seek specific legal advice when necessary.
Employment Status
There are three main types of employment status in Spain: permanent employment, senior management contracts, and temporary employment for specific periods. Each type has distinct legal conditions and constraints.
Employment Contracts
Contracts can be verbal or written, though written contracts are common and advisable. They should include essential terms such as job title, wages, working hours, and holiday entitlement.
Practicalities
Employers must be registered with tax and social security authorities, notify relevant hiring to the Spanish Public Employment Service, provide written contracts to workers’ representatives (if any), and ensure health and safety.
Employee Representation
Labour unions represent employees nationally, geographically, or within sectors. At the company level, works councils or personnel delegates may monitor compliance with employment provisions.
Collective Bargaining Agreements (CBAs)
CBAs establish minimum terms and conditions, which can exist at national, geographical, sector, or company levels. Company-level CBAs often take precedence.
Remuneration
Employees must receive at least the national minimum wage, with potential enhancements through CBAs.
Remuneration in Financial Institutions
Similar to other sectors, financial institutions supplement base pay with benefits and variable remuneration subject to specific restrictions and requirements.
Pensions
Contributory employees and their dependents have entitlements to various benefits, including public healthcare, sickness benefits, disability benefits, death benefits, maternity/paternity benefits, unemployment benefits, and public pensions.
Working Time and Holiday
Maximum weekly working hours are set, with entitlements to rest breaks and paid leave. Employees are entitled to at least 30 calendar days of paid leave plus public holidays.
Sickness Absence and Sick Pay
Employees unable to work due to illness or injury may be entitled to public sick pay, often topped up by employers according to CBAs.
Family and Carer Entitlements
Statutory maternity and paternity leave and benefits are provided, often enhanced by employers. Similar leave entitlements apply to adopters.
Data Protection
Employers must comply with strict data protection legislation and employees have the right to access their personal data held by the employer.
Discrimination
Discrimination based on various characteristics is prohibited, and employees have the right to claim compensation for damages if the employer has not acted diligently to prevent discrimination.
Employment Disputes
Employees are protected from dismissal or detriment for making protected disclosures about certain wrongdoings by their employer.
Consultation Requirements
Specific consultation obligations arise for collective redundancies or substantial modifications of employment conditions.
Business Transfers
On the transfer of a business, employees automatically transfer under existing terms and conditions. Companies involved share liability for employment obligations before and after the transfer.
Procedure
Termination of employment requires formal notification, and employees have 20 working days to challenge the dismissal. Notice periods vary based on circumstances.
Unfair Dismissal
Employees can file dismissal claims, potentially resulting in reinstatement, compensation, or other outcomes, depending on the case.
Redundancy
Redundancies are formal processes requiring statutory redundancy pay. Collective redundancy situations involve a consultation process.
9. Sweden
This overview provides insights into key aspects of employment law in Sweden, covering employment contracts, remuneration, working time, leave entitlements, data protection, discrimination, and various other legal requirements. Please note that employment law can be complex and subject to change, so it’s recommended to seek specific legal advice when necessary.
Employment Status
Individuals providing services are classified as either employees or consultants. The distinction depends on the actual arrangement between the individual and the entity receiving the services.
Employment Contracts
Employment contracts in Sweden can be verbal or in writing. Employees must receive written particulars of employment with material terms and conditions within a month if the period of employment is longer than three weeks.
Practicalities
Employers must be registered with the Swedish Companies Registration Office and Tax Authorities before hiring employees. They are also required to follow applicable laws, and collective bargaining agreements, and provide a safe work environment. Non-EU/EEA citizens generally need work and residence permits.
Remuneration
There is no statutory minimum wage in Sweden, but collective bargaining agreements typically include wage provisions.
Remuneration in Financial Institutions
Base pay can be supplemented with benefits and variable remuneration, with specific rules for material risk takers.
Pensions
Most employees have both a statutory pension and a supplementary pension based on individual contracts or collective bargaining agreements.
Working Time and Holiday
Regular working hours are up to 40 hours per week. Overtime is possible with specific limits. Employees are entitled to 25 days’ annual leave, with additional days for certain conditions and public holidays.
Sickness Absence and Sick Pay
Sick pay is available for employees for a specific period, and thereafter, sick pay is provided by the Social Insurance Office. Enhanced sick pay may be included in collective bargaining agreements.
Family and Carer Entitlements
Employees have parental leave entitlements and certain job protections. Reduced working time is also allowed for parental care. Temporary parental leave is available for caring for a sick child.
Data Protection
Employers must comply with data protection legislation and employees have the right to access their personal data held by the employer.
Discrimination
Discrimination based on various characteristics is prohibited, and employees have the right to claim compensation for damages. Equal pay for equivalent or equal-value work is also mandated.
Whistleblowing
While there is no statutory protection for whistleblowers, there are alternative mechanisms for reporting misconduct. Additional protections may be present in collective bargaining agreements.
Employment Disputes
Employment disputes are typically brought before the Swedish Labour Court. Disputes can also be handled by an arbitral tribunal, agreed upon by both parties.
Consultation Requirements
Employers must consult with trade unions before making significant changes in activities or employment conditions. Failure to consult may result in damages.
Business Transfers
In a transfer of a company or business, employees transfer automatically with their terms and conditions, unless they object. Consultation is required.
Notice Periods
Statutory minimum notice periods are based on an employee’s length of service and age. Individual contracts or collective bargaining agreements may specify longer notice periods.
Unfair Dismissal
Valid reasons for dismissal include serious conduct-related reasons or redundancy due to a shortage of work. Dismissed employees may initiate legal proceedings for wrongful dismissal and damages.
Redundancy
Redundancy is a valid ground for dismissal, but employers must consider vacant positions and follow certain procedures, including consultation and notification to the Swedish Public Employment Service.
Conclusion
As we’ve highlighted throughout this article, the European Union holds a plethora of labour laws across each member state. For example, the laws you may face when expanding your business into France compared to Italy can differ greatly. We’ve only highlighted labour laws of the top 9 EU member nations — there are 27 in total as of writing. However, you don’t have to face expansion into this powerful market alone.
WhiteFin Contracting stands as the preeminent choice for enterprises seeking steadfast and dependable hiring solutions across the EU. With a wealth of experience in international payroll and an unwavering commitment to adherence, WhiteFin Contracting emerges as a comprehensive and expert provider of payroll and hiring services.
A pivotal advantage of partnering with WhiteFin lies in their profound mastery of international payroll intricacies and European hiring practices. Their profound comprehension of the multifaceted landscape within European jurisdictions empowers businesses to entrust WhiteFin with navigating local labour laws, tax regulations, and diverse compliance demands proficiently and assuredly.