The majority of EU member states did not take concrete action last year to increase the number of workers benefiting from collectively bargained wages and working conditions, a new report shows.
The ETUC is warning member states of the approaching deadline of 15 November 2024 for the transposition of the Minimum Wages Directive.
At least three million people were stripped of the benefits of collective bargaining between 2000 and 2018 largely due to EU-mandated austerity policies.
EU leaders have since recognised this was a mistake and the Minimum Wage directive requires all members states to promote collective bargaining and achieve 80% of workers covered by collective bargaining agreements.
However, a new study on wages by Eurofound, the EU agency for working and living conditions, found that in 2023:
- “Concrete actions – including legislative measures at the stage of proposals – to promote collective bargaining coverage were only detected in a small number of countries.” Only Czechia, Portugal and Romania were named.
- “In the majority of Member States in which collective bargaining coverage is lower, the requirement of the directive to promote such coverage and develop action plans is on the radar of the concerned actors.
- "But there is not much concrete action or planned action in the public debate going beyond opinion statements or ideas on how this could be done.”
ETUC General Secretary Esther Lynch said:
“Enabling workers to come together and bargain for fair pay and working conditions through their trade unions is good for the economy, good for society and good for democracy.
“This report acknowledges the very positive ‘u-turn’ policymakers have made in the approach to collective bargaining in recent years, but rightly points out that rebuilding collective bargaining coverage is going to need more than a change in narrative.
“So far, the evidence shows that too few countries are taking the concrete actions needed to reinforce collective bargaining and restore coverage back to pre-austerity levels.
“In order to restore the purchasing power lost by working people during the cost-of-living crisis, member states need to take concrete actions to rebuild collective bargaining before the transposition period of the Minimum Wage directive runs out.
“The EU must also do more by revising public procurement directives to ensure that lucrative public contracts are only given to organisations which respect workers’ rights by negotiating collective bargaining agreements with trade unions.”
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