Employee mobility under the influence of the EU

EU Posted Workers Directive
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Minimum terms and conditionsPosted workers must receive at least the minimum terms and conditions of employment that are applicable in the host country. This includes, but is not limited to, provisions related to pay, working hours, rest periods and annual leave.
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Notification requirementsEmployers are required to notify the relevant authorities in the host country before posting workers. The notification should include, but is not limited to, information about the identity of the employer, the duration and nature of the posting.
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Duration of postingThe Directive sets a maximum duration for posted work of 12 months, after which the host country's labor laws and regulations fully apply to the posted worker(s).
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Enforcement and cooperationThe Directive establishes mechanisms for cooperation between member states to ensure effective enforcement of the rules. This includes sharing information, conducting inspections and imposing penalties for non-compliance.
EU Pay Transparency Directive
Navigating the path to pay transparency requires careful consideration of key questions
Transparency is important in mobility packages to build trust and fairness within the organization — while ensuring legal compliance. When employees have a clear understanding of their compensation and benefits, they feel valued and are more likely to be engaged and motivated. In Mercer’s 2024 Global Pay Transparency Survey, 59% of companies responded that pay transparency was an expectation of employees. Transparency also helps to mitigate the risk of misunderstandings or disputes regarding compensation, which can lead to dissatisfaction and potential legal issues.
Organizations need to proactively address these challenges and ensure compliance while also leveraging the opportunities for transparency and fairness in compensation practices.
To comply with current requirements based on the Posted Workers Directive and to be prepared for the EU Pay Transparency Directive, organizations can take the following steps: