Directive (EU) 2022/2041 on adequate minimum wages in the European Union

What it is

to establish a framework to improve the adequacy of minimum wages and to increase the access of workers to minimum wage protection. PROPOSED ACT: Directive of the European Parliament and of the Council. ROLE OF THE EUROPEAN PARLIAMENT: the European Parliament decides in accordance with the ordinary legislative procedure and on an equal footing with the Council. BACKGROUND: adequate minimum wages are a fundamental component of the European model of social market economy. When set at adequate levels, minimum wages protect the income of disadvantaged The Committee on Employment and Social Affairs adopted the report by Dennis RADTKE (EPP, DE) and Agnes JONGERIUS (S&D, NL) on the proposal for a directive of the European Parliament and of the Council on adequate minimum wages in the European Union. The proposal for a directive establishes a framework to make minimum wages more adequate and to improve workers' access to minimum wage protection. The committee responsible recommended that the European Parliament's position adopted at first reading under the ordinary legislative procedure should amend the proposal as follows: According to Members, the directive should aim to improve working and living conditions in the EU for all workers, contribute to upward social convergence and reduce pay inequalities and the gender pay gap in the EU. - determine the adequate and fair level of minimum wages to ensure at least a decent standard of living for workers and their families; - ensure protection offered by minimum wages , in the form of: (i) a non-discriminatory statutory minimum wage, where statutory minimum wages exist; (ii) access to collective bargaining for wage setting; and (iii) universally applicable collective agreements, where they exist. The Directive should apply with due respect for the freedom of association and the right to collective bargaining as recognised in the Charter of Fundamental Rights of the European Union, the European Social Charter and the relevant International Labour Organisation (ILO) conventions. The social partners would retain the right to negotiate, monitor and set wages through collective agreements. In cooperation with the social partners, Member States should also: - prohibit and take measures to prevent all acts which undermine the right of workers to join a trade union, or which discriminate against workers and trade union representatives participating in collective bargaining on wage setting, and ensure that all workers have appropriate access to the necessary information on their rights; - prohibit all acts aimed at undermining collective bargaining on wage setting; - ensure that employers provide trade union representatives with appropriate information and facilities to enable them to carry out their functions in respect of collective bargaining on wage setting; - support compliance with applicable collective wage agreements, also along the sub-contracting chains, and the provision of collective wage agreements to employers and workers. Member States where the overall collective bargaining coverage regulating remuneration is less than 80% of the workers should ensure conditions conducive to the…

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