Most EU Ministers supported the Portuguese Presidency’s proposals for flexibility on the Adequate Minimum Wages Directive, in particular to propose a less binding EU framework, at the Employment and Social Policy Council (EPSCO) on Monday 14 June in Luxembourg.
Most of the speeches focused on respect for subsidiarity and national specificities. A significant number of ministers emphasised the relaxation of the directive’s provisions, such as the coverage rate of collective agreements or the criteria for setting statutory minimum wages. In general, the incorporation of the suggestions of the EU Council’s legal opinion (see EUROPE 12675/13) into the Directive was welcomed by the Ministers.
The opening of the policy debate, which was intended to move the particularly difficult negotiations in the EU Council to the highest political level (see EUROPE 12615/4), was taken up by the most reluctant Member States. Denmark, the Netherlands, Austria, Sweden and Hungary have reaffirmed their preference for a recommendation.
The Danish minister explained that his country feared a “dynamic” interpretation by the EU Court of Justice that would have an impact on the Danish social model. Several Member States, such as Austria, considered it important that the directive should take the form of a European framework and in no way create individual rights.
Quantified criteria have been in the sights of several ministers. The criteria for setting the statutory salary have been singled out by Poland, Lithuania, Estonia and Ireland, among others. The 70% coverage rate was also criticised by Estonia and Poland, with Ireland considering it too prescriptive and going beyond the scope of the EU treaties. In addition, several ministers, such as those from Ireland and Latvia, have expressed concern about the introduction of additional administrative burdens related to data collection.
France, which is heavily involved in the issue of social convergence (see EUROPE 11907/1) in Europe with a view its presidency, recognised that the introduction of quantified indicators could stall the negotiations. However, for Paris, it is absolutely necessary to avoid a blockage which would be “disastrous” for the image of social Europe.
Member States satisfied with the Portuguese proposal include Spain, Italy, Cyprus and Croatia. Germany, for its part, indicated that the federal government was still analysing the European Commission’s proposal. The Minister supported the idea of a flexible framework.
Slovenia, which is about to take over the rotating Presidency of the EU Council, has indicated that it will continue the Portuguese Presidency’s clarification work with a focus on preserving functioning national systems. The Slovenian position was welcomed by the Commissioner for Jobs and Social Rights, Nicolas Schmit.
For the Portuguese Presidency’s progress report on the directive: https://bit.ly/3xks59f (Original version in French by Pascal Hansens)
Article modified on 15.06.2021