Extending collective bargaining coverage to 80%, setting legal minimum wages at 60% of median and 50% of average earnings, removing the European Commission’s ability to deduct deductions from minimum wages... MEPs are set to raise the overall ambition of the draft directive on minimum wages in a vote in the Committee on Employment and Social Affairs (EMPL) on Thursday 11 November.
Already in Article 1 on general provisions, the compromise amendments specify that the directive aims to ensure minimum wages in order to allow at least a “decent standard of living”, certainly for workers, but also for their families, which was not included in the initial proposal.
In Article 3 on definitions, many changes have been made. The compromise amendments specify that the minimum wage should cover both the private and public sectors. Parliamentarians replaced the reference to “workers’ organisations" with “trade unions” in the collective bargaining definition. This is to avoid the possibility of creating “yellow unions” at the beck and call of employers, we are told.
Concerning Article 4 on the promotion of collective bargaining, MEPs go beyond the recommendations of the European Commission by proposing that the coverage of collective bargaining at national level should reach at least 80% of workers. Member States that have not reached this threshold will have to develop a detailed action plan—either by the Member States or by the social partners.
As for Article 5 on the definition of adequacy of pay, parliamentarians introduced their concept of a “threshold of decency” and changed the measurement criteria. They clarified the purchasing power criterion and introduced the concept of ‘in-work poverty’.
They also removed the criterion of worker productivity. “A person with a disability will not be able to have a productivity rate like other workers. However, this does not mean that she is not entitled to the same salary”, said a source.
Also in the same article, MEPs put down in writing the international criteria for the poverty line. Member States will have to report on the basis of the international criteria of 60% of gross median earnings and 50% of average gross earnings.
On the other hand, they insist on the strengthening of resources related to labour inspection. They also introduce many safeguards to protect the Scandinavian models, notably in Article 1.
The compromise amendments have a good chance of being adopted, we are told, despite a lack of confidence from Scandinavian MEPs.
On the EU Council side
The differences with the EU Council’s positions are significant and already point to difficult interinstitutional negotiations.
Earlier this week, national delegations discussed a new compromise from the Slovenian Presidency of the EU Council, which greatly relaxes the provisions foreseen by the European Commission (see EUROPE 12828/11).
The deadline for comments from national delegations is 12 November. A new compromise text is expected to be presented on 17 November, which should be submitted to the Member States’ ambassadors for approval on 24 November in the Committee of Permanent Representatives I.
A general approach is close, a source told us. However, there are still open issues, notably on Article 5 regarding obligations to monitor international issues. In addition, there are uncertainties about how to collect the data. Some Member States are still unsatisfied with the level of ambition of the EU Council text. Germany, which does not yet have a government, is expected to abstain.
To see the European Parliament’s compromise amendments: https://bit.ly/3kqIXHl
For the latest compromise of the Slovenian Presidency of the EU Council: https://bit.ly/2YwY0rq (Original version in French by Pascal Hansens)