EU minimum wage rules must not undermine social partners’ competences

16 June 2022 - Today, the Employment and Social Affairs Council (EPSCO) meets in Luxembourg, days after a trilogue agreement on a directive on adequate minimum wages in the European Union was reached.

BusinessEurope Director General Markus J. Beyrer said: "We remain critical of an EU directive on minimum wages and collective bargaining, but we acknowledge that the Council has insisted throughout the negotiations on a better recognition and respect of national and social partner competences.

By setting rules on minimum wages, the EU is entering unchartered waters and acting at the very limit of its competences. Avoiding a wage-price spiral is essential in the present context marked by already high inflation. Public authorities must avoid politically motivated minimum wage increases and respect the autonomy of social partners when implementing this new directive."