Introduction to the Posted Workers Directive

The Posted Workers Directive of the European Union. This Directive was adopted in 1996 and regulates the working conditions of workers who work temporarily in another EU country.

The Directive stipulates that workers working in another EU country must receive at least the same working conditions as workers in the host country. These include the minimum wage, working hours, vacation entitlement and occupational safety regulations. This regulation is intended to help ensure that workers are treated fairly and that there is no competition at the expense of working conditions.

What is there to consider?

Since July 30, 2020, a revised version of the “Posted Workers Directive” has been in force, which must be implemented by the member states of the European Union.

The updated Directive provides for a number of changes that companies must consider when they send their employees abroad or on business trips to EU countries. The most important changes concern the following areas:

1. Pay: The principle of “equal pay for equal work in the same place” was strengthened. This means that posted workers must receive at least the same pay as workers in the host country.
2. Working conditions: There is now a clear definition of “essential working conditions”, which must also apply to posted workers. These include working hours, overtime regulations, vacation days and job security.
3. Duration of posting: The maximum duration of a posting is now 12 months, with an optional extension of a further six months.
4. Reporting requirements: Member States have the obligation to set up a national electronic registration system that tracks the posting of workers and ensures compliance with the rules.

Companies must therefore ensure that they comply with the new requirements of the Posting of Workers Directive when they send employees abroad or on business trips. It is advisable to find out about the applicable regulations at an early stage and, if necessary, seek support from experts or consultants.

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