EU: an ECJ ruling states that employees transferred are to retain their earlier working conditions, as concluded under their terminated collective agreements

Judges in the European Court of Justice ruled that the transferred employees are to be covered by the working conditions of the collective agreement terminated before the transfert but yet applicable as a result of the“after-effect” provision . This ruling clarifies an area of doubt that existed around the Directive 2001/23 over company transfers since the Directive only provides for the maintenance of the working conditions specified in the transferor’s collective agreement until its termination.
Enjoy this article for free while you’re in your trial period
You have access to our content for 1 month.

The facts. Austrian Airlines cost-cutting plans included transferring one of its activities to an entity with a less generous collective agreement. The company terminated the more generous collective agreement in operation at the other entity. The unions went to court to claim maintenance of the application of the former collective agreement. Austrian labor law says ‘the legal effects of the collective agreement shall continue after its termination, in respect of employment relationships which

Do you have information to share with us?
What you absolutely must read this week
The essential content of the week selected by the editorial team.
See all
Informal economy and slow wage growth hamper decent work, ILO says
The International Labour Organisation published its Employment ans Social Trends 2026 on 14 January. It anticipates unemployment stabilising in 2026 and employment growth of 1%, driven by...
EU: banking sector social partners commit to combating violence and harassment
On 15 January, the trade union federation UNI Europa Finance and three employers’ associations in the banking sector signed a joint statement on preventing violence and harassment in the...
Germany: government seeks to facilitate immigration of skilled Indian workers
During a visit to India earlier this week, German Chancellor Friedrich Merz addressed the strategic importance of attracting Indian workers to Germany, signing a series of cooperation agreements...
Italy: new generational renewal agreement penned at UniCredit
The agreement signed on 30 December by UniCredit, Italy’s second-largest banking group, with the Fabi, First-Cisl, Fisac-Cgil, Uilca and Unisin trade unions aims to continue generational...
Most viewed articles of the month on mind HR
What readers clicked on the most last month.
What readers clicked on the most last month.
1
United Kingdom: government urged to legislate against forced labour
After consulting victims, businesses and NGOs, the Independent Anti-Slavery Commissioner (IASC) has published a report showing that the UK is lagging behind in the fight against forced labour. The...
13 January 2026