EU court rejects challenge to wages directive
The European Commission has welcomed a ruling by the EU’s top court that a directive on minimum wages is legally valid.
The Court of Justice of the European Union (CJEU) dismissed a request from Denmark to annul the directive in its entirety and confirmed that the measure was adopted on a correct legal basis.
The commission welcomed the court’s confirmation of the validity of the provisions related to collective bargaining on wage-setting, saying that they were “essential” to strengthen minimum-wage protection.
‘Milestone’
The court, however, annulled parts of two provisions of the directive – those listing the criteria that must be taken into account by member states with statutory minimum wages and a rule preventing a decrease in minimum wages when they are automatically indexed.
The commission said that it took note of the court’s decision and was analysing the impact of the annulled provisions.
Commission President Ursula von der Leyen described the ruling as “a milestone” for Europeans.
“The directive will be implemented with full respect for national traditions, the autonomy of social partners, and the importance of collective bargaining,” she stated.
The commission said that the ruling did not affect the legislation adopted by member states transposing the directive.