EU and UK employment law, pay transparency, platform work, HR tech funding and labour markets across Europe.
Barclays announced 5,000 job cuts (5% of global workforce) as part of organizational simplification and technology-driven efficiency plans. The cuts follow prior reductions of 1,000 positions, with 4,000 more expected by end-2026; 60% affect support functions including software developers, concentrated in UK retail banking.
According to media reports, Volkswagen's management plans to cut a further 12,000 jobs at its core brand by 2030, proposing that employees could voluntarily move into a state-subsidized transfer company (Transfergesellschaft) for retraining, during which they would no longer be VW employees. The plan, communicated by negotiator Arne Meiswinkel to the works council, is strongly opposed by works council chair Daniela Cavallo and union IG Metall, which is preparing labor disputes and possible strikes after year-end. An earlier report on October 19 said VW planned a multi-year pay freeze for its 600,000+ global employees through 2030.
On Oct 23, 2026, Volvo Cars announced an additional 2,500 job cuts, about 6% of its workforce, as it reported a Q3 2026 operating loss of SEK5.5 billion. Sales fell 23% year-on-year to SEK66.8 billion, with China sales down 41% and global sales down 11%. CEO Hakan Samuelsson said the old strategy of developing in Europe and selling premium cars in China no longer works.
The UK government has published responses to consultations on dismissal and re-engagement (fire and rehire) practices and on extending dismissal protection for pregnant employees, part of implementing the Employment Rights Act reform plan. Related reforms also address zero-hours contracts and shift pattern changes.
A Reading Employment Tribunal ruled that West Berkshire District Council failed to take seriously the complaints of Black youth worker Louise Williams-St Louis after she was called a 'slave' by a young person in her care, and colleagues compared it to being called 'fat' or 'old'. The tribunal found this amounted to race harassment and awarded her £14,830.
From 1 October 2026, the UK's right-to-work scheme expanded beyond direct employees to cover workers engaged under a worker's contract, individual subcontractors, or via online matching services, and introduces extended liability for businesses relying on other employers to supply workers. Employing someone without the right to work can result in a civil penalty of up to £60,000 per worker and possible criminal sanctions. The Home Office has issued guidance on the expanded rules.
The Dutch government plans to save €123 million a year by scrapping the tax-free staff discount scheme, which currently lets employees buy employer products at up to 20% off, capped at €500 annually. If the Tax Plan 2027 passes, the exemption would end January 1, 2027. Retail association InRetail calls the proposal a 'farce', while union FNV says the discount matters for low-paid retail staff.
The UK government is set to launch a consultation on reforming the equal pay system, under legislation dating back to 1970 aimed at removing sex-based pay disparities. The consultation acknowledges that assessing work of 'equal value' and the material factor defence are the two most complex, litigation-prone areas. Legal experts say an overhaul will not be straightforward.
Italy's Ministry of Labour updated monitoring data showing 18,951 active productivity bonus agreements covering 5,015,819 workers, up from 4,827,721 the prior month. Welfare measures now appear in 12,549 contracts, surpassing profitability targets (12,131), while productivity remains the top goal (15,609 contracts). For 2026-2027, Law 199/2025 sets a 1% substitute tax on bonuses up to €5,000.
According to Freshfields, pay transparency is increasingly viewed as an M&A due diligence and valuation issue rather than a standalone HR compliance matter, driven by implementation of the EU Pay Transparency Directive and expected increases in equal pay claims and reporting obligations. Unrecognized gender pay gaps can create back-pay liabilities, litigation exposure and reputational risk, with remediation often requiring substantial compensation restructuring costs.
The Dutch House of Representatives earlier voted to scrap, from January 1, 2027, the tax exemption allowing employers to give staff up to 20% discount (capped at €500/year) on company products or services, to fund energy price compensation. 25 trade associations are now urging lawmakers to retain the scheme, backed by union FNV, which says it matters for low-wage retail workers.
KPMG reports that Romania's forthcoming pay transparency framework will bring major changes to compensation, recruitment and access to pay information. The draft law is still being reviewed, having been referred back to reporting committees for further work, though its direction is taking shape. KPMG advises employers to start preparing.
Spain's Supreme Court (ruling No. 691/2025, July 2, 2025) held that under Article 34.4 of the Workers' Statute, employees working more than 6 continuous hours are entitled to at least a 15-minute break, which for Cartonajes La Plana's night shift counted as paid working time per its collective agreement. The court rejected the company's appeal.
On October 20, European trade unions protested outside the European Parliament in Strasbourg against the EU Commission's proposed '28th regime,' a new EU-wide corporate status mainly for startups and SMEs, which unions say could weaken workers' rights. The proposal is still at an early stage and not yet adopted.
On Oct 23, 2026, Volvo Cars announced an additional 2,500 job cuts, about 6% of its workforce, as it reported a Q3 2026 operating loss of SEK5.5 billion. Sales fell 23% year-on-year to SEK66.8 billion, with China sales down 41% and global sales down 11%. CEO Hakan Samuelsson said the old strategy of developing in Europe and selling premium cars in China no longer works.
The European Parliament's Legal Affairs (JURI) Committee failed to reach consensus on the EU Inc draft report on 19 October, following a postponed vote on 5 October, amid MEP disagreements over workers' rights. EU Inc, proposed by the European Commission in March 2026, is a bloc-wide 28th corporate regime allowing online company registration within 48 hours with EUR1 starting capital. Despite EU leaders' aim to finalize the law by year-end, EU Inc founders say the proposal has been diluted amid opposition and union protests.
Italian insurer Generali plans to cut about 9% of its workforce in Germany and consolidate its office network into five regional hubs in Munich, Cologne, Karlsruhe, Hamburg and Saarbrücken. The company said job cuts will mainly be implemented through voluntary retirement arrangements as part of a cost-cutting restructuring.
A survey by Peninsula found the construction sector is the most unprepared for the UK's Employment Rights Act 2025 reforms, despite 77.8% familiarity with the changes. Only 15% felt completely prepared, while 21.4% cited major or critical concerns about unfair dismissal changes, and 82% had begun preparations. The survey covered 220 senior leaders, 190 business owners and 109 other decision-makers.
A UK employment judge ruled that redundancy consultation with a pharmaceutical company director was 'wholly ineffective' after the employer failed to ensure she had authorised representation and misled her. She was awarded £24,000.
The Netherlands will open transitional registration for the Wtta labor leasing licensing law from November 1, 2026, with applications due by December 31. Companies that register on time and meet conditions can continue leasing staff from January 1, 2028, even without final approval. A June 2026 Regioplan survey found one in three labor-leasing firms unaware of the new licensing requirement.
According to media reports, Volkswagen's management plans to cut a further 12,000 jobs at its core brand by 2030, proposing that employees could voluntarily move into a state-subsidized transfer company (Transfergesellschaft) for retraining, during which they would no longer be VW employees. The plan, communicated by negotiator Arne Meiswinkel to the works council, is strongly opposed by works council chair Daniela Cavallo and union IG Metall, which is preparing labor disputes and possible strikes after year-end. An earlier report on October 19 said VW planned a multi-year pay freeze for its 600,000+ global employees through 2030.
The EU Pay Transparency Directive, adopted in 2023, was due to take effect in member states by June 2026, but Finland and several other countries are behind schedule. Finland's government submitted a legislative proposal in September to amend the Act on Equality between Women and Men, now before Parliament, expected to take effect by year end. Employee organizations criticize parts of the proposal as falling below the Directive's minimum requirements.
UK outlet hrnews.co.uk published an article discussing what the Employment Rights Act means for employer staff record-keeping. Only a headline was available, with no further detail on specific provisions or effective dates.
The Dutch pay transparency law has suffered further delays, with the legislative consultation now scheduled for December 14, making the planned January 1, 2027 effective date virtually unachievable. Works councils are advised to keep preparing for the new rules.
Spain's Workers' Statute Article 36 defines night work as that performed between 10pm and 6am, and classifies as legal night workers those who work at least 3 hours daily or a third of their annual hours in that window. Such workers are barred from overtime except in specific urgent cases, and the law also limits their working hours and protects their health.
McKinsey's HR Monitor 2026 finds only 22% of surveyed companies plan workforce needs based on skills, and just 11% pursue long-term workforce planning. The article notes AI and shifting role profiles are rapidly changing required competencies, urging mid-sized firms to align skills development with strategy.
German recruitment platform Stepstone has introduced pay-per-application recruiting campaigns, following a similar offering already available on Indeed, according to talent360's Kamila Gula. The feature lets employers allocate budget based on application volume and quality per role, with campaigns managed via programmatic ad technology.
An article outlines German legal requirements for post-contract non-compete clauses in healthcare sales: they require handwritten signatures and delivery of the signed original, employer-paid compensation of at least half the employee's last contractual pay per year of restriction, and a maximum duration of two years. Clauses exceeding legitimate employer interests or unreasonably restricting employees are void only to that extent.
The Dutch government plans to change care leave rules for informal caregivers, which could affect wage continuation and leave registration. Details of the plan and its payroll implications remain to be clarified.
WTW's global Company Car Survey, covering 9,688 respondents in 75 countries including 359 German companies, found 83% of German firms offer a car benefit versus a 72% European average. 46% of German companies already let employees choose between a company car and a cash allowance, compared with 29% in Europe. 60% of German firms plan a policy review within 12 months.
298 Members of the European Parliament are visiting Amazon logistics centres in Germany and Poland on October 26-27 to investigate workplace monitoring, productivity targets and trade union rights. The fact-finding mission comes as the European Commission prepares its Quality Jobs Act, expected to address algorithmic management and working conditions.
German labor law analysis explains that employees can request minimal part-time reductions paired with a preferred schedule to avoid weekend shifts, which employers must generally approve absent operational reasons. It outlines when employers may reject such requests as abuse of rights and why the rejection deadline matters.
A study using PISA data on a million 15-year-olds finds that in many European countries, over 90% of care-minded teenagers expect professional or managerial jobs, while eldercare and personal care roles barely register. Girls' care-career expectations rose from 38% to 43% between 2000-2022, boys' from 10% to 15%. The EU's 2022 European Care Strategy projects a need for 1.6 million additional long-term care workers by 2050.