Today, the European Court of Justice confirmed the validity of a large part of the EU’s milestone minimum wage law on adequate minimum wages. This is a good day for workers, for social Europe, and for the progressives and trade unions who were the driving force behind the law.
The Socialists and Democrats played a vital role in bringing this law to fruition – the S&D Group demanded it, former commissioner and social democrat Nicolas Schmit proposed it, and former S&D spokesperson on social affairs, Agnes Jongerius, secured a strong law by skilfully steering negotiations in the European Parliament.
Iratxe García, president of the S&D Group, said:
“This is a good day for workers and social justice! Today’s ruling means that there can be no more doubt about the importance of the EU’s role in strengthening social policy and workers’ rights across the Union. The EU can and must act to ensure decent wages that allow every worker to have a roof over their head, put food on the table, and heat their home – while also having the means to afford new clothes, join a sports team, or go to a concert.
“At a time when European workers are increasingly forced to strike to fight for their rights – as seen again this month in Belgium – it is hard to overstate the importance of this law. It is reducing inequalities, boosting salaries across Europe and helping fight poverty among workers.
“As we face an increasingly difficult political situation in the Union, it is more important than ever to team up with trade unions and other progressive forces inside and outside the European Parliament to secure decent wages and strong collective bargaining. We will keep workers’ rights and social justice at the top of the EU’s agenda and continue to fight to secure an ambitious European Social Fund and strengthen the social dimension of the EU’s multiannual budget.”
Gaby Bischoff, S&D vice-president for social Europe, said:
“We welcome the EU court’s validation of the minimum wage directive and its core provisions, including the measures promoting collective bargaining. This means that the directive stands firm and that our fight for fair wages in Europe continues on solid legal ground. It will help to ensure what Europeans have long called for: fair and adequate wages for all. In the midst of a cost-of-living and housing crisis, this is a powerful signal of hope and social justice.
“It is regrettable, however, that the joint criteria for determining the adequacy of minimum wages were annulled. At the same time, it is crucial to stress that member states must still strive to ensure the adequacy of their minimum wages, in line with the living-wage principles of the ILO Convention No 131. Setting and updating minimum wages should continue to be guided by criteria that aim to achieve a decent standard of living, reduce in-work poverty, promote social cohesion and upward convergence, and help close the gender pay gap.
“Now we must seize the momentum and reap the full potential of the directive as confirmed today by the court. We urge all member states and the Commission to step up efforts to ensure the proper implementation of the directive. No excuses for delay anymore.
“This ruling also gives us a clear mandate for new or revised EU legislation on other vital issues: public procurement reform, new rules on subcontracting, a ban on unpaid traineeships, as well as rules for AI at work, psychosocial risks, and the right to disconnect. With fresh energy, we will continue the fight for social rights.”
Note to editors:
The EU law on adequate minimum wages is one of the S&D Group’s key priorities and major achievements. It was adopted in October 2022, setting 15 November 2024 as the deadline for its transposition into national legislations of EU member states.
In January 2023, Denmark launched legal proceedings against the European Parliament and the Council at the EU Court, requesting the annulment of the EU directive on adequate minimum wages.
On 14 January 2025, the advocate general at the European Court of Justice delivered an opinion on this case, stating that the directive should be fully annulled. Today, the court decided differently and upheld the core of the directive.
