Important Updates
Important Updates
October 30, 2025 | PanamaPanama: Government Reporting Requirement Enforced; Strict Penalties May Apply
October 30, 2025 | Panama Panama: New Law Creates Special Travel Document for Investors
October 30, 2025 | ChinaChina: Physical Social Security Card to Continue to Be Issued
October 30, 2025 | ChinaMainland China: Work Permit and Social Security Cards Integrated Under New Enhanced System
October 30, 2025 | 🌐Minimum Salary Changes Announced
October 30, 2025 | PanamaPanama: Government Reporting Requirement Enforced; Strict Penalties May Apply
October 30, 2025 | Panama Panama: New Law Creates Special Travel Document for Investors
October 30, 2025 | ChinaChina: Physical Social Security Card to Continue to Be Issued
October 30, 2025 | ChinaMainland China: Work Permit and Social Security Cards Integrated Under New Enhanced System
October 30, 2025 | 🌐Minimum Salary Changes Announced
October 30, 2025 | PanamaPanama: Government Reporting Requirement Enforced; Strict Penalties May Apply
Subscribe
Fragomen.com home
Select Language
  • English
  • French
  • French - Canadian
  • German

Select Language

  • English
  • French
  • French - Canadian
  • German
ContactCareersMediaClient Portal
Search Fragomen.com
  • Our Services
    For EmployersFor IndividualsBy IndustryCase Studies
  • Our Tech & Innovation
  • Our People
  • Our Insights
    Worldwide Immigration Trends ReportsMagellan SeriesImmigration AlertsEventsMedia MentionsFragomen NewsBlogsPodcasts & Videos
  • Spotlights
    Navigating Immigration Under the Second Trump AdministrationFragomen Consulting EuropeImmigration Matters: Your U.S. Compliance RoadmapCenter for Strategy and Applied InsightsVietnamese ImmigrationView More
  • About Us
    About FragomenOfficesResponsible Business PracticesFirm GovernanceRecognition

Our Services

  • For Employers
  • For Individuals
  • By Industry
  • Case Studies

Our Tech & Innovation

  • Our Approach

Our People

  • Overview / Directory

Our Insights

  • Worldwide Immigration Trends Reports
  • Magellan Series
  • Immigration Alerts
  • Events
  • Media Mentions
  • Fragomen News
  • Blogs
  • Podcasts & Videos

Spotlights

  • Navigating Immigration Under the Second Trump Administration
  • Fragomen Consulting Europe
  • Immigration Matters: Your U.S. Compliance Roadmap
  • Center for Strategy and Applied Insights
  • Vietnamese Immigration
  • View More

About Us

  • About Fragomen
  • Offices
  • Responsible Business Practices
  • Firm Governance
  • Recognition
Select Language
  • English
  • French
  • French - Canadian
  • German

Select Language

  • English
  • French
  • French - Canadian
  • German
ContactCareersMediaClient Portal
  • Insights

Directive Proposes to Coordinate Minimum Wages

October 29, 2020

insight-news-default

Country / Territory

  • European UnionEuropean Union

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

At a Glance

  • The European Commission has proposed a Directive seeking to ensure adequate minimum wages across the European Union by encouraging collective bargaining and linking establishment and updates of national minimum wages to clear criteria, among other measures.
  • Fragomen expects these developments to improve transparency on minimum wages and predictability of minimum wage development.

The situation

The Commission of the European Union has proposed a Directive seeking to ensure adequate minimum wages across the European Union.

A closer look

The proposal seeks to achieve this goal through the following measures:

  • Collecting bargaining. Member States should encouraging collective bargaining, particularly where collective bargaining covers under 70% of workers, for instance by building social partners’ capacity to engage in meaningful collective bargaining.
  • Adequate minimum wages. Member States should link setting up and updating of national minimum wages to clear criteria, such as purchasing power, cost of living, average gross wages, wage development and development of labor productivity. The Commission used the example of 60% of the gross median wage and 50% of the gross average wage.
  • Variations. Member States should limit permissible variations to a minimum, and ensure that variations are non-discriminatory and proportionate. Similarly, deductions should be limited and proportionate.
  • Stakeholder input. Member States should ensure involvement of social partners when determining relevant indicators, updating minimum wage levels and establishing permitted variations and deductions.
  • Effectiveness. Member States should strengthen inspection and enforcement, and provide clear information to workers. 

 

Impact

Fragomen expects these developments to improve transparency on minimum wages and predictability of minimum wage development.

Minimum wages have the following immigration impact in the European Union:

  • Key work authorization types in a limited number of countries: the Czech Republic, Hungary, Portugal and Slovakia;
  • EU national Posted Workers, a group under particular compliance scrutiny since the Posted Worker Enforcement Directive was adopted in 2014;
  • General work authorization types that do not benefit from streamlined processing, e.g., for skilled or blue-collar workers; and
  • Spouses of employment-based permit holders, permitted to work based on their dependent status.

 

Background

This topic has been a policy priority since the start of the Commission President Von der Leyen’s mandate, and was repeated in the EU State of the Union.

The Commission stresses that many COVID-19 frontline workers earn the minimum wage, and that nearly 60% of minimum wage earners are women.

Looking ahead

The proposed Directive will be submitted to the European Parliament and the Council for approval, a process which typically takes approximately two years. Once adopted, EU Member States will have two years to transpose the Directive into national law. This Directive is therefore unlikely to be implemented before the end of 2024.

This alert is for informational purposes only. If you have any questions, please contact the global immigration professional with whom you work at Fragomen or send an email to [email protected].

Country / Territory

  • European UnionEuropean Union

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Explore more at Fragomen

Media mentions

Games Industry: US H-1B Visas: Alternatives to a $100,000 Fee

Senior Manager William Diaz outlines the US visa options available to the games industry for bringing international talent to the United States, including O-1, L-1 and E-2.

Learn more

Media mentions

People Management: How Will EU Travel Rule Changes Impact Employers?

Partner Jo Antoons and Manager Andreia Ghimis explain how businesses can navigate Europe’s new ETIAS pre-travel authorisation and avoid disruptions.

Learn more

Media mentions

Arts Professional: How Easy Is It for Overseas Creatives to Work in the UK?

Partner Louise Haycock and Associate Jennifer Gray analyse the barriers and opportunities for overseas creatives navigating the UK’s immigration system.

Learn more

Blog post

Claiming British Citizenship Through Ancestral Lineage: Who Is Eligible?

Associate Chloe Evans outlines eligibility criteria for individuals seeking British citizenship based on ancestral ties.

Learn more

Fragomen news

Fragomen Semiconductors Presents: "Voice of the Industry" October 2025 Q&A with Shari Liss

Fragomen’s Semiconductor Industry Group publishes the next installment of its “Voice of the Industry” Q&A series, featuring Shari Liss, Vice President of Global Workforce Development and Initiatives at SEMI.

Learn more

Media mentions

Gazeta Prawna: Legalny napływ cudzoziemców do pracy powstrzymany

Partner Karolina Schiffter highlights how Poland’s tightened visa system affects foreign hiring and the challenges companies face in navigating it.

Learn more

Media mentions

Bloomberg Law: US Chamber Turns Trump Foe in Rare Split Over $100,000 H-1B Fee

Partner Carl Hampe provides insight on the impact of the $100,000 H-1B fee and the US Chamber of Commerce’s related lawsuit.

Learn more

Awards

Fragomen Wins 2025 FEM EMEA “Best Partnership” EMMA for Collaboration with TBB

Fragomen was honoured with the “Best Partnership Between a Corporate Organization and a Service Provider” EMMA at FEM's 2025 EMEA Summit.

Learn more

Media mentions

Global Mobility Lawyer: DOL Flags Immigration Crackdown as Risk to Food Supply

Partner Rachel Beardsley highlights how H-2A visa strategies can help sustain a skilled US agricultural workforce.

Learn more

Blog post

Intra-African Mobility: Unlocking the Continent’s Promise Through Free Movement

Director Willys Mac’Olale discusses how intra-African mobility can unlock the continent’s economic and social potential by promoting free movement, fostering integration and development.

Learn more

Blog post

Costa Rica Family Relocation: Understanding Residency for Dependents

Immigration Director Adriana Martínez Garro explains the residency process in Costa Rica for families relocating with dependents, outlining key legal considerations and steps for securing status.

Learn more

Media mentions

Financial Times: Scientists Charged Too Much to Come to Work in UK, Says Royal Society

Fragomen contributed data showing how UK visa and health surcharge costs compare with other leading research nations.

Learn more

Media mentions

Games Industry: US H-1B Visas: Alternatives to a $100,000 Fee

Senior Manager William Diaz outlines the US visa options available to the games industry for bringing international talent to the United States, including O-1, L-1 and E-2.

Learn more

Media mentions

People Management: How Will EU Travel Rule Changes Impact Employers?

Partner Jo Antoons and Manager Andreia Ghimis explain how businesses can navigate Europe’s new ETIAS pre-travel authorisation and avoid disruptions.

Learn more

Media mentions

Arts Professional: How Easy Is It for Overseas Creatives to Work in the UK?

Partner Louise Haycock and Associate Jennifer Gray analyse the barriers and opportunities for overseas creatives navigating the UK’s immigration system.

Learn more

Blog post

Claiming British Citizenship Through Ancestral Lineage: Who Is Eligible?

Associate Chloe Evans outlines eligibility criteria for individuals seeking British citizenship based on ancestral ties.

Learn more

Fragomen news

Fragomen Semiconductors Presents: "Voice of the Industry" October 2025 Q&A with Shari Liss

Fragomen’s Semiconductor Industry Group publishes the next installment of its “Voice of the Industry” Q&A series, featuring Shari Liss, Vice President of Global Workforce Development and Initiatives at SEMI.

Learn more

Media mentions

Gazeta Prawna: Legalny napływ cudzoziemców do pracy powstrzymany

Partner Karolina Schiffter highlights how Poland’s tightened visa system affects foreign hiring and the challenges companies face in navigating it.

Learn more

Media mentions

Bloomberg Law: US Chamber Turns Trump Foe in Rare Split Over $100,000 H-1B Fee

Partner Carl Hampe provides insight on the impact of the $100,000 H-1B fee and the US Chamber of Commerce’s related lawsuit.

Learn more

Awards

Fragomen Wins 2025 FEM EMEA “Best Partnership” EMMA for Collaboration with TBB

Fragomen was honoured with the “Best Partnership Between a Corporate Organization and a Service Provider” EMMA at FEM's 2025 EMEA Summit.

Learn more

Media mentions

Global Mobility Lawyer: DOL Flags Immigration Crackdown as Risk to Food Supply

Partner Rachel Beardsley highlights how H-2A visa strategies can help sustain a skilled US agricultural workforce.

Learn more

Blog post

Intra-African Mobility: Unlocking the Continent’s Promise Through Free Movement

Director Willys Mac’Olale discusses how intra-African mobility can unlock the continent’s economic and social potential by promoting free movement, fostering integration and development.

Learn more

Blog post

Costa Rica Family Relocation: Understanding Residency for Dependents

Immigration Director Adriana Martínez Garro explains the residency process in Costa Rica for families relocating with dependents, outlining key legal considerations and steps for securing status.

Learn more

Media mentions

Financial Times: Scientists Charged Too Much to Come to Work in UK, Says Royal Society

Fragomen contributed data showing how UK visa and health surcharge costs compare with other leading research nations.

Learn more

Stay in touch

Subscribe to receive our latest immigration alerts

Subscribe

Our firm

  • About
  • Careers
  • Firm Governance
  • Media Inquiries
  • Recognition

Information

  • Attorney Advertising
  • Legal Notices
  • Privacy Policies
  • UK Regulatory Requirements

Our firm

  • About
  • Careers
  • Firm Governance
  • Media Inquiries
  • Recognition

Information

  • Attorney Advertising
  • Legal Notices
  • Privacy Policies
  • UK Regulatory Requirements

Have a question?

Contact Us
  • LinkedIn
  • Youtube
  • Instagram
  • Facebook
  • Twitter

© 2025 Fragomen, Del Rey, Bernsen & Loewy, LLP, Fragomen Global LLP and affiliates. All Rights Reserved.

Please note that the content made available on this site is not intended for visitors / customers located in the province of Quebec, and the information provided is not applicable to the Quebec market. To access relevant information that applies to the Quebec market, please click here.