On addressing subcontracting chains and the role of intermediaries in order to protect workers’ rights
EMPL-PR-775631
Committee on Employment and Social Affairs · Rapporteur: Johan Danielsson
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This draft report addresses subcontracting chains and labour intermediaries to protect workers' rights. It calls for a European strategy against labour exploitation, limits on subcontracting, regulation of intermediaries, stronger enforcement, and sanctions.¶¶¶
Committee position. The rapporteur proposes a resolution calling for EU action to prevent labour exploitation, including limits on subcontracting, regulation of intermediaries, and stronger enforcement and sanctions.¶¶¶
Key points
- Calls for a European strategy to combat labour exploitation, including abusive subcontracting and labour intermediation.¶
- Calls on the Commission to clarify that EU internal market rules do not prevent Member States from regulating long subcontracting chains, including direct employment in high-risk sectors.¶
- Reiterates call for a framework directive limiting subcontracting, ensuring joint and several liability, and regulating labour intermediaries other than temporary work agencies.¶
- Calls for a general rule limiting subcontracting to two levels below the main contractor in high-risk sectors, with Member States identifying sectors and allowing deviations with social partners.¶
- Calls on the Commission to ensure equal treatment for equal work and promote direct employment where subcontracting causes fragmented workplaces and job insecurity.¶
- Calls on the Commission to review enforcement challenges and close legislative gaps regarding genuine versus fraudulent posting of third-country nationals.¶
- Calls for registration and licensing of labour intermediaries and prohibition of any fees charged to workers, in line with ILO Convention No 181.¶
- Welcomes the Commission's evaluation of the European Labour Authority and reiterates call to strengthen its mandate.¶
- Calls for a legislative initiative requiring Member States to ensure minimum labour inspection capacity in high-risk sectors, with at least one inspector per 10,000 workers.¶
- Reiterates call for swift roll-out of the European Social Security Pass (ESSPASS) and improved digital enforcement, including real-time verification and integration with national systems.¶
- Calls for automatic mutual recognition of trading prohibitions across Member States to prevent individuals banned in one state from operating in another.¶
- Calls on the Commission to ensure EU funding programmes include conditionalities on European labour standards, building on social conditionality in the common agricultural policy.¶
Who is affected
- Workers in high-risk sectors such as construction, agriculture, transport, and cleaning, who would benefit from limits on subcontracting and better enforcement.¶¶
- Labour intermediaries, who would face registration, licensing, and a ban on charging fees to workers.¶
- Member States, which would need to implement minimum inspection capacity and cooperate on trading prohibitions.¶¶
- Enterprises, especially SMEs, which would face fairer competition and clearer rules on subcontracting.¶¶