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The European Union has adopted revised European Works Council rules through Directive (EU) 2025/2450. The amendment strengthens transnational information and consultation, clarifies confidentiality and introduces more detailed requirements for EWC agreements, resources and enforcement. Most revised rules apply from January 2, 2029. Certain provisions concerning exemptions and agreement adaptation apply earlier, from January 2, 2028.
AT A GLANCE
European Works Council Directive 2009
The European Works Council Directive provides a framework for informing and consulting employees on transnational matters in qualifying multinational companies and groups. Directive 2009/38/EC remains the underlying framework, as amended by Directive (EU) 2025/2450.
The European Works Council Directive 2009 ensures employees of community-scale undertakings are informed and consulted when decisions affecting them are made in a member state other than that which they are employed.
The adoption of the revised 1994 directive came in force in 2009, after a discussion to give councils additional rights.
In the end, European Works Council Directive 2009 included essential changes regarding the definitions of consultation, information and transnational issues including the right to train employee representatives.
Purpose of the EWC Directive
The purpose of the European Works Council Directive 2009 is to establish the right of employees in multinational companies operating in the EU and EEA to be informed and consulted at transnational level through an EWC.
Law Enforcement
Member States of the European Union (EU) must provide legal frameworks and sanctions for non-compliance. This means, that there should be national laws that explain how the EWC directive will work in practice within that country.
In essence, the EWC Directive guarantees employees in multinationals a structured way to be informed and consulted on cross-border company decisions.
New European Works Council Directive 2025
The Council and the European Parliament have reached in May 2025 a provisional agreement for a revised EWC Directive. The agreements aim to make the European Works Council more effective, accessible, and enforceable, addressing shortcomings in the current framework.
The Directive enters into force on December 31, 2025. Member states will have two years to transpose this into national law, with complete application within three years.
| Date | Legal milestone |
| November 26, 2025 | Date of Directive (EU) 2025/2450. |
| December 11, 2025 | Publication in the Official Journal. |
| December 31, 2025 | Entry into force at EU level. |
| By January 1, 2028 | Member States must adopt and publish implementing measures. |
| January 2, 2028 | Application of specified provisions removing exemptions and enabling agreement adaptation. |
| January 2, 2029 | Application of most revised provisions. |
Changes to the European Works Council Directive
1. Clarity on Transnational Scope
The definition of transnational matters has been redefined in Article 1 to: Decisions with substantial impact across multiple Member States.
It also covers measures affecting workers in one Member State whose consequences are reasonably expected to affect workers in another.
2. Consultation and Written Management Response
The revised Article 9 requires information that enables an in-depth assessment and consultation that allows representatives to express an opinion before the decision is adopted.
Representatives are entitled to a reasoned written management response before adoption, provided they express their opinion within a reasonable time, taking account of urgency.
Management therefore needs a process for considering and answering the EWC opinion before the final decision. The Directive does not impose one fixed consultation period for every project or require management to accept the opinion.
3. Gender Balance Goals and Representative Protection
The agreement introduces a commitment to more balanced gender representation within EWCs, aligning with broader EU diversity and inclusion goals. The revised framework establishes an objective that women and men each comprise at least 40% of EWC and, where applicable, select committee members.
Where the objective is not achieved, the relevant body must explain the reasons to workers in writing. Failure to reach the objective does not prevent establishment. The revision also clarifies protection against retaliation or dismissal connected with representatives.
4. Specific Confidentiality Rules
The revised Article 8 separates sharing information in confidence from withholding information under the new Article 8a.
Confidentiality must protect a legitimate business interest under objective national criteria. Management must explain its reasons and, where possible, specify the duration. The obligation continues only while its justification remains.
Withholding information is subject to separate conditions, including serious harm to the functioning of the undertaking under the applicable criteria. Management must explain the reasons. Describing an entire project as commercially sensitive does not itself establish that all information can be withheld.
5. Changes to the Statutory Subsidiary Requirements
The amended Annex I provides for at least two ordinary in-person meetings with Central Management each year for EWCs operating under those subsidiary requirements.
It also updates subjects for information and consultation, including skills, training and restructuring linked to green and digital transitions.
The two-meeting rule should not be presented as automatically applying to every negotiated EWC agreement. Negotiated agreements specify their meeting arrangements within the applicable framework.
6. Access to Legal Procedures
The new revision makes it easier for EWCs to take part in court or administrative proceedings. It guarantees coverage of the costs related to legal support and participation in such actions.
The Directive does not set a uniform EU fine or a fixed turnover percentage. National implementation must also ensure effective access to proceedings, through reasonable costs borne by management.
7. Penalties Non-Compliance
In addition, if a company breaks the rules in the Directive, it can face financial penalties. These penalties should be strong to discourage violations and will consider factors such as how serious and long-lasting the offence is, impact, and whether it was intentional or accidental.
What Is the European Works Council (EWC)?
The European Works Council represents employees of a multinational company, and is informed and consulted on business decisions, that may affect the employment or working conditions of employees in the European Union (EU) and in the European Economic Area (EEA).
EWC is an acronym of the European Works Council, an information and consultation body representing employees in European companies.
In summary: The European Works Council (EWC) is an information and consultation body representing employees in multinational companies.
- The European Works Council Directive applies to:
o Companies with 1,000+ employees in the EU/EEA.
o With at least 150 employees in two or more different Member States. - Scope: Covers transnational matters that affect employees in two or more EU/EEA countries.
- Purpose: The EWC is representing employees at European level by ensuring timely information and consultation on strategic decisions.
- Legislation: European Works Council Directive 2009/38/EC, including a revision in 2025, with most of the revised rules applying from January 2, 2029.
European Works Council Requirements
The EWC was established as a result of the economic and political integration of the European Union in multinational company affairs. As companies become transnational, local councils lacked a direct connection to the level on which the real decisions are taken.
A company is required to establish an EWC when it qualifies as a community-scale undertaking or group of undertakings, meaning it has:
- 1,000 employees or more within the Member States of the European Union (EU) or the European Economic Area (EEA).
- 150 employees or more in each of at least two different Member States.
- Transnational issues that affect employees in more than one country.
The Role of the European Works Council
Members of an EWC are national representatives elected by employees in the various countries where the multinational company has operations.
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Representative of Employees
The EWC acts as a voice for employees at the European level, safeguarding employee’s collective interest when decisions have cross-border effect, ensuring concerns are heard by the company’s central management.
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Partner in Dialogue
The European Works Council is a counterpart to management in transnational matters. There is a two-way exchange of opinions and ideas between management and the representatives, leading to better-informed decisions.
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Right-Based Partner
The EWC is a channel for information and consultation between company management and employee representatives regarding transnational decisions that affect employment or working conditions. They hold legally anchored rights such as the Right to Information and the Right to Consultation.
The EWC must be informed and consulted on matters such as company structure, economic situation, probable development, employment trends, and significant organisational changes (e.g., relocations, closures, redundancies).
European Works Council representatives are entitled to resources, training, and protection against dismissal or discrimination.
Frequently Asked Questions
Is the Revised Directive Already in Force?
Yes, it entered into force on December 31, 2025. Most revised national provisions apply from January 2, 2029, with specified earlier provisions from January 2, 2028. These dates serve different legal purposes.
Does the EWC Gain a General Right of Consent?
No. The revision strengthens information and consultation. Any additional rights arising from an agreement or national law require separate assessment.
How to Prepare for the Revised Framework?
The preparation period gives management and employee representatives time to review agreements and improve how transnational proposals are handled. The advice is to begin with the agreement’s legal basis and the applicable national law, then examine consultation, confidentiality, resources and coordination with national representatives.
More Information
- Understanding European Works Council Consultation.
- European Works Council vs Works Council Netherlands.
- EU Employment Law Updates 2026.
- Works Council Services Solutions.
