Be Aware - December 2025

The new European Works Councils Directive: Key changes and implications

The European works council was introduced in 1994. In multinationals, topics can have an impact on the workers in several EU member states, so it can also be useful to organise a staff information or consultation process at European level.

Back in 2018, the European Commission published its evaluation of the Directive on European works councils and recommended amendments. After lengthy discussions between the European Commission, the member states and the European Parliament, a new directive was promulgated on 26 November 2025. The Official Journal of 11 December 2025 included this new directive, which enters into force on 21 December 2025.

EU member states have until 1 January 2028 to implement the directive into their national legislation.

These are the main changes under the new directive.

The previous directive stated it didn't apply to companies who had already introduced a consultation arrangement back in 1994. The new directive abolishes this exception, so these companies might also be obliged to set up a European Works Council meeting all requirements under the new directive.

European Works Councils are consulted on transnational matters. But there was room for discussion on when a matter becomes transnational, so the directive introduces a new definition of “transnational.”

A matter is transnational if it concerns the whole group or at least two undertakings situated in two different EU member states. The new directive specifies this is the case if measures contemplated by the management are reasonably expected to affect workers in one undertaking and the workers in at least one other member state can reasonably be expected to be affected by the consequences of those measures.

If a multinational has a manufacturing plant in two different EU member states, it contemplates closing one plant and shifting production to the other plant, this is thus a transnational matter, even though the redundancies under the plant closure are all in the same country.

The content of a consultation process is defined more in detail. The new directive specifies staff representatives should be provided with the appropriate information at a time when they can undertake an in-depth assessment and can prepare the consultation process. The staff representatives should then be given the opportunity to express their opinion before the management takes its decision on the matter. The management should give its reply to the opinion by the staff representatives, although this reply can also explain why the management doesn’t agree with the staff representatives.

The new directive introduces a gender balance objective. The members of the special negotiation body should ideally comprise at least 40% male and 40% female members. This is an objective, not an absolute requirement. The special negotiating body can deviate from this objective, but it should explain in writing the reasons for doing so to employees.

 

From 2026, companies in Flanders have to verify subcontractors' right to work in 4 sectors, including cleaning

In most cases, people who aren't a national of an EU member state either need a work permit (if they're an employee) or a professional card (if they're self-employed) to be able to work in Belgium.

The employer has to apply for the work permit for its workers. The self-employed people have to apply for a professional card for themselves.

Companies subcontracting work can be held criminally liable if their direct subcontractor employs people who don't have the right to work in Belgium. As of 1 January 2026, this risk will increase considerably in Flanders, as a duty to actively verify the right to work of all direct subcontractors enters into force in four high-risk sectors.

The new Flemish Decree of 25 October 2025:

• only applies to subcontractors working in the Flemish region; and
• only applies to four sectors considered to be high-risk sectors – construction works, cleaning, parcel deliverers and slaughterhouses. For parcel deliveries, there was nevertheless already a duty to check compliance with the right to work by subcontractors under the Act of 17 December 2023 on measures aimed at improving the working conditions of parcel deliverers.

The law doesn’t affect Wallonia or Brussels or sectors beyond the four mentioned above.

Under the “old” legislation, a company using subcontractors in those four sectors needed a written statement by every subcontractor expressly confirming the obligation to comply with the legislation on the right to work. This can be a clause in the subcontracting agreement.

Violating the right to work is a criminal offence. Merely having the clause was in principle enough to protect the company from liability if a subcontractor violated the legislation. A company can still be held liable for an infringement by a subcontractor if the public prosecutor can establish the company knew its subcontractor was violating the legislation but continued using them.

Under the new legislation, a company should still obtain a written commitment from each subcontractor confirming they comply with the legislation on the right to work. Even with this clause, a company can still be held liable for an infringement by a direct subcontractor.

To avoid liability, the principal in the four sectors should be able to show they've taken adequate care to make sure the direct subcontractor submits a list of documents for each person they employ. For a person who normally works outside Belgium, these documents are:

• passport
• evidence confirming a right to reside in the European Economic Area or Switzerland
• if applicable, the Limosa declaration for the Belgian social security administration
• if applicable, confirmation that the national social security regime of the country where the person normally lives remains applicable. This will be the A1-form if the person is living in another EU member state or a certificate of coverage if the person is living in a country that has signed a treaty on social security with Belgium (for instance the US).

If the person normally lives in Belgium, the required documents are:

• passport
• evidence confirming the right to access the Belgian territory
• evidence confirming the right to work in Belgium (for instance a single permit or a professional card)
• if it concerns an employee, a Dimona declaration (the declaration to the Belgian social security administration confirming the entry into service).

For work in Flanders in the four high-risk sectors, the principal has a duty to claim this information systematically for each person. It’s not sufficient for the contractor to agree that the principle has the right to perform random checks. The required documents must be provided for each person who provides services. These documents should be stored for five years.

If documents are missing, the main contractor should insist the subcontractor provides the missing documents. If a subcontractor refuses to do so, the new legislation requires the main contractor to inform the social inspection. The legislation doesn't specify the timeframe in which the main contractor should do so.

If the inspection services notice a direct subcontractor has violated the right to work, and the main contractor can establish appropriate care by verifying these documents were presented and kept (but were for instance credible forgeries, so there's still a violation of the legislation on the right to work in Belgium), the main contractor isn't liable, contrary to the direct subcontractor.

For work in the four sectors in Flanders, if the main contractor can't prove they’ve checked the right to work and a direct subcontractor infringes the legislation, as of 1 January 2026 the main contractor could face a prison sentence of up to three years and/or a fine of EUR48,000 per employee involved. Companies could face a fine of up to EUR576,000.