EU Transparent and Predictable Working Conditions Directive
September 28, 2026
EU Transparent and Predictable Working Conditions DirectiveSeptember 28, 2026 Why should I read this?The Directive on Transparent and Predictable Working Conditions (Directive (EU) 2019/1152) (Directive) aims to ensure that workers receive clear information about their working conditions at an early stage of the employment relationship and establishes minimum rights intended to promote more predictable and secure working arrangements. What do I need to know?The Directive was adopted to ensure workers receive clear information about their employment relationship from the outset and to provide minimum standards for more predictable working conditions, particularly for workers in precarious or non-standard forms of employment. The Directive requires employers to provide workers with written information on key aspects of the employment relationship. Certain core information must generally be provided within seven calendar days of the start of employment, with the remaining information to be provided within one month. Such information includes areas such as working time arrangements, remuneration, probationary periods and termination procedures. Local transposition progress and differences in approachesMost Member States have formally implemented the Directive, but implementation timing and scope have varied considerably.
Spain is one of the most recent EU Member States to introduce legislation designed to implement the Directive. Its Royal Decree 723/2026, which will enter into force on 5 October 2026, significantly expands employers' obligations to provide workers with information about the employment relationship from the outset. The reforms require more detailed disclosures on matters such as remuneration, working time, probationary periods, training entitlements, applicable collective agreements and procedures for changing essential employment terms. The Spanish legislation is notable, however, for going beyond many other national implementing measures in several respects. In particular, employers must provide greater transparency regarding the algorithmic systems and decision-making criteria that influence working conditions, reflecting the increasing use of digital management tools in the workplace. Further, whilst the Directive requires employers to provide details of the initial basic pay and any other component elements, as well as the frequency and method of payment, the Spanish legislation goes further than this by requiring employers to provide the method of calculating any variable salary components and the criteria determining their payment. The reform also enables employees whose contracts do not contain all required information to request it from their employer, with a statutory obligation on employers to respond within 30 working days. See our briefing – A new compliance standard for businesses - for further details of the Spanish development. Although the Directive establishes minimum standards, Member States have adopted different approaches in several key areas:
European Commission actionOn 8 July 2026, the European Commission opened infringement proceedings against the Czech Republic, Estonia, Ireland, Greece, Hungary, the Netherlands, Portugal and Finland by issuing letters of formal notice concerning their implementation of the Directive. The Commission’s preliminary view is that aspects of the national measures adopted by those Member States may not fully comply with the Directive. The Member States were given two months to respond. Practical considerations for employersOrganisations operating in the EU should review their employment contracts, onboarding processes and workforce policies to ensure they continue to reflect local implementation requirements. Particular attention should be paid to arrangements involving casual, on-demand, platform or other non-standard workers, as these are a central focus of the Directive. Employers should also assess whether their existing practices concerning probationary periods, mandatory training and variable working schedules remain compliant with evolving local rules.
Compliance with the Directive should not, however, be viewed in isolation. Increasingly, the transparency obligations introduced by the Directive overlap with other EU regulatory initiatives, including the EU Pay Transparency Directive. For example, information that employers are required to provide regarding remuneration will also be relevant to pay transparency obligations. Similarly, jurisdictions such as Spain have introduced transparency requirements relating to algorithmic management systems. These developments also interact with the EU AI Act. Certain AI systems used for recruitment, employment-related decisions, task allocation, performance assessment or worker monitoring may be classified as high-risk and subject to the Act’s corresponding requirements. The interaction between these overlapping frameworks means that employers should take a holistic approach to compliance. Reviews of employment documentation, onboarding processes and workforce management practices should therefore consider not only the requirements of the Directive, but also wider obligations. Given the European Commission's recent scrutiny of implementation measures in several Member States, organisations should continue to monitor legislative developments and be prepared for further amendments in countries where compliance with the Directive remains under review.
How we can helpThe continuing development of national implementing measures means that compliance with the Directive is no longer simply a contractual documentation exercise. Employers increasingly need to assess how local transparency, predictability and scheduling requirements operate in practice across different categories of workers and in different jurisdictions. We can help organisations with their compliance strategies, including assessing the practical impact on workforce management, recruitment and employment documentation.
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