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Compliance News

Employment Law

France

France to reform its pension system

The French government recently introduced legislation aiming to reform the country’s pension system by gradually increasing the minimum retirement age from 62 to 64, as well as the number of years of insured employment needed to be eligible for a full pension from 42 to 43 years.  

To speed the passage of the controversial reform, the French government used its constitutional power to bypass the parliament vote. The reform is expected to enter into effect once its compliance with the French constitution is confirmed by May 2023.

Poland

Poland expands family leave entitlements

The Polish Government introduced a bill that expands parental leave entitlements and introduces a right to flexible work arrangements for parents of young children and carers, as well as
carers leave and emergency leave for all employees.

The amendments aim to align Poland with the European Union Directive No. 2019/1158 on work-life balance for parents and carers.

The Bill is in the initial legislative stages and still needs to be passed by both houses of the Polish parliament and signed by the President before it becomes law. The exact implementation date is not yet known.

Bulgaria expands family leave entitlements

The Bulgarian government recently amended its Labour Code to extend paternity leave entitlements and introduce a right to flexible work arrangements for parents of young children and carers. The amendments align Bulgaria with the European Union Directive No. 2019/1158 on work-life balance for parents and carers.

The amendments were published in the State Gazette and became effective on 1 August 2022.

European Union

EU directive on adequate minimum wages

In an effort to enhance the adequacy of statutory minimum wages, promote collective bargaining on wage-setting, and improve access to minimum wage protections, European Union (EU) member states will be required, no later than 15 November 2024, to pass national legislation meeting new minimum requirements established by Directive 2022/2041 of 19 October 2022 (the “Directive”) on adequate minimum wages.

Belgium

Belgium entitles employees to bicycle allowance

Beginning 1 May 2023, employees who regularly cycle to work may claim an employer-paid allowance of EUR 0.27 per kilometer based on the recent conclusion of a Collective Bargaining Agreement (CBA No. 164) by the National Labour Council on 24 January 2023.

Israel

Israel to introduce a health insurance reform

The government of Israel recently introduced a health insurance reform establishing a comprehensive Private Medical Insurance (PMI) framework that creates a uniform structure for basic health policy.

The new circular is expected to come into effect on 1 May 2023.

Spain

Spain introduces menstrual leave

The Spanish parliament recently passed new legislation introducing multiple changes to menstrual and reproductive health legislation including a government-paid temporary sick leave for female employees who suffer severe menstrual pain. The new leave (also called “menstrual leave”) may be taken for as long as needed so long as the temporary medical incapacity is approved by a doctor.

The legislation will enter into effect three months after its publication in the Official Gazette (the exact publication date is still yet to be determined).

Ireland

Ireland expands family leave entitlements

The Irish government recently approved the Work Life Balance and Miscellaneous Provisions Bill 2022 which introduces a right to request flexible working arrangements, five days of government-paid domestic violence leave, and five days of unpaid carer’s leave (called “serious medical care leave”).

The Bill is currently in its third reading before the Irish parliament and is expected to enter into force in the near term (the exact date is yet to be determined).

Guernsey to mandate auto-enrollment in an occupational pension scheme

The government of Guernsey recently approved legislation requiring the mandatory, automatic enrollment of employees into either a government-facilitated defined-contribution scheme (Your Island Pension- YIP) or a qualified, employer-sponsored pension plan.

Contributions will start at 1% for both the employer and the employee. The contribution rate will automatically increase annually until it reaches 3.5% for employers and 6.5% for employees in 2030.

The auto-enrollment requirement is expected to enter into effect on 1 October 2023.

Hungary

Hungary expands family leave entitlements

The Hungarian government recently passed significant employment legislation to introduce parental and carer’s leave entitlements, double the number of paternity leave days and introduce a right to request flexible work arrangements. The legislation brings Hungary into alignment with the European Union Directive No. 2019/1158 on work-life balance for parents and carers.

The amendments to the Hungarian Labor Code provisions entered into effect on 1 January 2023.