EESC calls for fair compensation for traineeships: no trainee should work for free

The European Economic and Social Committee (EESC) is calling for the Commission's proposal on making EU traineeships fairer and more inclusive to be reinforced. Nearly half of the EU’s more than three million trainees are unpaid and almost a third have no access to social protection. All young people should have the chance to benefit from the traineeship experience - not just those who can afford it

On 11 July, the European Economic and Social Committee (EESC) held a high-level debate on improving the EU legislation on traineeships amid calls from civil society and youth organisations to stop the widespread practice of trainees working for free and having no access to social protection or other labour and social rights.

In the debate with the Commissioner for Jobs and Social Rights, Nicolas Schmit, which took place during its July plenary session, the EESC welcomed the Commission’s latest proposals to improve traineeships in Europe - the Traineeship Directive and the Reinforced Quality Framework for Traineeships. It hailed the Commission's initiative as a major step in the right direction.

The proposed Directive aims to improve and enforce good quality working conditions for trainees and, through controls and inspections, ensure that traineeships are not used to disguise regular jobs. In the proposal to revise the 2014 Council Recommendation on a Quality Framework for Traineeships, the Commission recommends fair pay for trainees and ensuring that they have access to adequate social protection. However, the measures listed in the revised Council Recommendation are not binding.

The Committee urged the co-legislators to bolster the proposals to prevent traineeships being misused as a source of cheap labour or a replacement for entry-level jobs.

The EESC stressed the importance of fair compensation for trainees. The living expenses that they incur to be able to take part should also be covered so as to guarantee that everyone has equal access to the traineeship experience.

EESC president, Oliver Röpke said that ‘Traineeships are a pivotal tool enabling young people to acquire first-hand work experience. We must ensure that no young person is excluded from these opportunities due to financial constraints. This is why traineeships need to be fairly compensated. We must tackle exploitative traineeships in Europe, and I thank the Commission for its proposals to achieve this goal.’

Commissioner Schmit said that ‘Traineeships can be a great way for young people to get initial work experience, learn new skills and build their network. However, they must be good quality traineeships. This means that there must be a clear learning objective, they must be paid and trainees must receive mentoring and guidance to help them transition to the world of work. We also need to make every effort to make traineeships more accessible and inclusive: they should not be just for a privileged few. I thank the EESC for today’s debate, and for its commitment to empowering young people as they start their careers.’

EESC: combating the abuse and misuse of traineeships is essential

In its opinion on Traineeship Directive and a Reinforced Quality Framework for Traineeships, the EESC underscored the key role played by the relevant authorities in combating regular employment relationships disguised as traineeships. The social partners are instrumental in these efforts, in line with existing national practices.

This opinion calls for provisions ensuring that workers’ representatives can always act to safeguard trainees, even if the traineeship does not constitute an employment relationship, in line with national legislation and practices.

‘Improving the Quality Framework for Traineeships across Europe, especially in terms of strengthening learning and training content, and combating the abuse and misuse of traineeships is essential. We therefore call on the Commission to improve the proposals put forward so as to ensure that these goals are met,’ said the rapporteur for the opinion, Nicoletta Merlo.

Ms Merlo said that the Commission proposals refer indiscriminately to all forms of traineeship and do not provide for the measures needed to prevent the misuse of traineeships from the outset. Moreover, the rules will only apply to trainees considered to be workers or who are in an employment relationship. This limits the scope of beneficiaries and means that there is a danger that the aims of the proposed legislation will not be achieved.

Opposing views of employers and trade unions

The leaders of the EU’s umbrella organisations representing Europe’s employers, workers and young people also took part in the plenary debate: the Director of Business Europe, Maxime Cerutti, the Confederal Secretary of the European Trade Union Confederation (ETUC), Tea Jarc, and the newly appointed president of the European Youth Forum, Rareș Voicu.

Mr Cerutti said that employers’ associations were against the binding legislation on traineeships because it was important to respect national and social partner competences. Traineeship practices as well as definitions of a trainee differ from country to country. It is paramount to improve the situation on the labour market overall, by improving training provisions generally and creating better incentives for employers to train their workforce so as to reduce skills mismatches on the labour market.

Ms Jarc said that the main shortcoming of the Commission’s package was that it was not going to stop unpaid traineeships, thereby sending the message to young people that they can be exploited. The Directive does not stipulate or enforce criteria for defining good quality traineeships, and so clear demands should be made to governments and employers. Mr Voicu said that the European Youth Forum welcomed many parts of the initiative but wanted the Directive to be ‘bolder’. This would ensure that young people are not exploited and marginalised in the labour market and consequently socially excluded.

Investing in good quality traineeships pays off

Investing in good quality traineeships – which guarantee fair and transparent working conditions and adequate learning content - has great potential for boosting youth employment. According to a 2023 Flash Eurobarometar, 68% of trainees surveyed were employed following their traineeship. Three in four former trainees considered that the knowledge and skills they gained during a traineeship were professionally useful.

At the same time, youth unemployment is still a persistent challenge in the EU: it is more than twice as high as the overall unemployment rate. While across the EU the average employment rate for recent graduates was 83.5%, in some Member States it was much lower, reaching only 67% in Italy.

Background

The Commission’s new proposals update the 2014 Quality Framework for Traineeships which sets the standards and guidelines for Member States on how to conduct traineeships. The two new proposals, published in March 2024, follow on from both the Commission’s other initiatives supporting youth employment and the Conference on the Future of Europe, where Europeans asked the Commission to ensure good quality traineeships.

The EESC sees the package as an important first step and pledges to keep pushing for fair treatment of young people in the labour market with regard to working conditions, training and advancement opportunities.