Improving collective bargaining in Europe

Collective bargaining is a key element of labour relations, as well as a fundamental part of democracy and an essential piece of the European Social Model. Recently, the important role of social dialogue and collective bargaining has been rediscovered at the EU level. The Directive on Adequate Minimum Wages aims to explicitly strengthen collective bargaining, setting an ambitious target of 80% collective bargaining coverage in Member States. However, over two-thirds of Member States fall far short of this target, and the picture of European collective bargaining is mixed at best. In this context, this study aims to uncover why some countries in the EU have low or very low levels of collective bargaining coverage and propose policy recommendations to promote collective bargaining effectively. Based on a theoretical overview and case study analysis of selected Member States, the study elaborates on the key factors influencing the performance of collective bargaining systems. High-level policy recommendations are developed, addressing the fundamental principles of collective bargaining system design at the national levels, as well as measurement and monitoring of progress – crucial in the light of recent EU commitments and set quantitative targets.