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  • 19 november 2020
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  • 2020/2021
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Comparative labour law
Lecture 1A

Part 1
Most USA laws and social security laws have an ‘all USA character’ although there are some states
that have their own laws, the basic laws are overwhelmingly uniform from coast to coast. In Europe,
this is very different.

80% of labour law and social security law in the EU is determined by member states. This causes a lot
of differences to stay in between different states, which is bound to stay like this as the EU does not
have uniformization as a goal. 🡪 still although harmonization might not be the goal, the legal system of
the European countries is in fact getting closer to each other.

History of labour law

Of course, European labour law is
older than 1820, but this is around the
time philosophy and enlightenment
had spread throughout Europe, and
can be pointed to as the beginning of
modern European labour law.
Most of old labour and social security
law had been abolished, meaning
there was almost no labour law during
the 19th century.

In the last 40 years there has been
little to no ‘new’ labour law 🡪 rather transforming labour law, edits coming to the already existing law.

Transformation of labour law and social security law in Europe
1980-2020 because of:
- New ideological trends like deregulation, privatisation, flexibilization, more equality and less
imposed solidarity
- Demographic factors also challenged social security arrangements:
o Aging population
o More female participation and migrants at the labour market
o More divorces and single parent families

- Economies in Europe are evolving from an agrarian/industrial to service economy, now with
digitalisation and robotization: gig-economy
- Open markets in Europe since 1992
- Single currency (euro)
- Globalisation
- Markets became dominated by multinational corporations
- New forms of employment
o Part time work
o Freelance work
o Labour on call
o Outsourcing
o Temporary agency work
o Telework

, o Work on platforms (writers)
Influence of women on the labour market has stimulated demands for things such as more child care
facilities; family responsibilities changed
Contractual and IR must be adapted to a knowledge-based economy
Labour law and SSL have to deal with new social environment and a new world of work; present
challenge in all European countries. Whatever shape future situations will take, it won’t make sense
to decrease the amount of labour law we currently have; it will only increase.

University and diversity in LL and SSL
- 1945 and 1990; communism ruled. Different social economic systems in Europe 🡪 LL and SSL
had a different character
- However, once these different systems disappeared; economic systems in all European
countries are essentially a capitalist one; although the harsh consequences of capitalism have
been softened by the laws surrounding labour 🡪 referred to as a social market economy.
Labour law and social security law are two pillars of the social market economy


- 1990; scholars identified several social market economy models in Europe.

● Angelo-Saxon:
o Emphasis is on proper
functioning of the laws of the
market
o Protection of and care for
entire population is relatively
low, leaving much to
individuals to personally
improve situation
● Rhineland
o Care population is on high
level; notably where
employees are concerned
● Nordic
o Care for entire population is on
high level
o System is geared towards a
high degree of participation in
labour market
● Mediterranean
o Less rich economy, lots of corruption
● Central / eastern European
o Relative poverty of communist systems has not yet been pushed away
o IRs are still immature
o Post-communist welfare systems are a mixture of liberal and conservative regimes

Labour law and SSL 🡪 very sensitive to ups and downs in economic cycle
- Economic boom; unemployment is low, workers may easily press for better conditions of
employment and social security
- Slack periods; may cause inflation with all its problems.
o Example: corona crisis
▪ Unemployment is high

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