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Tuesday, July 1, 2014

EU Law: Exam Summary Notes on 'The Free Movement of Workers'

THE FREE MOVEMENT OF WORKERS

1. THE MEANING OF ‘WORKER’

·      There is no definition of ‘worker’ in EU legislation.
·      In Lawrie-Blum, the ECJ defined ‘worker’ with reference to three criteria:
o   provision of services
o   under the direction and control of another person
o   in return for monetary reward / remuneration
·      Part-time and/or low-paid workers are included, regardless of the level of remuneration (Levin; Kempf; Raulin; Ninni-Orasche; Trojani, L.N.). The minimum threshold is that the worker is providing “effective and genuine” activities (Levin). Having to claim income support does not deprive a person of ‘worker’ status (Kempf).
·      Trainees are workers (Lawrie-Blum; Kranemann).
·      Ex-workers can still claim to be ‘workers’ in certain situations. Directive 2004/38, Article 7(3) also protects ex-workers in certain situations:
o   Where they are temporarily unable to work as the result of an illness or accident. This does not include those who are permanently incapacitated from work (De Brito (Court of Appeal); Samin (Court of Appeal)). The question whether this provision covers pregnant women is pending before the ECJ (St Prix).
o   Where they are in involuntary unemployment after having been employed for more than one year or after completing a fixed-term employment contract of less than a year. This does not apply to those who have become involuntarily un-self-employed (Tilianu (Court of Appeal)).
o   Where they embark on vocational training, although the training must be ‘related’ to the previous employment, unless the worker became involuntarily unemployed. This enacts ECJ case law (Lair; Ninni-Orasche).
·      Genuine work-seekers are protected, provided they can produce evidence to that effect. They can remain in the “host” Member State indefinitely (Antonissen; Collins) and can claim financial benefits “intended to facilitate access to the labour market” (Vatsouras & Koupatantze).
·      Frontier workers are included. These are people who live in one Member State and commute to work in another (Hartmann; Geven; Hendrix).
·      There are some limits: people engaged in rehabilitation courses (e.g. for recovering drug addicts) are not ‘workers’ (Bettray).


2. WORKERS’ RIGHTS

1.      Under Article 45 TFEU

Free movement
·      Workers have the right to move from one Member State to another for the purposes of employment (Article 45(1) TFEU, Bosman).
·      Provisions of national legislation which “preclude or deter” a worker from exercising his/her right to seek employment in another Member State breach Article 45(1), even if the legislation applies “without regard to the nationality of the workers concerned” (Olympique Lyonnais).



Non-discrimination
·      Article 45(2) TFEU prohibits discrimination – whether direct or indirect – against workers based on nationality. This provision may be used to challenge discriminatory national legislation and/or discriminatory employment policies.
·      Article 45(2) is horizontally effective and can be enforced against private employers (Angonese; Casteels v British Airways).
·      Direct discrimination is very difficult to justify. Essentially, only the justifications provided in Article 45(3) TFEU – on grounds of public policy, security and health – and Article 45(4) TFEU – the public service derogation – are available.
·      Indirect discrimination is justifiable on similar grounds to those recognised in the case law involving Article 18 TFEU, i.e. by reference to “objective considerations of public interest”, subject to satisfying proportionality. Examples include:
o   Rewarding worker loyalty (Köbler v Austria; Schöning-Kougebetopoulou)
o   Encouraging the recruitment and training of young workers (Olympique Lyonnais)

2.     Under Regulation 492/2011 (previously Regulation 1612/68)

·      Article 3: Member States may not exclude foreign nationals from employment or subject them to conditions not applicable to the State’s own nationals. However, it is permissible, if the ‘nature of the post’ requires it, that workers have certain linguistic knowledge. This applies to teaching (Groener) and banking (Angonese).
·      Article 4: Member States may not discriminate against other EU nationals by imposing “quotas” on the number of foreign workers. Bosman is a well-known example.
·      Article 7(1): Workers may not be discriminated against by reason of nationality in respect of any conditions of employment and work. This applies to “all statutory or contractual provisions determining [a worker’s] position and in particular their financial rights” (Sotgiu).
o   Article 7(1) overlaps with Article 45(2) TFEU and the provisions have been used interchangeably. For example, an employer’s refusal to recognize an employee’s experience obtained in another Member State, for the purposes of calculating seniority, eligibility for promotion, pension entitlements, etc., breaches EU Law. It can be challenged using Article 45(2) TFEU (Köbler v Austria, Casteels v British Airways) or Article 7(1) (Schöning-Kougebetopoulou).
·      Article 7(2): Workers are entitled to the same ‘social and tax advantages’ as those enjoyed by home State nationals. This covers benefits “whether or not… linked to a contract of employment”, which are “generally granted to national workers primarily because of their objective status as workers or by virtue of the mere fact of their residence on the national territory” (Even). Examples of ‘social advantages’ include:
o   Mutsch – the choice of language in a criminal trial;
o   Reed – a live-in partner;
o   O’Flynn – funeral expenses;
o   Ninni-Orasche – funding for education;
o   Hartmann and Geven – child-rearing allowance;
o   Hendrix – disabled workers’ allowance.
·      Note: The ECJ has extended the application of Article 7(2) to worker’s family members (irrespective of their nationality). Hence family members can also claim ‘advantages’ such as rail travel discounts (Cristini) and funding for education (Bernini, Meeusen) under the same conditions as nationals of the host State. These cases were decided before Directive 2004/38 came into operation and in future such cases are likely to be dealt with under Article 24.




3. The ‘Public Service’ DEROGATION: Article 45(4) TFEU

·      Under Article 45(4) TFEU, Member States may – if they wish – exclude foreign nationals from ‘public service’ employment.
·      Article 45(4) TFEU only allows Member States to restrict access to public service employment; it does not justify discrimination against non-nationals in terms of remuneration or other work conditions within such employment (Sotgiu).
·      ‘Public service’ employment involves “the exercise of powers conferred by public law and responsibility for safeguarding the general interests of the state” and “a special relationship of allegiance to the state” (Commission v Belgium (No.1); Lawrie-Blum).
·      Article 45(4) TFEU does not apply “if rights under powers conferred by public law are exercised only sporadically, even exceptionally, by nationals of other Member States” (Colegio).
·      The following are not employed in the ‘public service’:
o   doctors (Schöning-Kougebetopoulou);
o   nurses (Commission v France (Nurses));
o   teachers (Lawrie-Blum; Bleis);
o   university lecturers (Alluè & Coonan);
o   carpenters, electricians, gardeners, railways drivers (Commission v Belgium (No.1));
o   utilities company workers (Commission v Belgium (No.2));
o   post and telecom workers, radio and TV broadcasters (Commission v Greece);
o   private security firm employees (Commission v Spain).
·      Article 45(4) TFEU applies to architects and nightwatchmen, if responsible for government buildings and military establishments (Commission v Belgium (No.1), ships’ captains (Colegio), the Armed Force (Alevizos).
·      Other occupations where Article 45(4) probably applies include national security services (e.g. MI5 and MI6 in the UK), the higher levels of the civil service, and the police force.


4. CHILDREN’S RIGHTS TO EDUCATION: REGULATION 492/2011

·      Article 10 of Regulation 492/2011: worker’s children have the right to be ‘admitted’ to ‘general educational, apprenticeship and vocational training courses’ under the same conditions as nationals of the host State.
·      Article 10 has been interpreted very widely.
o   The right to be ‘admitted’ to education includes “general measures to facilitate attendance”, i.e. funding for education (Casagrande);
o   ‘Vocational training’ includes University courses (Echternach & Moritz);
o   ‘Children’ encompasses all offspring of workers, irrespective of age (Gaal).
o   Combing the above principles means that the grown-up ‘children’ of workers can use Article 10 to claim maintenance grants for University courses (Di Leo; Gaal).
o   Article 10 refers to a worker’s ‘child’ – this includes step-children (Baumbast; Alarape & Tijani).
·      The working parent must be an EU Citizen but the ‘child’ may be a non-EU national (Baumbast – Colombian; Alarape & Tijani – Nigerian).
·      Article 10 refers to the children of a worker who is or ‘has been employed’ in the host State.
o   The death of the worker is therefore irrelevant (Michel S; Casagrande; Gaal).
o   Similarly if the worker moves to another Member State, or leaves the EU altogether (Baumbast; Ibrahim).
o   In either situation, the child retains his/her right to be educated in the host State.




The “primary carer” doctrine
·         Article 10 of Regulation 492/2011 includes a right for the child’s “primary carer” to reside with the child, irrespective of the carer’s nationality (Baumbast & R).
·         The primary carer’s right of residence is based solely on Article 10 of Regulation 492/2011. The residency conditions in Article 7(1) of Directive 2004/38 do not apply (Ibrahim).
o   A “primary carer” can therefore reside in the Member State even if he or she is not:
§  an EU Citizen;
§  working, self-employed or performing any economic activity at all.
·         The ‘child’ must have entered the education system of the host State (Hadj Ahmed).
·         Because Article 10 of Regulation 492/2011 expressly refers to the children of ‘employed’ persons (i.e. workers), the “primary carer” doctrine does not cover the children of self-employed people (Czop & Punakova).

·         In principle, the primary carer’s right of residence ends when the child reaches the age of majority (Teixeira). However, the right of residence may extend beyond that age “if the child continues to need the presence and the care of that parent in order to be able to pursue and complete his or her education” (Teixeira). Ultimately this is a question of fact for the national court (Alarape & Tijani).

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