Europe HR Compliance Pulse: 27 July 2026

A daily briefing on European HR, labour law and compliance developments for SME HR teams across the EU, UK, Switzerland and the Nordics.

Top story: Ireland’s WRC tightens enforcement on worker classification and whistleblowing

At a Law Society Professional Training webinar on 24 June, employment lawyers confirmed that Ireland’s Workplace Relations Commission has been “rigorous” in applying the Supreme Court’s 2023 Karshan five-step test to determine whether a worker is an employee or an independent contractor. In the case of Lingard v Randridge International Ltd, the WRC looked past a limited-liability company that existed solely to invoice for labour, pierced the corporate veil and held the underlying relationship to be one of employment. Practitioners cautioned that courts and the WRC now “consistently overlook” contractual labels that do not reflect the reality of day-to-day working arrangements.

The same webinar revealed a 249% increase in protected-disclosure (whistleblower) complaints to the WRC, driven largely by the 2022 amendments to the Protected Disclosures Act. Penalisation complaints, where a worker alleges they suffered a detriment for raising a concern, accounted for most of the surge. The High Court’s 2025 ruling in Breban v Catch Security Systems set a low threshold for interim relief in such cases, requiring only “substantial or arguable grounds” rather than a full standard of proof, making interim-relief applications increasingly attractive to claimants.

What to do: If you engage contractors in Ireland, particularly through intermediary companies, review each arrangement against the Karshan five-step test and the 2024 Code of Practice. A corporate wrapper that exists solely to invoice for labour will not shield you. Separately, ensure your protected-disclosure procedures and internal reporting channels are fully operational: the sharp rise in complaints means the WRC is seeing more of these cases, and the low bar for interim relief makes early resolution essential.

Also developing

Netherlands: The Dutch government scrapped the clarification component of the Wet VBAR (Assessment of Employment Relationships Act) on 6 March, citing excessive uncertainty among freelancers and clients. However, the legal presumption of employment has been detached and is proceeding as standalone legislation: any contractor earning below €38 per hour will be presumed an employee, with the burden of proof on the employer to demonstrate genuine self-employment. The government must publish the law in the Staatsblad by 31 August 2026. Meanwhile, the tax authority’s enforcement of false self-employment rules under the existing DBA framework has been active since 1 January 2025, with inspections and corrections already under way. What to do: If you use freelancers in the Netherlands, audit contractor rates and working arrangements now. Relationships where the hourly rate falls below the €38 threshold and the worker operates under the employer’s direction and control are at highest risk of reclassification. Prepare documentation demonstrating genuine entrepreneurial independence for each contractor relationship you intend to maintain.

Belgium: This Friday, 1 August, a new one-week notice period during the first six months of employment takes effect for indefinite-term contracts whose performance begins on or after that date. Under the Law of 3 June 2026, either party may terminate the contract during the first six months by giving one week’s notice, or by paying an indemnity in lieu of notice equal to one week’s remuneration. Existing contracts are unaffected. Anti-discrimination rules and special dismissal protections continue to apply. This change sits alongside the 52-week cap on employer notice periods for contracts entering force from 1 July 2026. What to do: Update your Belgian employment contract templates and HR onboarding workflows before Friday. Brief hiring managers on the new regime: while the shorter notice period gives both parties more flexibility early on, all other protections remain in place and the shortened notice period does not remove the requirement to follow proper procedures.

Greece: Greece transposed the EU Pay Transparency Directive through Law 5316/2026, published in the Government Gazette on 6 July, just 29 days after the EU deadline. The law covers pay-range disclosure in recruitment, information rights for employees, gender pay gap reporting for employers with 50 or more staff, joint pay assessments and protections against victimisation. Most operational obligations apply from 1 November 2026, giving employers a four-month preparation window. What to do: If you employ staff in Greece, use the period until November to audit pay data, establish pay-band structures for each role category and prepare gender pay gap reporting processes. The four-month window is shorter than it sounds once the August holiday period is factored in.

On the radar

Ireland, auto-enrolment pension opt-out: The first opt-out window opened on 1 July for employees enrolled since January. After the first week, only around 5,000 of approximately 800,000 enrolled members (0.5%) opted out. Employers should expect minimal disruption.

UK, zero-hours contracts consultation (previously covered): Closes 25 August 2026.

EU Platform Workers Directive (previously covered): Member states must transpose by 2 December 2026.

Sources

Europe HR Compliance Pulse is an informational summary of publicly reported legal and regulatory developments. It is not legal advice. Always confirm obligations for your specific situation and market with a qualified adviser.