Home » HR practices » Professional development » Legal developments » European legislation » EU: the EU Commission wants to help companies merge, divide and move seats across Member State borders while safeguarding workers’ rights EU: the EU Commission wants to help companies merge, divide and move seats across Member State borders while safeguarding workers’ rights On 25 April the European Commission proposed new company law rules to make it easier for companies to merge, divide, and move company seats within the EU. The EU directive proposal aims to facilitate these “with strong safeguards to protect employees' rights and, for the first time, to prevent artificial arrangements aiming at tax avoidance and other abuses", the official press statement detailed. As regards workers rights, the new text augments workers’ information on the impacts of any such proposed company operations and above all safeguards employees' participation in the company management and supervisory organs when the company seat moves across EU Member States or when a company engages in cross-border division, and as such avoids any dilution of workers’ rights that may otherwise have stemmed from these operations. Through . Published on 26 April 2018 à 15h45 - Update on 26 April 2018 à 16h33 Resources Safeguarding participation rights. The EU Treaty safeguards the fundamental freedom to establish an enterprise and as such companies should be able to transfer their company seats, merge, and divide their businesses across EU borders without having to overcome complicated and burdensome obligations relating to company liquidations and legal entity status. Nonetheless the EU Commission stresses that this essential simplification should not result in employees’,… Need more info ? Contact mind's on-demand study service Which service do you want to contact :WritingCommercial serviceTechnical SupportFirst name Last name Organization Function email* Object of the message Your messageRGPD J’accepte la politique de confidentialité.CommentsThis field is for validation purposes and should be left unchanged. Essentials Les dernières publications Supporting parenthood in the workplace: a win-win strategy Supporting employee carers: a CSR challenge Analyzes Les dernières publications Paternity leave: data observations from 41 countries EU: during H1 2022 five EU Member States have raised their minimum salary levels