About Us
FAQ
Global Law Experts Logo
Global Law Experts Logo

Find a Global Law Expert

Specialism
Country
Practice Area

Awards

Since 2010, the Global Law Experts annual awards have been celebrating excellence, innovation and performance across the legal communities from around the world.

Posting of Workers Directive- “high frequency” cross-border workers

posted 6 years ago

In Michael
Dobersberger (C-16/18), the Administrative Court of Austria seeks clarity on
the interpretation and enforcement of the Posting of Workers Directive.

The case in the
main proceedings

·        In
performance of a contract entered with the Austrian Federal Railways (OBB), D GmbH an
Austrian company provides on-board services (preparation and sale of food and
drink), in trains operated by the OBB, departing from Budapest (Hungary) to Salzburg
(Austria) or Munich (Germany). The trains stop in Vienna (Austria) and after
reaching the terminus station, return to Budapest.

·       The
services are provided by a Hungarian company H kft, on behalf of another Austrian company H GmbH (subcontracting chain).

·       To
perform such services, H kft is using
Hungarian workers, most of them leased by another Hungarian company.

·        Performing
a control at the railway station in Vienna, the Austrian authority found the
company sending the workers in breach of the Austrian legislation transposing
the Posting of Workers Directive and of Regulation 883/2004. The sending
company failed to register the employees and at the time of inspection, the
workers did not keep the portable document A1 and copy of their employment
contract.

Questions referred
for a preliminary ruling

The
Administrative Court of Austria, has referred to the ECJ several questions can
be summarised as follows:

·        Whether
the provision of services, such as the provision of food and drink to
passengers, on-board service or cleaning services, on international trains,
fails under the scope of Article 1(3) (a) Directive 96/71/EC.

·        Whether
the case at issue is covered by Article 1(3) (a) Directive
96/71/EC.

·        Irrespective
of the answer to the other questions, whether the EU law, in particular the
freedom to provide services (Article 56 and 57 TFEU) preclude national
legislation from imposing
in the case at issue. obligations similar to
these provided for in Directive 96/71/EC and its
enforcement Directive 2014/67/EU.

Beyond the case at
issue

It must be
noted that the workers concerned were all residents of Hungary, had their
centre of interest and were subjected to the social security system in the
latter country.

In Austria, the Law
against social and wage dumping (LSD-BG) has entered into force as a standalone
act on 1 January 2017 and entails the transposition of the Enforcement
Directive (2014/67/EU). Previously, the said act was included in the Employment
Contracts Act(AVRAG), transposing the Directive 96/71/EC. The law aims to
ensure inter alia that employees paid by foreign companies to work in Austria,
receive the same remuneration as “comparable” Austrian workers.

The
reference for a preliminary ruling seeks to clarify on the one hand whether
AVRAG’s provisions
are compatible with the freedom to provide services and on the other hand,
whether beyond the case at issue, high frequency cross-border (service) staff
is covered by the Directive 96/71/EC and its 
enforcement
Directive 2014/67/EU (in that extent, the ECJ ruling will apply to similar
transnational provision of services, notably land and air transport).

 

 

 

 

Author

Find the right Legal Expert for your business

The premier guide to leading legal professionals throughout the world

Specialism
Country
Practice Area
0
LAWYERS RECOGNIZED
0 m+
EVALUATIONS OF LAWYERS BY THEIR PEERS
0
PRACTICE AREAS
0
COUNTRIES AROUND THE WORLD

Join

0
who are already getting the benefits

Sign up for the latest legal briefings and news within Global Law Experts’ community, as well as a whole host of features, editorial and conference updates direct to your email inbox.

Naturally you can unsubscribe at any time.

Newsletter Sign Up

About Us

Global Law Experts is dedicated to providing exceptional legal services to clients around the world. With a vast network of highly skilled and experienced lawyers, we are committed to delivering innovative and tailored solutions to meet the diverse needs of our clients in various jurisdictions.

Contact Us

Stay Informed

Join Mailing List

GLE