The government supports Denmark against minimum wages

— This is an important matter of principle, ultimately it is about the limits of the EU’s powers, says Paulina Brandberg (L), deputy labor market minister, to TT.

The question is, expressed in another way, whether the EU treaty really gives the EU the right to legislate on wage formation, according to the minister. It is important to get clarity on that.

Last winter, it did not sound obvious that the government would, as it is formally called, request from the EU court to intervene on Denmark’s side in the case. But next week the government will submit the papers to the European Court of Justice about it.

It is Denmark that has filed a lawsuit against the directive and the EU Commission. After pressure from the Swedish labor market parties and a majority in the Riksdag – both the Social Democrats and the government’s support party the Sweden Democrats stood on the same side against the government on the issue – the government announced that it intended to back Denmark.

– We waited to see how the Danish lawsuit was designed and when we saw it, we quickly realized that it was something we could join, says Brandberg.

Denmark and Sweden were the only EU countries that did not support the directive among the EU countries when it was decided, despite the fact that the EU Commission assured that there are exceptions that mean that the politicians of both countries do not have to set minimum wages in law. But Swedish unions and employers fear that it will not hold if a case about who has the right to determine wages ends up in the EU court.

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