Work/Life: international employment news update

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Issue 98

Welcome to the latest edition of our international employment news update.

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Spain

Compensation for infringement of the right to disconnect and data protection

The Galician High Court recently upheld the rights of an employee to digital disconnection and privacy, fining the employer for sending work-related communications after hours and for sharing personal data with third-party occupational risk prevention companies without consent. The court recognised that the employee had not agreed to receive corporate messages during non-working hours or have his personal information disseminated externally. The employer has been ordered to pay damages amounting to EUR1,000 - EUR300 for infringing upon the right to digital disconnection and EUR700 for breaching data protection rights.

Getir confirms it is pulling out of the Dutch market

The swift grocery delivery service Getir has announced its withdrawal from the markets in the Netherlands, Germany, and the United Kingdom, refocusing its efforts on its original Turkish market. This strategic shift leaves Flink as the solitary rapid grocery delivery operator in the Dutch market. Previously, Gorillas had formed a partnership with supermarket chain Jumbo before being acquired by Getir in 2022; Zapp also exited the market later that same year. The popularity of these quick delivery services surged amid the coronavirus pandemic due to their promise of ten-minute delivery times. Nevertheless, they have recently faced increased regulatory constraints concerning their distribution hubs' locations and fierce competition for consumer orders. In response to insufficient demand, Getir shut down five of its Amsterdam-based 'dark stores' last August and ceased operations in six Dutch cities. In a similar vein, Deliveroo has also retreated from the Dutch market after a protracted legal dispute over whether its delivery riders should be classified as independent contractors or employees.

Work from home may be behind falling office prices

For the past year, office property transaction prices in the Netherlands have been on a downward trajectory, marking the first time since 2015 that such a decline has persisted for four consecutive quarters, as reported by Statistics Netherlands (CBS). The Chief Economist Peter Hein van Mulligen suggests that this trend may be linked to the growing preference for working from home. In comparison to the corresponding quarter of the previous year, office prices have decreased by 2.1% in the first quarter of 2024. Additionally, there has been a gradual decrease in the total number of offices over several years due to conversions into residential spaces or demolitions. Currently, there are approximately 94,000 office buildings in the Netherlands, which is a reduction from 97, 500 counted in 2015. Although demand for office space has lessened, growth within the service sector persists.

Air France-KLM may slash jobs as the airline tries to find ways to cut costs

Air France-KLM is exploring various cost-saving measures, including potential reductions in its workforce, as part of a broader effort to decrease expenses. CFO Steven Zaat highlighted these considerations amidst discussions on the company's financial performance. The group, which employs approximately 73,000 individuals, has decided to halt recruitment of support staff for the interim as it aims to curtail overheads.

The airline reported a substantial loss of EUR480 million in the first quarter, surpassing last year's EUR337 million loss for the same period and marking its most significant deficit post-pandemic. Similar financial challenges have prompted Lufthansa to take parallel actions; the German carrier disclosed an operational loss of EUR849 million in the first quarter - EUR600 million worse than the previous year - largely due to persistent strikes within Germany. Following recent wage settlements with unions representing ground and cabin staff, Lufthansa is now preparing to implement its own cost-reduction initiatives.

Inviting a woman to a work meeting because she's ‘pretty' is sex discrimination, tribunal rules

A tribunal in Leicester has ruled that calling someone a 'pretty woman' at work constitutes sex discrimination. The case involved an accounts manager, Emma Nunn, who sued her employers after her boss invited her to a meeting because a male client liked 'pretty women'. The judge said that the comments reduced Nunn's value to the business and would not have been made to a male colleague. Nunn, who felt humiliated and undermined, resigned from her job. The tribunal heard that Nunn and her boss had a longstanding friendship, which led to a blurring of their working relationship. A further hearing will determine the compensation to be awarded.

Visa curbs bring fall in immigration

Visas issued to skilled workers, health and care staff, and students have fallen by a quarter compared with last year. The number granted to these groups decreased from 184,000 to 139,100 in the first three months of 2024. The decline in visas being issued to health and care workers and their families is due both to measures taken by the government to ensure that businesses sponsoring visas in the sector are regulated by the Care Quality Commission, and to the government restricting almost all care workers from being able to bring their partner and children with them to the UK. Experts suggest that most of the reduction would have happened even without the new policies.