On 4 March 2025, the Luxembourg parliament adopted draft bill No. 8225 (“Law“), transposing the employment law provisions of the Mobility Directive (Directive (EU) 2019/2121) into Luxembourg law. This legislation introduces new rules on employee information, consultation and participation in cross-border conversions, mergers and divisions.
These changes complement the law of 17 February 2025 (derived from Bill No. 8053), which primarily addressed the company law aspects of the Mobility Directive and strengthened employee information and consultation rights.
The Law was published on 28 March 2025 in the Luxembourg Official Journal and entered into force on 1 April 2025.
Companies planning cross-border restructurings within the European Economic Area (EEA) must comply with these new obligations, particularly regarding information and consultation deadlines as well as employee participation.
To understand the implications of these changes and how they may impact your organization, please get in touch with your usual Baker McKenzie contact.
The Mobility Directive seeks to enhance corporate mobility within the European Union, ensuring that employees remain adequately informed and, as applicable, involved in decision-making processes during cross-border transactions.
Luxembourg transposed the Mobility Directive in two phases:
it made false statements on customs forms to avoid paying tariffs on some imports from China, rejecting the company's argument that the Tariff Act leaves no room to invoke the False Claims Act. . ....