On October 30, 2025, the European Court of Justice (ECJ) issued two decisions interpreting European Union law regulating mass dismissals, or “collective redundancies,” ruling that technical mistakes or noncompliance with notification requirements for mass dismissals under national law led to the invalidity of dismissals. These rulings highlight the obligation for employers, even in insolvency situations, to adhere strictly to notification and consultation procedures for mass layoffs, with implications for compliance in various EU member states.

• The ECJ issued two decisions finding dismissals are invalid if prior mass dismissal notification requirements under EU Directive 98/59/EC and national law are not met.
• In the two German cases involving collective redundancies, the ECJ found that insufficient or incomplete mass dismissal notifications to the competent public authority led to the invalidity of dismissals.
• The ECJ ruled that proper mass dismissal notifications and compliance with the consultation requirements are required before the employer issues any dismissals, and that employers cannot rectify that noncompliance afterward.

Both ECJ cases involve the interpretation of the EU Collective Redundancies Directive 98/59/EC, specifically concerning whether a failure to provide prior notice of a proposed mass reduction in force, or an incomplete or incorrect notice in this regard renders the dismissals invalid.

According to Directive 98/59/EC, prior notification must be...

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