Competition authorities are increasingly assessing labour market conduct as a competition law issue, not just an HR concern. No-poach or no-hire arrangements, wage-fixing and exchanges of sensitive pay or benefits information now present clear enforcement risks.
The third alert in our Competition Law Compass series explores recent activity across Europe and why it matters for in-house teams. The enforcement landscape is developing rapidly and the potential consequences are material. Benchmarking practices, commercial agreements and participation in industry events or fora are all coming under closer competition law scrutiny.
The practical significance is that labour market risk is not limited to agreements between obvious competitors. Businesses whose customer-facing activities do not overlap may still compete for the same employees, contractors, consultants or freelancers.
While enforcement has developed at different speeds across Europe, the underlying message from regulators is consistent – coordination between employers may restrict competition for labour. The result is a more active and less permissive enforcement environment for arrangements affecting recruitment, remuneration and worker mobility.
At EU level, the European Commission (the Commission) has translated labour market restrictions from policy discussion into enforcement. In its 2024 Competition Policy Brief, the Commission confirmed...
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