Large companies rarely introduce AI one country at a time. A new customer service platform, a group-wide HR system or a shared AI back office often reaches staff in several EU countries at once. National works councils see only their part of that change. European Works Councils exist for exactly this case: they give employee representatives a seat at the table on decisions that cross borders. This page explains when that applies to AI and how the rules are changing.
The short answer: EU companies or groups with at least 1,000 employees in the EU and at least 150 in each of two Member States can be required to set up a European Works Council. It must be informed and consulted on transnational matters, such as the introduction of new working methods across countries. A revision adopted in 2025 makes clear that digital transitions are among the topics, requires a reasoned written response before the decision, and applies from 2 January 2029, with its transitional rules for existing agreements applying from 2 January 2028.
Who is covered
Directive 2009/38/EC applies to Community-scale undertakings, meaning undertakings with at least 1,000 employees within the Member States and at least 150 employees in each of at least two Member States, and to Community-scale groups with at least 1,000 employees in the Member States and at least two group undertakings with at least 150 employees each in different Member States (Article 2(1)) (Directive 2009/38/EC).
A European Works Council, or another information and consultation procedure, is set up where requested: central management opens negotiations on its own initiative or at the written request of at least 100 employees or their representatives in at least two undertakings or establishments in at least two Member States (Article 5(1)). The terms are normally agreed with a special negotiating body. If management refuses to negotiate within six months, or no agreement is reached within three years, statutory subsidiary requirements apply (Article 7 and Annex I).
What makes an AI rollout transnational
The council's competence is limited to transnational matters: those concerning the undertaking or group as a whole, or at least two undertakings or establishments in two different Member States (Article 1(3) and (4)). The 2025 amending Directive sharpens this. Matters are transnational where they can reasonably be expected to concern the group as a whole or sites in at least two Member States, and this is deemed to be met where the measures can reasonably be expected to affect workers in more than one Member State, or affect workers in one Member State with consequences for workers in at least one other (Directive (EU) 2025/2450).
Examples where an AI project is likely to reach that threshold:
- one AI customer service system replacing work in contact centres in several countries;
- a group-wide AI tool for scheduling, performance evaluation or monitoring;
- moving work from a site in one country to an AI-supported hub in another.
What the council must be told and consulted on
Under the subsidiary requirements in Annex I of the 2009 Directive, information and consultation relate in particular to the situation and probable trend of employment, investments, substantial changes concerning organisation, the introduction of new working methods or production processes, transfers of production, cut-backs or closures, and collective redundancies. The council has the right to meet central management once a year, and the right to be informed in exceptional circumstances affecting employees' interests to a considerable extent, such as relocations, closures or collective redundancies.
The 2025 revision amends this list to cover skills and training policies, the anticipation of change and the management of restructuring processes including those linked to the green and digital transitions, and substantial changes concerning working conditions, in particular work organisation or contractual relations. It also provides that consultation must enable representatives to express their opinion before the decision is adopted, and that they are entitled to a reasoned written response from management before the decision, provided they gave their opinion within a reasonable time (new Article 9). Member States must provide penalties that are effective, dissuasive and proportionate, including dissuasive financial penalties for failures on information and consultation, taking account of turnover.
Timing of the revision
Directive (EU) 2025/2450 was adopted on 26 November 2025 and published on 11 December 2025. Member States must adopt and publish their implementing laws by 1 January 2028 and apply them from 2 January 2029, except the rules on existing agreements (Article 14 and Article 14a(1) to (3)), which apply from 2 January 2028 (Article 2). Until then, the 2009 rules as transposed in each Member State apply.
How it fits with national rules
A European Works Council does not replace local consultation. National information and consultation duties, collective redundancy procedures and transfer rules still apply at each site; see consulting employees before an AI rollout and AI and layoffs.
Practical steps
- Central management: check whether your group meets the thresholds and whether an agreement already exists. Put cross-border AI projects on the council's agenda while they can still change, with enough detail for an in-depth assessment.
- Council members: ask for the project scope, affected sites and roles, data used, and skills and training plans. Ask for the reasoned response in writing.
For how unions approach AI, see AI and unions. This page is general information about EU rules, not legal advice.
Questions and answers
Which companies need a European Works Council?
Undertakings or groups with at least 1,000 employees in the EU and at least 150 employees in each of at least two Member States, where negotiations are requested by management or by at least 100 employees or their representatives in two Member States.
Does an AI rollout have to go to the European Works Council?
If it is transnational, meaning it can reasonably be expected to affect workers in more than one Member State, and concerns topics such as new working methods, work organisation or employment, it falls within the council's information and consultation rights.
What changed in 2025?
Directive (EU) 2025/2450 clarifies when a matter is transnational, adds digital transitions and skills to the topics, requires a reasoned written response before decisions, and strengthens penalties. Member States apply it from 2 January 2029, with the transitional rules for existing agreements from 2 January 2028.
Does this replace national works councils?
No. National information and consultation, redundancy and transfer rules still apply at each site alongside the European Works Council.