On 20 May 2025, EBC Secretary General took part in a high-level parliamentary breakfast hosted at the European Parliament to address the regulation of subcontracting and the protection of workers’ rights. The event, co-organised by S&D MEP Johan Danielsson (Sweden) and Group Vice-President Gabriele Bischoff (Germany) with the Friedrich-Ebert-Stiftung, brought together EU policymakers, labour law experts, and social partners to examine the complex challenges posed by multi-tier subcontracting chains in the EU labour market.
Participants at the event discussed exploring stronger EU regulatory oversight built on the collection of evidence and sectoral considerations. For decades, subcontracting has been a structural feature of the construction sector, enabling operational flexibility and the involvement of specialised SMEs and craftsmen. However, the growth of increasingly fragmented and long subcontracting chains has led to a blur of the lines of traditional subcontracting, posing a competitive risk to specialised SMEs, the quality of work and the conditions of workers alike. What is more, compliance monitoring by public authorities and inspections at national level become ever more challenging due to the complexity of such long subcontracting chains.
As a construction employers’ representative, EBC underlined the need for balanced measures that uphold labour standards while recognising the realities of the sector, with 94% of construction companies being micro enterprises, often operating as subcontractors.
The event concluded with remarks of Francesco Corti from the Cabinet of Executive Vice-President Roxana Mînzatu, and MEP Bischoff on the ongoing discussions on Regulation 883 on the coordination of social security systems, e-declaration for posted workers and the Single Market strategy.
EBC reaffirmed its readiness to engage in future discussions on limiting social dumping and unfair competition, with a strong consultation of sectoral social partners to root initiatives in a clear understanding of sectoral realities.
EBC will continue to follow these developments closely, contributing the perspective of SMEs and advocating for policies that are both socially responsible and economically viable.
To read EBC position paper on Limiting the subcontracting chain “Preventing social dumping and unfair competition in Europe’s construction sector”, click here
