The Employer’s Guide to Europe’s Inflation


In this fast-moving context, this guide helps multinational employers ascertain their legal obligations and options to mitigate the consequences of inflation on employees. Last updated on 20 October 2022, this report covers 13 key jurisdictions in Europe, addressing relevant questions.

After two years of dealing with a pandemic, European countries are now shaken by record levels of inflation and flagging growth. To help households cope with this situation, which currently shows no sign of improving, governments and employers across Europe are adopting evolving policies.

As a result of inflation, an increase in salary and benefits is expected or already occurring in the jurisdictions covered in this guide. In some countries, such as France and Poland, the government adjusts the statutory minimum wage based on the inflation rate. In the Netherlands and Ireland, an exceptional increase in the statutory minimum wage will apply starting on 1 January 2023; in Belgium, Denmark and Spain, the minimum wage is provided by the sector-wide trade collective bargaining agreements, some of which include indexation mechanisms.

Even where the law mandates salary increases based on inflation, the persistent high inflation is sparking strikes and protests across Europe because such increases do not match the pace of inflation.

Click here to read the full Guide.


About the author

CLINT | Littler

+31 20 8200 330

Latest news

Would you like to stay informed of the latest developments? View all articles on our blog.

Schedule a consultation.


In need of a second opinion? Or some planning for a case? Contact one of our labor lawyers or mediators.