Historically, discussions surrounding the EU’s “twin” green and digital transitions have focused on mitigating the transitions’ negative impacts on workers – whether from technological disruptions or climate policies – rather than proactively shaping the future of work.
Last year’s widespread farmer protests – which took aim at environmental regulations, among other things – demonstrated that the EU has often failed to get workers on side. Similar tensions also exist in more digitised areas, particularly when it comes to regulating the use of artificial intelligence systems used to make high-stakes decisions in work contexts.
It doesn’t have to be like this though. Robust, thoughtful labour regulation can ensure that the average European is not just shielded or compensated from the transitions’ fallout, but that they reap their benefits. The European Commission itself acknowledges this in its talk of making the transitions “just”. To quote a 2022 Commission statement, “the twin transitions will be fair or will not be.”
This is easier said than done though, as some deep-seated rigidities in Europe’s labour regulations stand in the way of rolling out modern working patterns. There is a clash between the desire for modern, eco-friendly work models and the stark reality of Europe’s outdated legal frameworks.
This lack of clear legal guidance means that even the most responsible companies and innovative managers may hesitate to test out new working arrangements. The changing nature of work calls for a regulatory environment that can accommodate these shifts without sacrificing worker protection, digital competitiveness or environmental integrity.
My recent working paper from the EU’s Joint Research Centre demonstrates how a more adaptable legal framework could encourage innovative work models that better align with sustainability goals. It highlights three critical areas where labour regulation is failing to protect modern workers:
- online, hybrid and asynchronous work
- “unconventional” arrangements that diverge from typical full-time, space-dependent, standard employment
- the lack of participation in decision-making processes by workers affected by the green transition and digital transformation.
The first of these two points are closely related to the uptake of remote working and the gig economy, but they also cover a great deal of other forms of work, from farm labourers to freelancers and self-employed people. The final point hinges on workers being represented by labour organisations, such as trade unions.
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The benefits of online and hybrid work
Reducing and redistributing work hours can not only improve work-life balance and employee wellbeing, but also address issues like gender inequality. By adopting trust-based work schedules and environments, organisations can harness technology to better meet individual needs, and reduce workforce pressures.
These models are also environmentally friendly. They shorten and rearrange working hours, thus reducing carbon footprints and resource consumption from daily, mass commuting.
Additionally, transforming working space and time can boost productivity by adjusting collaboration flows, work duration, scheduling, workload, and intensity. Research has proven that a four day working week, especially one optimised with digital tools, enhances concentration and productivity during working hours.
With the right protections for workers, staggered work patterns can also eliminate frustrating inefficiencies, such as unnecessary meetings.
Asynchronous work arrangements – which allow more flexibility in when and how tasks are performed – can help address challenges such as underemployment and excessive working hours. Decoupling work performance from linear time arrangements and fixed locations means employees can manage their responsibilities more autonomously, working at their own pace and on their own terms.
If done right, flexible work undoubtedly fosters a healthier balance between professional and personal lives, and promotes a more inclusive work environment.
Protection for ‘everyone who works’
Europe’s existing labour frameworks are built on rigid binary classifications, and therefore struggle to accommodate dynamic, modern work arrangements. In particular, the traditional (if not outdated) distinction between employment and self-employment is increasingly blurred by the rise of new technologies.
Our current legal schemes may therefore hinder rather than help the adoption of new work models that could reduce carbon footprints and make the most of digital tools.
Workers outside the conventional time and space boundaries of a nine-to-five office job (such as freelancers, remote and gig workers), are less likely to be protected under current regulations. They may be exposed to overwork, self-exploitation and burnout, with all the entailing mental and physical health consequences.
This means potentially sustainable working patterns are left vulnerable. New, more environmentally friendly forms of work do not always fit neatly into existing legal definitions of employment. Legislation therefore urgently needs to evolve to support these working patterns, without sacrificing protections for workers themselves.
The biggest potential change would be for EU law to diminish the importance of contractual status in worker protection laws. This would extend rights to all workers, regardless of how their work is formally classified. Several recent legal and judicial decisions have already started paving the way for this broader protection, which recognises the rights of “everyone who works”.
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No transition without participation
Decision-making processes overlook the fact that meaningfully reshaping work requires the input of workers. By actively involving representation bodies like trade unions in the decision-making process, we can ensure that the modernisation of workplaces is not only technologically and environmentally sound, but also socially equitable.
A participatory approach also prevents environmental and technological efforts from being treated as separate categories, which can dilute their impact. Through genuine participation, unions and other labour organisations can play a key role in supporting the green and digital transitions, and in making them fair for workers.
Giving workers a voice is also vital for gaining political support. If workers feel they are being fairly represented, they will be far more likely to support new laws and measures.
A wealth of initiatives are working to combine cutting-edge technological development with worker wellbeing and green objectives. These include new AI models built around “participatory algorithmic governance”, which treat workers’ well-being as a goal to be optimised, much like performance or productivity.
Notably, several unions are also starting to integrate climate action and digital transformation into their objectives. They are advocating for retraining programs, the extension of social protections, and investments in sectors that provide decent work and promote sustainable development.
The bottom line: get workers on side
The world of work is where the green and digital transitions converge. It is also where, without careful management, they could undermine one another, creating confusion and sowing the seeds of political discord among workers.
Europe’s current legal framework lacks effective tools to protect both digital and environmental rights. However, EU labour law principles and norms provide a foundation for rethinking work structures to frame these transitions in terms that are universally appealing.
The strategies discussed here are not mere temporary fixes – they can make society more prosperous, inclusive and sustainable. They can also mitigate the impacts of the climate crisis, and protect workers against the disruptive effects of unchecked digital technologies.
This article builds on a previous article on the EU’s “twin” green and digital transitions, which you can read here.
This text is written within the context of the research project on the synergies between the green and digital transitions, European Commission Joint Research Centre’s Directorate for a Fair and Sustainable Economy.