In a significant ruling for transport workers, the European Court of Justice has sided with Denmark in upholding restrictions on foreign bus operators conducting cabotage services within Danish borders. The decision, which dismisses the European Commission’s challenge to Denmark’s 2019 regulations, represents a major victory in the ongoing battle against social dumping in the transport sector.
The Seven-Day Rule Stands
The contested Danish administrative practice, introduced in November 2019, limits non-Danish transport companies to performing cabotage operations for only “seven consecutive days in a calendar month.” This effectively prevents foreign operators from conducting multiple cabotage operations if more than a week passes between services.
The European Commission had argued that these restrictions violated EU law by limiting transport companies’ freedom to operate across Member States. However, the Court found that Denmark had not breached its EU obligations, noting that the concept of “occasional operations” in EU cabotage regulations allows Member States discretion in implementation.
A Victory for Workers’ Rights
Flemming Overgaard, newly elected chairman of 3F Transport, Denmark’s transport workers’ union and ETF member underlined the victory of the ruling. “The Danish government has always stood by its right to make its own clear and necessary rules against social dumping. Now, at long last, the authorities can enforce the Danish rules. We are very much looking forward to that,” Overgaard stated.
The ruling carries implications beyond Denmark’s borders. According to Overgaard, “The ruling also means that Sweden and other countries are free to copy the Danish rules and put effective brakes on the undermining of wages and working conditions for foreign drivers throughout the Nordic region.”
This marks the second time in ten years that Denmark has successfully defended its transport regulations against European Commission challenges. The consistent victories underscore Denmark’s determination to protect domestic workers from unfair competition while navigating EU single market rules.
The ruling reinforces that Member States can take meaningful actions to protect their domestic labour markets and transport workers, while still respecting EU principles of free movement. The challenge now lies in effective enforcement to ensure these protections translate into real benefits for transport workers across the region.
