The Court of Justice of the European Union has ruled on a case concerning work in several countries
In 2002, Locatrans, a transport company based in Luxembourg, employed a French national as a driver, whose employment contract was governed by Luxembourg law. The driver initially worked in various European countries, but over time began to carry out transport mainly in France, which in 2014 resulted in the obligation to register the driver in the French social security system. In the same year, after refusing to reduce the driver’s working hours, Locatrans terminated the driver's contract.
The driver brought a case in the labour court in Dijon, but the court ruled that the case should be heard under Luxembourg law. However, the Dijon Court of Appeal ruled that, in this situation, French law was applicable under the Rome Convention, as the employee usually worked in France. Locatrans lodged an appeal.
The French Court of Cassation requested the Court of Justice of the European Union for assistance in determining which law was applicable if the parties had not chosen it and the employee had changed a place of work.
The Court of Justice of the European Union indicated that when examining all the circumstances to determine which law applies, if the parties have not chosen that law, the change of place of work - where the employee usually works - must be taken into account. If there is no clear place of work, the law of the country where the company's registered office is located is to apply.
In the case in question, the changing circumstances meant that Luxembourg law could apply unless the Court of Cassation finds that the employment contract has a stronger connection with France. The court will have to carefully consider whether all the circumstances point to such a connection, taking into account, among other things, the place where the driver last worked and the obligation to be under the French social security system.