The EU Mobility Package, a comprehensive set of regulations designed to modernize and harmonize road transport operations across Europe, has been a source of both debate and reform since its introduction. Intended to improve the working conditions of drivers, enhance road safety, and ensure fair competition among transport companies in the European Union (EU), the package has seen continued development and scrutiny.

One of the most significant recent developments occurred on October 3, 2024, when the Court of Justice of the European Union (CJEU) made a pivotal ruling by annulling a key provision of the package that required trucks to return to their registered base every eight weeks. This decision was seen as a victory for several Eastern European countries, which had long argued that the rule unfairly increased operational costs for their transport companies without providing significant benefits.

Despite the annulment of the eight-week return rule, the CJEU upheld other critical elements of the EU Mobility Package, such as cabotage rules, driver return obligations, and the concept of posted drivers. These provisions continue to shape the landscape of road transport across Europe, focusing on promoting fairness, safety, and improved working conditions for drivers.

In this blog post, we will explore the implications of the CJEU's decision, analyze the key components of the EU Mobility Package that remain in place, and assess the broader impact of these regulations on the European road transport sector.

The CJEU’s Ruling on the Eight-Week Truck Return Rule

The eight-week truck return rule, one of the more controversial provisions of the EU Mobility Package, required trucks engaged in international transport to return to their country of registration at least once every eight weeks. The goal of this rule was to prevent companies from circumventing local labor laws by continuously operating in countries with higher wages and better working conditions while registering their trucks in countries with lower costs and laxer regulations.

However, this provision faced strong opposition from several Eastern European countries, whose transport companies argued that the rule disproportionately impacted them by increasing operational expenses. For many companies in countries such as Poland, Lithuania, and Bulgaria, compliance with this regulation meant incurring higher fuel and maintenance costs, along with reduced operational efficiency, as trucks were forced to return to their home base even when there was no business justification to do so.

On October 3, 2024, the CJEU ruled that the eight-week return rule was disproportionate and lacked sufficient justification to warrant the significant burden it placed on transport companies. The court concluded that while the rule was designed to promote fairness and prevent companies from exploiting cheaper labor markets, it ultimately failed to balance these objectives with the economic realities of the road transport sector.

Implications for Eastern European Transport Companies

The annulment of this rule has been widely welcomed by Eastern European countries, which have some of the largest and most competitive road transport sectors in the EU. For companies based in these countries, the removal of the eight-week return obligation represents a significant cost-saving measure, allowing them to operate more flexibly and efficiently across Europe without the logistical constraints imposed by the rule.

This decision also aligns with the broader aim of these countries to defend the competitiveness of their transport sectors, which have traditionally relied on lower labor and operational costs to offer competitive services across the continent.

Key Provisions of the EU Mobility Package That Remain in Place

While the CJEU’s decision to annul the eight-week return rule marks a notable change, the court upheld other crucial provisions of the EU Mobility Package that continue to shape road transport across Europe. These include the cabotage rules, driver return obligations, and the regulations concerning posted drivers.

1. Cabotage Rules: Enforcing Fair Competition

The EU Mobility Package includes strict cabotage rules, which regulate the ability of transport companies to carry out domestic transport operations within another EU member state on a temporary basis. Under these rules, a foreign operator is allowed to perform a maximum of three cabotage operations within seven days after completing an international delivery in a host country. Following this period, a four-day waiting period must be observed before the company can conduct further cabotage operations in the same country.

The CJEU upheld these cabotage rules as a necessary measure to promote fair competition and prevent the abuse of cross-border operations by companies seeking to bypass local labor and regulatory standards. By enforcing a cooling-off period between operations, the rules ensure that foreign companies cannot permanently operate in higher-wage countries while benefiting from lower-cost home bases.

2. Driver Return Obligations: Protecting Driver Welfare

Another key provision that remains intact is the obligation for transport companies to ensure that their drivers can return home for rest every three to four weeks. This rule was introduced to improve working conditions for truck drivers, many of whom spend long periods on the road away from their families. The regulation mandates that companies must organize their operations in such a way that drivers can either return home or go to a location of their choosing for their legally required rest periods.

By upholding this provision, the CJEU has reinforced the EU’s commitment to driver welfare and work-life balance. Long-distance truck driving can be a demanding and isolating profession, and this regulation is aimed at ensuring that drivers are not exploited by being forced to remain on the road indefinitely without sufficient rest or time off.

3. Posting of Drivers as "Posted Workers"

The concept of posted workers is another important aspect of the EU Mobility Package that remains in place. Under these rules, truck drivers who perform international transport operations are classified as posted workers when they operate in a country other than their home base. This classification means that drivers are entitled to the same working conditions—particularly in terms of wages—as local workers in the host country.

This regulation is designed to prevent wage dumping, a practice where companies employ drivers from lower-wage countries to work in higher-wage markets, paying them less than the local standard. By ensuring that posted workers receive the same remuneration as local drivers, the EU aims to create a level playing field and promote fair competition in the transport sector.

The Ongoing Impact of the EU Mobility Package on the Road Transport Industry

Despite the annulment of the eight-week truck return rule, the EU Mobility Package remains a critical framework for regulating road transport in Europe. Its focus on improving working conditions, ensuring road safety, and promoting fair competition continues to influence how transport companies operate across the EU.

1. Enhancing Road Safety and Working Conditions

One of the core goals of the EU Mobility Package is to enhance road safety by improving the working conditions of truck drivers. By enforcing rest periods, mandating driver return obligations, and regulating working hours, the package seeks to reduce the risk of driver fatigue—a major factor in road accidents involving commercial vehicles.

In addition, by addressing issues such as wage disparities and the exploitation of foreign labor, the package contributes to more equitable labor practices across the EU. This is particularly important given the significant role that Eastern European drivers play in the European transport market, where they frequently work across borders in countries with higher wages and stricter regulations.

2. Balancing Competitiveness and Fairness

The CJEU’s ruling highlights the ongoing tension between promoting fair competition and maintaining the competitiveness of transport companies from different parts of the EU. While the annulment of the eight-week return rule addresses concerns about the financial burden on Eastern European transport companies, the retention of cabotage and posting rules ensures that these companies must still comply with regulations aimed at preventing unfair competition.

This delicate balance between competitiveness and fairness is at the heart of the EU Mobility Package. As the road transport industry continues to evolve, further adjustments to the package may be necessary to ensure that the rules reflect the changing realities of the sector.

Conclusion

The CJEU’s decision to annul the eight-week truck return rule marks a significant development in the ongoing evolution of the EU Mobility Package. While the removal of this provision has been welcomed by many transport companies, particularly those in Eastern Europe, the CJEU’s decision to uphold other key components of the package ensures that the broader goals of driver welfare, road safety, and fair competition remain intact.

For the road transport industry, the EU Mobility Package will continue to play a critical role in shaping how companies operate across borders, balancing the needs of different member states while promoting the EU’s commitment to a fair and efficient transport system.