EU pushes quality jobs agenda as energy shock threatens new hiring

The European Commission’s latest employment and social report stresses that the quality of jobs is a key factor for the EU’s economic performance, influencing productivity, skill development and firms’ ability to attract staff. It points to uneven job-quality levels across sectors, with higher standards in manufacturing, knowledge-intensive services and public administration, and lower standards in hospitality and low-skill occupations.

The document warns that the energy shock triggered by the Middle-East conflict will dampen the creation of new positions, adding pressure to already strained labour markets. It also notes that productivity gains are needed to sustain wage growth, while higher minimum wages can spur investment and innovation. The Commission plans to unveil a Quality Jobs Act later this year, following a second round of dialogue with European social partners, and highlights the role of AI in boosting productivity while cautioning about its impact on entry-level jobs and skill gaps.