Name: Tariffs bring great uncertainty to the European jobs market
Uploaded: 2026-01-20T17:31:17.750Z
Duration: 4 min 14 s
Description: Roxana Mînzatu EVP, Social Rights and Skills, Quality Jobs and Preparedness at the European Commission discusses the outlook for Europe in 2026

Roxana Mînzatu EVP, Social Rights and Skills, Quality Jobs and Preparedness at the European Commission discusses the outlook for Europe in 2026

Rising tariff threats between the United States and Europe are causing significant uncertainty for companies and workers across the European Union. European officials highlight that such economic tensions can lead to job cuts, reduced investment, and challenges in maintaining quality employment, particularly as companies face labor shortages and pressure to improve working conditions.

Efforts are underway in Europe to enhance competitiveness while safeguarding workers' incomes and rights, including the implementation of a minimum wage directive. Authorities stress the importance of social dialogue between employers and trade unions to ensure that economic growth does not come at the expense of worker welfare or lead to exploitation.

Tariffs bring great uncertainty to the European jobs market

escalation in tariff threats again between the United States and Europe which could have consequences economically for companies in the bloc. How worried are you about a spill across to workers and how they're impacted? Obviously very worried. The jobs of the people are the topic that I deal with in the Commission and actually Europeans first and foremost care about the cost of living, their income, so every discussion that we have on a macro-political, geo-economic level actually affects the incomes of not just Europeans but Americans alike. So I think this discussion has a very strong social components, very important social consequences and we must do everything that is possible to avoid these consequences upon our people. The tariff threat was there last year for a lot of companies to contend with and we did see job cuts over the course of last year. The lack of investment, the lack of quality jobs and just retaining jobs, is that impacted by some of the uncertainty? Uncertainty doesn't help investors and investors are those that create jobs but for sure in Europe we are working towards a relaunch of our competitiveness and I think we are on the right path looking at how not just to be a predictable partner for investors and they care about that but also to simplify our rules, to create investment frameworks that allow them to scale up in Europe and of course, and this is my mission, to have the right framework so that we have quality jobs because companies are dealing with a lot of shortages in many sectors and many types of jobs and some sectors deal with these shortages because the working conditions need to be improved. So we need to have this package approach and we do have this package approach in Europe but obviously beyond and above everything we need to have predictability and stability and that will translate into jobs. So every time we discuss about tariffs, every time we discuss confrontationally, we must remember the hundreds of millions of people that each month receive their salary slip, have to pay for their family and for their children's expenditure and we need to think that the consequences are born upon them. This is quite important. Europe has been very clear about its goal to increase European competitiveness which has consequences for consolidation in industries across sectors which does sometimes lead to job losses and also push back against pay rises that have been a very big feature of the European market for a number of years now that have fueled inflation. Do workers need to think about being more pragmatic while Europe does fight for greater competitiveness? We can be competitive while taking care of the income and of the working conditions of our workforce. There is no dichotomy between the two. We have to think that the pandemic has given space to decrease in the income of many of our workers and with our policies we have been able to regain some of that loss. We have our minimum wage legal directive in Europe exactly because we need to make sure that those workers that are most vulnerable are able to make ends meet, to be able to pay for their minimum expenditure. So there is no dichotomy between the two. Competitive, productive companies will always rely on workers, on professionals that are not just productive but they are also paid and respected in the company. That being said, I think it is equally important that we give way to what I call social dialogue, a social fiber of Europe. So we need to find a way that employers and trade unions have a strong dialogue, are able to deliver together on the rules and the frameworks that help them thrive together. This is also part of the European social model, not just that the governments or the institutions will always dictate on the direction but that we encourage that workers and employers discuss about the level of salaries, about the medical leave, about all these elements that are part of the working conditions. But beyond that we must make sure that competitiveness does not come at the price of cheap labor or of workers that are not being respected or exploited.

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