According to a CJEU ruling (case C-249/24), the termination of employment contracts due to employees’ refusal to accept a mandatory internal relocation may fall within the scope of the concept of dismissal for one or more reasons not related to the individual worker concerned under the regulations on collective redundancies.
Specifically, the Court held that, where the internal mobility agreement is contractually mandatory and its application leads to substantial changes in essential elements of the employment relationship, terminations ordered by the employer for economic reasons fall within the scope of the concept of “dismissal” for reasons not related to the individual worker concerned, and such terminations must be taken into account when reaching the relevant thresholds for collective redundancies.
In such a situation, employers are required to comply with the procedures for informing and consulting employee representatives, as provided for in the directive, including initiating dialogue at an early stage in order to explore alternatives and limit the social impact.