Pregnant women on short-term contracts cannot have their employment ended because of pregnancy, according to European Court Advocate General Mr M. Antonio Tizzano.
Ironically, such a decision could affect millions of EU workers and boost employment for agency workers, who are not usually entitled to maternity leave.
The case involves Ms Maria Luisa Jimenez Melgar, who was employed by the local authority in Algeciras, Spain, from June 1998 until June 1999. She was employed on a series of three month contracts, but when it became obvious she was pregnant, her fifth contract was withdrawn.
The secretary general of the Federation of European Employers, Mr Robin Chater, said yesterday that "the case will have a major impact across Europe. Fixed-term contracts no longer provide the cost advantages and flexibilities that originally made them such an attractive option for EU employers."
Ms Jimenez Melgar took her case to the Spanish equivalent of the Irish Labour Court. It referred a number of questions to the European Court of Justice about the 1985 directive on protecting pregnant workers.
According to the Advocate General, Article 10 of the directive provides protection to a woman on a fixed-term contract once she has become pregnant during the period of the contract. The employer has to demonstrate that refusal to renew a contract was not because of the woman's pregnancy.
The case "illustrates the complexities of EU legislation," according to Mr Chater. "If the Court of Justice agrees with the Advocate General's opinion, then it could radically alter the way a pregnant woman is treated when on short-term employment assignments."