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European Edition
30th September 2026
 
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THE HOT STORY

US consulate builder in Milan to pay $35m over labour probe

US building company Caddell Construction has agreed to a $35m settlement regarding allegations of underpaying foreign workers at the new American consulate in Milan. Prosecutors claimed that workers were paid less than $2 an hour, despite promises of fair wages. Italian labour minister Marina Calderone described the investigation as “one of the most significant operations in recent years against illegal labour contracting and worker exploitation.” Nearly 300 workers will receive an average of $57,000, with some receiving up to $102,000 in unpaid wages and damages. Luca Stanzione, secretary-general of the Milan branch of CGIL, said: “The compensation is an excellent result achieved through the efforts of prosecutors and trade unions.” The settlement also includes funds for Italy's social security authorities and labour inspectorate. Most of the affected workers were recruited from India.
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TECHNOLOGY

Companies slow AI adoption amid trust concerns

Businesses are becoming more cautious about adopting artificial intelligence amid concerns over cybersecurity, regulation and trust. An FTI survey of 1,600 senior executives in the US and Europe found 60% had slowed, paused or withdrawn an AI deployment during the past year. Cybersecurity emerged as the biggest concern, with 54% worried about employees using unapproved AI tools. Regulatory uncertainty was also significant, with 81% reporting material problems caused by unclear rules. Companies are increasingly shifting investment from experimenting with new technology towards cybersecurity, staff training and AI governance as they focus on managing existing deployments responsibly.

Anthropic warns AI may pose 'existential risks to humanity' in IPO filing

Anthropic has warned investors that its technology may pose “catastrophic or existential risks to humanity” in the start-up's long-awaited initial public offering prospectus. Reuters says it is an “extraordinary” warning from a company that is seeking to profit from the same technology. Anthropic's IPO ‌prospectus said the company's AI models could exhibit "self-preserving behaviours," including attempts to "resist shutdown," to "conceal or manipulate information" and behaviour "resembling blackmail." Approximately 80 pages of the 261-page main body of the prospectus lays out risk factors.
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LEADERSHIP

Eiffel Tower chief to step down over removal of female staff

Eiffel Tower chief Patrick Branco Ruivo will resign at the end of the year following the controversy over the removal of female staff during a visit by a Hindu sect. The landmark's operating company, SETE, said that an internal investigation had revealed "operational flaws and shortcomings" that led to the "unacceptable" incident, which precipitated a staff walkout on September 8 and widespread outrage in France, where politicians condemned what they said was an attack on fundamental liberties. Ariel Weil, chair of SETE, said she had requested measures and training programmes promoting gender equality to be implemented.
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REMOTE WORKING

Barclays softens return-to-office rules

Barclays has revised its return-to-office policy in the UK following employee backlash. The bank will now allow staff to delay compliance with the new requirement until 2027, provided they obtain permission from their line manager. Initially, Barclays mandated that its 45,000 UK employees return to the office for at least three days a week as of October 5. In a staff memo, the bank's executive committee said it was extending the implementation period "to ensure colleagues have the right support as we move through the transition . . . We are also reviewing our flexible working policy." A Barclays spokesperson said the company had listened to feedback "to ensure colleagues have the right support while enabling us to deliver the benefits of working together in person."
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HEALTH & WELLBEING

Night owls face greater risk of disability retirement

People who prefer working and sleeping later may face a higher risk of leaving work because of ill health, according to Finnish research. A 12-year study of 5,679 people found evening types were 1.7 times more likely to receive a disability pension than morning types, even after socioeconomic factors were considered. Researchers suggested poorer health choices and misalignment between natural sleep patterns and conventional working hours could contribute to the increased risk. "Although traditional working hours may be too early for late chronotypes, most of them need to work during regular office hours," the authors of the study wrote. "In the current study, more than 70 per cent of [evening types] who had reported their work schedule worked in a day job. People who are [evening types] represent a significant proportion of the population and their health and ability to continue working until retirement age pose challenges for sustainable economies."
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LEGAL

EU presses ahead with jobless benefits overhaul

An EU plan to change which member state pays unemployment benefits has been approved at the Council of the European Union, where member states' governments are represented. Unemployment insurance is currently paid to jobseekers in the country of residence. In July, the European Parliament approved a revision that makes the country where the jobseeker had been working responsible for the payments. Most EU countries will have a two-year transition period; Luxembourg, with its high proportion of cross-border workers, will have five to seven years to switch to the new system. Denmark, the Netherlands and Poland joined Luxembourg in opposing the revisions. 
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STRATEGY

Chinese firm invests $1.25bn in Volkswagen battery plant in Spain

Chinese company Gotion is to invest €1.1bn ​in Volkswagen's battery plant in Spain. The facility in Valencia will become a European production hub for lithium ​iron phosphate (LFP) batteries. VW technology chief Thomas Schmall said the announcement "marks a major breakthrough for both companies ​and brings us ​one step ⁠closer to the forefront of electric mobility." The investment from Gotion is part of a ‌broader plan to jointly develop a European battery supply chain; PowerCo, Volkswagen's battery business, will ​invest €470m in two of the Chinese company's sites – a cell factory in Šurany, Slovakia, ‌and ⁠a new production plant for cathode material in Kenitra, Morocco.
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CORPORATE

UniCredit’s Andrea Orcel moves to seize control of Commerzbank within months

Andrea Orcel’s UniCredit is preparing to seize control of Commerzbank, Germany’s second-largest bank, and overhaul its supervisory board as early as January, according to people familiar with the matter.
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INTERNATIONAL

AI 'may force 11m workers in the US into new jobs'

A report from consulting firm McKinsey & Co. suggests that around 11m workers in the US may need to change jobs by 2035 because of AI-related displacement, and six of every seven workers will face substantial retraining and loss of income. The firm's research found that the full-time workers most likely to have to switch jobs are concentrated in three groups: office and administrative support, retail and sales, and transportation and logistics. Workers are not “interchangeable units,” the report’s authors observe. “Job opportunities can be abundant and yet leave millions of workers without work if those positions require different skills, credentials, locations or pay structures than current jobs.”

FamilyMart recruits Lady Gaga as Japan staffing shortages persist

FamilyMart has enlisted Lady Gaga for a part-time recruitment campaign as the company seeks to address staffing shortages across its Japanese convenience store network. Around 30% of its more than 16,000 stores are currently short-staffed. The retailer hopes the campaign will attract and retain workers amid intense competition for employees in Japan, and has also relaxed traditionally conservative dress rules this year to appeal to younger recruits. FamilyMart is additionally offering shopping vouchers worth ¥200 ($1.30) or more to people who enquire about vacancies or attend interviews.
 
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