The decision should give so-called ‘Posted Workers’ – those temporarily sent by an employer to work in a different country – the same rights as anyone else at work.
It will protect them from tax scams, ensure they are paid at least the minimum wage, given holidays and so on.
Green Party MEP Jean Lambert said there were a large but ever-changing number of ‘Posted Workers’ in the capital, and that many had suffered exploitation.
Ms Lambert, a member of the European Parliament’s Employment and Social Affairs Committee, said: “This new legislation is an important step forward for the rights of those posted to work temporarily in other EU member states.
“Proper enforcement of EU rules on posted workers will help prevent the exploitation of posted workers and ensure they are granted their rights.
“With countless examples of exploitation, some here in London – most undocumented but particularly in the thriving construction and food processing sectors, it was essential for the EU to take action.”
She added: “The responsibility for ensuring ‘Posted Workers’ get the protection at work to which they are entitled rests very firmly with national governments – and they really need to co-operate better and ensure the rules are enforced.”