This paper examines the interaction between land policies and rural labor migration in China and Europe, highlighting how land reforms guide labor mobility and their impacts on land and social structures. In China, the Household Contract Responsibility System and land transfer policies have facilitated agricultural scale expansion and the urbanization of the rural labor force. Homestead reforms have further enhanced farmers’ asset liquidity. In Europe, using Spain as a case study, EU agricultural policies have spurred agricultural modernization, economic diversification, and intensive land use. These advancements benefitted from a mature land transfer market and increased non-agricultural employment opportunities. Both China and Europe face challenges of population aging and rural depopulation, necessitating improvements in land use efficiency, the balance of the scale, and the protection of farmers’ rights and interests. Europe addresses labor shortages through technology, mechanization, and cooperatives, while China employs land trusteeship, transfer platforms, and the “three rights separation” system to combat land abandonment and labor shortages. Future research should strengthen comparative studies between China and Europe, quantify interactive relationships, consider the impact of transnational labor mobility under globalization, explore policy innovations, and foster international cooperation to address demographic changes and agricultural labor shortages. Additionally, promoting sustainable land use and farmers’ rights, equalizing urban–rural public services, enhancing education and training, and improving the social security system are crucial for integrated urban–rural development.