Europe
Fears over job losses and more red tape as MEPs pass new laws for temp workers;
UK's opt-out from EU working time restrictions in danger
The European Parliament yesterday passed the Agency Workers Directive, which will give temporary workers in the UK the same guarantees in terms of pay, working hours, maternity and annual leave as permanent staff after only 12 weeks with a company. The proposal has come under criticism over fears that it will worsen unemployment and increase the cost to businesses.
Open Europe Research Director Mats Persson is quoted by the BBC as saying, "On the brink of a recession, MEPs have done exactly the wrong thing: they've passed a law that will lead to fewer jobs and make life even harder for small businesses." The Birmingham Post quotes Mats saying that "Small businesses create millions of jobs and remain the backbone of the economy. The EU should be doing everything it can to help them beat the economic downturn. Instead EU politicians have chosen to impose additional red tape and strip small firms of vital flexibility. This is bad news for the UK and for Europe".
It is also reported that the UK's opt-out from EU rules restricting the working week are in jeopardy. Gordon Brown supposedly accepted the Agency Workers Directive in return for an extension of the working time opt-out. Shadow Business Secretary Alan Duncan is quoted by PA, saying: "Today's decision in the European Parliament will dismay those who thought the opt-out to the working time directive was protected. Gordon Brown is deciding on agency workers without at the same time guaranteeing the Working Time Directive opt-out which puts the CBI's deal with the Government at risk."
European Voice Open Europe Press Release EUobserver AFP Birmingham Post BBC
German government slams Sarkozy's "protectionist-sounding" proposals
Nicolas Sarkozy has come under fire following Monday's calls for a European sovereign wealth fund to protect domestic industries from foreign investors. Criticism has been particularly pronounced in Germany where the Minister of Economics, Michael Glos, declared that Sarkozy's proposals were "protectionist-sounding" and that, "Germany will remain open to capital from around the world", according to Spiegel.
The FT's Gideon Rachman notes that Sarkozy's proposal would be extremely expensive at a time of impending recession, and small European states are opposed to such an idea which would probably channel investments to those states with the most "political muscle", which in turn could lead to "a breakdown in the European single market".
Sarkozy himself faces particular criticism, with the German paper Süddeutsche Zeitung writing that, "Hardly a day goes by now without Nicolas Sarkozy finding a microphone somewhere to proclaim some new idea with which he intends to save either the world, Europe, or at least France."
Meanwhile, Holger Schmieding argues in the Wall Street Journal that Europe should avoid French-style top-down economic integration. He writes that European governments should steer clear of supporting the "non-financial economy" and "blanket fiscal stimulus programmes" and instead cut taxes in order to stimulate growth. Schmieding notes that the financial crisis has "boosted French-style concepts of top-down economic integration and regulatory interventionism. Over time, this could turn into a problem. While the monetary response needs to be fast, the regulatory response to the crisis should not."
Le Monde Le Figaro leader Spiegel Open Europe blog Volkskrant FT Rachman WSJ-Schmieding
Commission to educate Ireland on EU ahead of second referendum
The European Commission plans to help the Irish government communicate "Europe" better to citizens after June's No vote on the Lisbon Treaty, EUobserver reports. Referring to the Irish rejection of the Lisbon Treaty, the Communications Commissioner Margot Wallström said the referendum result was based on "emotional" arguments and that the counter argument was not provided, the Irish Times reports.
She argued that "Localised, vernacular summaries of the EU's day-to-day business, along with explanations of why the measures are needed", and said that the exercise was part of the "Citizens Right" to understand the EU and not propaganda, according to the Irish Times. EUobserver reports that the EU-wide initiative was an "inter-institutional agreement to pull together the PR efforts of the main EU institutions" and quotes Wallström's claims that "It's not about the European Commission interfering with the procedures and referenda".
EUobserver EUobserver-Wallstrom Irish Times
EU officials agree to develop Blue Card
Deutsche Welle reports that EU officials have agreed to develop the so-called "Blue Card" in a bid to attract high-skilled workers from developing countries with a fast-track application process. The Blue Card would only allow an immigrant to work in one EU country. However, after the first 18 months, the worker could then move to another country, but would still have to apply for a new Blue Card within a month of arrival. EU ministers are expected to endorse the Blue Card scheme before the end of 2008 and it will then come into force by mid-2010. New EU countries such as the Czech Republic insisted on the delay, since their own citizens are not yet allowed to work in all EU countries.
New Europe Minister: Britons like pizza, so why do they distrust the EU?
The new Minister for Europe, Caroline Flint, visited business leaders and students in Leeds yesterday, to highlight the "positive impact" of the EU in creating jobs and investment in the region. According to an FCO press release, the Minster claimed that "If the EU didn't exist, in the last few weeks we would have wanted to create it." She went on to say: "Britain is an island nation, but our instinct is international - we shop at European fashion shops, we eat at pizzerias, we holiday on the Mediterranean. So why do people distrust the European Union and feel distant from its institutions?"
EU bans using combine harvesters on wet land
The Yorkshire Post reports that an EU regulation which bans farmers from using their combine harvesters on wet soil has been criticised by members of the House of Lords. Baroness Boothroyd said: "British farmers are the best judges of whether or not to use heavy machinery on their wet fields. When do we expect this ludicrous EU rule or regulation to be abandoned and British farmers use their common sense?" Conservative Lord Plumb added: "This is one of the most stupid laws that ever came out of Brussels"
Swedish PM expects to hold EU Presidency without Lisbon Treaty
Swedish PM Fredrik Reinfeldt has said that he expects that Sweden will be alone at the helm when it takes over the EU Presidency in July 2009. Sweden was originally meant to have shared the chair with an EU President, who in 2010 would take over on a permanent basis, marking the end to the 6-month rotating Presidency in the EU. However, this will not happen if the Lisbon Treaty remains un-ratified by the Irish. According to Swedish Radio, Reinfeldt said it was important that Sweden pays close attention to "what kind of decision the Irish want to see and that we're flexible about a solution, knowing that a transition [to a permanent President] could even happen during the Swedish Presidency." He added that Sweden would probably do a better job than a permanent President in negotiations over environmental policies. He said that a "significant Swedish influence" during the Presidency was important for the EU to make "progress" on climate change issues.
82% of Spanish feel unable to influence EU decisions
El Pais reports that a survey for the Spanish Foreign Ministry shows that the country is becoming more "eurocritical". 90% back Spain's EU membership, and a majority are in favour of deeper cooperation in some areas - such as creating an EU army. However, 53% see the EU as a common market as opposed to a community of values and culture, and identify less with Europe that with their own region, Spain, or even the general wider world.
82% felt they were unable to participate in EU decisions, and a majority believed that big businesses were the major beneficiaries of the Union. A small majority of Spaniards (48% against 43%) are against Turkish EU membership.
The EU will urge developing countries such as China and India to cut their emissions by 15-30% below "business as usual" under the proposed new post-Kyoto agreement on climate change, which will take effect from 2013.
The EU is considering introducing duties on Chinese candles, following lobby efforts by Dutch and German candle makers.
The European Commission has tightened rules for mergers and acquisitions, requiring firms to give more detailed information about proposed remedies they offer when the Commission raises objections to a deal.
Writing in the WSJ, Andrea Renda warns against intrusive EU regulation on internet neutrality, which could stifle investment in new technologies.
Lord Mandelson regularly accepted the hospitality of businessman Nathaniel Rothschild, which has raised fresh conflict of interest claims.
Attempt to oust Czech government is likely to fail, with the upcoming EU presidency a key part of discussions.
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