Opening up the labour market

Published: 19 November 2008 y., Wednesday

Darbininkai stato namą
When the EU expanded in 2004, some of the 15 existing EU countries were worried they would be flooded by workers from eastern and central Europe.

So they were allowed to temporarily restrict access to their labour markets, making it harder for newcomers to work there. The same restrictions were imposed on Bulgaria and Romania when they joined in 2007.

Now it seems those fears were unfounded. According to a new EU report, many more workers have immigrated from outside the bloc than have moved from eastern to western Europe. What’s more, with the economic downturn reducing demand for labour, such labour flows are expected to decline.

There is little evidence that significant numbers of local workers have lost jobs to newcomers or seen their wages decline. On the contrary, workers from new member EU countries have been a boon to the “old” economies, relieving labour shortages in many areas.

The commission is therefore urging EU countries to lift any remaining restrictions and give new members full access to their labour markets. “The right to work in another country is a fundamental freedom for people in the EU,” said employment commissioner Vladimír Špidla. “I call on member states to consider whether the temporary restrictions of free movement are still needed given the evidence presented in our report today.”

Only Austria, Belgium, Denmark and Germany still impose labour market restrictions on the eight central and eastern European countries that joined the EU in 2004. But many member countries continue to restrict workers from Bulgaria and Romania. Lifting them would help avoid problems stemming from closed labour markets, such as undeclared work and bogus self-employment.

Today, nationals from the new eastern member states make up around 0.9% of the population of the western EU members. In 2003, the figure was 0.4%. By comparison, the percentage of non-EU nationals living in the 15 original EU countries has grown from 3.7% in 2003 to 4.5% today.

Most eastern EU nationals working in the west are from Poland, Lithuania and Slovakia, and their top destinations are Ireland and the UK, two countries that opened their labour markets straight away. Romanians tend to work in Spain and Italy.

 

Šaltinis: ec.europa.eu
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.

Facebook Comments

New comment


Captcha

Associated articles

The most popular articles

Russia and Venezuela finish WTO talks

Russia and Venezuela have signed a protocol to confirm completion of bilateral talks on access to the markets of goods and services more »

Gov’t to Keep Maximum Income Tax Rate At 35%

The Azerbaijani government supports preserving the maximum income tax rate at 35%, said Deputy Finance Minister Azar Bayramov more »

Hungary's central bank defends pursuit of a strong currency

The president of Hungary's central bank, Zsigmond Jarai, is facing off pressure from the Socialist-Liberal government more »

The international conference

Energy Ministers of Caspian/Black Sea Region Discuss Cooperation with EU more »

Romania, Japan eye emissions trading deal

Japan is negotiating with Romania on facilitating emissions trading of greenhouse gases under the Kyoto Protocol, which enters into force in February, officials said Monday more »

More than $1bn to be invested in Moldova

An investment project totaling more than USD1.1bn will be implemented in Moldova more »

K&H Bank issues corporate credit card

K&H Bank Rt has started offering corporate credit cards with limits up to Ft 1 million more »

OTP makes binding bid for Nova Banka

OTP Bank Rt has made a binding bid for a 95.59% stake in Croatian bank Nova Banka more »

Kazakhstan Eyes BG Stake

Kazakhstan's oil minister said Friday that the Kazakh government wants to buy British Gas' entire stake in a project to develop a giant oil field in the Caspian Sea more »

Russia not seeking new World Bank loans - Kudrin

The Russian government is not now seeking any new loan money form the World Bank and is wrapping up existing projects, Finance Minister Alexei Kudrin said during the 2005 federal budget bill's third reading at the State Duma more »