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

Estonian economy soars in first quarter

Economic growth in Estonia soared by 6.8 percent year-on-year in the first quarter of this year more »

New economic frontiers

Lithuania’s economy may reach the level of old EU member states in 18 years more »

Lithuania, Slovenia and Estonia Move Towards Euro

Estonia, Lithuania and Slovenia on Sunday became the first EU newcomers to join the "exchange-rate mechanism" more »

European Stocks Climb, Led by Airlines, as Price of Oil Falls

European stocks rose, paced by airlines including British Airways Plc and trucking companies such as Exel Plc, as increased oil supplies from Iraq more »

EU Proposes Easing of Euro Stability Pact

The European Commission concedes its been pointing a little too hard at the piggy bank lately more »

Small companies will enjoy profit tax breaks

Small companies having less than 10 employees and annual revenues up to LTL 1 million (EUR 290,000) will have a zero profit tax rate more »

Siemens Won't Move 2,000 Jobs to Hungary

Industrial group Siemens AG won't move 2,000 phone assembly jobs from northwest Germany to lower-wage Hungary more »

Yukos names insider to settle tax

Russian oil firm Yukos has brought in government insider Viktor Gerashchenko to spearhead its effort to avoid bankruptcy by seeking to settle a massive tax bill more »

EU set to slam Hungary over budget deficit

The size of Hungary's budget deficit is likely to attract strong criticism from the European Union more »

RADISSON SAS ENTERS MACEDONIA

Radisson SAS Hotels & Resorts, the first class hotel brand of Rezidor SAS Hospitality, has signed an agreement to manage its first hotel in Macedonia more »