Business likes Lisbon-lite but unions prefer classic formula

Author (Person)
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Series Details Vol.11, No.4, 3.2.05
Publication Date 03/02/2005
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By Anna McLauchlin

Date: 03/02/05

The European Commission's new blueprint for competitiveness - dubbed 'Lisbon-lite' - has met with mixed reactions from businesses and trade unions.

The strategy got a warm reception from UNICE, the European association representing bigger businesses. "Europe is at the forefront concerning social policy and environmental protection but clearly behind when it comes to economic performance," said UNICE President Jürgen Strube. "An unambiguous refocusing of the Lisbon Strategy on growth and jobs will underpin Europe's position in the world and provide the means for long-term sustainable development," said the German.

The President of the Association of European Chambers of Commerce and Industry (Eurochambres) Christoph Leitl also embraced the move. "Concentrating on competitiveness and productivity, better regulation, R&D and innovation are the right choices," he said.

But others were more sceptical as to whether the proposal would lead to any changes. A spokesman for small business association UEAPME said that while the group welcomed the pro-business approach, concrete proposals were still needed. "The recommendations are still very general and there is no message to member states on what they have to do," said UEAPME's Gerhardt Huemer.

EVCA, the European Venture Capital Association, called on member states to "include a specific section on the industry in their yearly strategic annual reports to evaluate the progress made each year".

The new strategy has narrowed the priorities to focus on "actions that promote jobs and growth". These include expanding the internal market, boosting the infrastructure, increasing spending on research and development and making the workplace more attractive and more flexible.

The new agenda would halve the number of reports on competitiveness that member states and EU institutions have to deliver to relieve the administrative burden.

Commission President José Manuel Barroso defended the plan yesterday (2 February). "This is what really matters for our citizens: growth and employment," he said.

But green groups have hit out at the fact that the Commission has dropped environmental and social aspirations from the Lisbon objectives. Martin Rocholl, director of Friends of the Earth Europe, said: "This is a high-risk political strategy that will be unpopular. A progressive approach must be a balanced one, where economic, social and environmental goals are pursued together."

European trade union association ETUC accused the Commission of "short-termism". "Inadequate social policy may improve economic statistics somewhat in the short term, for example by cutting costs and creating precarious forms of employment," said General Secretary John Monks.

"In the long run however, it will have detrimental effects on growth and competitiveness by undermining the knowledge base of workers, the health of the workforce and workers' ability to cope with change," said the British trade union executive. And the leader of the European Socialist Party Poul Nyrup Rasmussen warned that excluding social policy would be "counterproductive and frankly myopic".

But the European People's Party welcomed the changes. The leader of the EPP-ED group in the European Parliament Hans-Gert Pöttering said that an "investment-friendly climate" had to be created through structural reform of the employment market.

Ann Mettler of The Lisbon Council, a Brussels-based group lobbying for greater EU competitiveness, said that the report could finally help the Union to achieve the Lisbon goals. "If politicians take what's in this report on board it could change Europe," she said. "There are five and a half million unemployed people in Germany. What more do we need to justify job creation?" Concerning environmentalists' fears Mettler said: "I wish they all cared as much about their children and future generations as they do about trees, windmills and animals."

The two EU presidencies for 2005 - Luxembourg and the UK - issued a joint work programme on Tuesday (1 February) in which they backed the Commission's competitiveness goals. The two governments said they would push through plans on innovation and entrepreneurship, a strategy for life sciences and biotechnology, and a solution to the community patent.

Article brings together opinions of industrial and employers' organisations on the relaunch of the Lisbon Strategy by the European Commission on 2 February 2005.

Source Link http://www.european-voice.com/
Related Links
European Commission: Press release: IP/05/130 http://europa.eu/rapid/pressReleasesAction.do?reference=IP/05/130&format=HTML&aged=0&language=EN&guiLanguage=en
European Commission: Press release: MEMO/05/34 http://europa.eu/rapid/pressReleasesAction.do?reference=MEMO/05/34&format=HTML&aged=0&language=EN&guiLanguage=en

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