Commissioners strike balance for applicant workers

Date: 12/04/01

By John Shelley

THE European Commission wants to give member states the power to ban workers in candidate countries from taking jobs in their territory for up to seven years after they join the Union.

Enlargement Commissioner Günter Verheugen this week called for a basic five-year transition period between the time that applicants join the EU and when they are allowed full labour market access.

And he says member states should have an option to lengthen this period by two years if there is the threat of a "serious disturbance" to their labour market.

The proposal is the result of a compromise hammered out between Verheugen and Employment Commissioner Anna Diamantopoulou.

Anxious to prevent paranoid member states from unfairly increasing the transition periods, Diamantopoulou had wanted any addition to the basic five years to be subject to approval from the Commission.

But in the final deal she backed down. Instead member states will be able to single-handedly make the decision, although they must first seek the Commission's advice.

Other member states would also be allowed to appeal against a decision to extend the restrictions if they felt it was unreasonable.

In any case, both commissioners insist that they do not expect the transition periods to extend beyond the basic half-decade.

"The Commission is convinced that this second part is purely theoretical," said Verheugen. "We are not anticipating the use of the extra two years."

Diamantopoulou denied that the difference of opinion had resulted in a split with her enlargement countgerpart. "There was no dispute but we must admit that it was a very sensitive area," she said.

"We had to strike a balance between one of the most fundamental principles of the European Union, on the one hand, and on the other we had to take into account the impact on the labour markets."

Free movement of workers is seen as one of the most politically explosive aspects of the enlargement negotiations.

Applicant countries insist employment rights should come with Union membership. But member states such as Germany and Austria fear a flood of cheap labour could threaten domestic jobs.

Verheugen insists the key to a successful transition policy is a flexible approach, his proposal says member states must be allowed to individually scrap restrictions early. He also calls for a full review after the first two years of any enlargement.

Candidate countries officially insist there must be no transition periods on worker movement rights; they argue that the influx of workers feared will not come to fruition. But privately diplomats admit that a flexible solution is required to deal with public opinion in Germany.

When Spain and Portugal joined the EU in 1986 the bloc introduced a transition period of seven years but the restriction was eventually lifted after just six.

The proposals on transition periods do not apply to Cyprus and Malta; because of their low unemployment rates the Commission says their workers should be able to travel freely from day one.

The European Commission wants to give Member States the power to ban workers in candidate countries from taking jobs in their territory for up to seven years after they join the Union. Enlargement Commissioner Günter Verheugen has called for a basic five-year transition period between the time that applicants join the EU and when they are allowed full labour market access.