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December 5th, 2008
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Nečas takes on EU work bansUrges Germany to follow France in lifting restrictionsBy Claire Compton Staff Writer, The Prague Post June 4th, 2008 issue The approaching European Union presidency of the Czech Republic may be used as a bully pulpit to pressure Germany and Austria to lift labor restrictions, according to comments made by Labor and Social Affairs Minister Petr Nečas at a Czech-German discussion forum May 31.“Slightly exaggerating, I’ll say that Germany will not have it easy with us during our presidency,” he said.As a new member state, the Czech Republic is still subject to restricted employment opportunities in Germany, Austria, Denmark and Belgium. France has expedited the process to lift its restrictions, with President Nicolas Sarkozy announcing May 28 that its labor market will be open beginning July 1 to the eight remaining states that joined the EU in 2004. The original date had been set for May 2009. Denmark and Belgium are expected to soon follow France’s lead.Last year, Germany opened its labor market to select professions, including machine engineers and car industry experts. Beyond those limited opportunities, Germany has remained committed to maintaining its general ban until 2011.Nečas said the restrictions would become unacceptable in the face of the Czech EU presidency, which will run for six months beginning in January 2009. The country will be expected to help lead the EU and yet will not have the same rights as other European citizens, he said.Germany’s motivation for holding the ban is likely political, as the coming year will see highly contested general elections and politicians are unwilling to publicly call for opening the labor market during a time of relatively high unemployment, said Arthur Braun, a labor lawyer at BPV Braun Haškovcová.“They agree in private that there is no real threat from the Czechs,” he said.In fact, Braun said the current restrictions are likely working in favor of domestic employers, who would lose skilled workers that are already in short supply.“Many Czech employers, particularly in the border region, will be happy to see the lucrative labor markets in Austria and Germany closed for as long as possible,” he said.Even with open labor markets, Braun said the growing strength of the crown, the Czech Republic’s lower income taxes and Germany’s higher cost of living would make any exodus of workers unlikely. A German green card program initiated a few years ago for the IT sector failed to attract a significant amount of Czechs, he said.Despite Nečas’ implications, the EU presidency should not be used as a means to forward political interests, Braun said.“The country holding the EU presidency must avoid using its position to enforce national interests,” he said. “It would be a bad idea to push this too much.” Claire Compton can be reached at ccompton@praguepost.com Other articles in Business (4/06/2008):
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