Trade Union Troika in Brussels
Employment Agreement to be Binding

The Employment Agreement, which will be approved at the Cologne EU Summit, will only succeed if the social partners are closely involved in the project. This Employment Agreement will represent the starting shot in a development process in which economic, monetary and employment policies will be linked with one another. The above statements were made in Brussels on 20th May, by the troika which consisted of the Austrian, German and Finnish trade union leadership, when they met to discuss the challenges which the trade union movement must face in the new millennium.

The trade union leaders of the three countries holding the previous, the current and the next EU Presidency will all have had dealings with the Employment Agreement. The Agreement was first launched during the Vienna Summit, decisions on it will be made in Cologne and, prior to its implementation, is due to be completed at the Helsinki Summit.

Dieter Schulte, the Chairman of DGB, the Central Organisation of German Trade Unions, was pleased to comment that at long last the EU had begun to see employment as an issue which is a part of the total economic policy. According to Herr Schulte the Employment Agreement will only succeed if the social partners will participate.

- We cannot expect miracles from this Agreement, he continued, but it is a starting point towards a coordinated economic policy.

According to Fritz Verzetnitsch, who is the Chairman both of ÖGB, the Central Organisation of Austrian Trade Unions and of the ETUC, the European Trade Union Confederation, economic policy measures have now been exhausted within the EU and therefore the only avenue left open is the simultaneous application of financial, employment, labour market and training policy measures, if a higher rate of employment is the objective. Herr Verzetnitsch criticised the EU for not aiming for a higher rate of employment alongside the national economic targets which were set in connection with the transition to the adoption of the Euro.

The General Secretary of the ETUC, Emilio Gabaglio, said that the price which has been paid for the stability policy, which is a requisite of the EMU, has been very high. Therefore the Employment Agreement must carry the same weight as the Stability Pact. Emilio Gabaglio said that money is not the only issue within the EU, and that it should be remembered that the European Union is also a social and a political entity. The trade union movement is now facing a situation where it must further develop its own models of operation in order to be able to exert influence in the deepening of the social integration within the EU.

 In the 9th Congress of the ETUC, which will be held in Helsinki in late June and early July, the ETUC will discuss the Europeanisation of the labour market system. The implementation of this ETUC objective will mean that some of the power vested in the trade union movement will be transferred from the national to the European level.

 Safety in Change

Whilst sketching out the challenges which will be presented to the trade union movement in the new millennium, the Finnish trade union leadership also saw new opportunities opening up for the trade unions, but it was added that this will require the ability to change and to adapt to the international economic integration which has already begun to take place. The Finns and the other Europeans, with their respective trade union movements, will not be able to avoid this process, whether they like it or not, said the Vice Chairman of the SAK Administrative Council, Pekka Ahmavaara.

According to Pekka Ahmavaara, national trade unions everywhere will have to adapt separately to new circumstances which may be regulated by a global and internationally active trade union movement.

 Unique Meeting

The political leaders of the three successive EU Presidency countries have customarily held meetings between themselves, but for the trade union leaders this troika meeting was the first of its kind. The present troika consists of countries which have more or less similar labour market systems and income policies which have delivered reasonable benefits to the workers. The thinking within the trade union movement in Austria, Germany and Finland is very similar, in that all three countries believe that problems with labour market issues should be initially dealt with on a national level, followed by an examination at the level of the EU.

After Finland, the next country to hold the Presidency will be Portugal, a country in which the labour market model, and the terms and conditions of the employees, are considerably less well advanced than those in northern Europe. Therefore the next trade union troika might find it much more difficult to find a common denominator. 

Leena Seretin 
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