This 9^th Congress of the European Trade Union Confederation, which is now opening, will be one of the most significant in our history. The Confederation is growing, as is our number of affiliated organisations and our total membership, and the role of the Confederation, in the economic and social development of Europe, is well recognised and acknowledged. The documents prepared for this Congress show that the Trade Union Movement is, alongside the development of the European monetary union, a most important partner in the building of the European social Union.

Economic growth and stability will not be possible without social development and stability. Labour market bargaining alongside increased tripartite co-operation on a European level, form a singular element in the development of the social dimension in Europe. The war which has raged in the Western Balkans, with its accompanying atrocities and its consequent human suffering, have cast a dark shadow over the preparations undertaken for this Congress.

When Martti Ahtisaari, the President of Finland, and Victor Chernomyrdin, the Russian Envoy to the Balkans, arrived in Belgrade in early June for the purpose of bringing peace to the area, there was no certainty of the ending of the conflict. However, ceasefire was achieved and the Yugoslavian forces began their withdrawal from Kosovo on the 9^th of June.

The war and the bombing lasted for 78 days. During this time nearly one million ethnic Albanians were compelled to leave their homes and become refugees, fleeing either to the neighbouring countries which surround Kosovo or to other lands further away. We do not yet know the number of those who have lost their lives in this war, although we do know that immense material damage has been caused. What is also certain is that, far worse than these material losses, are the wounds in the relations between the different ethnic groups and the nations of the area, and particularly those which have affected the everyday lives of the children and their faith in the future.

The material damage is such that all industrialised countries must now be prepared to support, to a significant degree, the rebuilding of the area. Parallel to this material aid is the importance of assistance in the cultivation of trust between the different communities and amongst individual people, and a trust in democracy. The European trade union movement is duty-bound to demand that the industrialised countries accept their responsibilities in fully participating in this rebuilding work, and it must lend its support to this way of thinking. The formation of a united and active trade union movement, which will encourage the development of democracy and the creation of an active social partnership, is of major importance to this war ravaged environment.

Achieving greater stability in the Western Balkans, and commencing an effective rebuilding programme for the area, are part of the key targets set for the term of the Finnish EU presidency.

Delegates,

We know from experience that we must not allow a political vacuum, containing no trade union movement, to develop anywhere in the world. The globalisation of world trade, of capital and its movements, and of production, will quickly take over where democracy is absent and will lead to the worldwide weakening of the trade union movement. Capital, and multinational companies are quick to establish themselves in areas where the democratic rights of the population are poor and trade unions are weak and have limited opportunities for action. The very worst conditions are to be found in those countries in which the use of child, or enforced labour is permitted. Economic competition is practised by ignoring basic human rights and dignity, whilst neglecting any provision for either social security or occupational safety.

Such business operations create conflict even in Europe, where the welfare of the citizen is, in the main, based on a common system of social security which places certain obligations both on the public authorities and on private companies. The world of work in Europe is quite extensively regulated by agreements which are largely dependent on the trade union movement.

In Europe, and throughout the world, the challenge presented by globalisation may only be met by an increased international cooperation within the trade union movement. On the bottom line we have the basic values of the trade union movement, ie collectivity, solidarity and cooperation. To these values we should add equality of opportunity and tolerance.

Delegates,

As we enter the new millennium, the inclusion in the rules of global trade, of the basic rights of workers as practised by any civilised country, will become an increasingly important international demand voiced by the trade union movement. This issue should be given prominence in the preparations for the WTO ministerial meeting which is to be held this autumn, and the inclusion of the basic rights of workers in the rules of trade must be incorporated in the EU guidelines.

 The International Labour Organization (ILO) has recently undertaken significant work in this field with commendable results. The adoption of a new Convention against the worst forms of child labour was a weighty and unanimous decision made at the recent International Labour Conference. All of the EU member states should now set an example and ratify the new Convention without delay.

The enlargement of the European Union became an issue in the early 1990's at the beginning of the transition, of the Central and Eastern European countries, towards a market economy and political democracy. A determined and efficient enlargement process can be supported for social and political reasons. The enlargement process will however encounter a number of practical problems, not the least of these being the internal EU structure and the system of funding.

Actual negotiations on enlargement were commenced last summer, with five CEE Countries. The events in the Balkans have made it increasingly clear that the enlargement of the EU will increase stability and peace in our part of the world. The closer that the economic and political partnership between the different European countries can become, the better can peace be secured.

However, the enlargement of the EU, towards the east, will present the trade union movement with new challenges in its representation of the interests of its membership. It is important for us that the societal choices of the applicant countries are based on the European social model. The implementation of EU legislation on labour, social welfare and equal opportunities, on democracy in the working world and on active social partnership must be a pre-requisite for membership of the applicant countries. We want a significant role for the trade unions in the implementation of a national tripartite policy in each of the applicant countries.

Delegates,

The way in which working people will react to the future of the EU will largely depend on the degree of success, and the credibility, with which the improvement of the employment rate can be injected into the roots of the policies of both the EU and the nation states. The strengthening of the credibility of the EU in the eyes of its citizens requires urgent solutions.

The European trade union movement has every reason to be proud of its work, which has resulted in a situation where employment issues are now in a more significant position within EU policy than they have been in the past. In addition to common employment guidelines, the development of a European employment pact was started at the Cologne Summit. This constitutes a political process which should be further consolidated during the term of the Finnish Presidency and thus lead to significant results being reached by the time of the Employment Summit, which has been planned for the period of the Portuguese Presidency. The evolving employment pact will provide an important balance to the agreement on growth and stability which is associated with economic and monetary union.

 Both the European economic and monetary union, and the Europeanisation of employment issues, presented a huge challenge for the social partners in the development of a joint agreement policy. EMU will call for irrevocable closer cooperation within the fields of economic, monetary, financial and labour market policies. One of the greatest challenges facing our present Congress will be the delineation of our joint approach to the goals and methods of European bargaining. We are at present going through the phase of linking national bargaining policies to those of European bargaining, although bargaining on the European level still remains supplementary to national bargaining policies.

The commencement of a new round of inter-governmental negotiations, an IGC process, was one of the most important steps of the Cologne Summit. The future inclusion of fundamental social rights of working people within the basic EU rights, is a central goal of the European trade union movement. The free movement of capital, of goods, of services and of the workforce is an essential element of EU policy, but the fundamental rights of working people come to a halt at national frontiers. It is therefore justifiable that workers within the area of the EU should have cross-border rights to bargaining, to agreements and, where necessary, to taking industrial action. It is important that Finland places the basic social rights of working people on the agenda of the preparatory work for the IGC process, for which it will be responsible during its term of presidency. 

Delegates,