Why Commissioner Rehn wants us all to work more for less

Press conference by Olli Rehn, Member of the European Commission, on the spring economic forecasts for 2012-2013. (EC Audiovisual Services).

Press conference by Olli Rehn, Member of the European Commission, on the economic forecasts for 2012-2013. (EC Audiovisual Services).

Yesterday Commissioner Olli Rehn speaking at the regular monthly meeting of the European Financial Affairs Council (Ecofin), which regroups the 27 EU ministers of Finance, made a completely wrong evaluation of Eurozone’s economy present status, despite some quite superficial references to the real causes of the ongoing crisis. Let’s see all that in details. His basic remarks are being quoted below.

He said “the Commission fully supports the Council conclusions as agreed today on the Annual Growth Survey. The AGS has a very strong focus on the need to boost competitiveness, particularly in view of the decline in manufacturing employment in Europe over the past decade: 2.5 million jobs in our four largest Member States alone have been lost. We need to reverse this downward trend…this means investing in education and training, and continuing reforms in our labour markets to remove obstacles to job creation. It means supporting entrepreneurship and investment and completing the single market. It means finishing the job of financial repair to boost the flow of credit to SMEs and households. It means supporting public investment…”

Loss of jobs

Everything that Rehn said is either false or half-true. Beginning from his lamenting the losses of industrial jobs over the past decade, he failed to mention that this trend is invariably present in all developed economies. Industrial jobs are being transferred to the developing world and this is a well-known process, actually favoured by the US and Europe. At the same time our developed economies create new jobs and more added value in the tertiary sector, spearheaded by activities like financial, professional, scientific, technical, administrative and cultural.

However it seems that his failure to say the truth about industrial jobs was intentional. Here comes the proof that what Rehn said, he meant it as an indirect accusation against Eurozone’s working millions, of not being productive enough. That is why he continued asking for more liberalisation of the labour market (…continuing reforms in our labour markets to remove obstacles to job creation…). What does this colourless person want from Europe’s working Peoples? What other obstacles should we abolish for Rehn to be happy? Many Europeans already work for ZERO salary. You don’t believe it? Neither did I, until I read on BBC’s internet news service an article entitled “Back-to-work scheme breached laws, says Court of Appeal”. Unfortunately that kind of news is only being reported indirectly.

Working for nothing

In detail, yesterday a British Court ruled as illegal a government programme obliging the unemployed to accept jobs WITHOUT PAYMENT, if they wanted to continue receiving some social benefits. As a result thousands of young Britons work for some hand-picked companies AS SLAVES. This is the correct definition of the unpaid compulsory labour, euphemistically baptised as training. Not enough liberalised to your taste, our European Union labour market Mr Rehn? Is this probably what you mean by “investing in training”?

Further down Rehn tried to say some truths by acknowledging, that we need “finishing the job of financial repair to boost the flow of credit to SMEs and households”. But in this front too Rehn failed to identify the culpable party. So we must remind it to him.

The banks

During the last five years Eurozone countries’ sovereign debt jumped from 60% to 90% of the GDP. This deplorable development has to be almost entirely blamed on the financial industry’s salvage, with piles of government and central bank money. Unfortunately this dreadful practice still goes on, as if nothing has changed. More bailouts of failing banks are being constantly undertaken by the authorities, thus increasing every day the cost of saving the banking sector from its own catastrophic activities.

This newspaper has proved how the huge costs (about €4.5 trillion) of keeping alive the financial sector, was transferred to the real economy and drove many Eurozone countries and populations to their social, political even physical limits of endurance (see European Sting article: It’s a lie Eurozone isn’t competitive). Four years after Lehman Brothers went bankrupt, the European Commissioner tells us, as if nothing has happened in the between, that the task to make the banks be again what they once were, is an unfinished business.

But Mr Rehn the business of forcing the banks become banks again, protecting our deposits and give loans to SMEs and to households, hasn’t even started yet. And this was your responsibility Mr Commissioner. Aren’t you failing the European citizens with this omission? How dare you ask them work more for less or nothing, while you let bankers continue doing the same things that brought us in this miserable position?

 

 

 

 

the sting Milestone

Featured Stings

Can we feed everyone without unleashing disaster? Read on

These campaigners want to give a quarter of the UK back to nature

How to build a more resilient and inclusive global system

Stopping antimicrobial resistance would cost just USD 2 per person a year

Security Council discusses chemical weapons use in Syria following latest global watchdog report

Progress in medical research: leading or lagging behind?

Connectivity and collaboration in the ICT industry: the key to socio-economic development

Italy should boost investment in training for the future of work

Confirmed ‘Blue Line’ tunnels ‘do not appear’ to surface in Israel – UN peacekeeping chief

Remarks by High Representative/ Vice-President Federica Mogherini at the press conference following the EU-China Strategic Dialogue

Reimagining the future for skills: What we learned from young people

2014 budget: The EU may prove unable to agree on own resources

The Changing Scope of International Economic Relations – Chinese Leadership in the 21st Century

Mergers: Commission approves acquisition of L3 Technologies by Harris Corporation, subject to conditions

Pandemic fuels culture of institutional mistrust

Military Medicine and its Relationship with Antibiotic Therapy

7 simple steps we can all take to reduce food waste

UN rights office calls on Zimbabwe Government to end ‘crackdown’ in response to fuel protests

Can Southeast Asia keep up with growing energy demand?

MWC 2016 LIVE: Mobile has power to tame transaction fees – PayPal CEO

In polarized America, a new divide looms

Thursday’s Daily Brief: Women in peacekeeping, the arrest of Sudan’s leader, updates on Libya, Nigeria and Syria

Women must be at ‘centre of peacekeeping decision-making’, UN chief tells Security Council

Governments can fight corruption by joining the digital payment revolution

What wealth managers can learn from family dynamics

The ECB accuses the politicians of inaction, continues injecting billions to banks

Ahead of key UN-backed Marrakech migration conference, youth recount harrowing journeys

Does the sharing economy truly know how to share?

Internet milestone reached, as more than 50 per cent go online: UN telecoms agency

As Houthi forces withdraw from key Yemeni ports, UN monitoring chief welcomes ‘first practical step on the ground’

Better ID card security to curb document fraud

#TwitterisblockedinTurkey and so is Erdogan

Taxation: Commission refers Germany to the Court for its failure to apply EU rules on VAT for farmers

5 times people predicted the future and got it really wrong

Afghanistan: UN ‘unequivocally condemns’ attack in Kabul

No improvement in respect for EU values: MEPs cut support for Turkey by €70m

Most leaders are missing this crucial character trait

Venezuela: European Parliament calls for additional sanctions

FEATURE: Niger’s girls find sanctuary in fistula treatment centres

The next start-up cities that will transform the global economy

MEPs demand Bulgaria’s and Romania’s swift accession to Schengen area

Closing the gap in accelerating women’s rights: the role of medical students

Strength in unity: Commission makes recommendations for the EU’s next strategic agenda 2019-2024

EU confronts environmental threats as global leaders attempt to revive the global sentiment at NYC climate week

Why do medical students seek for work abroad?

The remote doctor, can it ever work?

Cities are easy prey for cybercriminals. Here’s how they can fight back

When it comes to envirotech adoption, NGOs can lead us out of the woods

EP President praises Nobel Peace Prize award to Denis Mukwege and Nadia Murad

Mobile World Congress 2015 first to debate EU’s new stance on Net Neutrality and Roaming Charges

Investing in new energy infrastructure: Green light for EU grants worth nearly €1 billion

On the 22nd China-EU Summit: “negotiating partner, economic competitor and systemic rival”; is this the right EU approach to address your 2nd biggest trading partner?

Want more climate action? Let’s show how good a planet-friendly life can be

OECD sees global growth slowing, as Europe weakens and risks persist

More bank bailouts at taxpayers’ expenses

Database of businesses linked to Israeli settlements ‘important initial step’ towards accountability: rights expert

This is what different countries are doing to stop coronavirus from spreading

This is the ever-changing state of the world’s top cities

Humanitarian visas would reduce refugees’ death toll

Algorithmic warfare is coming. Humans must retain control

A new European Research Area: Commission sets new plan to support green and digital transition and EU recovery

European Union disenchanted with Turkey

Antitrust: Commission seeks feedback on commitments offered by Broadcom concerning TV set-top box and modem chipset markets

More Stings?

Advertising

Speak your Mind Here

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s