Lauri Ihalainen: European Union credibility depends on commitment to social progress and working life reforms

"The current political crisis and credibility gap in the European Union give considerable cause for concern. Several setbacks have occurred. These include a stalling of the project to secure a constitutional treaty that would define the values and activities of the European Union," observed Lauri Ihalainen, President of the Central Organisation of Finnish Trade Unions, speaking at the Informal Tripartite Social Summit in London on Monday 24 October.

"The European Union needs a modern constitutional treaty that will reinforce co-operation. Europe also needs a services Directive that will respect national collective bargaining agreements and avoid unhealthy competition based on employment terms," Ihalainen insisted.

Ihalainen also suggested that the European Union should seek to build a new mutual stock of confidence, and that it is time for national petty politicking to give way to genuine collective efforts to ensure employment, competitiveness and social progress throughout the Community.

"Improved growth, competitiveness and employment are not the antithesis of work to build a more social Europe &#;8211 a social Europe will itself be a bulwark of productivity and employment. Reinforcement of the European economy cannot be left to impersonal market forces. We also need a day-to-day policy for Europe that enjoys the support of employees and their families. The efforts that have been seen to demolish the social dimension of Europe would, if successful, cause employees to turn their backs on the European Union," Ihalainen explained.

Ihalainen sees particular dangers in any attempt to curtail the principal social rights of employees, such as the right to collective bargaining and industrial action. Recent albeit isolated examples give cause for alarm in this respect. In the Vaxholm case a Latvian construction firm has petitioned the European Court of Justice for a test ruling on whether Swedish collective agreements conflict with European mobility legislation. Finland's Viking Line shipping company has likewise secured an injunction from the Commercial Court in London forbidding the Finnish Seamen's Union from taking any action in relation to the outflagging of its vessel m/s Rosella or to the terms of employment of its crew.

"Finland has sought to build a national strategy for competition on the world market based on a policy of effective collaboration between the government and both sides of industry. The outcome has been highly encouraging and has demonstrated that economic competitiveness, a stable labour market and social reform can become mutually supporting policy objectives. This approach should also be promoted throughout the European Union," Ihalainen suggested.

"The European Trade Union Confederation – ETUC has prepared for this Social Summit with great care and high expectations. This is clearly indicated by its carefully prepared position paper seeking progress through co-operation. The ETUC aims to bring about a new, long-term development agreement between the social partners on working life, gender equality, skills and social issues," Ihalainen explained.

Social partners chart course to a social Europe at Tripartite Social Summit in London

The future of a social Europe was the subject of a Tripartite Social Summit held in London on Monday 24 October. The Summit was attended by representatives of European labour market organisations, the European Commission and the United Kingdom in its current capacity as President of the European Union. The event was convened by United Kingdom Prime Minister Tony Blair.

The purpose of the Summit was to hear the views of the social partners on the construction of a social Europe. Distinguished participants included European Commission President Jose Manuel Barroso, Austrian Federal Chancellor Wolfgang Schüssel and Finland's Prime Minister Matti Vanhanen, Minister of Labour Tarja Filatov and Minister of Social Affairs and Health Tuula Haatainen. Other guests at the event included the leaders of the European labour and employers' confederations ETUC and UNICE.

Other participants from Finland also included SAK President Lauri Ihalainen, President Risto Piekka of the Confederation of Unions for Academic Professionals in Finland – AKAVA, and Risto Kousa, Head of International Affairs at the Finnish Confederation of Salaried Employees – STTK.

See also

• SAK, STTK and AKAVA: Social Europe supports productivity and employment (KEY Finland's website)
• Saving social Europe is vital to saving Europe, says the ETUC (ETUC's website)