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Trade unions have six months to decide whether they are going to back or back away from the single currency, says a leading industrial relations expert. Richard Hyman, professor at Warwick University's Industrial Relations and Organisational Behaviour Group, speaking at the Unions 21 Creating Partnerships conference in November, said that unions must decide whether to continue supporting economic and monetary convergence if it became clear that their aim of social convergence would not be realised. If EMU went badly wrong it could result in unemployment levels higher than the 18-20m seen in Europe now, according to Hyman. Union members and workers would be badly hit and it would be disastrous for both trade union membership and credibility. Just 12 months away from EMU, the European TUC is still lobbying hard. They repeated their call for more social integration alongside economic and monetary union ahead of the December Luxembourg summit. An ETUC statement said it was essential for Europe's leaders to "decide on a pact for economic co-ordination to balance and complete the monetary co-ordination already agreed".
The unions are also still hopeful of a less strict interpretation of the convergence criteria, although John Monks, in his speech to the conference, said he did not blame them for the "tight monetary policies" of the new UK government. "The convergence criteria were actually more flexible than many finance ministers and central bankers would have you believe", he said. Monks also signalled that the TUC's consent to EMU was conditional on giving Europe greater powers on the social policy front. Appealing to the government, he said: "Winning popular support for the single currency will need an active social policy at European level." Those countries which meet the covergence criteria laid down in the Maastricht Treaty will introduce the single currency from 1 January 1999. Membership will be decided midway through this year. However the UK will not be introducing the single currency before the next general election.
How many times have you sat on a Piccadilly train and thought, what this system needs is a European Commissioner to kick it up the Arsenal? Well, your wish could become reality. MEPs have called on the Commission to get to grips with what they call 'services of general interest' such as transport and the utilities. They want to see a European specification for levels of services and some ideas on how to regulate the service providers. In drawing up the plans for each service, including gas, railways, broadcasting and electricity, Commission staff has been asked to consult public and private companies and their workforces. The MEPs, from the parliament's economic affairs committee, also asked for a new directorate-general and a commissioner to be appointed for public services.
Their employment practices are somewhat behind the times, according to the Irish Congress (Ireland's equivalent to the TUC). "It is lamentable to see owners of a young company involved with modern methods of transport trying to introduce old-fashioned, anti-union policies that were discredited by the owners of the Dublin tram company over 80 years ago." Ryanair are refusing to recognise a ground crew union.
The UK holds the presidency of the European Union for six months from 1 January 1998. We will host the meeting of the European Council (heads of state) in Cardiff in June with the prime minister, Tony Blair, in the chair. The minister for Europe, Doug Henderson, has said that the UK wants to use the opportunity "to bring Europe closer to the people it serves". Themes running through the past year will continue in the next, including European monetary union, economic reform, enlargement, action against crime, the environment, a more effective common foreign and security policy. Mr Henderson said the UK's priority was getting Europe to work for the people. "We will take forward work on the Luxembourg jobs summit and continue our support for plans which will boost employability and adaptability." Other ministers have laid out their priorities, with Margaret Beckett of the DTI choosing to concentrate on making the EU a "real single market" and reducing unemployment. Clare Short will attempt to secure a Europe-wide commitment to development.
Of the 427 voluntary agreements drawn up by works councils in Europe to date, only 60 contained a clause on training. The European Trade Union College has reacted with concern to these figures, released in November, and called for all European works councils to make training a priority when drawing up agreements.
The transport workers' federation of unions in Europe, FST, believes that around 140,000 jobs will be lost in civil aviation and shipping if the tax is scrapped. In 1991 the commissioner in charge of dismantling Europe's internal borders promised to find some funding to address the impact of the changes. The federation says that Commissioner Monti has "failed to come up with any meaningful proposals".
Two directives adopted by the rest of Europe after Maastricht will now apply to the UK. The European works council directive, on workers' representation in EU undertakings, and the parental leave directive which originated with an agreement between, unions and employers now have to be incorporated into UK law. The deadline for the law on leave is June, but the period may be extended.
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