Report exposes Commission view of collective bargaining

Labour market researchers have criticised the European Commission's narrow focus on competitiveness when analysing wage developments. Guy van Gyes from Leuven University in Belgium and Thorsten Schulten from the WSI trade union research institute in Germany argue that the Commission tends to ignore the structure of the real economy, the non-price factors and the loose relationship between wages and exports. They say that wage developments have the potential to counter deflationary price trends, stabilise and increase private demand, counter income inequality and push for inclusive productivity

On 29 April the ETUC submitted a document to European employment ministers who gathered in Athens for the Employment and Social Policy Council (EPSCO). The report analysed trends in wages, challenging the arguments from the European Commission and European Central Bank that so-called excessive wage increases had contributed to imbalances in the European economy. The ETUC's figures indicate, on the contrary, that over significant periods wages have not kept up with productivity growth. A further briefing, published by EPSU, also shows how wage growth has been outpace by increasing profits - an

The European Commission called on the social partners across Europe to join the debate over “flexicurity” - the policy combining elements of flexibility and security in the labour market that some believe will help boost Europe's employment performance. The ETUC used the opportunity to warn of the dangers of the Commission and the employers focussing too much on labour market flexibility to the detriment of workers' security. The ETUC called for a balanced approach combining strong social support with active measures to assist workers during periods of transition, as is the case in