Brussels, 08/04/2011 (Agence Europe) - On Saturday 9 April, on the fringes of the ECOFIN Council near Budapest, the European Trade Union Confederation (ETUC) is organising a euro-demonstration against austerity and for social Europe, fair pay and jobs together with six Hungarian member organisations (LIGA, ASZSF, SZEF, ESZT, MszOSz and MOSz). At least 30,000 demonstrators are expected from across Europe, especially Austria, Belgium, Bulgaria, Croatia, the Czech Republic, France, Germany, Lithuania, Poland, Slovakia, Slovenia, Romania and Spain. Along with the ETUC, the events will be attended by the secretary generals of the following European trade union federations: UNI Europa (services and communications), EPSU (public services), ETF (transport) and ETUCE (education) (see EUROPE 10347).
The policies that European institutions and governments are trying to introduce after the collapse of the financial system (at a time when the economic crisis is hitting the economy hard) are all based on fiscal consolidation and austerity measures to reduce public spending, public services and pay, and therefore seriously challenge the collective bargaining processes and social dialogue at national level, explains the ETUC in a press release. Meanwhile, bankers and leaders are continuing to be paid fat cat salaries and scandalously high bonuses but have done precious little to remove the underlying causes of the crisis, it adds.
The European Central Bank raised interest rates on Thursday 7 April from 1% to 1.25% (see EUROPE 10354), with the ECB president, Jean-Claude Trichet, issuing a warning to trade unions and calling for pay moderation. Belgian newspaper Le Soir reports that if they do not follow suit, he said he would raise interest rates higher, despite the weak and uneven shoots of economic recovery across the eurozone.
The European trade union movement is furious about these policies, saying that they are not only unfair because they are only affecting the people who played no part in creating the crisis, but are also damaging both economically and strategically. Tempers are likely to run high at the demonstration in Budapest! (G. B./trans.fl)