Free movement of workers in an enlarged Union sparks fierce row

Date: 18/05/2000

By John Shelley

EU MEMBER states locked horns this week over the sensitive issue of the free movement of workers in an enlarged Union, underlining the depth of divisions over one of the most difficult dossiers facing negotiators.

The argument centred on whether workers from the candidate countries should be given the right to move freely within the Union as soon as their nation joins the bloc, or be forced to wait several years for the privilege.

As national officials worked frantically to try to thrash out a common stance on the issue, fears grew that the dispute could delay the start of talks with the leading applicants which are due to start next Thursday (25 May). This would dash Portugal's hopes of opening negotiations on all the remaining areas of EU legislation with the front-runners for membership before France takes over the Union presidency in July.

A compromise was reached last night to avert that threat, although the deal has yet to be formally approved by EU ambassadors.

Officials have repeatedly warned that this issue would be among the most difficult of the entire enlargement process. This week's discussions between member states have given them a first real taste of the blood which is likely to be spilt in the coming months.

The dispute was sparked by a stand-off between Austria and Germany on the one hand and Spain on the other over the contents of the document which European Commission negotiators will take with them into next week's meeting with the applicants.

Berlin and Vienna, anxious to allay their public's fears of a flood of cheap workers from central and eastern Europe attracted by the prospect of higher wages, are pushing for a transition period after new countries join the Union before their workers are given full rights to work anywhere in the bloc. Other countries, led by Spain, are opposed to any move to deny the applicant countries one of the fundamental advantages of EU membership.

The first shots in the looming battle were fired last week when the Austrian government raised the political stakes by holding a press conference at which it claimed the country would be flooded with more than 100,000 'immigrant' workers if candidates were given free-movement rights immediately on joining the EU. The conflict intensified at this week's talks between national officials when Madrid unexpectedly withdrew its approval for a compromise proposal, tabled by Germany, under which the negotiating document would mention the sensitivity of the subject but make no explicit reference to transition periods.

Spain eventually backed down after it succeeded in watering down pledges to study the likely impact of free movement on existing member states. Some EU diplomats suggested afterwards that Madrid was just posturing in a bid to strengthen its negotiating position in other areas. "They have some other sensitive issues themselves. I think they want everybody to know that there is always a price for any deal." said one. "They were just playing for chips."

But others feared the argument could be a sign of a wider breakdown in relations because Madrid had threatened to breach an implicit agreement between member states to respect each others' political sensitivities at this early stage in the talks.

It was this understanding, say diplomats, which allowed Madrid to get the wording of the regional aid negotiation paper changed to reflect its concerns that it could lose out once applicant countries join.

There were also arguments this week over the EU's negotiating stance on justice and home affairs, with France demanding tougher wording on the key issue of border controls.

EU Member States have locked horns over the sensitive issue of the free movement of workers in an enlarged Union, underlining the depth of divisions over one of the most difficult dossiers facing negotiators.