Germany: Berlin to increase controls over social dumping now that the labor market is open to eastern European workers

More opportunities than risks.  Some (experts close to employers) believe that opening the German labor market to workers from the eight countries that joined the EU in 2004 (Poland, Czech Republic, Hungary, Slovakia, Slovenia, Estonia, Latvia and Lithuania) on may 1, 2011, i.e. seven years after most other European countries, is too late because the best talents already went to Great Britain or Ireland.  Others (unions) say that it comes with high risks of social dumping in low-wage sectors.  In an interview granted on May 2nd to the public radio, Ursula von der Leyen reasserted her stance: the opening of the German labor market to eastern European workers provides more opportunities than risks for Germany: “Young people, skilled workers and mobile workers will come and these people are needed on the labor market.”  Meantime, the conservative Minister recognized that she should “keep an eye” on the development of wages in low-wage sectors.  In this respect, von der Leyen reminded that Germany had established – quite rightly – minimum wage in several sectors, recently in the temporary and health sectors (see our dispatch No.  110201).
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stance: the opening of the German labor market to eastern European workers provides more opportunities than risks for Germany: “Young people, skilled workers and mobile workers will come and these people are needed on the labor market.” Meantime, the conservative Minister recognized that she should “keep an eye” on the development of wages in low-wage sectors. In this respect, von der Leyen reminded that Germany had established – quite rightly – minimum wage in several sectors, recently in t

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