ETUC denounces the adoption of the permanent austerity treaty

The European Trade Union Confederation (ETUC) stresses that it opposes the new treaty which has just been signed by 25 countries at the European Summit. This treaty will impose even greater budgetary austerity in Europe and hamper the recovery in employment. The European trade union deplores the fact that growth and employment are not the focus of detailed commitment in the same way as budgetary rigour.

ETUC General Secretary Bernadette Ségol states: "By adopting this treaty, the European Summit has adopted the wrong strategy. Instead of focusing on a plan for the recovery of employment and mechanisms for financial solidarity, the European Union has decided to press on down the path of permanent automatic austerity.

"This is a losing strategy, because this decision cripples any chance of economic recovery and will stoke social unrest. The Council’s conclusions insist on the need for growth to create employment; this is a good thing, but the resources and policies in support of this objective are unfortunately not backed up with any precise commitments. Budgetary rigour will strip the effectiveness from the declared objective of growth."