FacebookTwitterGoogle+RedditEmail

The Curse of the Euro

by DAVID CRONIN

I had a vicious teacher in primary school.  This flame-headed brute used to enjoy slapping his pupils with two dark brown canes that he had christened Katie and Maggie.  When he wasn’t inflicting pain on our tender palms, Mr C lectured us about why violence was wrong.

José Manuel Barroso reminds me of Mr C – even if the two men bear no physical resemblance to each other.  The European Commission chief is overseeing a sadistic experiment that has punished millions who had no role in causing the financial crisis. And now he pretends to have found a social conscience.

Barroso and his colleagues are starting this month with a cynical exercise in sugar-coating austerity.  A new policy paper from the Commissionadvocates that there should be more monitoring of employment policies within the euro-zone countries.  This is being presented as a bold effort to give the single currency a social dimension.

Don’t expect the sadism to be abandoned.  All euro-zone governments are under orders to hand in their national budgets for scrutiny to Brussels by 15 October.  The spending rules that are leading to the evisceration of many welfare states are still being enforced with rigour.

Giving a “social dimension” to the euro ignores how it is a fundamentally antisocial project.  I offer no 9780745333335_p0_v1_s260x420apologies for seeking to repeatedly draw attention to how the 1988 blueprint for the currency was drawn up by a cabal of corporate high-flyers with zero democratic mandate.  The Association for the Monetary Union of Europe, as that cabal was known, included representatives of Goldman Sachs, Deutsche Bank, Total and British American Tobacco.  Its agenda was to realise the fantasies of fat-cats, not, as the spin-doctors told us, bring the peoples of Europe more closely together.

A quarter century later, a similar cabal is dictating the EU’s economic policies.  In June, the Union’s governments committed themselves to providing every young person with a job or apprenticeship within four months of leaving college or becoming unemployed.  Key elements of this “youth guarantee” proposal  were copied and pasted from recommendations made by the European Roundtable of Industrialists (ERT), which bands together chairmen and chief executives of Shell, BP, Volvo, Nestlé and Heineken.

Far from being altruistic to our young, the ERT wants to provide them with a future of stress, uncertainty and yellow-pack jobs.  A  litany of demands from the group states that “employment protection measures must be re-designed and modernised” in most EU countries.

Its idea of “modernisation” involves retreating to an era before organised labour had won significant advances.  If the ERT gets its way, big companies will have to give much shorter notice before making workers redundant and severance payments for those losing their jobs will be drastically cut.  Payments for overtime and unused holidays may be abolished in the name of “flexibility”.

Jacques Delors is often hailed as a kind of visionary here in Brussels.  If his objective was to widen inequality and immiserate millions, then I guess he was a visionary.  For that is exactly what the Frenchman has achieved by backing the single currency project so effusively when he was the European Commission’s president.

Today, Delors runs a “think tank” called Notre Europe that is  partly-funded  by the energy giant GDF Suez.  His devotees continue to give the impression that the euro is worth saving, once its facade is scrubbed a little.

A new Notre Europe paper argues that the spending rule underpinning the euro should remain based on the principle that those disobeying them are punished.  Any “social dimension” that is introduced, on the other hand, should rely on incentives, rather than sanctions.

That sums it up, really.  Governments can still be bullied and coerced into slashing expenditure on health and education.  But any measures to cushion the blow will be considered optional.

It would be heartening if trade unions were fighting this antisocial agenda.  While numerous union activists are on the frontlines of resistance, some big players in the labour movement are too busy snuggling up to the bosses.

The European Trade Union Confederation has recently teamed up with the corporate coalition BusinessEurope to issue a joint proposal on tackling youth unemployment.  With its emphasis on “reforms” and “competitiveness” – both of which are synonyms for weakening labour rights – it reads like a diluted version of the ERT’s aforementioned litany.

The euro has been a curse for ordinary people.  Burying it is necessary if we are to envisage a fairer Europe.

David Cronin is the author of the new book Corporate Europe: How Big Business Sets Policies on Food, Climate and War published by Pluto Press.

A version of this article  was first published by EUobserver.

 

 

A version of this article  was first published by EUobserver.

More articles by:

CounterPunch Magazine

minimag-edit

bernie-the-sandernistas-cover-344x550

zen economics

May 22, 2017
Diana Johnstone
All Power to the Banks! The Winners-Take-All Regime of Emmanuel Macron
Robert Fisk
Hypocrisy and Condescension: Trump’s Speech to the Middle East
John Grant
Jeff Sessions, Jesus Christ and the Return of Reefer Madness
Nozomi Hayase
Trump and the Resurgence of Colonial Racism
Rev. William Alberts
The Normalizing of Authoritarianism in America
Frank Stricker
Getting Full Employment: the Fake Way and the Right Way 
Jamie Davidson
Red Terror: Anti-Corbynism and Double Standards
Binoy Kampmark
Julian Assange, Sweden, and Continuing Battles
Robert Jensen
Beyond Liberal Pieties: the Radical Challenge for Journalism
Patrick Cockburn
Trump’s Extravagant Saudi Trip Distracts from His Crisis at Home
Angie Beeman
Gig Economy or Odd Jobs: What May Seem Trendy to Privileged City Dwellers and Suburbanites is as Old as Poverty
Colin Todhunter
The Public Or The Agrochemical Industry: Who Does The European Chemicals Agency Serve?
Jerrod A. Laber
Somalia’s Worsening Drought: Blowback From US Policy
Michael J. Sainato
Police Claimed Black Man Who Died in Custody Was Faking It
Clancy Sigal
I’m a Trump Guy, So What?
Gerry Condon
In Defense of Tulsi Gabbard
Weekend Edition
May 19, 2017
Friday - Sunday
John Pilger
Getting Assange: the Untold Story
Jeffrey St. Clair
The Secret Sharer
Charles Pierson
Trump’s First Hundred Days of War Crimes
Paul Street
How Russia Became “Our Adversary” Again
Andrew Levine
Legitimation Crises
Mike Whitney
Seth Rich, Craig Murray and the Sinister Stewards of the National Security State 
Robert Hunziker
Early-Stage Antarctica Death Rattle Sparks NY Times Journalists Trip
Ken Levy
Why – How – Do They Still Love Trump?
Bruce E. Levine
“Hegemony How-To”: Rethinking Activism and Embracing Power
Robert Fisk
The Real Aim of Trump’s Trip to Saudi Arabia
Christiane Saliba
Slavery Now: Migrant Labor in the Persian Gulf and Saudi Arabia
Chris Gilbert
The Chávez Hypothesis: Vicissitudes of a Strategic Project
Howard Lisnoff
Pay No Attention to That Man Behind the Curtain
Brian Cloughley
Propaganda Feeds Fear and Loathing
Stephen Cooper
Is Alabama Hiding Evidence It Tortured Two of Its Citizens?
Sheldon Richman
The Real Danger From Trump is Ignored
Jay Moore
Learning from History: Resistance in the 1850s and Today
Matthew Stevenson
Down and Out in London and Paris With Macron, May, Trump and Gatsby
David Jaffee
Rolling Back Democracy
Fred Gardner
Irrefutable Proof: Russian Election Meddling Documented!
Jess Guh
Neurology Study Reveals What We Already Know: People of Color Get Worse Healthcare
Joseph Natoli
A Culture of Narcissism, a Politics of Personality
David Rosen
Politics and the Agent of Social Change
Ian Almond
The Secret Joke of Our Democracy: Britain’s Elephant in the Boardroom
Andre Vltchek
Revolution Vs Passivity
Erik Rydberg
Stop the Jordan Cove LNG Project #NoLNG
Vijay Prashad
When Israeli Fighter Jets Almost Killed Nehru
Christopher Brauchli
The Certified Trump
Chuck Collins
Congress Wants to Cut Your Health Care — And Billionaires’ Taxes
FacebookTwitterGoogle+RedditEmail