IMPACT says Govt must back changes to Services Directive

The IMPACT trade union has mounted a protest outside the Dáil to highlight its opposition to the proposed EU Services Directive being debated by the European Parliament this week.

The proposed new law is designed to introduce more competition in the EU services market by removing barriers that prevent service-providers from operating in all 25 member states.

Critics say it will create thousands of new jobs, but unions fear it will exacerbate the so-called race to the bottom in employment standards by allowing companies from low-cost EU states to undercut their rivals in wealthier countries.

In its present form, the directive would allow a company from any EU state to provide services in another while only adhering to the labour laws of its home country.

However, the two main groupings in the European Parliament have agreed a range of changes that they say will protect workers' pay and conditions and remove this contentious country-of-origin principle.

MEPs are expected to support these changes in a vote on Thursday and IMPACT is demanding that the Government support the amended directive when it is sent back to the member states by the parliament.

Spokesman Bernard Harbour said: "The Irish Government has strongly supported the country-of-origin principle in the Services Directive, which almost everybody in Europe agrees would undermine pay and working conditions.

"We need them to change that attitude, we need the Irish Government to say we're not going to support country-of-origin and that we'll row in behind the compromises that have been thrashed out at the European Parliament."