Maltese MEP Alfred Sant said that the eurozone should agree to a general increase of 5% in the minimum wage across the whole of Europe. The Maltese MEP made this proposal during an economic dialogue and exchange of views with Nadia Calviño, Minister for the Economy and Enterprise of Spain at the Committee on Economic and Monetary Affairs (ECON) at the European Parliament.
The Maltese MEP said growth prospects for the eurozone as a whole have dimmed. Further, concern is rising not least because of the uncertainties being caused by Brexit. Meanwhile, investment levels are still lagging not least by way of public investment. While jobs have been created, work conditions for many are less than satisfactory. There is a general feeling that living standards have not improved especially for the lower income households.
“Don’t you think that the time has come to think outside the box when considering how eurozone rules are playing out? We have economic and financial stability maybe, but is this leading to social and perhaps political instability?”
The Maltese MEP said some say that the ideals of a social Europe have been lost in translation.
“Are eurozone rules serving as a brake on public investment especially when governments need, as they do now, to provide some answers to people’s expectations for better social conditions? Instead of seeing governments grant social welfare concessions because people are rioting in the streets or because tough elections beckon, could the eurozone coordinate a social response, such as by agreeing to a general increase of say 5% in the minimum wage across the whole of Europe?” remarked the Maltese MEP.
The Spanish Minister, in her reply, said that there should be a balance between fiscal responsibility and the general welfare.
“This is not a project for bureaucrats but for the people. It's vital to manage fiscal responsibility with general welfare. What effects one country affects all of Europe, for this reason we have to ensure there is also responsibility and trust between institutions so we can build a deeper Economic Monetary Union (EMU).”
Minister Calviño said it is important that European and national institutions work for the citizens and that the citizens are aware of this.