Greece and Holland warned over work permits

Greece and Holland illegally close their market to temporary foreign labour, the European Commission declared today and warned…

Greece and Holland illegally close their market to temporary foreign labour, the European Commission declared today and warned both states to scrap the work permit requirement or face court action.

Both states require non-national workers to apply for a permit even if they are legally employed in another EU state and their employer has sent to Greece and Holland on a short-term contract.

The European Commission sent a first warning letter to Holland, giving it a two-month deadline to comply or face a second warning and eventually court action.

The Dutch require contract or temporary labour from the eight Central and Eastern European states which joined the bloc last year to get work permits. The Dutch rules save jobs for nationals and firms supplying services from the old 15-nation bloc but do not apply to new EU entrants Malta and Cyrus.

READ MORE

"Several weeks may elapse before the Dutch authorities issue the requested permit, which may prevent businesses from winning contracts in the Netherlands," the Commission said in a statement.

Under EU law, workers sent to a different country for a short-term contract must receive the minimum social benefits of the state where they are carrying out the project.

There was no opt-out from this law for EU enlargement. However, many states in the old 15-nation EU such as Germany and Austria put limits on the number of workers from Eastern Europe.

The Commission also sent a second warning letter to Greece on its labour market restrictions. If Athens fails to comply within two months, the Commission can take it to the EU's top court and eventually levy fines.

Greece requires non-European workers being sent from a different EU state to apply for a permit. Athens checks the state of the Greek labour market before extending working rights.

"The conditions imposed on posting make it difficult for certain businesses established in other Member States to provide services in Greece," the Commission said in a statement.