• Sweden edition
 
Sweden set to enter the euro pact: Borg

Sweden set to enter the euro pact: Borg

Published: 22 Apr 2011 10:03 GMT+02:00
Updated: 22 Apr 2011 10:03 GMT+02:00

Swedish Finance Minister Anders Borg believes that Sweden should join the euro pact after a significant European Union decision this week.

Thus far, Sweden has opposed membership to the pact because, amoung other reasons, the EU has the ability to interfere in member countries’ wage formulations.

But this week the European Parliament adopted a decision that Borg now hopes makes it clear that each country retains autonomy over wage controls, thereby enabling the Swedish parliament to support membership.

“My hope is that we can reach such clarification from the European Council to allow for a broad majority in Sweden to support this," Borg told Sveriges Radio (SR).

Borg has previously staved off Swedish membership to the pact on the grounds that it would allow the EU to interfere in member countries' wages.

The Swedish trade unions and Swedish opposition parties also have strongly opposed membership.

The European Parliament's economy committee voted this week on a legislative package that includes provisions with the euro pact.

At several points, the laws were tightened further as the EU strengthens its control over member countries' economic policies.

But the committee also decided that the countries' own pay and contract systems must be respected.

Borg now expects EU finance ministers to endorse the amendment.

It now remains to Sweden to join, Borg told SR.

TT/The Local/kh (news@thelocal.se)

Don't miss...X
Left Right

Your comments about this article

10:48 April 22, 2011 by Nemesis
Does this mean that Borg will ban praktik (slavery) and bring in a minimum wage? As usual Sweden will adopt parts that suits it, but ignore parts banning slavery.

Sweden needs a minimum wage and to ban praktik now.

The sooner Sweden joins the Euro pack for wages, which would remove praktik and force a minimum wage situation, the better for all low paid workers in Sweden.
10:58 April 22, 2011 by foxpur
@Nemesis: Unpaid Internship (praktik) exists in just about every EU country, and, in fact, the EU Headquarters itself uses the option. So I would reasonably say banning praktik is not likely to happen if your lifetime.
11:06 April 22, 2011 by calebian22
The sooner Sweden gives the finger to all things EU the better.
11:39 April 22, 2011 by Great Scott
@foxpur

Totally untrue, maybe in some areas where the unemployed are given further education then the unemployed person will benefit. But not like Sweden's abuse where the unemployed person gets very little and the employer is rewarded very well. These crooks that only use free labour will never employ, why should they? It is this that is so crazy as the Swedish government supports it.

It is pure denial of human rights, the right to work and get paid.
12:09 April 22, 2011 by jan.petras
Prakitk is totally fine but it shouldn't last more than 2 weeks. It gives the employer a chance to see how you work and what kind of worker you are and make a decision based on that. And it gives you a chance to prove you're worth it, and not be judged solely on a C.V.

It's a win-win and if you mind working "for free" for 2 weeks then you don't even deserve the said job.

You don't work "for free" - you work towards something.

Sheeeeessshhh......
12:58 April 22, 2011 by calebian22
Jan,

What praktik in Sweden is for two weeks? While I disagree that the EU will solve this problem in Sweden, the praktik as it currently stands only benefits the employers.

Besides, that is why probationary periods exist already. You can be fired at any time but you get paid a fair wage. An honest day's work for an honest day's pay. Praktik pay is not honest.
13:13 April 22, 2011 by Marc the Texan
If this happens, Swedish wages will fall closer to the average European wage (regress toward the mean). Sweden will lose control of independent monetary policy and the ability to manage the Swedish economy. Wealth will flow out of Sweden to Europe like a river running downhill. Sweden will become more competitive in industries that currently are not economical in Sweden. This will mean more low level and unskilled jobs will be available to Swedes. Is all this really worth the price of no forex fees?

In the long term, Sweden will lose what sovereignty it has. How does this help Sweden? All this will do is transfer real political power to Europe and lower Swedish living standards closer to the average European level.
13:20 April 22, 2011 by ooh456
Hmmm... it makes no sense to join the currency now. Isn't that sufficiently clear? If you give up your currency, you basically give up your control of your own economy. Duh. Economics 101.Sweden... I hope you like sending money south and giving political and economic control to Germany. Sweden may as well become part of Germany. What does it even matter now that we all use credit cards anyway to buy everything? Think people!
14:18 April 22, 2011 by Swedesmith
Borg believes his ponytail looks good, too.
14:24 April 22, 2011 by Syftfel
Sweden must NOT join the Europact unil the PIGS(Portugal, Ireland, Greece, Spain) have straighthened out ther economies and turned their backs on unbridled socialism, and crushed the backbone of the trade unions in their sties.
15:01 April 22, 2011 by Rick Methven
@syftfelis

pigs will fly before that happens (thankfully)
15:40 April 22, 2011 by HYBRED
The higher the wage, the more tax money generated which ideally benefit all. The lower the wage, the more money in the "mans" pocket. Benefiting who?
15:55 April 22, 2011 by hjoian
@hybred, if you have more money in your pocket,who do you think benefits? Unless your one of those sad people who just hoard money for the sake of it,most people will go out and spend it,thus supporting local shops and industry. Paying more taxes is no guarentee that the money will be used wisely, and if you look at the state of Europe,most,if not all goverments cant be trusted with the funds they do have,let alone the funds they dont have(credit). I agree ideally high taxes should benefit all,from what i have read here on the forum over the last few years,the service that you are getting for your tax money has got worse and worse,so why give the goverment more?

Until the financial crisis is sorted,Sweden will be better off out of the Euro, and maybe better off out anyway,i can never see the UK joining,or Norway. Its unfortunate that Germany is bearing the brunt of the economic no-hopers in Europe.

Anybody with any sense will be looking to move to the far east, Europe has had its day,like the US, and things are going to change radically in the next decade. Cheers
17:33 April 22, 2011 by HYBRED
@hjoian

I did mention higher wages. But as well as the tax, there is more money in your pocket to do whatever.

I know there are no guarentees with what the government does wiht tax money,(concerning the right thing). But the last thing anyone should do is trust government. It doesn't matter where you live.

The strong SEK is a two edged sword, it is great for buying things, but it is bad for business to sell/export goods, which takes jobs.

I agree that Sweden would be better off out of the EU. But thank God or the wits of someone Sweden doesn't have the Euro.
18:51 April 22, 2011 by mkvgtired
"Give me control of a nation's money and I care not who makes her laws." — Mayer Amschel Rothschild
22:32 April 22, 2011 by tzatara1
this will be a huge mistake and I call you all out , to vote against it .

see what happened with Greece , what's coming for Portugal or Ireland ....

the standart of live will get down significantly for a very short time , enormous money will be stolen from the public economy , yeeeaa ....that's right , all the money are yours people, but they will be buried and you will be told that there's nothing wrong , just an ordinary transaction .... don't be fullers

SAY NO
03:06 April 23, 2011 by registeredb1b
What you call minister is nothing else than real clown. Real real clown
15:55 April 23, 2011 by justiceforall
sweden should join EURO today
20:42 April 23, 2011 by waffen
Number 15

Exactly.

That is what the EU and the Euro do, give control to the New World Order of the Old World Order Rothschilds, who are favored by the Bush family, and their enforcement arm in the U.S., AIPAC, to which the American Congress slavishly pay tribute, or else.

Norway and the UK have the right idea.

Sweden should remain free Sweden by staying out of the EU.
15:34 April 24, 2011 by wenddiver
A realIly stupid idea. Think of the American Government, the Southern States that have balanced budgets for the most part are banned from making money, so we end up propping up the Federal Dollar, to no effect, because other States believe in Quasi-Socialism and feel their is no limit to how much money they can print or spend. Allowing Banks to issue notes,( the very name Dixie comes from the DIX not, a Bank of New Orleans $10 dollar note) like they did prior to the Civll War, would probably create a preferred currency, as it could be backed by actual product like oil from the Gulf of Mexico, instead of Air and promise/smoke and mirrors. The EURO is a really bad idea, it takes away all economic Freedom.
16:04 April 24, 2011 by ELaimins
Borg is nuts.

Just when Greece, Ireland, Portugal and very soon Spain would do anything to get out of the eurozone, he wants Sweden to join?? The German people have had it with euroland too.

I seriously question the competence of this man, Borg, So should all Swedes...
16:43 April 24, 2011 by technoviking
Looks like a great time to join the Europact with all the wonderful developments these days...

And considering Borg calls himself an economist and doesn't even have an undergrad degree, I'm sure he's qualified to make the call...
02:35 April 25, 2011 by wenddiver
He was probably too busy combing his pony tail and picking out his ear ring to think this whole EURO thing thru. We have people like this in my country too, but mostly we let them do acts in Las Vegas not run the economy(see Penn & Teller).
04:12 April 25, 2011 by zhouchaojie
Just after reading this article, the first thing make sure you complete is to obtain very good sites. When refers to this sporting, people always connect to the Oklahoma City Thunder jerseys wholesale from china
04:54 April 25, 2011 by here for the summer
@viking ..

you are right. I was surprised and looked it up .. It is a little disappointing that a person with this important of a position should have such a lack of education.

http://en.wikipedia.org/wiki/Anders_Borg
06:55 April 25, 2011 by Grokh
I dont understand how european union wants to control economies when the rest of the world does not follow any rules.

There is a huge connection between this global economy and mass employment and its not because one country lowers taxes on some corporation.

China for example sells twice as much for a third of the price by exploiting its workers, and not following any safety as well as environmental regulation. And probably breaks a few human rights laws aswell.

Companies will move there not because of the Tax they wont pay ,but because of everything they dont need to pay or care about, and that affects all countries/all people in the world from developed to undeveloped.

It affects through unemployment, it affects through lowering pay, it affects through cancer that u get from a tshirt , pollution etc so on.

So before talking about rules and regulations EU has to make sure everyone is gona follow it, and after that they need to hang the people who manipulate the stock market and banks making it go up and down as they please, and after that break skulls at all banks that are runned like loanshark/casinos.

Then maybe we can move on to a more civilized global economy.
12:05 April 26, 2011 by Great Scott
@syftfel

What planet are you on, you oppose social democrat thinking and then oppose Borg, right wing thinking. Please what side are you on, your statement destroys any form of credibility you had.
15:57 April 26, 2011 by technoviking
@ Great Scott

I think the idea of maintaining financial independence and not wanting to bail out gluttonous second-world socialist countries is a fairly conservative stance.
10:07 April 28, 2011 by Great Scott
@httechnoviking

Ah, hello, but where have I said anything about "maintaining financial independence".
05:04 May 2, 2011 by TX4ever
Don't ENTER --Sweden's managed to do quite well without these people, don't you think?
Today's headlines
Teen in 'Jihad Jane' Vilks murder plot sentenced
Swedish artist Lars Vilks pictured in New York in 2012. Photo: Linus Sundahl-Djerf/TT

Teen in 'Jihad Jane' Vilks murder plot sentenced

American authorities have sentenced a 20-year-old accomplice of 'Jihad Jane' to five years in prison for an attempted terror plot to kill Swedish artist Lars Vilks, after getting involved with the murder plans when he was a teenager. READ () »

Sweden scraps 'new start zones' after EU input
Integration Minister Erik Ullenhag visits a school in Tensta, one of the neighbourhoods mentioned when he and his colleagues first floated the new start zone proposal. File: TT

Sweden scraps 'new start zones' after EU input

Sweden has abandoned a plan to ease taxes for small companies in blighted areas after the European Commission challenged its legality. READ () »

'Easter eggs an invitation to spread germs'
A typical Swedish Easter egg. Photo: Jessica Gow/TT

'Easter eggs an invitation to spread germs'

A Swedish microbiologist has warned that traditional Swedish Easter eggs laden with candy are an open invitation to the spread of bacteria and viruses. "Is this really a good idea?" he asked. READ () »

Jammed truck snarls Stockholm rush hour
Photo: Anders Wiklund/TT

Jammed truck snarls Stockholm rush hour

PICTURES: A truck got wedged inside a tunnel in central Stockholm on Thursday, with authorities concerned the accident may have damaged cables in the tunnel's ceiling. READ () »

Kids in Victorian garb mark Swedish Easter
A Swedish Easter witch holding daffodils. File photo: TT

Kids in Victorian garb mark Swedish Easter

In India, I'd notice Easter only from the traffic jam outside the churches, but here witches, egg hunts, and feathers mark the Christian holiday. The Local's Deepti Vashisht brings you the various shades of Swedish Easter. READ () »

Swedish MP ordered chemtrail probe
Chemtrails?: Shutterstock.

Swedish MP ordered chemtrail probe

A Swedish MP who launched an official government investigation into the existence of chemtrails tells The Local why he thinks Swedes deserve the truth, even if it may leave some conspiracy theorists unsatisfied. READ () »

PM pleads ignorance of Vattenfall's Nuon bid
Fredrik Reinfeldt answers the constitutional affairs committee's questions. Photo: TT

PM pleads ignorance of Vattenfall's Nuon bid

Sweden's prime minister on Thursday said Vattenfall itself, not its owners the Swedish state, had responsibility for the loss-making Nuon deal. READ () »

'Kockums submarine raid may be illegal': lawyer
Photo: TT

'Kockums submarine raid may be illegal': lawyer

A Swedish lawyer says the Swedish military may have broken the law when it raided the Malmö premises of German defence giant Thyssen Krupp. READ () »

Good weather could blight Easter traffic
Easter traffic two years ago on the E4 motorway. File: Jessica Gow/TT

Good weather could blight Easter traffic

Traffic experts have cautioned Swedes heading to the countryside for what should be a sunny Easter, warning that the most serious accidents often take place when the weather is clement. READ () »

Saab offers Gripen lease to Malaysia
Jas Gripen jets in flight. File photo: TT

Saab offers Gripen lease to Malaysia

Swedish defence giant Saab has offered to rent out fighter jets to Malaysia. READ () »

RECEIVE OUR NEWSLETTER AND ALERTS
Society
Swedish supermarket Ica pulls contested Easter commercial off air
Kungahuset
Society
Swedish royals set baptism date for princess
finest.se
Gallery
People-watching April 16
Politics
Who's the prime minister's heir?
Alfie Atkins
Society
Are children's books the key to families integrating in Sweden?
National
'Sweden Dem protests cater to party's martyr image'
National
'Swedish research grants were fantastic, but now it's like Australia'
Society
Only in Sweden: The ten problems you'd never encounter elsewhere
National
Swedes stopped to take my picture, but didn't look me in the eyes
Business & Money
A swipe of the hand replaced cash and cards in Lund
YouTube
Features
Video: Oliver Gee finds out how to embrace The Swedish Hug
TT
National
Abba duo hints at reunion
Advertisement:
Private
National
Flash mobs hug it out across Sweden
Finest.se
Gallery
People-watching April 11-13
TT
Politics
Swedes to give six-hour workday a go
TT
Society
Aussie choir member wows Abba in Sweden
YouTube
Society
Stockholm magic a surprise YouTube hit
Fastighetsbyrån
Society
Gallery: The Local's Property of the Week
Private
Society
Swedes find 200-year-old gravestone in living room
Stockholm School of Economics
Sponsored Article
Why a bachelor's degree is no longer enough
Deepti Vashisht
Features
Deepti Vashisht dissects the magic of Sweden's personal ID number
Shutterstock
Society
Ten signs you've been in Sweden too long
Society
Jimi Fritze heard every word when doctors discussed taking his organs
Society
A Swedish farmer explains why the new bestiality ban is 'pointless'
ESL
Sponsored Article
Learning Swedish the easy way
Latest news from The Local in Switzerland

More news from Switzerland at thelocal.ch

Latest news from The Local in Germany

More news from Germany at thelocal.de

Latest news from The Local in Spain

More news from Spain at thelocal.es

Latest news from The Local in France

More news from France at thelocal.fr

Latest news from The Local in Italy

More news from Italy at thelocal.it

Latest news from The Local in Norway

More news from Norway at thelocal.no

Blog Update: The Diplomatic Dispatch

28 October 15:16

The Green Growth Group Summit »

"Today on the 28 October in Brussels, a large group of key EU Ministers and business people, including UK Secretary of State for Energy and Climate Change Edward Davey, and Swedish Environment Minister Lena Ek, will meet to discuss green growth. They all have a stake in resolving a challenge which, although it is crucial..." READ »

772
jobs available
Swedish Down Town Consulting & Productions
Swedish Down Town Consulting & Productions is an innovative business company which provides valuable assistance with the Swedish Authorities, Swedish language practice and general communications. Call 073-100 47 81 or visit:
www.swedishdowntown.com