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 International Women’s Day 2015
Scotland

06/03/2015: Exploited at work, fighting back

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 International Women’s Day 2015
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06/03/2015: Capitalism is pushing back women’s rights

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Netherlands
Wave of student protests

05/03/2015: For democratic reforms and end to budget cuts

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The year starts with antifascism

05/03/2015: Right-wing Ball events, PEGIDA, and neo-nazi Violence: A Month of Intense and Successful anti-fascism in Austria

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Vodafone strike declared “illegal”

04/03/2015: “None of this will intimidate us - we will struggle until we win collective bargaining”

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Russia
50,000 march in Moscow after shooting of Boris Nemtsov

03/03/2015: As economic crisis deepens, social explosions loom

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Towards a hot spring

02/03/2015: Disrupt them like they disrupt us!

  Quebec

Greece
“Yes there was a different choice!”

02/03/2015: Socialist policies needed, not deals with the Troika

  Germany, Greece

Scotland
Why Tommy is wrong to call for a vote for the SNP in May

27/02/2015: Philip Stott Socialist Party Scotland

  Scotland

Greece showdown

26/02/2015: Niall Mulholland interviewed NICOS ANASTASIADES, of Xekinima (CWI Greece), just as Syriza leaders agreed a four-month bail-out extension with the EU.

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Libya
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Europe
Eurozone time-bomb

25/02/2015: Mired in recession, the eurozone is haunted by the spectre of stagnation

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Greece
Syriza retreats under Troika threats

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Britain
Labour MP shows contempt for workers

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Germany
Pegida at an end?

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History
The political legacy of Malcolm X

21/02/2015: 50 years after his assassination

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Stop arrests of government opponents!

20/02/2015: Respect the right to freedom of speech!

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Five Dublin anti-water charge protesters jailed

20/02/2015: International solidarity protests needed!

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Forty two killed during street protests in January

20/02/2015: Senate quashes Kabila’s plan to extend presidency

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What does Tsipras’s endorsement of Prokopis Pavlopoulos for President signify?

19/02/2015: Economic and social crisis requires independent pro-worker, socialist policies!

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2015 Socialist Party Congress:

19/02/2015: Preparing the forces to fight capitalist austerity

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Socialist questions Taoiseach on political policing

18/02/2015: International solidarity protests continue

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Terrorist attack in Copenhagen

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Is ‘Podemos’ the Spanish Syriza?

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“Dogs of war” unleashed in Jobstown

16/02/2015: The Gardai have simultaneously targeted the community of Jobstown, the anti-water charges movement and the Anti-Austerity Alliance

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Malaysia
Opposition leader imprisoned

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If the Troika does not back down?

13/02/2015: Let the Greek people decide!

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India
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Europe

Austerity locked-in with EU economic governance package

www.socialistworld.net, 05/10/2011
website of the committee for a workers' international, CWI

Implications of so-called "six-pack of economic governance measures", voted on in the European Parliament last week, are vast

Paul Murphy, MEP, Socialist Party (CWI Ireland), first published in the "Irish Left Review"

What was described by European Commission President as a “silent revolution” was passed in the European Parliament on Wednesday with hardly a mention in the mainstream media. The implications of the so-called six-pack of economic governance measures are vast. This package represents a qualitative leap forward in terms of the institutionalisation of austerity and neo-liberal economic policies at the heart of the EU and backwards in terms of a further undermining of democracy within the EU structures.

These pieces of legislation, ostensibly a response to the economic crisis, are actually a fulfilment of long-held desires by the capitalist establishment in Europe to develop a strong authority in the EU that would ensure that national governments implement austerity policies. The six-pack does this by establishing the European Commission as an effective policeman for austerity across Europe. It is also a step towards the fiscal unity that key sections of the establishment believe is necessary in order to save the euro.

Even if the media is ignoring it, the European establishment is aware of the significance of this victory from its point of view. Speaking in June 2010 about this package, European Commission President Barroso correctly stated that:

“The Member States have accepted - and I hope they understand it exactly - but they have accepted very important powers of the European institutions regarding surveillance, and a much stricter control of the public finances.”

What the package means:

In order to achieve this, the package centralises power in the hands of the un-elected European Commission, establishes a scoreboard of austerity, and gives the Commission power to impose massive fines on countries. There are many different elements to these six different pieces of legislation. However, the central basis of it is establishing a mechanism to put significant pressure on national governments to implement austerity and neo-liberal policies.

Essentially there are three key aspects of the mechanism to ensure that governments keep within neo-liberal economic orthodoxy. The first is the notion of “budgetary surveillance” and the “European semester”. What this means is a timetable across Europe for the presentation of draft national budgets at an early stage to the European Commission and Council. These draft budgets will be discussed by these bodies in advance of any discussion in national parliaments. The purpose of the discussions is clear - to put significant political pressure at an early stage on national governments to implement what the Commission and Council consider to be necessary policies.

The second is a qualitative strengthening of the “Growth and Stability Pact” - which limits countries’ public debt to 60% of GDP and annual deficits to 3% of GDP. In the past, this has been a relatively toothless mechanism, which has been ignored by both the major powers and the more peripheral less developed economies. Now this will be backed up by an enforcement mechanism.

Those who breach the targets and ignore warnings and recommendations from the Commission will be faced with a fine, consisting of either an “interest-bearing deposit” or a “non interest-bearing deposit” equivalent to 0.2% of GDP, which will be converted into a fine if the situation does not improve. This fine can then be increased with repeated failure to follow the Commission’s recommendations. These fines will amount to hundreds of millions of euro - being taken out of the pockets of states that are evidently facing real financial difficulties.

The third is the extension of this enforcement mechanism well beyond the strictures of the “Growth and Stability Pact”. Now countries will be monitored not just on their public debt and their annual deficit, but on a range of other measures as part of a “scoreboard” system. The details of what will be measured has still not been revealed, but Commission recommendations are to “cover the main economic policy areas, potentially including fiscal and wage policies, labour markets, product and services markets and financial sector regulation.” (’Prevention and Correction of Macroeconomic imbalances‘).

This gives a sense of how these proposals are not simply about tackling excess debt of deficits - but about giving the Commission a means to push right-wing economic policies generally and put pressure on countries to liberalise their labour markets and public services. Failure to act in response to warnings and recommendations from the Commission on the scoreboard issues, or being deemed to have acted “imprudently”, will open countries up to face fines. This is clearly a way for the Commission to push neo-liberal policies generally - including the liberalisation of the labour market and the privatisation of public services.

Assault on democracy

One of the most obnoxious features of this package is the fact that the already extremely limited democracy within the EU has been trampled upon in order to ensure that this austerity will rule. This attack takes a number of forms.

One is the strengthening of the power of the Commission. The majority in the European Parliament voted for a number of amendments designed to strengthen the power of the Commission. This is always the position of the right-wing in the Parliament who see the Commission as an ally in the fight for a “European” position as opposed to one rooted in the interests of the countries represented at the Council. The effect, however, is to remove decision making even further from ordinary people. The role of the Commission from the point of view of the establishment is to articulate a “European” strategy for the capitalist class in Europe. It is able to do this because it is relatively immune from the political pressure that national governments can face - precisely because the Commissioners exist in a bubble in Brussels and don’t have to face election.

Another attack is the stripping of the right to vote from “miscreant” countries on the question of sanctions. So if the Commission proposes that a country be punished by a fine of hundreds of millions of euro for example, that country and all other countries that have been deemed to be acting imprudently and have been subject to sanctions will not have a vote in this decision. You could therefore have a situation where most of the peripheral European countries have their votes taken away from them and it is the Northern European countries who are voting on the sanctions to be applied to these countries.

The other element is how this voting is to take place. The six-pack introduces a new form of voting which is breathtaking in its cynicism. Instead of a straight vote with a need for a majority of countries, or the traditional qualified majority system (which means getting 255 weighted votes out of 345, representing at least two thirds of the countries and at least 62% of the EU population), the qualified majority system is turned on its head. Now it is referred to as “Reverse qualified majority” voting. What this means is that the Council is presumed to agree with the sanctions, unless a qualified majority vote against it. This means that to overturn the sanctions, you would need to get a huge majority to vote against it. So even if the peripheral European nations still had their votes, they wouldn’t have a chance of defeating it if the major northern European governments were in favour of it! Of course, this was fully endorsed by the Parliament, and the agreed document (Enforcement measures to correct excessive macroeconomic imbalances in euro area ) argues that the procedure for the application of the sanctions should be “construed in such a way that the application of the sanctionon those Member States would be the rule and not the exception.”

Who is driving this agenda and why?

It is not indulging in conspiracy theorising to suggest that a large element of this six-pack is making sure not to “waste a good crisis”. This is posed as a response to the economic crisis. It is no such thing. It is part of the march of entrenching neo-liberal orthodoxy across Europe. The Corporate Europe Observatory (www.corporateeurope.org), an excellent research and campaign group working against the power of corporate lobbyists in the EU, has established how the major organisation of big business on a European level, the European Roundtable of Industrialists (ERT), has been pushing for such an agenda for over a decade.

Their chairman proclaimed in 2000 that a “double revolution” was underway. “On the one hand we are reducing the power of the state and of the public sector in general through privatization and deregulation… On the other we are transferring many of the nation states powers to a more modern and internationally-minded structure at European level. European unification is progressing and it helps international businesses like ours.” In 2002, the ERT were calling for ”at the drafting stage, the implications of national budgets and of major national fiscal policy measures [to be] reviewed at the level of the Union” - precisely what will now happen.

European big business wants this, because, like their political representatives in the establishment parties, they want the certainty of knowing that what they deem to be “prudent” policies will be implemented. The uncertainty of democratic debate and discussion with different economic policy options on offer is simply too much of an inconvenience. Likewise, the ability of mass movements to put pressure on their governments to withdraw some of their worst attacks is a threat to the certainty of austerity. Therein lies the need for a central authority (the Commission) that through its sanctions and political pressure will act as a counterweight to the pressure of potential mass movements.

Can this package be stopped?

The Council is due to discuss and finally agree this six-pack on 4 October, which means that the package will enter into force at the end of 2011 or at the latest by the start of 2012. Effectively, the battle inside the institutions of the Parliament and the Council has been lost, given the overwhelming majority for the right-wing parties (including so-called social-democracy) in both institutions.

The battle now moves onto the plane of the streets and the protest movements. The movement against cuts and attacks that are aimed at making working people pay for the economic crisis is redeveloping in southern Europe. A major mobilisation by the unions is being organised in Portugal, while Greece will see a general strike on 19 October. While Ireland is currently behind these developments, with the passage of time and in particular the passage of their own savage budget in December, the ability of the new government to blame the old government and avoid facing responsibility and major movements will be reduced.

The Left has a crucial responsibility to build these movements and also to intervene into them, raising the need for a European-wide fightback as well as putting forward a socialist alternative to this crisis of capitalism. With lies being told about “lazy Greeks”, it is particularly important to stress the similar problems that working people face across Europe and raise the need for a common fight-back, including a 24 hour general strike against austerity across Europe. Part of this intervention must be publicising the effect of this economic governance package and injecting opposition to this European shock doctrine into the movements.

Paul Murphy is the Irish Socialist Party / United Left Alliance (ULA) MEP for the Dublin constituency



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NEWS

International Women’s Day 2015: Scotland
06/03/2015, Sinead Daly, from The Socialist, newspaper of the Socialist Party Scotland (CWI):
Exploited at work, fighting back

International Women’s Day 2015: China
06/03/2015, chinaworker.info:
Capitalism is pushing back women’s rights

Netherlands: Wave of student protests
05/03/2015, Bas de Ruiter, Socialist Alternative (CWI in Netherlands):
For democratic reforms and end to budget cuts

Austria: The year starts with antifascism
05/03/2015, Stefan Gredler, SLP (CWI in Austria):
Right-wing Ball events, PEGIDA, and neo-nazi Violence: A Month of Intense and Successful anti-fascism in Austria

Greece: Vodafone strike declared “illegal”
04/03/2015, Jacqueline Gorou, President, Panhellenic Trade Union Vodafone-Panafone:
“None of this will intimidate us - we will struggle until we win collective bargaining”

Russia: 50,000 march in Moscow after shooting of Boris Nemtsov
03/03/2015, Rob Jones, CWI, Moscow:
As economic crisis deepens, social explosions loom

Greece: “Yes there was a different choice!”
02/03/2015, Interview with Nikos Kanellis, Volos City Councilor (Xekinima/ CWI Greece) by Sascha Stanicic (SAV’/CWI Germany):
Socialist policies needed, not deals with the Troika

Scotland: Why Tommy is wrong to call for a vote for the SNP in May
27/02/2015, Clear anti-austerity alternative necessary:
Philip Stott Socialist Party Scotland

Britain: Labour MP shows contempt for workers
24/02/2015, :
Three decades ago he debated with Militant leaders who warned about degeneration of his party

Germany: Pegida at an end?
24/02/2015, Michael Koschitzki, SAV (CWI Germany):
German racist mobilizations split but danger continues

Malaysia: Stop arrests of government opponents!
20/02/2015, Statement on arrests from Socialist Alternative (CWI Malaysia):
Respect the right to freedom of speech!

Solidarity: Five Dublin anti-water charge protesters jailed
20/02/2015, Socialistworld.net:
International solidarity protests needed!

Congo: Forty two killed during street protests in January
20/02/2015, Per-Åke Westerlund, Rättvisepartiet Socialisterna (CWI Sweden):
Senate quashes Kabila’s plan to extend presidency

Greece: What does Tsipras’s endorsement of Prokopis Pavlopoulos for President signify?
19/02/2015, Statement by Xekinima (CWI Greece) Editorial Board [edited translation]:
Economic and social crisis requires independent pro-worker, socialist policies!

Britain: 2015 Socialist Party Congress:
19/02/2015, Socialist Party (CWI in England & Wales) reporters:
Preparing the forces to fight capitalist austerity

Ireland: Socialist questions Taoiseach on political policing
18/02/2015, socialistworld.net:
International solidarity protests continue

Denmark: Terrorist attack in Copenhagen
18/02/2015, Arne Johansson, Rättvisepartiet Socialisterna (CWI Sweden):
United struggle needed against right-wing policies

Ireland: “Dogs of war” unleashed in Jobstown
16/02/2015, Cillian Gillespie and Councillor Mick Barry, Socialist Party (CWI in Ireland):
The Gardai have simultaneously targeted the community of Jobstown, the anti-water charges movement and the Anti-Austerity Alliance

Malaysia: Opposition leader imprisoned
16/02/2015, Socialist Alternative (CWI in Malaysia):
Government conspires to quell growing opposition

Hong Kong: Erwiana’s court victory – now to step up the struggle for migrant rights!
14/02/2015, Vincent Kolo, Socialist Action (CWI) in Hong Kong:
Hong Kong court finds employer guilty of torture-like crimes

Ireland: Interview with Paul Murphy TD following arrest
13/02/2015, socialistworld.net:
Socialist Party (CWI) and AAA TD Paul Murphy speaks following five days of political arrests of anti-water

Greece: If the Troika does not back down?
13/02/2015, Andros Payiatsos, Xekinima (CWI Greece):
Let the Greek people decide!

India: Massive defeat for ruling BJP in Delhi election
12/02/2015, Youvraj B, Pune, New Socialist Alternative (CWI India):
Result reflects growing mass discontent

Video: Brazilian housing movement presents Kshama Sawant with flag
12/02/2015, socialistworld.net:
MTST one of Brazil’s most important social movements

Video: Ruth Coppinger challenges government over political policing
12/02/2015, socialistworld.net:
Heated exchange in Irish parliament between deputy Prime Minister and Socialist Party (CWI) MP

Brazil: CWI Latin American summer school 2015
12/02/2015, Socialistworld.net:
8th Latin American school largest ever held by the CWI on the continent

CWI Comment and Analysis

ANALYSIS

Quebec: Towards a hot spring
02/03/2015, Deirdre and Bruno, Socialist Alternative (CWI Quebec):
Disrupt them like they disrupt us!

Greece showdown
26/02/2015, Article to be published in the March issue of Socialism Today (magazine of the Socialist Party, CWI in England and Wales):
Niall Mulholland interviewed NICOS ANASTASIADES, of Xekinima (CWI Greece), just as Syriza leaders agreed a four-month bail-out extension with the EU.

Libya: War-torn country becoming new hub for IS activities
25/02/2015, Serge Jordan (CWI):
Libyan people bearing the brunt of NATO’s fiasco

Europe: Eurozone time-bomb
25/02/2015, Lynn Walsh, article from Socialism Today (magazine of the Socialist Party of England and Wales):
Mired in recession, the eurozone is haunted by the spectre of stagnation

Greece: Syriza retreats under Troika threats
24/02/2015, Nicos Anastasiades, Xekinima (CWI Greece), Thessaloniki:
Popular mood shows anti-austerity, socialist policies would win huge support

History: The political legacy of Malcolm X
21/02/2015, Eljeer Hawkins, Socialist Alternative:
50 years after his assassination

Spain: Is ‘Podemos’ the Spanish Syriza?
16/02/2015, Danny Byrne, CWI:
Dangers of “moderation” and domestication

Egypt: Regime brutality on fourth anniversary of revolution
10/02/2015, David Johnson, Socialist Party (CWI England & Wales):
Masses will regain confidence and willingness to fight

Greece: Not a single step back!
08/02/2015, Statement by the Editorial Board of Xekinima (CWI Greece):
Conflict between SYRIZA government and EU escalates

Kurdistan: ‘Islamic State’ driven out of Kobanê
02/02/2015, Serge Jordan, CWI:
Will the end of Kobanê’s siege turn the tide against IS?

Greece: Why did Syriza and the KKE fail to reach agreement?
29/01/2015, Article from Xekhinima (CWI Greece) website [dated 26 January 2015] translated and slightly edited:
For socialist policies to end austerity nightmare!

Greece: Syriza comes to power, as old ruling parties collapse
27/01/2015, Niall Mulholland, socialistworld.net, interviews Andros Payiatsos, from Xekinima (CWI Greece):
Left parties fail to form government - Syriza goes into coalition with populist right Independent Greeks

Cuba: Diplomatic relations with US restored, embargo eased
24/01/2015, Tony Saunois, CWI:
Threat of capitalist restoration accelerates

Russia/Ukraine: Facing a turbulent 2015
21/01/2015, Rob Jones, CWI, Moscow:
As death toll rises, economies plunge into freefall

Greece: Prospect of Syriza victory raises workers’ hopes
20/01/2015, Interview with Andros Payiatsos, from Xekinima (CWI in Greece):
Mass intervention of working class to struggle for socialist policies is vital

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19/01/2015, H.T Soweto, DSM (CWI in Nigeria):
Socialism or Barbarism

Germany: What is behind the ‘PEGIDA’ anti-immigrant demonstrations?
13/01/2015, Wolfram Klein, Socialist Alternative (SAV- CWI Germany):
Unions and Left must organise against racism and for jobs and decent living standards for all

Greece: Towards a Syriza government?
08/01/2015, Interview with Andros Payiatsos, Xekinima (CWI in Greece):
General elections on 25 January

Northern Ireland: The Stormont House Agreement
05/01/2015, Michael Cleary, Socialist Party (CWI in Ireland):
Agreeing Not To Agree, Again

New Year: Political and economic ingredients for volatile 2015
31/12/2014, Peter Taaffe, General Secretary Socialist Party (CWI England & Wales):
As crisis of capitalism worsens, vital to organise and continue the struggle

Latin America: The end of one cycle and the beginning of another
17/12/2014, socialistworld.net:
Document on Latin America, agreed by CWI International Executive Committee

World Perspectives: A turbulent period in history
15/12/2014, CWI International Executive Committee:
Signs of revival of class struggle signposts the future

Sri Lanka: Presidential Election January 8, 2015
11/12/2014, Interview with Siritunga Jayasuriya, USP (CWI Sri Lanka):
Socialist candidate challenges all other forces

Australia: Major community victory stops Melbourne’s East-West Toll Road
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Socialist Party leads successful campaign against Toll Road and for investment in public transport