Showing posts with label Europe. Show all posts
Showing posts with label Europe. Show all posts

Tuesday

Finland to pay unemployed €560 (P29,145) per month


HELSINKI, Finland — Finland has become the first country in Europe to pay its unemployed citizens a basic monthly income, amounting to 560 euros (P29,145), in a unique social experiment which is hoped to cut government red tape, reduce poverty and boost employment.

Olli Kangas from the Finnish government agency KELA, which is responsible for the country’s social benefits, said Monday that the two-year trial with the 2,000 randomly picked citizens who receive unemployment benefits kicked off Jan. 1.

Those chosen will receive 560 euros every month, with no reporting requirements on how they spend it. The amount will be deducted from any benefits they already receive.

The average private sector income in Finland is 3,500 euros per month, according to official data.

Kangas said the scheme’s idea is to abolish the “disincentive problem” among the unemployed.

The trial aims to discourage people’s fears “of losing out something”, he said, adding that the selected persons would continue to receive the 560 euros even after receiving a job.

A jobless person may currently refuse a low-income or short-term job in the fear of having his financial benefits reduced drastically under Finland’s generous but complex social security system.

“It’s highly interesting to see how it makes people behave,” Kangas said.  “Will this lead them to boldly experiment with different kinds of jobs? Or, as some critics claim, make them lazier with the knowledge of getting a basic income without doing anything?”

The unemployment rate of Finland, a nation of 5.5 million, stood at 8.1 percent in November with some 213,000 people without a job — unchanged from the previous year.

The scheme is part of the measures by the center-right government of Prime Minister Juha Sipila to tackle Finland’s joblessness problem.

Kangas said the basic income experiment may be expanded later to other low-income groups such as freelancers, small-scale entrepreneurs and part-time workers. CBB

source: newsinfo.inquirer.net

Sunday

Britain’s EU workers gripped by fear, confusion, heartache


LONDON — A tsunami of uncertainty has engulfed Anna Woydyla, a Polish restaurant worker in London, since Britain voted to leave the European Union.

Would her two teenage children, who grew up in the United Kingdom, still qualify for loans to study at British universities? Would she and her husband, after 11 years of working here, have to sell the home they just bought? Leave their jobs? Leave their new country? Try to apply for citizenship?

The 41-year-old is among hundreds of thousands of European Union workers in Britain who are fearful and confused over what happens next as their adoptive country begins the long process of unwinding its many ties to continental Europe.

“If it were just me, I could even return to Poland,” a visibly tense Woydyla said as she stocked a bar in an Italian restaurant in London’s Camden district. “But my kids are more English than Polish. They don’t even want to go to Poland for their holidays anymore. They even speak to each other in English.”

An entire class of cosmopolitan entrepreneurs, workers, students and strivers who have made the U.K. their home since Britain opened its borders to its EU neighbors now see their futures in limbo. The immigrants changed the face of Britain, turning London’s Kensington neighborhood into a suburb of Paris, changing sleepy English towns like Boston into Baltic enclaves, filling supermarket shelves across the nation with Polish lager and Wiejska sausage.

“I personally cannot tell what’s going to change for me,” said Andrea Cordaro, a 21-year-old Italian student who compared the shock of hearing the referendum’s result to the punch-in-the-gut feeling of flunking an exam. “I’ll just have to keep my head up and hope for the best.”

Laurence Borel, a 36-year-old digital marketing consultant from France, isn’t waiting to find out what’s coming next. She asked for her British passport in May after more than 15 years living in the country.

“I’ll bet a lot of people are applying,” she said, explaining that she’d been mulling the idea of a passport for years but the referendum prompted her to act.

“I don’t want to go back to France,” she said. “My life is here.”

At workplaces and schools across the country, managers have sent out emails to worried foreign staffers and students, assuring them that — for now — nothing has changed.

“The formal process for leaving the European Union will take at least two years,” Oxford University said in one such statement. “Our staff and students can be assured that in the short term, we anticipate no disruption to employment or study.”

Over the long term though, the lives of the estimated 3 million EU citizens living in Britain may change in ways big and small. A survey commissioned by the Financial Times found that if Britain’s current immigration rules were applied to EU nationals, the overwhelming majority would lose their jobs and be forced to leave the country — catastrophic news for Spanish barristas, Romanian strawberry pickers, German investment bankers and the industries that rely on them.

The biggest impact may be on the Poles, the largest group of foreign EU workers in the U.K. An estimated 850,000 people from Poland are now in the U.K., seeking wages and opportunities far beyond what they could ever expect in their ex-communist homeland, a flow so dramatic that Polish is now England’s second-most-spoken language.

The fate of the Poles in Britain is such an important domestic issue in Poland that President Andrzej Duda vowed after the British referendum that Polish leaders will “do everything to keep the rights unchanged” in upcoming negotiations with British leaders.

“I trust that the British government will appreciate the contribution the Poles are bringing into the development of the British Islands, into their social and cultural life,” Duda said.

Under British law, EU immigrants who have resided in the U.K. for more than five years can apply for permanent residency. In practice, however, few EU citizens have bothered as their passports already allow them to travel freely and easily access education, health care, pensions and other services in Britain.

The Polish Institute of International Affairs, a Warsaw-based think tank, has estimated that still leaves up to 400,000 Poles who arrived in Britain after 2012. Though the path forward is still unclear, it’s possible that they — along with hundreds of thousands more from elsewhere in Europe — may have to apply for work visas and, if rejected, have to leave the country.

Aware of the EU workers’ anxiety, London Mayor Sadiq Khan, who had backed the failed “remain” side, issued a special message Friday to the nearly one million European citizens living in London alone.

“As a city, we are grateful for the enormous contribution you make, and that will not change as a result of this referendum,” he said. “You are very welcome here.”

To be sure, not all European workers in Britain are panicking or fearful.

“I feel good. Leaving the EU is a good idea,” said Gabriel Ionut, a 24-year-old from Bucharest, Romania, who works as a traffic marshal at a construction site in London. He has worked in the U.K. for four years and, with a residency permit, is confident about his chances of staying.

He says he fully understands native British concerns that their island has been forced to absorb too many immigrants in recent years, with too little control over who can come in due to the EU rules ensuring the free movement of people and labor.

“Now they will have more control over allowing in only the really good people,” he said. “And they will also be able stop more refugees from the Middle East. I am afraid there could be terrorists with them.”

Another Romanian construction worker said he was mostly confused. Iosif Achim, a 32-year-old from Satu Mare, Romania, has been in Britain for six years but never bothered to apply for a residency permit.

“I don’t know what’s going to happen now,” said Achim. “But in my opinion this is going to be bad.”

The concern was mirrored across the Channel by the estimated 1.2 million U.K. citizens living in Europe.

The referendum “shouldn’t affect me too much. But it could,” said Herman Martin, a British composer who has lived in Brussels for the past 24 years. Overall, he said, the British vote to leave the EU would be a disaster for both parties.

“I find it quite disturbing,” he said.

Everyone with foreign ties appears shaken.

“We’re all in shock and deeply saddened,” said Christine Ullmann, a German who works in digital marketing in London, including on the “Hug a Brit” campaign that pleaded with the British to remain in the EU. Ullmann said she cried on the train Friday morning.

Borel, the French consultant, agreed that emotions were still raw.

“I love London. I love the English. I’m heartbroken,” she said.

source: newsinfo.inquirer.net

Monday

Being transgender: facts, myths and rights


WASHINGTON, United States — Transgender people live under dramatically varying circumstances around the world — often facing violent repression, but also conquering crucial new rights most notably in Europe and the United States.

There are few reliable statistics on the community, in part because many transgender people around the world are unable to come out. And there are sometimes misunderstandings of the complex and changing vocabulary involved.

Transgender people

According to a study published in 2011 by The Williams Institute, an LGBT think tank, an estimated 0.3 percent of the US population is transgender. There are no reliable global statistics on the community, but India’s historic transgender minority alone, known as Hijras, number half a million according to the 2014 census.

The term “transgender” or “trans” refers to people whose gender identity — their innate, deeply-felt psychological sense of being a man, a woman, or neither — is different than the sex assigned to them at birth.

It includes people who have had reassignment surgery, those who have had hormone treatments, or people who have had no medical treatment at all.

– A person who is born female and now identifies as a man is a “transgender man”, or trans man.

– A person who is born male and now identifies as a woman is a “transgender woman,” or trans woman.

Note that it is considered pejorative to use “transgender” as a noun. It is an adjective, as in “a transgender person.”

The term “transsexual” is increasingly avoided.

Transition

A transgender person who is “transitioning” is shifting into their new gender identity by changing their “physical and sexual characteristics from those associated with their sex at birth,” says the National Lesbian & Gay Journalists Association in the US.

This can be a complex process that might include surgery and body modification, but it does not always. It might also include hormone treatments, group or individual therapy, telling family or friends, or changing one’s name on legal documents.

‘Sex change or ‘reassignment’?

Transgender advocacy groups warn against use of the term “sex change” to describe the surgical processes that some undergo. The groups explain that this is an outdated term, and that transgender people actually put “their bodies in line with who they are” rather than changing who they are.

Their stance is borne out by a growing body of research indicating that sexual anatomy and gender identity are the products of different biological processes — determined by genes as well as hormones — that occur before birth. Sexual anatomy and gender identity usually match, but many events can lead to an incongruence between the two.

Sexual orientation

Gender identity is not the same thing as sexual orientation. A transgender man or woman can have any sexual orientation: gay, straight or bisexual.

Anti-discrimination laws

The situation varies greatly for transgender people around the world.

Human Rights Watch counts 80 countries that continue to criminalize consensual same-sex relations or discussion of LGBT rights, with punishments including prison sentences, flogging, and even the death penalty.

In Europe, the European Parliament adopted a resolution in 1989 prohibiting discrimination against transgender people. But among the 28 member states, laws vary greatly. Only 13 states explicitly prohibit violence against transgender people, according to “Transgender Europe”, a European association.

In the United States, anti-discrimination laws are among the most advanced. But whether those laws are also applied to transgender people varies from state to state.

A dozen states including New York, California and the District of Columbia ban the exclusion of gender transition-related care from both private insurance programs and the public Medicaid insurance program, which caters to the poorest segment of the population. Another half dozen states have rules ensuring a limited level of coverage, while the rest offer none.

source: newsinfo.inquirer.net

Tuesday

Explosions rock Brussels airport, subway; 26 reported dead


BRUSSELS— Explosions, at least one likely caused by a suicide bomber, rocked the Brussels airport and subway system Tuesday, prompting a lockdown of the Belgian capital and heightened security across Europe. At least 26 people were reported dead and dozens of others injured.

A spokesman for the Brussels Metro said 15 people were killed and 55 injured, 10 very seriously, in an explosion on a train. Belgian media initially reported at least 13 dead in two explosions in the airport’s departures area, but later decreased that to 11, citing information from Belgian Health Minister Maggie de Block, who also said 81 people were injured.

“What we feared has happened,” Belgian Prime Minister Charles Michel told reporters. “In this time of tragedy, this black moment for our country, I appeal to everyone to remain calm but also to show solidarity.”

Belgium raised its terror alert to the highest level, diverting planes and trains and ordering people to stay where they were. Airports across Europe immediately tightened security.

European security officials have been bracing for a major attack for weeks, and warned that the Islamic State group was actively preparing to strike. The arrest Friday of a key suspect in the November attacks in Paris heightened those fears, as investigators said many more people were involved than originally thought, and that some are still on the loose.

There was no immediate claim of responsibility for Tuesday’s attacks, and Michel said there was no immediate evidence linking key Paris suspect Salah Abdeslam to them. After his arrest Friday, Abdeslam told authorities he had created a new network and was planning new attacks.

“We are at war,” French Prime Minister Manuel Valls said after a crisis meeting called by the French president. “We have been subjected for the last few months in Europe to acts of war.”

Belgian media reported that 11 people were killed at the airport, where two explosions splattered blood across the departure lounge and collapsed the ceiling. The explosions hit during the busy morning rush. Smoke was seen billowing out of the terminal.

Anthony Deloos, an airport worker for Swissport, which handles check-in and baggage services, said the first explosion took place near the Swissport counters where customers pay for overweight baggage. He and a colleague said the second blast hit near the Starbucks cafe.

“We heard a big explosion. It’s like when you’re in a party and suddenly your hearing goes out, from like a big noise,” Deloos said, adding that shredded paper floated through the air as a colleague told him to run.

“I jumped into a luggage chute to be safe,” he said.

Tom De Doncker, 21, check-in agent intern, was near the site of the second explosion.

“I saw a soldier pulling away a body,” he said. “It felt like I was hit too” from the concussion of the blast.

Zach Mouzoun, who arrived on a flight from Geneva about 10 minutes before the first blast, told BFM television that the second, louder explosion brought down ceilings and ruptured pipes, mixing water with victims’ blood.

“It was atrocious. The ceilings collapsed,” he said. “There was blood everywhere, injured people, bags everywhere.”

“We were walking in the debris. It was a war scene,” he said.

Near the entrance to Brussels’ Maelbeek subway station, not far from the headquarters of the European Union, rescue workers set up a makeshift medical treatment center in a pub. Dazed and shocked morning commuters streamed from the metro entrances as police tried to set up a security cordon.

“The Metro was leaving Maelbeek station for Schuman when there was a really loud explosion,” said Alexandre Brans, 32, wiping blood from his face. “It was panic everywhere. There were a lot of people in the Metro.”

Francoise Ledune, a spokeswoman for the Brussels Metro, said on BFM television there appeared to have been just one explosion on the subway in a car that was stopped at Maelbeek. Spokesman Guy Sablon said 15 were killed and 55 injured in that attack.

At the airport, passengers fled as quickly as they could.

Amateur video shown on France’s i-Tele television showed passengers including a child running with a backpack dashing out of the terminal in different directions as they tugged luggage. Another image showed a security officer patrolling inside a hall with blown-out paneling and what appeared to be ceiling insulation covering the floor.

Marc Noel, 63, was about to board a Delta flight to Atlanta, to return to his home in Raleigh, North Carolina. A Belgian native, Noel says he was in an airport shop buying automobile magazines when the first explosion occurred 50 yards away.

“People were crying, shouting, children. It was a horrible experience,” he told AP. He said his decision to shop might have saved his life. “I would probably have been in that place when the bomb went off.”

With three runways in the shape of a “Z,” the airport connects Europe’s capital to 226 destinations around the world and handled nearly 23.5 million passengers in 2015.

Passengers were led onto the tarmac and the crisis center urged people not to come to the airport. More than 200 flights to Brussels were diverted or canceled, according to flight tracking service Flightradar24

Authorities told people in Brussels to stay where they were, bringing the city to a standstill. Airport security was also tightened in Paris, London and other European cities.

In Paris, France’s top security official said the country was immediately reinforcing security at airports, train stations and metros.

source: newsinfo.inquirer.net

Prince to play solo piano tour of Europe —reports


NEW YORK - Prince is planning a European tour featuring just his voice and piano, with the 57-year-old pop virtuoso saying he wanted a new challenge, reports said Monday.

Prince—who rarely makes traditional, straightforward announcements on touring—apparently broke the news by inviting a small group of music writers from European newspapers to his Paisley Park estate in Minnesota.

The Purple One posted a picture on Instagram showing him playing a keyboard for a small group with the caption, "European press," as well as videos of him practicing, although a representative did not immediately return a request for comment.

Spain's El Pais, in an article Monday datelined Minnesota, said Prince would play in 12 countries starting on November 21 in Vienna and finishing on December 22 in Brussels.

Explaining why he wanted to do the tour, Prince was quoted in Spanish as saying: "For starters, it's a challenge."

"I don't want to get bad reviews, but at the same time I don't want to go back to what I feel safe doing because I've done it for 30 years," he was quoted as saying.

"With the piano it's more naked, more pure. You see exactly what you get."

The tour—entitled "Prince Spotlight: Piano and a Microphone"—will include four dates each in Britain and Sweden, El Pais said.

He will also perform in Denmark, France, Germany, Italy, The Netherlands, Norway, Spain and Switzerland, it said.

The tour is believed to be the first since Prince's rise to stardom in which he is performing with such stripped-down instrumentation.

Prince is best known for his skill on the guitar and his falsetto voice, along with his dance moves. He has played recent tours with a backup band that includes the all-female group 3rdEyeGirl.

Prince in recent years has preferred to announce concerts with only a few hours advance notice and has sometimes played two shows in one night. —Agence France-Presse

source: gmanetwork.com



Thursday

Obesity can be deemed a disability at work – EU court


BRUSSELS - Europe's top court ruled on Thursday that obese people can be considered as disabled, meaning that they can be covered by an EU law barring discrimination at work.

The decision followed a question from a Danish court, which was reviewing a complaint of unfair dismissal brought by Karsten Kaltoft, a child-minder, against a Danish local authority.

Kaltoft, who never weighed less than 352 pounds during his employment, argued that his obesity was one of the reasons he lost his job and that this amounted to unlawful discrimination, an allegation the council denied.

The Court of Justice of the European Union was asked to rule on whether EU law forbids discrimination on the grounds of obesity or whether obesity could be considered a disability.

The Luxembourg-based court ruled that EU employment law did not specifically prohibit discrimination on the grounds of obesity, and that the law should not be extended to cover it.

However, the court said that if an employee's obesity hindered "full and effective participation of that person in professional life on an equal basis with other workers" then it could be considered a disability.

This, in turn, is covered by anti-discrimination legislation.

According to statistics from the World Health Organization, based on 2008 estimates, roughly 23 percent of European women and 20 percent of European men were obese. — Reuters

Monday

Frankfurt IAA show offers signs of hope for automakers


Frankfurt — The world's automobile makers are counting on the IAA auto show, which opens in Frankfurt this week, to give the sector a boost as recovery signs are becoming increasingly discernible in Europe.

Held in Frankfurt every two years in alternation with the Paris Motor Show, the IAA opens its doors initially to trade professionals on Thursday and then to the wider public two days later and runs until September 22.

And experts say that after years of decline, automobile sales are stabilizing and may even begin to rise again from next year.

The European market has "bottomed out and is stabilizing", said Christoph Stuermer, analyst at IHS Automotive.

His colleagues at consultants PwC similarly believe that the long years of blood-letting will come to an end in the second half of 2013.

In fact, the latest EU-wide data for July actually show a rise in new car registrations in July.

Stabilizing sales "are a positive sign," agreed Stefan Bratzel, director of the Center of Automotive Management at the University of Applied Sciences in Bergisch-Gladbach.

"But the recovery will be slow," he cautioned.

"It will be years yet, if at all, before we can return to the levels seen in 2007", when European auto sales amounted to a record 16 million vehicles, he said.

In the seven months to July, a total 7.19 million new cars were registered in Europe.

Industry experts differ over the extent and magnitude of the upturn that is expected to materialize in western Europe.

While analysts at PwC are penciling in a rise from 12.1 million cars in 2013 to 14.9 million in 2019, AlixPartners are much more pessimistic and are predicting stagnant sales in the region right through until 2019.

Nevertheless, some of the automakers themselves say they are beginning to see light at the end of the tunnel.

The head of US giant Ford, for example, Alan Mulally, said that "in Europe, the automobile sector has effectively reached bottom." And while he concedes there is still overcapacity in the sector, Ford has adjusted to demand, Mulally says.

French group PSA was hit particularly hard by the crisis in Europe and like Ford and Opel (the German arm of General Motors), slashed jobs and shut down factories in response. But its chief Philippe Varin recently said that PSA would start winning back market share in its home market by the end of this year.

In addition to burgeoning sentiment in Europe, sales in China and the United States are robust, auguring well for the global car market, which is expected to grow by 3.2 percent in 2013 and 4.8 percent in 2014, according to analysts at Moody's rating agency.

As a result, "automakers should be sending out slightly more positive signals at the IAA", said Euler Hermes analyst Yann Lacroix.

"I believe the mood among automakers will be rather good at the IAA," said Stuermer at IHS.

For the IAA's 65th edition, carmakers, especially German ones, will be unveiling electric or hybrid models, with BMW to unveil its first fully electric car, the i3, as well as a rechargeable hydrid i8 sports car.

Volkswagen will show off its zero-emission e-Up! and the e-Golf.

French manufacturers will be there with the concept car Citroen Cactus, the new Peugeot 308 or the Dacia Duster redesigned by Renault. And Italy's Fiat will present the new seven-seater version of its 500.

Sports car enthusiasts will be able to gasp in awe at the Lamborghini Gallardo LP570-4 Squadra Corse, a limited series with 570 horse-power, or the Porsche 918 Spyder with close to 900 horse-power under its bonnet.

Another focus at this year's show will be the connected car, which is capable of communicating with other cars and with the outside world.

With around 1,000 exhibitors attending this year's IAA, Chancellor Angela Merkel will officially inaugurate the show on Thursday, just 10 days before general elections where she is seeking a third term as Germany's leader. — Agence France-Presse

source: gmanetwork.com

Sunday

As Europe struggles, companies focus on cost cuts


DAGENHAM, England - Glistening chains on the turnstyles at Ford Motor Co.'s plant in east London illustrate how, even when companies unveil positive news about their European operations, it may not mean things are picking up in the economy.

Ford told investors this week that its European operation was performing better than expected and that its turnaround on this side of the Atlantic was on track.

But this recovery is largely premised on cutting costs, with demand for vehicles still falling across the continent and the industry facing overcapacity.

"The outlook for the business environment in Europe continues to be uncertain," Bob Shanks, the U.S. automaker's chief financial officer, told analysts on Wednesday.

A day later work stopped at the 750-strong Dagenham plant, which made bonnets and doors for Transit vans, and workmen lowered white concrete barriers across the entrances to employee car parks—all part of Ford's plan to create a "more efficient manufacturing footprint" in Europe.

Aggressive cost-cutting in Europe contributed to the better-than-expected second-quarter profit General Motors Co reported on Thursday.

Other sectors are also cutting back. Kimberly Clark shut a Spanish factory after the company decided to stop selling its Huggy diapers in most European markets and exit other businesses on the continent.

U.S. advertising group Interpublic, supermarket chain Carrefour, electrical goods makers Indesit and staffing group Randstad were among the companies which told investors in the past fortnight that weak European demand was forcing them to cut costs and jobs.

"Whatever earnings growth is coming is base-line activity or cost cutting. Capex [capital expenditure] is where companies are saving money, trying to keep the bottom line healthy," said Chris Weafer, senior partner with consultancy Macro-Advisory.

Recent economic data has suggested the euro zone is starting to turn a corner and Britain looks definitively to be back on a growth path.

Those improvements in leading indicators have prompted institutional investors to look at Europe with new interest.

With stock markets in Japan and the United States posting double-digit gains so far this year, investors may have squeezed as much as they can out of a recovery story there and are looking for the euro zone and Britain to pick up the growth baton.

But it will take more than the first tips of green shoots to persuade companies to invest heavily once more.

Chicken and egg

Investment plummeted after the financial crisis, with the euro zone business investment rate in the last quarter of 2012, the most recent period for which figures are available, at its second-lowest level since 2001.

The widespread focus among executives on scaling back, and the dearth of plans to spend more, highlighted how Europe was not out of the woods yet, despite some recent positive signs from Eurozone Purchasing Managers' surveys last week, said Yiannis Koutelidakis, economist at Fathom Consulting.

The absence of spending from companies is contributing to a chicken and egg situation, delaying the recovery that might prompt them to spend more.

"The lack of investment and the continued government austerity, is definitely a drag on the outlook," said Bert Colijn, economist at the Conference Board, a research organization.

"If we see a recovery in Europe in the second half of the year, which is something that is becoming more realistic, that recovery will be very slow."

Some businesses said predictions of recovery in the second half of 2013 were optimistic. Marco Milani, Chief Executive of Italy's Indesit, said he wasn't confident of recovery in 2014 and consequently was cutting back investment and shifting manufacturing out of Europe.

In June, the company published a plan that envisaged cutting its Italian workforce by a third and moving some operations to emerging markets, including Turkey.

Economists say these kinds of actions pose long-term risks for Europe, because even when demand recovers, it will increasingly be served from outside the continent.

"The crisis will leave structural scars on the economy," Koutelidakis said.

Corporate belt-tightening could even be accelerated if the United States starts withdrawing monetary stimulus, as Federal Reserve Chairman Ben Bernanke has indicated it might. Such a move could raise borrowing costs for European businesses, further eating away at profits and discouraging investment.

Not all companies are reporting falling sales in Europe.

Home-appliance manufacturers Whirlpool Corp and Electrolux AB forecast a rebound in demand from Europe, suggesting consumer confidence may be returning.

It would be natural for consumer spending to pick up before capital investment.

"While southern Europe continues to lag, there are some positive trends in Germany, the Nordics in particular and the UK," Electrolux Chief Executive Keith McLoughlin told Reuters.

But even in some cases where companies reported strong European demand and plans to increase hiring to meet it, they retained an air of caution.

Swedish truckmaker Volvo reported healthy sales and said it was increasing production in Europe to help deal with a growing order backlog.

Yet Chief Executive Olof Persson told analysts on Wednesday that Volvo, which makes trucks under brands such as Renault and Mack as well as its own name, would take on temporary workers to raise output, rather than commit to taking on new full time employees.

"This production ramp up has been done with temporary workers. And this is what we're going to focus on very much going forward ... in order to be more agile in adapting to whatever comes ahead of us," Persson said. —Reuters

source: gmanetwork.com

Eurozone crisis is over - France's Hollande


TOKYO - The crippling debt crisis that has ravaged Europe for years is finished, France's President Francois Hollande has declared, despite high unemployment and lingering recession on the continent.

"You must understand that the crisis in the eurozone is over," Hollande told an audience in Japan during a three-day state visit.

Hollande's comments on Saturday came just a week after thousands of people took to the streets of European cities to vent their anger at the "troika" of international powers whose insistence on austerity is blamed for worsening their economic hardship.

There were angry scenes in Frankfurt near the European Central Bank, and in Spain and Portugal -- two of the countries that have received bailouts to help them plug fiscal holes.

The troika of international lenders -- the International Monetary Fund, the European Union and the European Central Bank -- have imposed strict conditions on countries such as Greece and Portugal in exchange for bailout funds.

In Greece and Spain the unemployment rate has reached 27 percent, while Portugal's is forecast to climb to a record 18.2 percent this year.

The figures for youth unemployment are much higher.

Hollande, who was in Tokyo on the first state visit by a French president in 17 years, said Japan and Europe needed to cooperate to forge an economic partnership that would be good for both.

"I want to play a major role in getting an agreement between Europe and Japan," he said, a reference to free trade negotiations that have recently been given the nod.

A Japan-Europe partnership "would be economically good for Europe and good for Japan."

During his visit, Hollande was generous in his praise of Japanese Prime Minister Shinzo Abe's bid to reignite growth in the torpid Japanese economy, a policy dubbed "Abenomics", which he said Friday was "good for Europe".

The prescription blends big fiscal spending, easy money and structural reforms intended to make it easier to do business in Japan.

In the six months since Abe came to power, Japan's stock market has boomed and the value of the yen has slid, giving hope to the country's beleaguered exporters and sending his approval ratings soaring.

For some in austerity-weary Europe, Abe's recipe seems much more appealing than more of the same budget-cutting that Germany -- the continent's paymaster -- insists on.

On Saturday, Hollande said Japan and Europe face the same challenges and must follow the same path to regain confidence and boost growth.

"We must act quickly and efficiently," he told his audience. "This is what Shinzo Abe wants for Japan, this is what I want for France.

"If we work together in Europe and if you, the Japanese make an effort to participate in this new dynamic, together we can change things.

"Seeing Japan committed to a policy of growth is encouraging. We need stable, sustainable and controlled growth." — Agence France-Presse

source: gmanetwork.com