Why has the European labor movement largely failed to politicize the EU’s new economic governance regime?

The creation of the new European governance regime requires an explanation. In contrast to the European Trade Union Confederation (ETUC), the EU’s business and political leaders rejected until very recently the need for any coordination in the field of industrial relations at EU level (Leonard et al., 2007); arguably because self-regulating market forces would automatically lead to the desired downward adjustment in wages and workers’ rights across Europe. In November 2011, however, the European Parliament and the Council adopted the so-called Six-Pack of six EU laws on European economic governance. This new European governance regime empowers the European Commission to give detailed policy prescriptions to national governments and to sanction member states. In this post, Roland Erne introduces his recorded lecture explaining why the European labor movement largely failed to politicize the EU’s new regime of economic governance.