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EU parliament approves contentious Services Directive

15/11/2006 - 12:53:36
The European Parliament has passed a contentious new directive aimed at creating a free market in services throughout the 25 member states.

The regulation allows service providers from one EU country to provide services in any other country according to the rules in the country of origin.

The move covers a range of professions like architects, lawyers and builders.

Trade unions had feared that it would undermine job standards and social protections by allowing companies to operate under less stringent labour laws.

However, the European Commission says it will not affect labour laws and established practices in the various member states.

Fine Gael MEP Simon Coveney said this morning that the directive would be of great benefit to Irish companies, which could now take advantage of the "simplified environment for providing services across the European Union".

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