13 December 2016

Financial Times: Switzerland heads for EU immigration climbdown

Switzerland aims to settle a long-running conflict with the EU over free movement of people by rejecting immigration quotas approved in a referendum. The attempts to implement stronger controls might have implications for UK post-Brexit.

In what would be a significant climbdown, Swiss parliamentarians are expected on Friday to approve a carefully crafted package of measures aimed at boosting the employment prospects of locals without violating the country’s deal with the EU to allow free movement. [...]

Switzerland’s attempts to implement stronger immigration controls have implications for the UK’s plans to leave the EU, and in particular how post-Brexit Britain might reconcile a desire for strong trade links with its own curbs on movement of people.

“We have created a Swiss exception — but tried to conform with the rules of the game, so it’s not actually an exception,” said Max Stern, co-founder of Foraus, a Swiss foreign policy forum. “It is certainly not a blueprint — the UK would not be happy with something like this.”

The EU’s formal reaction is not expected until next week. Its blessing for the measures is not guaranteed and Brussels could still threaten to sever trading ties with Switzerland.

As part of the measures finalised this week by the two houses of the Swiss parliament, employers in regions or sectors with high unemployment would have to advertise in local jobcentres before recruiting outside Switzerland. There would also be obligations to interview job-centre-approved applications. [...]

Brussels’ formal reaction will depend on whether it believes the steps discriminate against non-Swiss nationals — but also on the implications for future Brexit negotiations with the UK.

Jean-Claude Juncker, European Commission president, will be reluctant to add a conflict with Bern to the list of problems facing the EU, which benefits from its economic relations with Switzerland.

Nevertheless, he will be wary of the EU allowing a non-member state too much flexibility in re-negotiating unilaterally its relationship with the EU because of the example it could set for the UK. [...]

Full article on Financial Times (subscription required)

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