EU uses GSP to promote equitable labour policies

Joy Orlek TWO RECENT tariff rulings by the European Union demonstrate its twin-track approach of using tariff preferences to promote respect for core labour standards by its trading partners while withdrawing benefits in cases of serious and persistent violations of labour rights. According to information released to FTW by Riaan de Lange of PricewaterhouseCoopers, the European Commission (EC) has decided to grant additional benefits to Sri Lanka under the EU’s Generalised System of Preferences (GSP). It has also decided to initiate an investigation into the alleged violation of freedom of association in Belarus as a first step towards the possible temporary withdrawal of GSP. In the case of Sri Lanka, investigations have revealed that the country is making good progress towards full compliance with the core labour standards as defined by the ILO, according to the EC. The EU is however deeply concerned about developments in Belarus and could temporarily withdraw benefits pending the outcome of its investigation.