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PORTRAIT OF A SOCIAL GROUP IN COMPETITION THROUGHOUT EUROPE

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In recent years, every effort has been made to bring the working classes of the different European countries into conflict with one another, exacerbating the competition arising from the globalisation of trade. Indeed, it is primarily the sectors employing large numbers of manual workers that have been displaced from the centre to the periphery or even beyond the margins of the continent. Chains of outsourcing also developed considerably during the 1990s, and have been strengthened in the East since the 2000s: more than 4.5 million employees in Europe work in an industrial enterprise whose activity is subcontracted by a company in another European country.2 These movements have major consequences for the social situation within a number of companies that are particularly at risk, where job blackmail has become common currency: adjustments of working hours, wage cuts, productivity pushes and everything else become negotiable, even in the German automotive sector where the trade unions are still strong. Aside from these relocations, the fall in industrial employment in Western Europe is also due to a shift in the division of labour at the European level, mainly between the former Eastern countries and those of the North and West. This increasing specialisation of work between countries alters the shape and composition of social classes in Europe.

The dream of a Europe without proletarians

According to the accepted doctrine currently operative in Brussels, the tertiarisation of the European economy is synonymous with an unstoppable march towards a Europe of the knowledge economy that will become the domain of managers and highly skilled professionals. Manual professions and unskilled jobs would be destined to disappear, through the development of robots and digital technologies that would replace workers carrying out unskilled tasks. In reality, nothing is less certain. Undoubtedly, since the 1970s, industry has been declining in importance in Europe, being replaced by new activities in retail, services, banking, etc. The tertiary sector (services and retail) is now the biggest employer, representing seven out of every ten jobs. This development has by no means led to the disappearance or even the minimisation of the working class in Europe. But the tertiarisation process has also changed low-skilled jobs. In fact, unskilled occupations and jobs have increased markedly at the same time, because these new services also require a workforce that can take on tasks where skill is less recognised. Moreover, the increase in women’s levels of employment, and the ageing of the population in the North and West, create new needs in relation to childcare, care for the elderly and domestic tasks. Thus the number of domestic cleaners, childcare workers, home-care assistants, shopworkers, cashiers, sales assistants and nursing assistants (all jobs occupied predominantly by women) is increasing sharply all over Europe.3 This has led some to conclude that a polarisation of European social structures is under way: on the one hand, highly skilled, well-paid employees and, on the other poorly skilled, low-paid precarious workers.4

But this polarisation is also related to patterns of specialisation and division of labour linked to globalisation. In the countries of the South of Europe and in Germany, the growth in unskilled occupations sits alongside a high number of skilled administrative workers. In most of the former countries of the East, the proportion of unskilled workers remains limited, while skilled manual workers still predominate. In Scandinavia, social-democratic governments have limited the decline in skilled work:5 Finland and Denmark, for example, have seen a sharp rise in the number of skilled female manual workers. In addition to these national peculiarities, disparities persist in the different states’ strategies of intervention. Over the last twenty years of the twentieth century, some social indicators (social-welfare expenditure, levels of employment) in the member states of the European Community have tended to converge, but this process has been interrupted by the successive expansions to incorporate new countries, and by the varying reactions to the crisis of 2008. Plans for reducing national debt, imposed under the Stability and Growth Pact, have been much more drastic in Ireland, in the countries of the South and in the former socialist countries. The proportion of young people under thirty who are inactive – not in education, employment or training – reveals a growing contrast between two groups of countries, with a European average of 16 per cent in 2013, and major disparities between nations. On one side, the level was around 8 per cent in the Netherlands, Denmark and Sweden; on the other, it was around 25 per cent in Italy, Greece and Bulgaria.6 Underlying this disparity there are differences in economic growth but also in social policy: the pressure from the European Union to reduce public spending is superficially comparable in each country, but not all states have the same capacity or the same desire to resist, as is manifested by the increasing national differences in expenditure on health, education, family support and unemployment benefit.

Thus the experience of unemployment and precarity may vary from one country to another, depending on the level of benefits and social protection established by the different states.7

The two faces of European deindustrialisation

While deindustrialisation has led to the decline of manual labour in the six founding members of the European Union, this is not the case at the level of the twenty-seven countries that now make it up. In most Central and Eastern European countries and in the Baltic states, industrial production accounts for between 20 and 30 per cent of workers, compared with the European average of 18 per cent. This significant share held by industry is partly due to successive waves of relocation, especially in the automotive sector.

In the countries of the South, some regions which previously specialised in the textile industry, such as Tuscany or northern Portugal, have been hit hard by the departure of entire factories, speeding the decline of the manual sphere in these countries. Overall, the tertiary sector represents a comparable proportion of economic activity to that in the countries of the North and West, but this apparent equivalence is deceptive: these are activities mainly involving unskilled tertiary work, in sectors such as retail, transport and personal services.

Thus the years 1990–2000 were marked by a combination of a new division of production with the deterioration of conditions of employment in Europe. Differentiations within social structures were exacerbated by increased competition between workers. The working class was caught in a vice on both sides of the continent: on one side, those in the countries of the East and the South are forced to accept low wages or even to emigrate to find work; on the other, those in the North and West face company relocations and have to accept wage restraint and job flexibility in order to keep hold of the jobs that remain. This gives an idea of the social shock that has hit the whole of the continent, in the context of expansion of the European Union without any requirement for social convergence.

Graph 1. The Employed Labour Force in European Countries by Sector of Activity.


Data: LFS 2014. Population: Employed persons aged twenty-five to sixty-five, EU 27 (excluding Malta).

The countries of Europe can thus be divided into three large groups, on the basis of economic structure: in the West and North, skilled service jobs predominate; in the East, industrial jobs remain central; the South is characterised by the persistence of a traditional and unskilled tertiary sector. Finally, while little remains of the agricultural sector in the North and West (making up 1 per cent of jobs compared to an average of 5 per cent in Europe as a whole), it is holding firm in the countries on the margins of Europe, which are also the least developed: Greece, Romania, Poland, Lithuania, Latvia, Slovenia and Bulgaria. The former countries of the East and those of the South effectively constitute the workshop, the market garden and the breadbasket of countries in the North and West of Europe.

Small-scale self-employed workers still present in substantial numbers

If we now consider the social characteristics and working conditions of those at the bottom of the European social scale, we find a number of common features that allow us to draw a group portrait.

One of these common features is that, on the European scale, working-class people who are in work are predominantly men: they make up 60 per cent of this group, compared to only 45 per cent among the middle class. This over-representation is due, first, to the fact that women who work tend, in all European countries, to have higher educational qualifications than men. Furthermore, where qualifications are equal, they tend to work more in administrative jobs, while men are predominant in manual or technical professions.8 Working-class women are also more likely not to be in work, particularly in Southern Europe, thus automatically increasing the proportion of men among people in work. And although there may be considerable differences between countries, the employment rate for men remains higher than that for women in all European countries, without exception.

The working class in Europe consists predominantly of low-skilled and unskilled manual and white-collar workers (40 per cent) – mainly manual workers and domestic cleaners – and skilled workers (38 per cent), most of them in industry (Table 1). To these are added other, mainly female, occupations such as nursing assistants and childcare workers.

Table 1. Socio-economic Groups within the Working Class in Europe

Skilled white-collar workers (7%) Nursing assistants, childcare workers and home-care assistants 7%
Small-scale self-employed workers (15%) Farmers 7%
Craftsmen 8%
Skilled manual workers (38%) Skilled construction workers 6%
Skilled craft or food and drink industry workers 4%
Workers in the metalwork and electronics industries 12%
Machine operators 7%
Drivers 9%
Unskilled manual workers and white-collar workers (40%) Retail and service assistants 19%
Manual labourers 10%
Cleaners 9%
Agricultural workers 2%
Total of working class 100%

Source: LFS 2014. Population: People in work aged between twenty-five and sixty-five, EU 27 (excluding Malta).

Over Europe as a whole, the proportion of self-employed workers – farmers and craftsmen – is fairly substantial. But this average masks wide disparities: in the regions of the East and South, being in paid work is far from the norm in all sectors, and a large number of the working class work for themselves. This situation contrasts strongly with that in France, the United Kingdom and Germany, for example, where the proportion of farmers is no more than 1 per cent.

But there should be no mistake: these small-scale self-employed workers have little in common with entrepreneurs who have several employees under their command. In most cases, they are sole craftsmen, sometimes supported by one or two employees: they are particularly exposed to the vagaries of the economy, and are in a weak position to borrow or to develop their enterprise. In Poland, four-fifths of farmers (around 2.8 million people) work on small farms (less than ten hectares) which earn them little (less than €3,000 per year). Such farms barely meet the needs of self-sufficiency, forcing both partners in the household to work on the land (mixed farming with cereals, sugar beet, potatoes, hay and pasture) and raise a few animals, while supplementing this income through other work.9 The situation is similar, or even more difficult, in Romania, where three-quarters of farms occupy less than one hectare. Very often, these self-employed workers have no protection, and live in real social insecurity. Despite pressure from the European Union to subsidise only large farms, the Romanian authorities, particularly the Social Democratic Party, attempt to support small agricultural units, bypassing European norms in order to allow many working-class households to subsist – and thus secure their electoral support.10

In Greece, many self-employed people work for only one employer. These quasi-employees are, however, still registered with the social-security system as self-employed, and thus assume all the risks associated with the vagaries of the economic situation: they have no right to redundancy pay, or to unemployment benefit if their contract is terminated. In Spain, those known as ‘autonomous workers’ have gradually been granted social rights similar to those of employees, but they have been hit much harder by the economic crisis. In some sectors, such as transport, the self-employed lorry driver has to constantly increase his working hours in order to maintain his income, exposing him to the risk of legal sanction.11 The result is permanent state of competition between self-employed and employed drivers, enabling the large haulage companies to eliminate all possibility of collective action.

Increasing competition can also be seen among employed working-class people, where the proportion of manual workers remains high, particularly in industry. This preponderance of manual work nevertheless has a new geographical distribution: many industrial jobs have been relocated from Western Europe to the margins, in the East and South. Poland offers a typical example. After it joined the European Union in 2004, the country became host to the factories of major electronics and white-goods manufacturers, mainly in the Warsaw region and in the south of the country. American computer manufacturer Dell, for example, closed its production site at Limerick, in Ireland, transferring it in January 2008 to a new plant in Łódź, Poland’s third city. Poland has also become the largest manufacturer of flat screens in Europe. More recently, in January 2017, the Whirlpool group announced its decision to close its tumble-dryer plant in Amiens, in France, and relocate it to Poland, despite having received subsidies to modernise the French site. For the last twenty years these movements have contributed, bit by bit, to altering the profile of the working class in Europe.

Beyond the division between the self-employed and wage earners, what the working class has in common is that it is the group most exposed to international competition, through both migration and relocation.

Social Class in Europe

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