Opinion – Europe’s Thirst for Cheap Labor Fuels a Boom in Disposable Workers

Here’s a good article from Liz Alderman in the NYT, highlighting the uglier side of EU labour regulations, targeting greedy multi-nationals and shabby employment agencies.

Source: Europe’s Thirst for Cheap Labor Fuels a Boom in Disposable Workers

I’ve never been a Brexit supporter but this article reminds us of the ineffectiveness of the EU bureaucracy, which is too slow and cumbersome, significantly adding to unit costs but often failing to effectively protect consumers and workers.

Multinationals have been outsourcing and offshoring for years, and if you believe in liberal economics, like myself, that’s fair enough. But multi-nationals must be transparent in their supply chain, highlighting unscrupulous labor practices. As for employment agencies, they have long added to costs and provided questionable value to clients and employees. It’s surely time that the EU bureaucracy took the knife to employment agencies.

It’s strange that Jeremy Corbyn’s Labour Party is giving so much credibility to EU labor policies? Perhaps they fear that after Brexit, UK employers will try to match the uglier side of global labor practices?


London property prices set to drop in 2018 – The Independent

Semi-detached houses in Croydon for sale

Semi-detached houses in Croydon for sale (Photo credit: Wikipedia)

Here’s an excellent article from the Independent. London property prices are headed south.

Source: London property prices set to drop in 2018 – The Independent

The thing is, there will be winners and losers. It’s a no-brainer that the top-end of the residential market has taken a dim view of Brexit. But some estate agents dealing with the top-end are trying to argue that for the very big deals price is not a limiting factor. Would you believe an estate agent?

Londoners and those invested in London’s residential property need to look to the hard evidence. The evidence is highlighting a weakening market, with demand influenced by the fears of highly paid financial services staff that their jobs are going to Frankfurt and Paris. Let’s face it the Brexit referendum and Theresa May‘s weak leadership will be the trigger for the next UK property crash. We’re a long way from Margaret Thatcher’s sale of council homes – the current Conservative Government is the exclusive preserve of the very wealthy.

But remember there are opportunities in falling markets too.  Like the sub-prime crash in the US, expect the weakest and the most highly geared to suffer the most financial damage, returning the keys to greedy lenders. Of course, it’s not just weakening property prices. We need to factor in the growth of credit card borrowing. Whilst Theresa’s May’s government continues to dream, expect radical intervention from the Bank of England.

Should we feel sympathy for over-extended London property borrowers?