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Investment screenings are on the rise worldwide: from health and energy supply to green technology, public authorities show more vigilance for the protection of strategically important economic sectors and social infrastructures. In 2024, the European Commission proposed a new regulation for screening foreign investments in the EU.
 

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Oliver Prausmüller

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Judith Vorbach (Brussels office)

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By simplifying legislation, the EU Commission wants to increase the EU's competitiveness and ease the burden on companies. In this spirit, the so-called Omnibus Packages I and II were presented on 26 February 2025. While these proposals are presented as measures to reduce bureaucracy they actually undermine important achievements for workers, the environment and climate. Recently adopted laws for more sustainability run the risk of losing their effect.

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The worsening of the geopolitical situation is leading to a global arms race. EU member states are also committed to increasing their overall military preparedness. In this context, the EU Commission is now presenting the ReArm Europe Plan, which is aiming at strengthening European security.

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Back in February 2023, the EU Commission presented a Green Deal Industrial Plan with the aim of strengthening European industry on the path to climate neutrality. But the geopolitical race for industrial competitiveness is getting tougher. To maximise impact, two long-announced, interrelated proposals followed on 26 February 2025: the Clean Industrial Deal and an Action Plan for Affordable Energy. Just a week later, on 5 March, the Commission presented the Industrial Action Plan for the European automotive sector.

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On 12 February, the EU Commission published a communication setting out the initial key points of the next Multiannual Financial Framework. It provides the basis for discussion as to how the future long-term EU budget is to be adapted to meet changing needs and priorities. The proposal of the EU Commission is to be presented in July 2025 and will subsequently be discussed in the EU Parliament and Council. Implementation is planned for January 2028. AK is taking part in the relevant consultation.

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Since the EU Commission presented its competitiveness compass on January 29, the whole of Brussels has been discussing how Europe can assert itself economically against the USA and China to secure long-term prosperity. The Council under the Polish Presidency is not alone in directing its attention towards industrial policy for the next six months. By hosting two events at the beginning of February, AK EUROPA also took a stand on this issue.

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Amid geopolitical uncertainties and crises, Europe is striving for greater competitiveness. The Draghi report serves as a guide for EU policy. We spoke to Andrew Watt, who took over the management of the European Trade Union Institute (ETUI) in October 2024, about the conclusions and recommendations contained in the report. He views some of the report's proposals as positive, but also expresses some clear criticisms.

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Forced labour is widespread globally, affecting around 28 million people. In order to combat it, the EU Commission presented a proposal for an EU ban on products made with forced labour in September 2022. The regulation was finally adopted on 19 November 2024. AK welcomes this important instrument for combating modern slavery.

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Contracting authorities in the European Union spend around 14 per cent of gross domestic product on public contracts each year, which corresponds to around 2 billion euros. In Austria, this volume amounts to around 67 billion euros per year, or about 18 percent of the national gross domestic product.

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Susanne Wixforth

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Christian Berger

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Judith Vorbach (Brussels office)

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With the so-called Draghi Report on the future of competitiveness, the second policy document for EU policy over the next five years was published in September 2024 - after the Letta Report on the EU Single Market. From an employee perspective, Draghi's recommendations alternate between light and shade.

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Frank Ey

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Judith Vorbach (Brussels office)

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