The Ohlin Report was a report drafted by a group of experts of the
International Labour Organization
The International Labour Organization (ILO) is a United Nations agency whose mandate is to advance social and economic justice by setting international labour standards. Founded in October 1919 under the League of Nations, it is the first and o ...
led by
Bertil Ohlin
Bertil Gotthard Ohlin () (23 April 1899 – 3 August 1979) was a Swedish economist and politician. He was a professor of economics at the Stockholm School of Economics from 1929 to 1965. He was also leader of the People's Party, a social-libe ...
in 1956. Together with the
Spaak Report it provided the basis for the
Treaty of Rome
The Treaty of Rome, or EEC Treaty (officially the Treaty establishing the European Economic Community), brought about the creation of the European Economic Community (EEC), the best known of the European Communities (EC). The treaty was sig ...
on the
common market
The European Economic Community (EEC) was a regional organization created by the Treaty of Rome of 1957,Today the largely rewritten treaty continues in force as the ''Treaty on the functioning of the European Union'', as renamed by the Lisbo ...
in 1957 and the creation of the
European Economic Community
The European Economic Community (EEC) was a regional organization created by the Treaty of Rome of 1957,Today the largely rewritten treaty continues in force as the ''Treaty on the functioning of the European Union'', as renamed by the Lis ...
in 1958.
Summary
The key element of the Olin Report was that the Common Market did not presuppose a harmonised level of labour standards. The report explained that
exchange rate
In finance, an exchange rate is the rate at which one currency will be exchanged for another currency. Currencies are most commonly national currencies, but may be sub-national as in the case of Hong Kong or supra-national as in the case of t ...
s between countries reflect economic productivity and, thereby, offset the advantages of lower wages in other States. As a consequence, States with a higher levels of
social
Social organisms, including human(s), live collectively in interacting populations. This interaction is considered social whether they are aware of it or not, and whether the exchange is voluntary or not.
Etymology
The word "social" derives from ...
protection and higher wages should not fear competition from low cost countries. This explains the fact that the Articles 117 and 118 of the
European Economic Community
The European Economic Community (EEC) was a regional organization created by the Treaty of Rome of 1957,Today the largely rewritten treaty continues in force as the ''Treaty on the functioning of the European Union'', as renamed by the Lis ...
treaty are ''soft'' in nature, while in contrast the ''hard'' Articles 119 and 120 of the EEC treaty have a limited scope.
See also
*
UK labour law
United Kingdom labour law regulates the relations between workers, employers and trade unions. People at work in the UK can rely upon a minimum charter of employment rights, which are found in Acts of Parliament, Regulations, common law and equit ...
*
EU law
European Union law is a system of rules operating within the member states of the European Union (EU). Since the founding of the European Coal and Steel Community following World War II, the EU has developed the aim to "promote peace, its val ...
*
European labour law
European labour law regulates basic transnational standards of employment and partnership at work in the European Union and countries adhering to the European Convention on Human Rights. In setting regulatory floors to competition for job-creatin ...
Notes
{{Reflist
References
* International Labour Organisation, Social Aspects of European Economic Co-operation. Report by a Group of Experts (summary), in: (1956) 74 International Labour Review, at 99–123.
* André Sapir, ''The Interaction Between Labour Standards and International Trade Policy'', The World Economy 18 (6), 791–803.
* J. Kenner, ''EU Employment Law: From Rome to Amsterdam and Beyond'', Oxford: Hart Publishing, 2003, 593pp
History of the European Union
International Labour Organization
1956 in the European Economic Community