EU Transport Policy Failure: The Case of Germany’s Mindestlohngesetz

Wojciech Paprocki ()
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Wojciech Paprocki: Warsaw School of Economics

A chapter in Transport Development Challenges in the Twenty-First Century, 2016, pp 51-65 from Springer

Abstract: Abstract EU transport policy represents an element of European economic strategy aimed at boosting growth in the single market. Among the goods and services that are traded in the market are international road transport services. The adoption of regulations on minimum wage (MiLoG law) by Germany’s parliament forces transport companies headquartered outside Germany to pay no less than the German minimum wage to their drivers performing work on German territory. This legislation therefore breaches the EU principle of free movement goods and services and compels non-German transport undertakings to align their employees’ pay to German rather than their native country’s economic conditions. Arguably, the very fact that it was possible for a member state to introduce a regulation such as the MiLoG law should be seen as a EU transport policy failure.

Keywords: EU transport policy; Minimum wage; Single market integration; International road transport (search for similar items in EconPapers)
Date: 2016
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Persistent link: https://EconPapers.repec.org/RePEc:spr:prbchp:978-3-319-26848-4_6

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DOI: 10.1007/978-3-319-26848-4_6

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