UK govt seeks end to protests over foreign labour

LONDON: In the face of growing protests and rising unemployment, the British government has said it understands the frustration of energy workers who have walked out over the hiring of foreign citizens. But it warned against protectionism, saying isolating the British economy would only make the downturn worse.

Thousands of energy workers across Britain walked off the job Friday in a rapidly expanding campaign of protests sparked by the hiring of Italian and Portuguese workers for an oil industry construction project in northern England.

Under European Union rules, the Italian and Portuguese laborers have the same right to work in Britain as British citizens do, and Britons have the right to work in other EU nations.

Business Secretary Peter Mandelson said yesterday that he understood people's concerns about jobs in a weakening economy; the jobless rate is 6.1 percent. But he said protectionism "would be a surefire way of turning recession into depression."

"It would be a huge mistake to retreat from a policy where, within the rules, UK companies can operate in Europe and European companies can operate here," Mandelson said.

The protests reflect concern about current unemployment, and fears of more layoffs as the global economic slump worsens.

The wildcat strikes were triggered by the decision of Italian construction company IREM SpA to use Italian and Portuguese workers for a USD 280-million project at a Total refinery in northeast England.

Union leaders say IREM acted unfairly because it did not allow British workers to apply for the jobs.