Under the new German Minimum Wage Act (MiLoG), which entered into force on 1 January 2015, foreign freight and passenger carriers are required to pay a minimum hourly wage of EUR 8.5 or face penalties of up to EUR 500 000 for non-compliance.
This effectively makes it possible to scotch any competition from Romanian carriers wishing to transit through Germany, since they cannot yet afford to pay the same wages as their western counterparts.
The single market is an area without internal borders, ensuring freedom of movement for individuals, goods, services and capital. This is essential for growth and employment in the EU, which depend on mobility and competitiveness.
The principle of mutual recognition of single market rules ensures freedom of movement of goods and services without the need for harmonisation of Member State legislation, thereby guaranteeing compliance with the principle of subsidiarity by avoiding the need for excessively detailed rules at EU level.
In view of this:
What action can the Commission take to achieve these objectives?
What channels exist for Romanian carriers to uphold their rights in response to the legislation introduced by Germany?