Europe is experiencing the most difficult period in its history and the future is completely uncertain and unpredictable. The unprecedented combination between economic stagnation and financial speculation may lead to a long period of economic recession and cause the very existence of the Euro currency to be called into question. This explains why there is a substantial moratorium on social rights. As the European social model has always been linked to its economic model, the current economic crisis is also triggering a social crisis. A policy of rigour alone is not enough. The crisis is not in the Euro, but of the Euro. There is an urgent need for a balance between rigour and growth. Not, then, a ‘Europe of the nations’, but an acceleration of economic integration and a real role for the European Central Bank. In fact, the short cut of offloading the entire competitiveness deficit onto labour is leading the EU into a cul-de-sac.
Keywords: Crisis - Speculation - Euro - Social model - Rigour - Growth - ECB - Work