On Sunday the Swiss passed a proposal backing restrictions on immigrants entering the country from the EU. Many European countries have reacted strongly to the move which potentially breaches the EU freedom of movement law. Croatia has become disenchanted with the whole of Europe after the vote meant they will not be able to sign a labour pact.
“It is a bit disappointing that we have joined the European Union, but do not have the same rights as other member states” said a court clerk while another person said; “We have been promised many things. That by joining the European Union many issues will be resolved. Six months have passed and nothing was done and by every day we are more and more marginalised.”
Even though any possible immigration rules will take up to 3 years to come into effect the EU has already started reacting by suspending negotiations in some Swiss research funding projects as well as educational programs.
Moody’s issued warned today that the curbs could hit the Swiss economy and the banking sector while acknowledging that;
“The introduction of quotas on labour immigration could reduce housing demand, thereby exerting pressure on residential house prices, and potentially leading to a faster-than-anticipated slowdown in residential housing markets,”
They also noted that it could have a marked negative effect on EU-Swiss trade.
There’s a mixed bag of news in this story. If this develops into something more heated then we could see some Swiss selling coming in (whoopee). The other side is that Croatians are already disappointed with EU membership despite only joining last July.
See folks, the grass isn’t always greener
