Germany to let in Eastern European engineers early

...Minister Michael Glos said on Friday.

The German cabinet, meeting at a retreat outside Berlin, agreed late on Thursday to ease the country's tight immigration rules and let in engineers from eastern Europe as soon as possible, according to government sources.

"It could be that people from the 12 new EU countries will be allowed to work here this year," Glos told German television.

The government is particularly keen to encourage mechanical and electrical engineers. Some economists say a shortage of such labour could affect the recovery in Europe's biggest economy.

Employers group Gesamtmetall, whose members employ over half the country's industrial workforce, says the number of vacant positions in the metals and engineering sector has jumped 50 percent in the last year.

Germany's DIHK industry group welcomed the cabinet's decision as a step in the right direction.

"We are talking about small steps to open up the labour market but they are not as bold as we would have liked," deputy head of the DIHK Achim Dercks told German radio.

Germany restricted migration from new European Union states in 2004, when 10 mostly former communist Eastern European nations joined the bloc, saying an influx of migrant workers could undermine the fight against unemployment.

The ban was extended for another three years in 2006 despite growing pressure from business lobbies.

Keywords: GERMANY LABOUR/

[BERLIN/Reuters/Finance.cz]