Juncker Won’t be Junked

Jean-Claude Juncker, the European Commission’s new president, comfortably survived a no-confidence vote on Thursday that was prompted by news that Luxembourg lured multinational businesses with super-low tax rates during his tenure as its prime minister. The censure motion in the European Parliament was defeated, 461 to 101. But the vote was hardly an auspicious start for Juncker, under fire in his first month in office both over his role when he was Luxembourg’s leader and over a potential conflict of interest as head of a commission examining tax avoidance.

The executive EU Commission,upholds the laws of the 28-nation bloc. The Commission is now investigating several tax schemes offered by Luxembourg to global companies to see whether they broke European Union laws on state aid. Ireland and the Netherlands are also under investigation.

Juncker has said Competition Commissioner Margrethe Vestager will conduct the investigation and that he will not discuss the case with her to avoid being seen as trying to influence the outcome, which would harm his authority.

Juncker has billed his new Commission as “Europe’s last chance” to show citizens the EU can act in their interests.

However, a near-record unemployment rate of 11.5 percent and an economy that has barely grown in seven years have left many EU citizens disillusioned, leading to large victories by Eurosceptic parties in May’s European Parliament election.

Junkcer’s five year term could prove contentious.

Juncker

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