Hungary inches closer to EU

LUXEMBOURG -- Hungary joined frontrunner Cyprus on Tuesday at the head of the pack scrambling for early entry to the European Union.

Hungary gave its candidacy a boost by indicating that it would be willing to accept restrictions on the free movement of workers within the EU for up to seven years after it becomes a member.

Hungary agreed to acquiesce, however, in return for assurances that existing EU members would be flexible in the way they chose to apply the curbs, Reuters reported.

The issue of labour restrictions is one of several sticking points between EU members and the leading aspirants, with whom the EU is entering the final phases of entry talks.

The EU has stated its commitment to wrapping up talks with the leading candidates -- the Czech Republic, Poland, Hungary, Slovenia, Cyprus and Estonia -- by the end of next year, with entry possible by 2004.

The EU agreed to labour curbs at the urging of Germany and Austria -- two members who see themselves, partly by virtue of their geography, as vulnerable to the influx of cheap labour that they argue is likely to accompany Europe's eastward expansion.

The European Commission estimates that the addition of 10 eastern European nations to the existing 15-member EU could result in westward migration of 3.9 million people over 30 years.

The majority of those immigrants -- around 2.5 million -- would end up in Germany, with another 470,000 heading for Austria, according to the official projections.

As of Tuesday, Hungary has successfully closed 22 out of the 31 "chapters," or negotiating topics, required to bring itself into full conformity with EU legislation, the pre-requisite for EU admission, Reuters reported.

Political leaders in the capital, Budapest, are reported to be eager not to let their country's candidacy be delayed by Poland, a Central European powerhouse whose sprawling agricultural sector has complicated its own entry talks.

Hungary's Foreign Minister Janos Martonyi said Sweden and the Netherlands had assured him they would permit Hungarian workers to enter their labour markets once Hungary acceded, Reuters reported.

Martonyi said he expected similar pledges from other EU members. Austria and Spain said they were ready to discuss the labour issue with Hungary in face-to-face talks, Reuters said.

In a general statement, the EU said existing members would "endeavour to grant increased labour market access to Hungarian nationals under national law."

"As a result," the statement said, " the employment opportunities in the EU for Hungarian nationals should improve substantially upon Hungarian accession."

Under a compromise agreement reached last month, EU members have called for a two-year transitional period during which members could continue to enforce current EU laws restricting access to their workforces by outsiders.

After that, the members would then have the choice of lifting the restrictions altogether, or keeping them in place for an additional three years, with an option to extend the curbs by another two years.