Work permit Germany

As with most information regarding the bureaucracy in Germany, this information can only be used as a guide for obtaining a work permit.
Always double check!

What is required to get a German work permit?
You’re not truly living in Germany until the paperwork is done. Germans are punctual, ignore the paperwork at your own peril!

Here’s an overview on exactly what you’ll need.

Residence permit
Everyone who stays in Germany for longer than three months must have a residence permit (Aufenthaltserlaubnis).
There are two types of permit. You can apply for one of them at your local Auslaenderbehoerde.

The rules for what you need to get a residence permit vary somewhat from place to place and according to your status.
You’ll need a valid passport, proof that you have a place to live and proof that you can support yourself. Other things you may need include proof that you have a critical skill, proof that you are married, proof that you have independent means or a pension, and proof of health insurance.

One person can handle the work on a residence permit for an entire family. Once the permit has been approved an appropriate stamp is placed in the individual’s passport.

Registration certificate
If you decide that you are going to stay in Germany for a longer period you must have a registration certificate (Meldeschein).
You get it at the Registry Office (Einwohnermeldeamt) that is responsible for your community or your city neighborhood.
It’s often located at a precinct police station. Registering is a simple matter of going there and filling out a form. They may want to see your passport and lease, so have them with you. There is no charge for this registration.

Every time you change your residence within Germany, whether you move next door or across the country, you must report this to the registry offices at both the old and new place of residence. This isn’t an action directed at foreigners. Germans, too, must keep the police posted when they move.

The two types of residence permit are limited and unlimited. People with limited permits must leave the country after a certain period, though they can apply for an extension.

Which of these permits you get, and indeed whether you get a permit at all, depends on your circumstances. If you come from a member state of the European Union you can have an unlimited permit to stay in Germany.

You might want to join a family member who is already in Germany. Or you might want to study in Germany. Or perhaps you qualify for asylum. If you qualify for one of the above you usually get a permit unless there is a good reason not to grant it, such as a criminal record or no visible means of support.

Work in Germany
If you want to work in Germany things get more complicated. Again, people from EU countries have the same status as Germans when it comes to working, however there is a transition period for countries who recently joined the EU: Bulgaria, Estonia, Latvia, Lithuania, Poland, Romania, Slovakia, Slovenia, the Czech Republic and Hungary.

If you are from a non-EU country, a category that includes the USA and Canada, you will need a work permit (Arbeitserlaubnis), and it might be difficult to get. Unemployment is high in Germany and they don’t want outsiders competing for those scarce jobs.

If you have a critical skill your chances of getting a work permit are greatly enhanced. You may very well get a work permit and a well paying job. Germany’s immigration laws are geared to making a move to the country attractive to the highly qualified.

Even if they don’t have critical skills there are certain cases under which a non-EU citizen is allowed to seek work. Family members of persons with critical skills can also seek work even if they don’t share those critical skills. This is a measure aimed at attracting those sought after employees.

The issuing of work permits to non-Germans is now handled by the Auslaenderbehoerde, the same office that issued your residence permit. To get the work permit you will need a Meldebescheinigung, an Auftenthaltserlaubnis and a certificate from an employer saying they are willing to take you on.

If a work permit can be issued it will be for the duration of the residence permit and must be renewed when it expires. Work permits are for a particular job only, not employment in general. If you change jobs, you’ll need to apply for a new work permit.

How to apply for permanent residence
As of the 1 January 2005 introduction of the new German Immigration Act, foreigners need only obtain a German residence permit, which gives them the right to work, rather than separate residence and work permits. Citizens of the US, Australia, Canada, Israel, Japan, New Zealand, and Switzerland may apply for their residence and work permit while remaining in Germany as visitors.
Citizens of these countries, however, are not allowed to work in Germany until after their work and residence permit application is

Citizens of most other countries are required to apply for and obtain a residence and work permit prior to entering Germany at their German consulate.

The procedure is as follows:

Phase 1: The residence permit application (which also provides access to the labour market) for the candidate is received by the German embassy in the country where the candidate lives.

Phase 2: The Embassy passes the application to the immigration office (the Auslaenderbehoerde) in the place where the job is to take place for initial approval. The immigration office, in cooperation with the local employment office (the Arbeitsamt) that issues the permission, makes its decision.

Phase 3: If the candidate’s application has been approved, the Embassy provides an entry visa to the candidate.

Phase 4: On arriving in Germany, the foreign national and any accompanying family members must apply for their work and residence permits at the local foreigners authority.

For an EU or EEA citizen, getting a work permit is a relatively easy procedure, in keeping with the process of creating a borderless Europe. You first have to arrange a residence permit and apply for an income tax card (‘Lohnsteuerkarte’) if you are going to be employed by a company on a contract.

For those planning to work freelance, all you need is a tax number, which you can get from your local tax office (‘Finanzamt’).

But a non-EU citizen must clear more hurdles. Having gone through the same steps as EU and EEA citizens, he or she must then apply for a work permit (‘Arbeitserlaubnis’) at the labour office (‘Arbeitsamt’) in the area where his or her prospective employer is based. It is also possible to obtain work permits at some German diplomatic missions in other nations.

Germany Working Holiday Visa Information Citizens of full European (EFTA, EEA) Member Countries are able to live and work in Germany without a visa or work permit.

Germany has working holiday agreements with Australia, New Zealand, Canada and Japan. Under the working holiday programme visa holders will be able to stay in Germany for up to 12 months. Holiday jobs can be taken up to help finance their stay.

To be eligible applicants must:

* Be 18 and 30 years
* Not accompanied by children
* Posses A Valid Passport
* Have Proof of sufficient fund
* Posses return air tickets or equivalent funds
* Show proof of health insurance valid in Germany for the duration of the stay.

Canadian applicants must also:

* Be enrolled at a post-secondary institution
* Have a written job offer from an employer in Germany before leaving Canada.
* Be able to demonstrate a working knowledge of German.

If you intend to visit Germany, on holiday, a business trip, to study, work, volunteer or as an emigrant you should get up to date and accurate information from the official website of the German Foreign Office.

Work permits in the United Kingdom, a.k.a. Great Britain, England

As with most information regarding the bureaucracy in the UK, this information can only be used as a guide for obtaining a work permit.
Always double check!

Whether you need a visa to enter the UK depends on your:

  • reason for visiting
  • country of nationality
  • current location

The UK now has a points-based system for approving some categories of visa application.
Entry Clearance officers will look at all of the information and documentation you provide, and determine whether you should have a visa.

Visa Check
You can check whether you need a visa by completing the interactive questionnaire:

Do I need a visa?

How to apply

If you are coming to the United Kingdom as a business, sports, entertainer or special visitor for a short time, check the Home Office website for business and special visitors with regards to information on how to apply.

Highly skilled workers, investors and entrepreneurs
Highly skilled workers, investors, entrepreneurs and foreign students who have graduated from a United Kingdom university can apply under a new points-based system. You do not need to have a specific job offer, but you will need to pass a points-based assessment to be eligible to apply.

Sponsored skilled workers
If you have a job offer from a UK-based employer who is prepared to sponsor you, you can apply for permission to enter
or stay in the United Kingdom.

Temporary workers
If you want to come to the United Kingdom to undertake short-term, temporary work there are specific arrangements for you.

Workers from the European Economic Area and Switzerland
If you are a national of the European Economic Area (EEA) or Switzerland, you are free to enter and stay in the United Kingdom.

Workers from countries that have recently joined the EU
If you are a national of a state that recently joined the European Union, you may have to register with the UK Border Agency or apply for their permission before you start to work.

Other categories
This section contains information about other work-based categories. The categories within this section are domestic workers; sole representatives
of overseas firms; and representatives of overseas newspapers, news agencies and broadcasting organisations.

Do we need less Europe, to get more wealth?

Channel 4 here in the UK screened an interesting programme. It explained in very simple terms the financial mess we’re in at the moment and the role of the UK state in it all.

Although it was aimed at a UK audience, the messages can easily be translated to the wider European audience as you can simply replace the UK government under Labour with the current EU dictatorship.

The government’s key message is ‘Spend, spend, spend’ until you’re blue in the face. They’re spending money they don’t have in the believe that by spending more, people will be lifted out of poverty. Call it what you want, subsidies, quango’s, investment stimulance, unemployment benefits, etc. are all designed to move large sums of money from the people who earn money through their productivity to the people who for whatever reason are unable to generate a (sufficient) income for themselves. Fewer impoverished and more wealthy people means higher tax income and we’re all better off as the state can then spend more on making our lives even better.


There’s a small flaw in this thinking….

The programme graphically demonstrated this flawed thinking with the example of a restaurant owner, showing that government spending does not make people wealthier, but poorer.

The restaurant owner who just made a profit through serving delicious meals was being clobbered by the tax man. The tax man took £50 in taxes from him and handed it over to a state worker, who in turn decided to spend it with the same restaurateur.  He had a meal at a cost of £50, paid and left.

The question is, should the restaurateur be pleased with his newly earned turnover?

You could argue that his turnover increased and therefore government helped him stay in business, but….. you could also argue that the restaurateur had to buy ingredients and spend time twice over to earn the same £50. His cost had doubled, but his income had not, as it was the same £50.  In the end he came out poorer in his dealings with the government.

I know, this is a very simplistic way of portraying  the role of government in the economy, but the essence is true. Governments rarely innovate and produce competitive products. Would you rather drive a government produced Trabant or a company made BMW? If we leave production and innovation to the government we might all end up in a bankrupt socialist state.  We have seen what governments can do to economies. Just look at what happened in Eastern Europe only a short while ago.

The same goes for employment schemes. Government spends billions of pounds, euros, kronas, etc on creating jobs for people who otherwise might not have been able to obtain a job. Jobs such as a “”Consultation and Communities Engagement Manager””, who’s only aim is to talk to people in the community and ask their opinion. Is that a truly productive job that creates wealth?  The people who fill those jobs might have been poorly trained, lack experience, etc, and would otherwise not get a chance to get a well paid job, so it’s a noble attitude. Or is it?

I have been involved in the past in helping long term unemployed back into ‘work’ in the UK, under a scheme devised by the then Labour government. All it did was create truck loads of bureaucratic paper shifting (our reports kept an ever growing army of well paid state employees in work) but it failed the people who should have benefited from the support offered. (Reports don’t get people work, factories do.) None of the people we managed to get into a job were still in a job 12 months later. They either couldn’t cope with the pressure of work, were totally unprepared for regular life, or simply did not have the skills to do the job properly.

All it achieved was that expectations were created and crushed again, as well as waste a lot of money in the process. Money that needed to be borrowed and need to be paid back at some point in the future. Wise move from the government?

Fifty three percent (53%) of the UK economy is now dependent on state hand outs.

53 percent!

The UK government last year spent more on benefits than it raised in taxes. Totally unsustainable.

And Brussels is going the same way. More subsidies for more pet projects, create more reports, which need to be copied, filed, catalogued, etc., so more people need to be hired to cope with the increasing work (read: paper) load.

The European employment markets need less government. Government should focus on what it’s good at. Create the rules and regulations that enable people to be industrious, so they can create jobs and wealth. And they shouldn’t meddle in stuff they don’t understand nor have the skill set to be successful.

Doctors looking for work abroad

Doctors look like a mobile bunch of people. According to the Austrian Times, Czech Doctors are threatening to leave en masse for Austria in a row over salaries.

Funny how they all migrate to other countries than their own. Dutch dentists seem to all have ended up in the UK, together with South African doctors.

It’s all to do with salaries……

The Czech doctors union announced in an open letter to the government that 4,000 doctors one of out four doctors working at hospitals in Czech Republic“ would quit if politician decision-makers failed to meet their demands to raise salaries.

Medical works council officials have criticised comparably low wage rates for staff working at Czech clinics for years.

Experts have said many of the disgruntled doctors were already considering moving to neighbouring Austria where some hospitals are in need of skilled staff.

Seeking work abroad within the European Union’s (EU) 27 member states has been made much easier for citizens during the past few years as bureaucratic burdens have been reduced.

Right-wing movements in Austria and other countries have in the meantime warned of a “”flood”” of workers whose migration from Eastern Europe (EE) could slash average income rates in the EU’s Western members.

News that Czech doctors are considering applying for work in Austria comes on the back of claims that Austrian hospitals have recruited head hunters to convince professionals abroad to leave their homelands and work in neighbouring Austria.

News website reported in September that Austrian clinics were aiming to persuade qualified Czech medics, dissatisfied with salaries and work conditions in their homeland, to come over the border.

The head of the Czech Medical Chamber Milan Kubek said hospitals in the country were currently short of around 700 qualified doctors. He warned the situation could “”significantly deteriorate”” if the government did not back down from carrying out a dramatic cost-cutting initiative next year.

Austrian People’s Party (OVP) Science Minister Beatrix Karl recently suggested reducing the period new doctors spend in clinics from the current three years to just one year. The minister also said thr 24 month professional trainee period could be integrated in their studies at universities.

Karl claimed such a reform could help raise the profession’s attractiveness and stop the number of doctors leaving Austria to work in Germany.

So, how do you keep well trained doctors in the country?

The UK for instance is slashing red tape and are going to make doctors responsible for their own budgets. Wonder if that will work, as until now doctors have managed to create waiting lists on the public side of the healthcare system, only to reduce them as private practitioners via the well funded private side. Forgive me if I sound cynical….

Let us know how it works in your country!

European democracy in tatters?

Just a few of the headlines in the last few days:

– Coulson arrested over NOTW phone hacking scandal
– French police begin investigating second Strauss-Kahn case
– If I could, I would leave office now, says Berlusconi
– Court to decide on Lagarde ‘misconduct’ inquiry
– Yulia Tymoshenko, former Ukrainian PM in court for pre-trial hearing over abuse of power

It looks like a trend in Europe these days. Get a powerful job, then abuse the power that comes with it. Regardless of whether people are elected to high office or have been promoted to powerful positions in business, European ‘leaders’ seem to have got a real taste for abusing their power for their own good.

Why is this happening?

One of the reasons this has been happening is lack of accountability. Regardless of whether they’re in charge of a European state or an influential newspaper, these people don’t seem to have to account for their actions like mere mortals have to. The European parliament can not hold a prime minister of a member state to account, so they can simply ignore whatever has been agreed. Take Greece, or Ireland for that matter. They will accept a financial life line, but won’t do much to put their financial house in order. Yes, they will pay lip service to Brussels’ demands and put “”austerity”” measures in place, but the moment they can fund the daily running of their state, they will most likely default, as this will be an easy way out of the mess. And that’ll be the end of the Euro as we know it.

“”Influential”” journalists get away with corrupt actions because they can threaten to destroy a politicians career with a few slanderous articles. The News of the World could bribe policemen for stories as politicians did not dare raise the issue for fear of losing their own cushy jobs through slanderous campaigns.

Powerful politicians get away with scandalous behaviour because they can pull strings in high office and can pay PR and legal people to get them of the hook. And then contemplate a return to politics. As if that’s normal.

Europeans have so far “”accepted”” this type of behaviour as they can not see a way to clean up this mess. Europe is not a real democracy, it is a bunch of states run by a clique of mandarins and politicians who account to no one. Can we vote out van Rompuy? Can a Spaniard stand for a seat in Denmark? Can we vote for a European President? Not really.

As people are not consulted and don’t have any influence, Europe/accountability is not something that really features high on people’s agenda. They have had to accept edicts from Planet Europe without being able to effectively raise their voices against them. No wonder people have turned away from project “”Europe””. All they see is corruption and a money wasting, self centered elite who don’t want to change their fat cat lifestyle.

Oh, did I mention van Rompuy’s “”Uterus””? He’s waste millions on a new, high profile office. As if an expensive office makes him a more efficient and effective leader….. I also know a European lawyer who has spent the whole of his professional life fine tuning one particular law, only to see it scrapped a short while after he retired. It must have cost the tax payer millions in wasted efforts, not to mention what it did to the poor man’s state of mind. And these are just two tiny examples of the wasteful attitude of Europe.

If politicians want Europe to become a better, more vibrant place, where people have a better life, can live in peace, set up businesses and earn a good living, they will have to turn Europe into something with which people can identify themselves. Why is the US so good at creating world beating companies? Americans believe they can create them without being hindered by an overabundance of health and safety laws, employment laws, taxes and all the other unnecessary red tape. Their financial, legal and taxation systems make it much easier and more interesting to work your socks off and their attitude therefore is much more ‘can do’ than their European counterparts. No wonder so many Europeans have moved to the US….

Simple, standardised rules, a robust legal system that reaches across borders, an accountable parliament and cross border parties are just a few of the things that could make Europe come to life again. Whether this would be called a federal state, a union or something else is totally irrelevant. (Not for hair splitting politicians though, who can spend years discussing one short sentence….)

The whole thing needs to be stripped back to the bare essentials and redesigned from the ground up. It’s probably wishful thinking, but if the theory Kondratieff developed under Stalin’s rule turns out to be right, we’re in for a few turbulent years and we might actually see some dramatic change. It would do Europe a lot of good if we were able to become more entrepreneurial, forward thinking and less risk averse.

The first signs are there: massive demonstrations in Greece, the UK, Italy and other countries. People are using the internet to force change quickly rather than through slow moving elections. Turmoil at the borders of the European ‘super state’ in Libya, Algeria, Egypt, etc. Centuries old newspapers going under as a result of a public outcry. Big companies going bust. Businesses moving online and creating cross border knowledge based companies and whole industries.

I suspect the expected chaos over the next few years will lead to more integration, eventually resulting in one European state, in whichever final form. And that is good news. It will become easier to get a job in other corners of Europe, without the hassle of residence permits, fragmented pensions, unmovable bank accounts, local mobile telephone accounts and all the other hassles that tie you down to one geographical location.

But it will be painful. We will have to let go of the notion that we are ‘French’ and therefore better than all the other Europeans. Or British, or German, or Spanish, or Latvian for that matter. We’re all in this together and it is totally irrelevant what our passport says, which concept was only invented by Napoleon. People moved around Europe unhindered by borders until Napoleon put a stop to it.

Let’s demand from our politicians that they come up with a bold blueprint for the future where transparency and accountability are the standards. The European democracy has an identity crisis right now and we have a unique opportunity to change Europe for the better. Let’s not squander it.

Rules for applying in Europe

How do you apply for a job in Europe?

When you want to find a job in Europe, you need to follow some standard rules of behaviour.

The main thing is that you need to convince a potential employer of your suitability for the job. This will entail your education, experience in previous jobs, your personality and whether you can be relied on.

You start by checking if the requirements described in the advert are covered by your experience. If not, don’t apply. Employers have to wade through piles of totally irrelevant applications in order to find the right candidate. If they are looking for an Microsoft .Net engineer, don’t apply if you’re a gardener. There is an obvious gap in your experience and you won’t be able to do the job.

Employers in Europe can only hire people who posses the correct paperwork. If they don’t, they will get fined heavily. So make sure you have your paper work in order. Check our other blog posts to see what is required.

Don’t pester employers. If you keep on ringing begging for a job, you make sure they will NOT hire you as they will be put off by your insistent calling. Do not expect employers to call you back just because you want to speak to them. They have no reason to speak to you when you call them out of the blue. If you were an employer, would you be tempted to call back someone who does not leave their name, contact details or email address? Or obviously won’t have the right experience?

Listen to this message: Desperate caller

This call is violating several European standards of behaviour. He does not leave his name. He does not mention which job he is applying for. He does not even mention his experience or if he is allowed to work in Europe and the fact that he rung several times on a Sunday indicates that he has no idea what is expected in Europe. The chances that he will be rung back and eventually might secure a job are zero.

Do your home work. Make sure you fit the requirements perfectly. Don’t give an employer a reason not to speak to you. It’s a simple sales process. You are the “”goods”” that are for sale. Make it attractive to the potential buyer (the employer).

You wouldn’t want to buy something that doesn’t fit your own needs or that annoys you, would you?

So, put yourself in the position of the employer and ask yourself: “”Why would I want to hire me?”” Scam / Spam Alert Updates

21 August 2012: Chinese scammer again.

A Chinese scammer/spammer is sending out loads of spam messages asking people to reply to Please note that has nothing to do with this. The clue is in the ‘in’ bit in the name:….. The domain was registered only a few days ago. Please do an IP trace on the email header to find out with which ISP you can lodge a complaint. Alternatively try to complain to the registrar of the domain name.

Registration Service Provided By:
Whois Server:
Domain name:
Registrant Contact:
James D. McDonald
James McDonald
727-257-8684 fax: 727-257-8114
2229 Badger Pond Lane
Clearwater FL 34620
Administrative Contact:
James McDonald
727-257-8684 fax: 727-257-8114
2229 Badger Pond Lane
Clearwater FL 34620
Technical Contact:
James McDonald
727-257-8684 fax: 727-257-8114
2229 Badger Pond Lane
Clearwater FL 34620
Billing Contact:
James McDonald
727-257-8684 fax: 727-257-8114
2229 Badger Pond Lane
Clearwater FL 34620
Created: 2012-08-19
Expires: 2013-08-19

02 August 2012: Phishing alert

Please be aware that this email below does NOT come from We generally do not send out email and we do NOT need to update our mail server. This is a phishing attempt where they try to get hold of your login details.

We are investigating this and will take legal action to stop this.

Do NOT click on the update link/button as this leads to a fake login page with the aim to obtain your login details. If you think your account details have been compromised use the reset password link on our site to create a new password.

The phishing message looks like this:


February 2012:

We’re getting reports again that people are being inundated with spam (Read our most recent post), allegedly coming from us.  However, the spammer uses ‘‘, ‘‘, ‘‘ or ‘‘ or other email addresses that are similar to our email addresses.

These spam messages have nothing to do with only sends out a confirmation message after someone has registered on the site and that’s all the email you would generally get from us.

However, there are apparently Chinese spammers who abuses our domain name and send out messages that claim to come from us by using one of our email addresses as the return address.

You can check who the real sender is by opening the extended header of the email message and then use that IP address to perform an IP address check. This will generally reveal the ISP the spammer uses. The ISP should address the problem caused by the spammer through banning him from sending email through the ISP. Please complain with the ISP as this is the only way to permanently remove this nuisance.

In order to stop these messages you could also:

1. Ask your email provider to implement SPF (Sender Policy Framework) in order to distinguish between fake and real email messages. Once this is in place a mail server can see if messages actually come from the sender or whether it is spam.
This will stop the flow of spam messages immediately. is SPF compliant.

2. Create a filter in your email program for the body text they used, but don’t use the “Send From” field as this generally is spoofed. Alternatively use free programs such as Mailwasher to filter spam.

3. If you use Thunderbird or Outlook, download the Thunderbird SPF extention or a filter such as SpamFighter to verify if the sender of the email are who they claim they are.

4. If you are using BT/Yahoo or Ymail do the following:

Send an an email to and copy the long (extended) header of your email into this message. This contains information as to where the email originated. You will probably get a nondescript, automated reply from BT stating that you should ban the domain. Don’t ban the domain as this means you will be banning another victim of this type of scam and you will still be blasted by spam.

(BT will only realise what they are advising when a address gets spoofed in a spam message and they tell you to ban Pretty stupid advice!)

What BT/Yahoo really should do is implement the Sender Policy Framework (SPF) properly, so the amount of spam reaching your inbox reduces dramatically. SPF checks if the email comes from the authenticated IP address linked to the domain. If not, the email is spam and should be binned automatically.

If BT fobs you off, send them another email demanding they implement SPF automatically rather than leaving it up to you to activate it.

BT/Yahoo SpamGuard (For what it’s worth)

Keep SpamGuard turned on. To check if it’s on:

  1. Click Options in the upper-right corner of your Mail page.
  2. Click Spam from the list on the left.
  3. In the “SpamGuard’ section, next to ‘Control SpamGuard,’ do you see a check in the box beside ‘Automatically send suspected spam to my Spam folder?’ If so, great! SpamGuard is ON. If not, turn it on by placing a check in that box.
  4. In the area above your spam options, click Save Changes.

Also in the ‘SpamGuard’ section, you can specify how often you’d like Yahoo to empty your Spam folder (They do it automatically once a month, but you have options to empty it faster), and you can indicate your preference for showing or blocking images. Image blocking is another effective way to fend off spam!

How can you report spam on Yahoo?

Easy! Don’t open a spam message. Just click inside the check-box next to it, then click Spam to let Yahoo know it’s something you’d rather not ever see again. Yahoo pays a lot of attention to spam you report to them. It gives them tools to disrupt the latest tricks and techniques that spammer individuals and spammer companies are using to try to evade the Yahoo filters.

Reports of spam originating from a Yahoo! Mail account (i.e., receive their special attention. Since spamming is expressly prohibited in Yahoo!’s Terms of Use, any account caught spamming will be canceled.

If you change your mind or think you made a mistake, just look for the next message from that sender in your Bulk folder and click Not Spam to reverse your vote.

Report spam on other sites:

You can report spammers on

Banker or Bonkers bonuses?

Here in the UK there is a big debate going about the size of bonuses. Is it ethical that employees receive bonuses worth millions of pounds? Are they really worth that sort of money?

The Labour (Socialist) party clearly thinks not, as they have forced the chairman of RBS bank (which was rescued and is majority owned by the UK state) to turn down his 7 figure bonus. The same has happened with the bonus for the chap who runs Network Rail, a semi public company that is responsible for the rail network in the UK.

Are politicians right to question the level of bonuses one can earn? Should companies offer such huge bonuses in a period where the majority of people fear for their jobs? Are the salary packages excessive? Are they ripping of shareholders?

When you look at the state of European economies and how the US economy is bouncing back from the brink of disaster you would really question the wisdom of interfering with salary packages. It would make people think twice where they want to work. The real difference with the US is that people there appreciate and value success. In Europe this seems to be the opposite these days. In Europe you have to conform to the (currently socialist) majority, whereas in the US individuality is much more appreciated, regardless of what your political convictions are.

It all ties in with why Europe doesn’t have a Facebook, Apple, Microsoft or Amazon. We have the creativity and the ideas. The web was developed in Europe, Skype was a European idea. Many technical inventions we now take for granted are European in origin, but only became big once they moved to the US. So, why can they only come to fruition there and not in Europe? It basically all comes down to the same issue.

The question is not whether these huge salary packages should be allowed or whether Europe lacks entrepreneurs. The question is: should Europe not be better off creating an environment where developments and entrepreneurs can flourish, which enables companies to pay these huge salary packages. A success oriented environment will create a situation where people become role models and others can strive to emulate someone’s success. That will get Europe out of the mess it is in. We need more focus on success, and less on regulation.

More government regulations, more red tape, more political waffle will not save the European economy. We need to get back down to hard work and earning the rewards that come with it. You can ask yourself the question why Germany, once again, has become so powerful in Europe. This has nothing to do with a desire for power, far from it, they’ve learned from their past. The Germans simply got down to work, saved their money and invested it in their companies. The world now wants to buy the quality products they have developed and fine tuned. That’s why the families who own those car, pharmaceutical and media companies are worth billions and can afford to pay their executives big, fat pay cheques.

Europe needs to talk (a lot) less and do (much) more. We need to stop politicians telling us that more rules will help us. It didn’t help the Russians under Stalin or the Chinese under Mao, so why would it help Europe now? Europe needs a proper democracy, not a ‘state’ run by unelected, unaccountable officials in Brussels who suck more and more money into the centre and then waste billions on vanity projects.

Reorganise Europe, empower people to work wherever they want, let them earn whatever they can and tax them fairly. That will see Europe back in good shape in no time.