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In an hour long interview at the Moncloa palace in Madrid, Zapatero, Spain's prime minister, talks to NYT reporters Rachel Donadio and Victoria Burnett. He is standing firm when it comes to protecting labor rights and upholding th social welfare state. Zapatero says "my goal is to make this an innovative, creative, entrepreneurial country while upholding the social welfare state." He sees the need for government to invest in the economic crisis facing Europe and America. And he sees opportunities for Spain to create jobs and growth in sectors like renewable energy, biotechnology, civil engineering and high-speed railroads. About 4 million immigrants entered the country during the years of 3.8% growth from 1997 to 2007. Four million people are now unemployed, and the burden of unemployment has fallen hardest in construction and on immigrants and younger workers. The government has expanded unemployment benefits coverage and about half of the unemployed 4 million receive benefits. Zapatero's government turned down an effort by business leaders to roll back the payment to laid off workers from 30-45 days for each year worked to 20 days....

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This report in The Guardian looks at key allies of Andy Burnham as he prepares to run in the Makerfield by-election, and prepares to contest the leadership of the Labour Party in Britain. Key allies include deputy leader of the Labour party Lucy Powell. It includes Mathew Lawrence, Director of  the Common Wealth Project who has set out the philosophy of Manchesterism for a robust effort to make the utilities water, energy and transport serve the public interest, something that never happened under the Tories. Lawrence says it is not about fairness alone "it is good macreconomic policy." Neal Lawson of the Compass thinktank. Lawson says this is about "real change not the cosmetic appeal."Of MP's Anneliese Midgley political director of Unite, Louise Haigh, the former Transport Secretary, of the Tribune group, Lucy Powell a fellow Manchester MP and an ally of the Mayor. Haigh is taking on a role in the Makerfield campaign. Ed Miliband, the Energy Secretary, is also a friend of Burnham. The Mayor's assistants in Manchester are Kevin Lee, with Burnham for 15 years, and Josh Simmons, policy aide. A lot depends on these colleagues and assistants of Mayor Burnham in the days and years ahead, and the future of Britain may rest on their shoulders, on what they do in the days ahead to give the Mayor the support he needs to run the government of Britain in a new direction, and with the resolve and action plan to make for a "Vibrant Britain." ...

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Ed Miliband's victory over his brother David for the Labor party leadership. The unions support Ed Miliband. He tries to move labor to the centre by saying he supports cuts and Labor woulld have made cuts also, only differing on the manner and the size of the cuts.

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A debate in the UK Greens Party that a vote in Makerfield parliamentary by-election for Greens was a vote for Reform UK's Farage. The Greens party candidate in Makerfield is withdrawn. As Labour's Burnham is standing for election to UK parliament from Makerfield, and hopes to lead UK as the new PM once he has won a seat in parliament, this is shaping up to be a pivotal election in 2026 to decide who will lead the country in the years ahead. Greens fear they will be labeled as promoting UK Reform party for years if they don't get this right.

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Independent contractors rule reinstated by DJT administration following employee status push by Biden and unions. This affects 11.9 million workers in the US. Independent contractors cannot unionize and lack some of the protections of labor law. The independent contractors get to choose where they work for remote work days and get to choose the projects they want to take up, set their own hours which can help for childcare or care for parents. It includes workers in real estate, construction, arts, design, and personal care, where most of these independent contractors work. Only a small part is in Uber drivers or DoorDash delivery gig workers. This Editorial Board opinion in Wash. post cites Bureau of Labor Statistics that says from a 2023 survey that 80% of this worker group prefers independent contractor work to full time traditional employment which has less flexibility.

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The goal for Starmer and the EU is to let youth 18-30 years travel freely in Europe and the UK.

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Labour leader Keir Starmer tells the 1923 Labor Conference in Liverpool imagine what we could build  "if working people feel they belong and can contribute to Britain, if a whole country says we back your potential." He said of the Tories damage during 13 years of government, "their project will crash against the spirit of working people in this country." And he called the Labour party the builders, the healers- "But know this-what is broken can be repaired. What is ruined can be rebuilt. Woulds do heal." And he said "people are looking to us because they want our wounds to heal and we are the healers, people are looking to us because these challenges require a modern state and we are the modernizers, people are looking to us because they want to build a new Britain, and we are the builders."

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India received $135 billion in remittances in 2024-25 from the 18.5 million Indian diaspora, of which 10 million live in the Middle East region sending $51 billion a year. This finances the merchandise trade deficit.  In UAE alone there are 247,000 Indian students and immigrant labor is the main labor supply in the Gulf kingdoms.  Crude oil of 25-30 million barrels is on the seas as inventory to which India has access making crude oil supplies not an issue for the short term. Indian refinery production for export can also be adjusted if needed. India has received a 100 day exemption to import Russian oil from the US since the Gulf war began easing concerns for crude oil supplies. Situation for LPG is more complicated. India has used the Chabahar port to ship supplies of aid to Afghanistan on an overland route which will not operate till the tensions ease. 

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Labour party leader Corbyn reflects on his years as leader, the 2019 election, his effort to get Britain to spend more money to fix social wrongs made worse through austerity programs of the last decade. He tells BBC's Laura Kuenssberg, that he was denounced in the election for advocating spending more money  than Britain could afford. He sees himself and Labor vindicated in its proposals for spending vast sums, to invest in the state, as this is what the Tories are now doing under Johnson. He sees Britain as ill-prepared for the coronavirus pandemic after ten years of austerity. The result of the Labour party election will be announced on April 4, a contest between Sir Keir Starmer, Rebecca Long Bailey, and Lisa Nandy. Mr. Corbyn is resigning after Labour's defeat in the 2019 election. He says the divisions over Brexit which led to a vote at Labour's conference to negotiate a new deal with EU and put it to another referendum, clearly did not win the election. Reflecting he says he did his best with an expanded level of membership for Labour party, and shifting the party to an interventionist economic policy that was anti-austerity investment led economy. He made his share of mistakes says Corbyn, as he was just human. And urged new Labour party leaders to spend time listening to people in all parts of the country, and recognize the strengths and good in the people.  ...

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Germany is adjusting its requirements for residency permits and work permits for refugees. It will let asylum applicants take temporary jobs by 3 months after applying for asylum. Current law bans migrants from working through temp agencies for the first 4 years in Germany. The government will lower hurdles for job applicants who are refugees. Government policy of Angela Merkel's coaltion is- "people who have the right to protection and stay in Germany permanently should find employment rapidly and earn their living themselves." This is critical to the large effort to absorb about 1 million refugees in 2015, as it will meet the needs of companies and not cost the government additional outlays for social payments to refugees. The initial response from companies such as SAP, Thyssen Krupp, and smaller companies has been very positive, and shows why Germany is uniquely positioned of all EU countries to be able to take on this challenge on both humanitarian and mutually beneficial basis.

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By winning the Glenrothes byelection by a large margin, Labor's candidate, a headmaster in the school Gordon Brown attended, and where Gordon Brown and his wife Sarah campaigned personally, showed that Gordon Brown is winning support from the UK public through his handling of the economic crisis in the UK. And also for his leadership to American and European governments that were faltering in the early period of the crisis in October 2008, till Brown took decisive action to recapitalize Scottish and other English banks, something the Americans and Europeans later followed. The Scottish candidate was in favor of independence for Scotland, and whether Scotland benefits by independence from England was put in doubt after two of Scotland's leading banks including the Royal Bank of Scotland were rescued by Gordon Brown's government.

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Britain heads into a general election July 4 with a deeply dissatisfied electorate. Labour is expected to get a majority after 15 years of failed rule by the conservative party with austerity policies, failure to invest in Britain and failure to improve the lives of working people. Astonishing as it may sound 58% of the British public now want to see Britain rejoin the European Union. Much of the support in blue collar working class communities in England for the Conservatives has faded and these voters have returned to support Labor. There is also a change in the mood in Scotland favoring Labor over Scottish Nationalist party. Unlike the US Britain under Tories has failed to invest in Britain's future in renewable energy, in climate change action and in infrastructure. Standard of living and support for the health system is declining.

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Andy Burnham, Labour's Mayor of Greater Manchester region, launches his bid for Makerfield seat in British parliament with a natural style following daily runs and running Manchester. He says-

“I’m prepared to take that fight as high as I can go. I want to play whatever part I can in changing this party back to the party here people used to know, and the party that is solidly on the side of working-class community.”

He added: “I‘ve not done the usual thing of talking in code. I’ve said it plainly what I’m trying to do.”

 

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The Guardian looks at high street, the small downtowns in urban areas across the north of England and the Midlands, coastal towns in decline, where Reform UK is offering an alternative to the decline.  Are Britain's best days in the past, and after the failure of Austerity, Brexit and the disappointment with Starmer, what lies ahead. If Farage wins and falters will this put Britain in a spiral of permanent decline? Boarded up shops, closed department stores and banks, with the rise of online shopping and online services, is creating a new situation on streets in mid and small towns in England. People see the decline all around them and this is creating anew mood in favor of trying something else after Labour and Tories have promised and things are taking a turn for the worse in the physical appearance of neighborhoods. Across the UK 34,000 shops closed in 2024, that is 37 a day, and this is true more for the north of England, the Midlands and deprived coastal towns, where Reform has come close to Labour in the last election. In one focus group in You.gov and other research a participant used strong words- that it was "soul destroying" to see the extent of the decline. Across Europe, in Germany as in UK, in France, the same sense of high street decline is evident. Underinvestment in transport, policing, healthcare, and social services. University of Warwick professor Fetzer  has studied this and the effects of austerity first under Cameron and Brexit under Johnson, the covid period, return of Labour but no lifting up program of large investments that would create a feeling of change, to replace the sense that somehow Britain was "going to the dogs," with half a million shoplifting offences in 2025, up 13% in 2025 over 2024, and the homelessness. ...

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The Labour Party manifesto written at the Labour Conference will include integrating all private schools into the state sector "to end hierarchy, elitism and selection in education." Labour's Annual Conference is endorsing this idea. In its first budget Labour would withdraw charitable status, as well as subsidies and tax privileges from private schools, forcing "the endowments, investments and properties held by private schools" to be "distributed democratically and fairly across the country's educational institutions." University quotas for private school students would be capped at 7%. Currently at elite institutions this is between 30 to 40%. Laura Parker, Momentum's National Coordinator says- "This is a huge step forward in dismantling the privilege of atiny Eton educated elite that is running the country into the ground." There is a mood in Britain that the boys club of Cameron, Gove, Johnson and others in a small group of people around Cameron has led to the situation in Britain today. Cameron is considered today as one of the most unpopular prime ministers in British history. Calling the referendum for Brexit by Cameron is seen as an action pursued for narrow political self interest.The very narrow education and outlook, and limited abilities of this group are seen as a contrast to the people who governed Britain in earlier decades. ...

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Jay Powell signals that protecting working families from inflation even as he attacks inflation and strong labor market to moderate wage increases that could hurt jobs is a difficult balancing act that he wants to get right. Here are his own words at the Brookings Institution- "My colleagues and I do not want to overtighten because... cutting rates is not what we want to do too soon. That's why we're slowing down and going to try to find out way to what that right level is." He said he did not rely on forecasting that could be inaccurate and is feeling his way through this. It showed - the remarkable humility of this central bank governor unlike any of the last five decades, and he was warmly received by Brookings. He is keenly aware that the pandemic has hurt labour market participation as many have retired and some are still struggling to join the labor market, and there are other working families in the labor market who are being hurt by inflation.    ...

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As the Conservative Party chooses its new leader the hard reality that the country does not support a no-deal Brexit favored by frontrunner Boris Johnson intrudes into the race. The Labour Party plans to build cross party support to block any no-deal Brexit in parliament.

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Porter cites a report by Kai Daniel Schmid and Ulrike Stein of the Macroeconomic Policy Institute in Dusseldorf. The report shows the top 10% of Germans having 26% of the country's income before taxes and transfers in 1991. This increased to 31% by 2010. For the same period of about 20 years the bottom half of the population took in 17% in 2010 dropping by 5% from 22%. The growing income inequality in Germany is comparable to what has happened in the U.S. over this period.