Christine Lagarde thought she could challenge the role of the ECB’s staff representatives without causing such a stir? In Frankfurt, the social climate is deteriorating. For the first time, members of the institution are publicly denouncing internal authoritarian practices in a bank that is supposed to embody transparency and the rule of law.
An Internal Conflict Turned Political
We regret to note that these principles expressed outside the institution seem to have little value within it due to its hierarchical structure.
A explosive letter addressed to Christine Lagarde by Carlos Bowles, president of the staff committee, has just been made public. It contains grave accusations: favoritism, alarming burnout rates, widespread precariousness for contractors… And above all, a frontal criticism: the ECB has become an “uncontrollable legal fortress”.
The issue? The management’s desire to require elected staff representatives to dedicate part of their time to their original positions, instead of serving their union mandate full-time as normally allowed under German law.
However, the ECB, an extraterritorial institution, is not subject to this law. A legal loophole that deeply annoys union representatives and leads them to speak of an “employer-legislator”, both judge and party, capable of crushing any opposition.
A Locked… and Internally Contested System
The staff committee is not alone in sounding the alarm. An internal survey conducted by the Ipso union reveals widespread distrust: 77% of employees believe that the “network” trumps competence to progress within the ECB. Only 19% think that the best elements are actually promoted.
This perception of a locked, opaque system dominated by political rather than meritocratic logics fuels anger. And in passing, undermines Lagarde’s credibility on the European stage, she who recently made the rule of law “a major comparative advantage of Europe”.
The ECB Defends Itself… but Does Not Convince
In a statement, the central bank tries to play it down: it asserts that its internal rules are in line with European law and under the jurisdiction of the EU Court of Justice. It points out that it has won the majority of disputes brought before this jurisdiction. But this is no longer enough to appease the critics.
The reform wanted by the ECB, to be implemented by mid-2026, would aim, according to it, to “bring staff representatives closer to the realities of their position and the public mission of the institution“. A justification that many find cynical.
The ECB, guardian of the euro, finds itself faced with a crisis that is far more political than it appears. The discreet support of major European unions like Verdi and EPSU for the dissenting representatives shows that the matter goes beyond the walls of Frankfurt.
At a time when inflation is slowing down and the decisions of the ECB are closely scrutinized by the markets, this internal discomfort becomes a governance issue. And raises a thorny question: can we still trust an institution that asks Europe for reforms… while silencing its own dissenting voices?
