Differences between wages in European countries, linked to differences in productivity, will persist after the launch of the euro, European monetary affairs commissioner Mr Yves Thibault de Silguy said yesterday.

Speaking at a Paris conference, Mr de Silguy said there were considerable cultural and linguistic differences within Europe. He said the separate welfare systems for the unemployed would make it hard for an unemployed person in the south of France to find work in Germany. "As a result, this means we can clearly say that we will have in Europe for a certain number of years wage differences which correspond to differences in productivity," Mr de Silguy said.