Local view for "http://purl.org/linkedpolitics/eu/plenary/2009-03-23-Speech-1-165"
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"en.20090323.19.1-165"2
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"Mr President, Commissioner, subcontracting chains are commonplace in business. They help organise work efficiently and flexibly. They are essential for the internal market to function properly and constitute a necessary economic and logistical network.
For the sake of the viability of the markets and consumer protection, however, it is crucial to use legislation to establish the key responsibilities of contractors and subcontractors. In this report the Commission is urged to establish a clear-cut legal instrument introducing contractor’s liability at European level, while respecting the different legal systems in place in the Member States and the principles of subsidiarity and proportionality.
Eight Member States already have legislation along these lines in place, but we also need to be able to regulate relationships between subcontracting chains at Community level. Common European problems have to be solved with common rules. Otherwise, those countries that have not regulated this area of business can distort competition at the expense of the others.
This is therefore not just a matter of the protection of workers, but of safeguarding the competitiveness of companies that respect the rules. In a word, it is about prevention of the grey economy. As long as subcontracting chains are a surreptitious way to keep wages down and avoid paying tax and social contributions, the burden will fall on the taxpayer and competing companies, most of which are small- and medium-sized enterprises. The subcontractors too, which are frequently small firms, need clear rules when they are working for very big contractors.
We have already seen how country-specific systems also act as preventive forces. The threshold for neglecting employers’ obligations will be higher if people can expect to be punished for criminal activity.
It is in the interests of all Europeans to adhere to minimal conditions of employment and clear rules. Then the workforce can confidently move from one country to another, businesses can trust contracts, and consumers can be sure that the cost of a product or service is the right one and has been transparently determined. It is no coincidence that the report talks specifically about the social responsibility of undertakings."@en1
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