Quote of the Week: An invasion of armies can be resisted, but not an idea
whose time has come. - Victor Hugo
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ESBA WEEKLY of Friday 22 June 2001 - VOL 3 - N° 28
Headlines of WEEK 25:
- TAXATION: EP agrees with proposal on VAT invoicing rules
- TRANSPORT: EP wants self-employed drivers to be included
- HEALTH & SAFETY: EU agrees on minimum conditions for work at height
- GOTHENBURG SUMMIT: Relevant EU summit conclusions for ESBA
- EDUCATION: Report on education and training in the EES
- TRADE: ESBA issues position paper on trade facilitation
- AGRICULTURE: Council accepts Small Farmers Scheme
- UPCOMING EVENTS
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EU / TAXATION
Strasbourg 13/06/2001: EP agrees with proposal on VAT invoicing rules
The EP plenary adopted a report (under the consultation procedure)
approving generally the EC proposal to amend the Sixth VAT Directive with
a view to simplifying, modernising and harmonising the provisions
concerning the obligation to issue invoices (see ESBA Monthly - Vol 2 - N
9). In practice it would mean that a trader in Europe would have to comply
with only one set of rules for all invoices issued to customers in the EU.
The Council should still adopt the proposal during the Belgian Presidency
before it can enter into force in 2002. The EC has sought to balance the
need to simplify the obligations on traders with the administrations
legitimate needs in terms of tax control. For this reason the EP insisted
to include an amendment to ensure that SMEs will not face any extra
administrative burdens in order to comply with the directive.
The proposal aims to harmonise the rules determining which statements must
be included on invoices, and secondly, to establish a Community legal
framework for electronic invoicing and self-billing. The proposal should
lead to a substantial simplification of the obligations and therefore a
lightening of the administrative burden for traders operating across the
EU (currently there are 15 different set of rules, and in total 25
different requirements across the EU). In addition, it should facilitate
the development of electronic commerce and should reduce costs as the cost
of sending/handling an electronic invoice is far lower. However, the
proposal would require (one-time) changes in companies accounting and
invoicing systems and software.
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EU / TRANSPORT
Strasbourg 14/06/2001: EP wants self-employed drivers to be included
In its second reading under the codecision procedure, the EP plenary
adopted a report amending the Council's common position concerning the
working hours of road drivers. The EP presented a number of amendments
from its first reading which had not been taken up by the Council,
especially the reintroduction of self-employed drivers (automatic
inclusion after 3 years and not excluding them 5 years followed by an
assessment) and working hours (night work, weekly working hours and
definition of working hours). The EP and the Council are now expected to
open a conciliation procedure on the matter. This debate is likely to
become a complex trade-off between issues such as competition, road
safety, regulations on workers availability and other social regulations.
The EC initial proposal dates from November 1998 following failed
negotiations among the social partners in the transport sector, seeking
both to protect the health and safety of workers and to prevent
distortions in competition and improve road safety.
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EU / HEALTH & SAFETY
Strasbourg 14/06/2001: EU agrees on minimum conditions for work at height
The EU has agreed on the minimum safety and health requirements for the
use of work equipment by workers at work (mainly at height) following the
EP plenary adoption of a report (second reading under the codecision
procedure) approving the Council's common position without amendment.
The legislation aims to contribute to the prevention of accidents at work
involving falls from height, which currently account for some 10% of all
industrial accidents. The legislation will cover all sectors of activity,
all persons concerned (including self-employed), and includes a clear
obligation to select equipment which offers adequate protection against
the risks of falls from a height, and also where appropriate, for the
specific and appropriate training of workers. Ladders, scaffolding and
ropes are the equipment most commonly used to carry out temporary works at
a height, and the legislation sets out the way in which this equipment may
be used by workers under the safest conditions.
The legislation allows Member States a transitional period to take account
of practical problems of implementation which may be encountered by SMEs
in particular (in total 5 years).
The Council recently agreed also on other minimum health and safety
requirements regarding the protection of workers from risks arising from
noise.
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EU / GOTHENBURG SUMMIT
Gothenburg 16/06/2001: Relevant EU summit conclusions for ESBA
The main results relevant for ESBA of the European Council Meeting in
Gothenburg concern enlargement, sustainable development and trade:
- Enlargement: Confirmation of the progress made in the negotiations and
agreement on the framework for the successful completion of the
enlargement by the end of 2002 earliest for those countries that are
ready, provided that progress continues at current pace (entering the EU
by 2004).
The negotiations concerning the free movement of workers of the candidate
countries (see ESBA Weekly - Vol 3 - N 19) have started as well, following
the adoption of a common position by the EU Member States (a maximum ban
of 7 years on workers coming from CEECs, but Member States are free to
decide individually not to apply a transition period at all or opt for a
limited period of 2 or 5 years). Hungary recently already has concluded
this chapter.
- Sustainable Development: Agreement on a strategy for sustainable
development, thereby adding an environmental dimension to the Lisbon
process for employment, economic reform and social cohesion. Although the
EC preparatory document (see ESBA Weekly - Vol 3 - N 24) contained
concrete objectives, measures and targets, and although the Environment
Council went even further in its propositions for a 6th Environmental
Action Programme (see ESBA Weekly - Vol 3 - N 27), the summit conclusions
lack concrete targets and commitments. Operational measures, indicators,
goals and targets will have to be defined more clearly during the Belgium
Presidency.
- Trade: The EU affirmed their commitment to a new round of WTO
negotiations, and urged all WTO partner to work constructively and
flexibly to forge a consensus. Furthermore, the US was urged to join the
EU in promoting the launch of a new inclusive round of multilateral trade
negotiations as a sign of a strong EU/US partnership in the WTO for
maintaining an open, fair and strong system of multilateral trade rules.
Just before the Summit, the EU and the US together declared that they are
committed to launching an ambitious new round of multilateral trade
negotiations at the WTO Ministerial Meeting in Doha, seeking further
liberalisation of world trade and to clarify, strengthen and extend WTO
rules. They also stressed their support for technical assistance to build
capacity in developing countries, as to help implementing WTO agreements
and to integrate them fully into the trading system.
A few days after the summit the EU announced it had finalised bilateral
negotiations with China (following the US-China agreement earlier this
year), thereby probably clearing the way for China's accession to the WTO
later this year.
Conclusions: http://www.eu2001.se/static/eng/eusummit/conclusions.asp
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EU / EDUCATION
Brussels 18/06/2001: Report on education and training in the EES
Only since the Lisbon European Council, where the essential role of
education and training was underlined, education and training guidelines
are incorporated in the European Employment Strategy (EES). For the first
time now, the EC issued a document analysing the role of education and
training policies in the EES (the 2000 National Action Plans for
Employment overall and in each Member State). More info:
http://www.europa.eu.int/comm/education/employment/employ_vol1_en.pdf
http://www.europa.eu.int/comm/education/employment/employ_vol2_en.pdf
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EU / AGRICULTURE
Brussels 19/06/2001: Council accepts Small Farmers Scheme
The Agriculture Council agreed on a simplified aid scheme for small
farmers, receiving up to 1250 EUR per year in direct payments, over a
trial period from 2002-2005 (voluntary basis). The scheme aims to reduce
the administrative burden of small farmers, especially form-filling (ESBA
Weekly - Vol 3 - N 9). The EP (consultation procedure) last week requested
a ceiling of 1500 EUR (33% of the EU's farmers) whereas the EC proposed
initially 1000 EUR (23%) for the trial period due to fears of possible
fraud and abuse. The EC will assess the effects of the scheme during the
trial period and may make appropriate proposals. More info (copy/paste
full link):
http://europa.eu.int/rapid/start/cgi/guesten.ksh?p_action.gettxt=gt&doc=IP
/01/882|0|RAPID&lg=EN
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EU / TRADE
Brussels 19/06/2001: ESBA issues position paper on trade facilitation
The SME-Union of the European People's Party in the European Parliament
held an event, gathering over 100 participants, on the issue of WTO and
the SMEs. Mr. Defraigne, head of cabinet of Pascal Lamy, commissioner for
trade and EU chief negotiator, stressed the importance of the future
negotiations for SMEs. Other guest speakers included Nancy Adams, senior
trade representative of the US-mission to the EU, Hubert van Houtte,
ambassador and member of the Article 113 committee for Belgium, Christoph
Leitl, president of the Austrian chamber of commerce, and Konrad
Schwaiger, rapporteur of the EP on the WTO.
ESBA REGRETS THAT GUEST SPEAKERS WERE NOT ABLE TO CLEARLY INDICATE WHAT
THE FUTURE WTO NEGOTATIONS WOULD BRING FOR SMEs OR HOW THEY WOULD ADDRESS
THE SPECIFIC SMALL BUSINESS ISSUES IN TRADE. IN A FINAL STATEMENT, MR. F.
SOUDAIN, THE ESBA BRUSSELS REPRESENTATIVE, STRESSED ON THE IMPORTANCE OF
DEVELOPING AN AMBITIOUS AGENDA FOR TRADE FACILITATION MEASURES TO REDUCE
RED TAPE IN INTERNATIONAL TRADE. AN ESBA POSITION PAPER WAS CIRCULATED
DURING THIS EVENT.
Trade facilitation is also a key issue in transforming the "everything but
arms" initiative of the EU into a tangible progress for the
Least-Developed Countries (LDCs). Almost 100% of the enterprises in the
LDCs are SMEs who simply cannot cope with all the burdens and barriers to
international trade. Cutting the tariffs for LDCs is the first step, but
simplifying trade will also be necessary to help SMEs in LDCs to succeed
in trade", according Mr. Soudain.
For the past 2 years, the European Small Business Alliance has been active
in promoting the inclusion of small businesses in international trade
debates. ESBA participated in the Ministerial Conference in Seattle and
met with the Director General of WTO, Mike Moore, in late 2000 to discuss
the concerns of SMEs regarding the trade negotiations. ESBA also became
part of most of the consultation processes organised by DG TRADE in
Brussels, notably on trade facilitation measures.
A press release and the position paper on trade facilitation can be found
on the ESBA website: http://www.esba-europe.org
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UPCOMING EVENTS
Brussels (B) 26/06/2001: Public Hearing on the future Chemicals Policy of
the EU in the European Parliament. Theme: Chemicals, Environment, SMEs.
Brussels (B) 27/06/2001: Public Hearing on the Tobin Tax in the European
Parliament. Theme: Taxation, Globalisation
Brussels (B) 27/06/2001: EUMC Award 2001. Theme: SMEs
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The ESBA Weekly is now sent to an increasing amount of persons with a
direct interest in SMEs.
This bulletin is made in cooperation with LOGOS (http://www.logos-eu.com).
