Volume XVI, 2-2017
Download original PDF version

Posting of Workers Divides Europe

Posting of Workers Divides Europe

Illegal practices in transport sector were mentioned by some Member States as the main argument to apply minimum wage on international transport operations and burdensome administrative requirements on transport operators.

Road transport workers are highly mobile; therefore the directive on Posting of workers does not fit this sector. The European Commission plead that the international transport operations fall under the scope of the directive therefore they cannot be exempted from its rules. However, it recognizes the need for specific rules for transport sector. Social aspects of the road transport including posting will be part of the Commission’s road package foreseen by the end of May. It will focus, among other things, on better enforcement of rules and closer cooperation among Member States’ authorities in order to eliminate illegal practices and frauds such as letterbox companies or continuous cabotage.

The Commission is also considering setting a reasonable period of time during which the directive on posting would not apply on international transport operations and is exploring technical aspects on how to enforce it. Use of digital tachographs and eCMR system could be a solution. According to Jan Němec from IRU, reasonable period of time could be 4 or 6 weeks. After this period the drivers would be obliged to return to their country. “National measures taken by Germany, France, Netherlands, Austria and Italy threaten transport operators who do the normal » read more «

EU Focuses on Industry

At the end of February, the European Commission hosted the first European Industry Day. The event brought together high-level policymakers, the most important industrial players and other key stakeholders to discuss the future of industry in the EU.

President of the European Commission Jean-Claude Juncker warned against the growing protectionist and anti-global sentiments in the world. While the EU must protect its industry and businesses with modern trade defence instruments, it can’t and won’t take the path of protectionism. While the Investment Plan for Europe has managed to attract new investment opportunities, the Commission will continue to further stimulate investments by creating new incentives. The Investment Plan for Europe has been a big success so far, but according to the Chair of the European Parliament Committee on Industry, Research and Energy Jerzy Buzek, EFSI 2.0 must focus more on industrial policy projects. Apart from that, the EU must, according to Buzek, set » read more «

Reverse Charge or „One Stop Shop“? The Commission Has a Clear Idea

State resources in the EU lose about 170 billion euros every year due to tax evasion. The expectations of academics, the inventors of VAT, that all the taxpayers are gentlemen, proved to be false. The EU is now at a crossroad with a question on how to modernise the VAT system and avoid tax evasion, provided that the setting of the level of rates remains within competences of Member States.

The Commission had two options to choose from. The first one is a generalised reverse charge mechanism. » read more «

EESC CORNER: Double Taxation Dispute Resolution Mechanism in the EU

One of the main problems that cross-border operating businesses currently face is double taxation. There are already mechanisms in place that deal with the resolution of double taxation disputes. Although these work well in many cases, there is a need to make them work better regarding access for taxpayers to those mechanisms, coverage, timeliness and conclusiveness.

The proposed directive builds on the existing Union Arbitration Convention, which already provides for a mandatory binding arbitration mechanism, but broadens its scope to areas which are not currently covered and adds targeted » read more «