Cooperation between SMEs and trade unions in Europe on ... - ETUC

ETUC – UE APME: <strong>Cooperation</strong> betw een <strong>SMEs</strong> <strong>and</strong> Trade Unio ns <strong>in</strong> <strong>Europe</strong> 41
One concrete measure <strong>in</strong> the context of counteract<strong>in</strong>g to undeclared work recently has
been re-<strong>in</strong>troduced <strong>in</strong> the <strong>Europe</strong>an discussion on measures <strong>in</strong> the context of the
economic recovery plan: the recommendation of the <strong>Europe</strong>an Commission to the
Council to adopt the proposed directive on a permanent reduction of VAT rates for
labour-<strong>in</strong>tensive services. 47
Role of social partners <strong>and</strong> practical experiences
Social partners are play<strong>in</strong>g an important role <strong>in</strong> combat<strong>in</strong>g undeclared work <strong>and</strong>
transform<strong>in</strong>g undeclared work <strong>in</strong>to regular work relationships. Therefore, the EU level
social partners have envisaged a jo<strong>in</strong>t analysis of undeclared work <strong>in</strong> the framework of
their 2006–2008 work programme. 48
Depend<strong>in</strong>g on the specific national legal <strong>and</strong> economic as well as sectoral framework
conditions social partners have developed <strong>in</strong>itiatives <strong>in</strong> all areas listed above <strong>in</strong> order to
combat undeclared work <strong>and</strong> its negative effects on work<strong>in</strong>g conditions <strong>and</strong>
competition. Some examples:
Together with labour taxation, the adm<strong>in</strong>istrative burden, notably for atypical <strong>and</strong>
seasonal work, appears to be the strongest driver of undeclared work. Therefore, for
example <strong>in</strong> Spa<strong>in</strong>, where regional comparisons reveal a correlation <strong>between</strong> the
<strong>in</strong>cidence of temporary contracts <strong>and</strong> undeclared work, the Social Partner agreement
concluded <strong>in</strong> 2005, aim<strong>in</strong>g at reduc<strong>in</strong>g temporary employment, may be regarded as a
promis<strong>in</strong>g step towards the regularisation of undeclared work as well.
There is considerable scope for sector-specific solutions to control <strong>and</strong> regularise
undeclared work with the <strong>in</strong>volvement of the social partners. Sector specific agreements
of social Partners have been concluded <strong>in</strong> many countries, notably <strong>in</strong> the construction
sector, e.g. <strong>in</strong> Germany, F<strong>in</strong>l<strong>and</strong>, Italy, Belgium. As <strong>in</strong> the case of Sweden (see textbox
below) an approach to improve the detection of undeclared work is the <strong>in</strong>troduction of
identity cards which have also been <strong>in</strong>troduced <strong>in</strong> Italy, Norway or the Czech Republic
for <strong>in</strong>stance.
There are many other <strong>in</strong>itiatives tackl<strong>in</strong>g undeclared work or the problems it causes
both form national economies as well as employees, were social partner are play<strong>in</strong>g a
crucial role:
In Italy, <strong>in</strong> 2007 the M<strong>in</strong>istry of Labour, <strong>in</strong> cooperation with the social partners, have
<strong>in</strong>troduced a normative system to estimate actual numbers of hours worked ("<strong>in</strong>dici
di congruità").
In Portugal, the social partners organisations <strong>in</strong> 2008 came together to discuss <strong>and</strong>
launch jo<strong>in</strong>t <strong>in</strong>itiatives <strong>in</strong> the context of tackl<strong>in</strong>g undeclared work.
F<strong>in</strong>ally, social partners also play a key role with regard to <strong>in</strong>creas<strong>in</strong>g awareness
among the public on the risks l<strong>in</strong>ked to undeclared work. Several successful
awareness campaigns have been conducted with active <strong>in</strong>volvement of social
partners, such as the "fair play" campaign <strong>in</strong> Denmark or similar campaigns of social
partners <strong>in</strong> Austria or Germany.
47 See: EC Recovery Plan – COM (2008) 800 p.10
48 Work Programme of the <strong>Europe</strong>an Social Partners 2006 – 2008.