Position Paper - Eurociett

Position Paper
Eurociett Position on European Parliament’s Report on the
Implementation of the Services Directive
Temporary work agencies should enjoy the freedom of establishment and
the freedom to provide services
20 September 2010
Eurociett Assessment and Main Recommendations
As the European Confederation of Private Employment Agencies, Eurociett recalls that
temporary work agencies are important service providers in the European single market,
which provide more work opportunities for more people and serve both companies and
workers.
Temporary work agencies are employing on average 3 million workers (FTE) and 10 million
on a yearly basis, accounting for 1.7% of the workforce. Temporary agency work
contributes to a better match of labour demand and supply and promotes more inclusive
labour markets. As a service provider, temporary agency work is a key driver of job
creation in Europe.
Against this background of the European Parliament’s debate 2 on the implementation of
the Services Directive, Eurociett advocates that more action is needed to strengthen the
single market for temporary agency work services:
1. For temporary agency work, a sector currently excluded from the scope of the
Services Directive, more action is needed to grant temporary work agencies the
freedom of establishment and the freedom to provide services as provided by the
EU Treaty, which will boost job creation and enhance labour market participation.
2. The full implementation of the EU Directive on Temporary Agency Work,
particularly its Article 4 on the review of restrictions, is an important step in this
context. Member States should take their responsibility seriously and lift existing,
unjustified restrictions (Article 4 of the Directive).
3. In a medium-term perspective, temporary agency work needs to be included
within the scope of the Services Directive to grant the sector the full freedom of
establishment and the freedom to provide services. Article 5 of the Directive on
temporary agency work will in this context ensure an appropriate protection of
temporary agency workers based on the principle of equal treatment.
2
Draft report prepared by Evelyne Gebardt on the implementation of the Services Directive and
the Draft Opinion of the European Parliament’s Employment Committee prepared by Jean-Luc
Bennahmias.

1. More action is needed to grant temporary work agencies the freedom of
establishment and the freedom to provide services
1.1. Surveys on the motives for using temporary agency work illustrate that temporary
work agencies serve both companies and workers. Companies refer to temporary
agency work to absorb demand peaks, cover short-term staff leave and facilitate
recruitment. 3 Workers refer to temporary agency work to find permanent
employment, enhance their skills and to gain work experience. 4
1.2. Temporary work agencies are currently still discriminated against, as their activities
are limited by a large number of unjustified and outdated restrictions. Such
restrictions include for example the compulsory exclusivity of temporary agency
work activities, sectoral bans, too narrow reasons for use or too short maximum
length of assignments. These restrictions hinder temporary work agencies in fully
enjoying the freedom of establishment and the freedom to provide services as
granted by the EU Treaties.
1.3. Eurociett research (2007) 5 illustrated the job creation potential associated with the
removal of some of the unjustified restrictions. 570.000 additional jobs could be
created in just four European countries (Belgium, France, Germany and Spain), if
two unjustified restrictions (sectoral bans and limited reasons for use) were
removed.
1.4. The freedom to provide temporary agency work services should furthermore be
strengthened by addressing administrative problems linked to the posting of
workers, particularly in the area of the access to information and administrative
cooperation between EU Member States.
In this context, Eurociett would like to underline that the Directive 2008/104/EC on
temporary agency work will reinforce the protection of posted temporary agency
workers, as these will benefit from the principle of equal treatment (while allowing
for a limited number of derogations) when being posted to other EU Member
States.
1.5. The need for strengthening the European single market for temporary agency
work services is in the interest of companies and workers and should therefore be
recognised in the Report of the European Parliament.
2. A full implementation of EU Directive on temporary agency work will help
to remove several unjustified restrictions
2.1. The EU Directive on temporary agency work, adopted in 2008, is an important, first
step to unlock the potential of temporary work agencies, as it recognises the
3 Ciett (2010): The agency work industry around the world. Economic Report 2010, p. 63-64
4 Ciett (2010): The agency work industry around the world. Economic Report 2010, p. 37
5 Eurociett (2007): More work opportunities for more people. Unlocking the contribution of private
employment agencies to better functioning labour markets.
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contribution of temporary agency work to better functioning labour markets, job
creation and the development of flexible forms of working.
2.2. Article 4 of the Directive on temporary agency work requires Member States to
review existing restrictions imposed on temporary agency work and to verify,
whether these are justified to protect temporary agency workers or to ensure that
the labour market functions properly. Unjustified restrictions must be lifted.
2.3. In addition to the review of restrictions, the EU Directive on temporary agency
work provides a common, European framework for the protection of rights and
working conditions of temporary agency workers based on the principle of equal
treatment (Article 5), while allowing for flexibility in the way it is implemented at
national level.
2.4. The sectoral social partners for the temporary agency work sector, Eurociett and
Uni-Europa have explicitly supported the need to remove unjustified restrictions in
a joint declaration on the Directive on temporary agency work in 2008.
2.5. In the context of recommendations for sectors excluded from the Services
Directive, the EP Report should therefore call for a full implementation of the EU
Directive on temporary agency work, particularly its Article 4 on the review of
restrictions faced by temporary work agencies.
3. In a medium term perspective, temporary agency work should be included
within the scope of the Services Directive
3.1. At this stage, EU Member States should be encouraged to complete the
implementation of the Services Directive.
3.2. At the same time, considerations should be started for improving the effectiveness
of the Services Directive with a view to proposing amendments in 2011 as
foreseen by Article 41. In this context, Eurociett calls for including temporary
agency work within the scope of the Services Directive.
About Eurociett
The European Confederation of Private Employment Agencies is the authoritative voice
representing the common interests of the agency work industry in Europe. Eurociett members
are active in the fields of temporary agency work, outplacement, recruitment and training.
Eurociett gathers 27 national federations from EU and EFTA countries, and 6 of the largest
international staffing companies. More information about Eurociett is available online:
www.eurociett.eu
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