Proposition 53K3479

Logo (Chamber of representatives)

Projet de loi portant exécution du pacte de compétitivité, d'emploi et de relance.

General information

Submitted by
PS | SP the Di Rupo government
Submission date
March 21, 2014
Official page
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Status
Adopted
Requirement
Simple
Subjects
VAT work vocational training domestic consumption collective dismissal competitiveness electrical energy reflation industrial restructuring diffusion of innovations small and medium-sized enterprises purchasing power low pay wage cost night work business policy education shift work regional aid social-security contribution social-security benefit social security aid to undertakings aid for restructuring tax-free allowance employment policy

Voting

Voted to adopt
CD&V Vooruit LE PS | SP Open Vld MR VB
Abstained from voting
Groen Ecolo N-VA LDD

Party dissidents

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Discussion

April 22, 2014 | Plenary session (Chamber of representatives)

Full source


President André Flahaut

by MM. Vincent Sampaoli, Karel Uyttersprot and Luk Van Biesen, rapporteurs, refer to the written reports.


Jean-Marc Delizée PS | SP

Mr. Speaker, ladies ministers, dear colleagues, the Socialist group fully supports this bill, which addresses the competitiveness of our companies from the perspective of its multiple factors and not from the perspective of one of its components, that of wages that some are trying to erect as responsible for a structural disability of our economy. During this discussion, I would like to make a few comments on the subject.

In a problem as complex as competitiveness, the question of wages takes on a particular dimension especially when it comes to exporting companies that are subject to international competition. It is obviously not about neglecting the wage cost of other sectors of the economy – and the proposed text does not neglect it in any way – but rather about repositioning it in relation to the other vector of growth, which is that of purchasing power and support for purchasing power which is essential in an economy where half of the activities is linked to domestic consumption.

The Socialist Group welcomes this first balance that closely combines differentiated reductions of charges, the increase of alternative financing and the strengthening of purchasing power for low wages and social benefits.

Even if we fully share the allocation of part of future tax cuts to exporting companies, whose growth potential is threatened – it has been demonstrated – it is illusory to think that this competitiveness will be gained by putting everything on wage costs. On the contrary, all analyses tend to demonstrate that other elements play an equally fundamental role in the growth of our economy. Competitiveness is measured by dynamism in markets, investments in sustainable and high value-added products, innovation spirit, research and development, etc.

For the first time, we want to emphasize and remind, a text of law explicitly states that innovation efforts are an integral part of competitiveness and that social partners are required to pay special attention to them in interprofessional negotiations. This is the second point of balance of your bill.

Therefore, our Group fully supports the obligation to conclude sector-specific collective agreements that address innovation. It is not an obstacle to the freedom to negotiate or not, but it is the most appropriate instrument to ⁇ the objectives our country has committed to within the framework of the Europe 2020 strategy, but also to develop employment and maintain the place of our economy at the level of the European economy.

Your bill contains a "training" section, i.e. a right to a minimum of one day of vocational training per worker and per year.

This advantage is likely to support the famous goal of 1.9% of the wage mass, agreed by the social partners but never reached, of course. In our view, this right is far too small to fill the remaining inequality between workers in relation to access to what our group considers to be a full-fledged social right: continuous and quality training for every worker. One step is better than no step. That is why we are in favor of this measure, even though we consider it insufficient.

This bill also contains an important part relating to support for investment in difficult areas. In fact, the economic crisis has generated in recent years restructuring, closures of enterprises with considerable economic impact in the regions where they are located, including a sharp increase in unemployment. More generally, the phenomenon contributes to a negative spiral on the entire economic activity.

The Region which will be affected by such closures will have the possibility to propose the creation of one or more aid zones or free zones. Employers who make certain investments will thus benefit from a temporary, but substantial, reduction in the wage costs of recruited workers. The choice of taxation is not a coincidence. Tax measures are transparent and accessible to all. Therefore, they have an immediate impact on the cost of labor.

To conclude this intervention, I will mention the automation of the well-being linking of social benefits in the absence of an opinion of the social partners before the 15th of December of the respective biennale. This is a need demanded by our group for a long time.

As far as I know, this deadline of 15 September has never been respected, the employer systematically using this financial manna as a currency of exchange in inter-professional agreements whose timetable coincides with that of the welfare mechanism, established by the Generation Pact. In reality, there is no legal link between the discussions of the interprofessional agreement and the application of the welfare adjustment of income replacement allowances. You create this automation and this point seems to me very positive.

In conclusion, on behalf of my group, I will reiterate that we will adopt a good bill. We have always been convinced that fiscal rigour could not be sustained without an economic boost, which brings back oxygen to workers, households and ⁇ . At a time when we see positive growth, ⁇ still moderate today but yet real, it was ⁇ important to create additional resources to strengthen and complement what had already been undertaken throughout this legislature.

You will understand, the Socialist group will support this bill.


Karin Temmerman Vooruit

Is it necessary to say that the government has driven Belgium through the crisis in a healthy way? It is one of the few countries that has seen its GDP grow since 2007. We have saved, but we have also continued to invest in purchasing power, job creation and social prosperity. Last year, a total of 818 million euros of burden reductions were introduced. Reduction of burden creates jobs. They increase the net wage of employees through an extension of the work bonus.

On top of that, the government’s energy and price policy was good for the citizens’ wallets. A new CREG report shows that gas and electricity prices have dropped to the level of our neighbors. The price of electricity decreased by 24%, the price of gas by 15%.

The competitiveness pact continues in the same direction. The pact includes additional 1.35 billion euros in burden reductions, divided over three times 450 million euros in 2015, 2017 and 2019. A third goes to strengthen the structural reduction, a third goes to the low wages and a third serves to increase the load reduction for team and night work. In 2015, 2017 and 2019 an additional €50 million will also be allocated to the reinforcement of the tax work bonus, allowing low-wage workers to enjoy a net wage increase.

Since April 1, 2014, the electricity VAT has been reduced. This means a discount on the invoice of 98 euros on an annual basis. In cooperation with the regions, there are also reductions in the burden for the areas with large collective dismissals, the so-called support zones. The funds for the welfare stability of the benefits are legally anchored.

Last but not least, there is additional emphasis on education and innovation. Reduction of burden is important, but not sufficient to better shape economic growth. Therefore, it is very good and important that the pact also focuses on training and innovation.

Colleagues, you have understood: the sp.a-fraction will approve the present draft with great conviction. The Competitiveness Pact builds on the work of the government, it stimulates economic growth with burden reductions and supports purchasing power.

At the same time, the pact focuses on social prosperity and on education and innovation.