Cautious initiative against social abuse in transport sector

The European Commission wants to oblige Member States to check more frequently and more stringently for social abuse in the transport sector. “The importance for Flanders of the proposed measures is immense,” says MEP Mark Demesmaeker. The Flemish transport sector accounts for 5.3% of employment and creates added value of 9.2 percent to the Flemish GDP The gross domestic product (GDP) is the total monetary value of all goods and services produced within a country, both by companies and the government. This term is usually used as a benchmark for a country’s prosperity. This is why the N-VA closely follows the evolution of the Belgian GDP. GDP . Our carriers are crying out for more checks, aimed at weeding out the rotten apples in the market.” His colleague Helga Stevens does, however, regret that the new package of measures makes no changes whatsoever to the Social security Social security is currently managed at the Federal level in Belgium. The most important pillars of Belgian social security are: sickness and invalidity insurance (NIDHI), pensions, unemployment insurance and child allowances. In addition, occupational illness, occupational accidents and annual holidays are dealt with at this level. Some Flemish parties have been campaigning for years for (large parts of) social security to be transferred to the Regions and Communities. social security regulations, which are highly decisive for the Competitiveness The extent to which companies in one country can compete with similar companies in another country. A law came into force in Belgium in 1996 to monitor competitiveness. This stipulates that Belgian salaries may not evolve faster than the average of those in the three neighbouring countries. The Central Economic Council (CEC) performs an annual measurement to see if the objectives have been obtained. competitiveness of the sector: “If we want to create a level playing field, Europe must grab the nettle and review those regulations.”

“We must indeed end the social irregularities that cause unsafe and degrading situations on our highways and car parks,” Mark Demesmaeker confirms. “Moreover, our Flemish carriers can barely keep their heads above water due to unfair competition from Central and Eastern Europe.”

Further limits to cabotage

One major source of dissatisfaction is the irregularities with cabotage: the transport of goods in which both the loading and unloading points are in the same country, but which is carried out by a company from a different country. A Slovak carrier transporting cargo between Ghent and Antwerp is one concrete and real example of cabotage. “The current limitation on cabotage, three trips per seven days, is almost unverifiable and clearly contributes to abuse,” says Mark Demesmaeker. “The Commission therefore wants to limit cabotage trips to five days. This is intended to simplify checks and make it easier to expose the forging or alteration of paperwork. It can also contribute to a better balance between a fair employment market and efficient transport. Moreover, a correct cabotage system is good for the environment: it ensures that trucks drive fewer kilometres without freight and thus emit less CO2.”

Tackling letterbox companies

In addition, Europe is taking a wide-ranging initiative against the establishment of so-called letterbox companies, which locate their headquarters abroad but do not carry out any activities there. “In this way, a great many dishonest carriers circumvent Belgian social and labour rules. The Commission is now demanding that the transport companies are located in the country where they actually operate. This is a step in the right direction,” Mark Demesmaeker concludes, “but I first want to wait and see exactly how everything will be implemented. After all, much depends on good and effective cooperation between Member States.”