Local view for "http://purl.org/linkedpolitics/eu/plenary/2000-09-21-Speech-4-126"

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"en.20000921.4.4-126"2
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". Everyone is united in condemning non-declared work, or the black economy, as it is commonly called. At the same time, however, many people resort to using this cheap workforce. The figures speak for themselves, as the ‘black economy’ is equivalent to between 7 and 16 percent of the figure of the GDP of the European Union. Quite obviously this is intolerable in our Member States which are facing persistently high unemployment rates which are still high despite a clear downturn in recent years. I further endorse the rapporteur’s insistence that combating the black economy is to a great extent a direct contribution towards combating unemployment. I am well aware that finding solutions is not an easy matter. It is clear, nonetheless, that the Member States would be well advised to coordinate their efforts in order to establish a proactive strategy to combat this scourge. The first requirement is for a list of the most affected sectors and the main categories concerned to be drawn up within each Member State. This survey must be followed up in a practical way by implementing measures appropriate to each situation. These measures are to be included in action programmes. These programmes must then be incorporated in national action plans related to the Employment Guidelines in order to establish mutual transparency and assess the effectiveness of the actions undertaken. There is, moreover, a clear link between the level of taxes and deductions, and the extent as well as the growth of the black economy. Member States must therefore devote some effort to reducing the taxes and deductions that weigh down on employment. The reduction in VAT rates for services that are highly labour intensive, a sector where undeclared work is particularly prevalent, a step that Member States are entitled to take under the Council Decision of 28 February 2000, will most certainly have beneficial effects on the fight against the black economy. Like the Committee on Employment and Social Affairs, I would like to see the Member States that do not yet use this option review their decisions. That is why I voted in favour of this report, which represents a further step in achieving a social Europe."@en1

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