October 2022 digital edition

GLOBAL UPDATES
EUROPE
Co-ops respond
to Ursula von der
Leyen’s State of the
Union Speech
European Commission president Ursula
von der Leyen delivered her State of the
Union Speech to the European Parliament
on 14 September in the presence of
Ukraine’s first lady, Olena Zelenska.
Von der Leyen highlighted the key
challenges and priorities for the EU,
particularly around the energy crisis,
suggesting measures such as a cap on
the revenues of companies that produce
electricity at a low cost, establishing
a new benchmark for the gas market,
reforming the electricity market, investing
in renewable energy and creating a
European Bank for hydrogen.
She also mentioned how workers at
Italian co-op Ceramiche are saving energy
by starting work at six in the morning to
use sunlight and to avoid turning on fans.
And she announced the launch of an
SME Relief Package, a measure welcomed
by sector apex Cooperatives Europe.
“This year, we will be expecting an
SME relief package with a proposal for
a single set of tax rules called BEFIT,”
said a Cooperatives Europe statement.
“While promoting an enabling business
environment is strongly encouraged,
we remain more cautious on the fiscal
aspect. Co-operatives’ fiscal treatment
varies between member states and reflects
co-operatives’ specific principles and
differences in management logic. Work
on that topic will require a thorough
stakeholders’ consultation, of which we
stand ready to be part.”
Cooperatives Europe also approves of the
Commission’s initiatives around skilling
and re-skilling the workforce. “As the
Commission announced 2023 to become
the European Year of Skills, we hope to see
this momentum used to better promote
co-operative entrepreneurship in higher
education and management training,”
it said.
The apex added it will continue to
engage with the EU institutions. Upcoming
European initiatives include the council
recommendation establishing framework
p Ursula von der Leyen delivered her State of the Union Speech in the European Parliament on
14 September (Image: EU)
conditions for the social economy, the
transition pathways and the work on
sustainable corporate governance, all of
which could impact co-ops.
The European Confederation of
Industrial and Service Cooperatives (Cecop)
also welcomed some of von der Leyen’s
announcements but said it regretted the
omission of the social dimension.
“In the 2022 State of the Union
address, the Commission president
has made important commitments to
relieve economic pressure on European
businesses and citizens, which Cecop
welcomes,” said the organisation’s
president, Giuseppe Guerini.
“Unfortunately, little has been said on
the social dimension of the EU. Support
for social cohesion is essential to building
the EU’s resilience and social economy
actors, including co-operatives, are key
stakeholders in this.”
A statement from Cecop added: “The
crises currently facing the EU require it to
step up and deliver direct, immediate and
broad actions to promote social cohesion.
Social justice and social peace will be
key to the upcoming European elections.
Quality working conditions will be key to
tackle staff shortages, and to contribute to
resilient and sustainable development of
the European economy.
“Cecop hopes to see social policies, the
European Pillar of Social Rights and the
implementation of the Social Economy
Action Plan high on the working agenda
of the Commission for 2023.”
The organisation welcomed the promise
of support for companies and citizens
who are struggling with the increased
energy prices, and the EU’s commitment
to ensure accessibility of critical raw
materials, but added that the announced
SME relief package must be fully available
to co-operatives across the EU.
“Our industry co-operatives, in
particular, are key partners for the EU
on its way to develop a more sovereign
economy and to advance with the just
digital and green transition mentioned
by the Commission president. But they
face a number of challenges that must be
tackled urgently,” it said.
Cecop also welcomed the Commission’s
commitment to come forward with new
ideas for the EU’s economic governance
in October: “We expect these new rules
to move away from the focus on austerity
and to facilitate strategic investment by
the member states in order to address
outstanding social and economic
challenges and to promote a fair digital
and green transition.”
With the Year 2023 being declared the
European Year of Education and Training,
Cecop pointed out that skills development
is essential for the future of European
workers and businesses, in particular
SMEs.
“Co-operatives both invest in their
employees’ reskilling and upskilling, and
benefit from broader skill development
measures. This is why Cecop has
already joined the Skills Partnership
for the Proximity and Social Economy
ecosystem,” it said.
14 | OCTOBER 2022