General programme

for the abolition of restrictions on freedom of establishment

THE COUNCIL OF THE EUROPEAN ECONOMIC COMMUNITY,

Having regard to the provisions of the Treaty, and in particular Articles 54 and 132(5) thereof ;

Having regard to the proposal from the Commission ;

Having regard to the Opinion of the Economic and Social Committee ;

Having regard to the Opinion of the European Parliament ;

Has adopted this General Programme for the abolition of restrictions on freedom of establishment within the European Economic Community.

Title I : Beneficiaries

Subject to any decisions taken by the Council under the second subparagraph of Article 227 (2) of the Treaty and without prejudice to subsequent provisions laying down association arrangements between the European Economic Community and the overseas countries and territories having attained independence after the entry into force of the Treaty, the persons entitled to benefit from the abolition of restrictions on freedom of establishment as set out in this General Programme are :

- nationals of Member States or of the overseas countries and territories, and

- companies and firms formed under the law of a Member State or of an overseas country or territory and having either the seat prescribed by their statutes, or their centre of administration, or their main establishment situated within the Community or in an overseas country or territory,

who wish to establish themselves in order to pursue activities as self-employed persons in a Member State ; and

- nationals of Member States or of the overseas countries and territories who are established in a Member State or in an overseas country or territory, and

- companies and firms as above, provided that, where only the seat prescribed by their statutes is situated within the Community or in an overseas country or territory, their activity shows a real and continuous link with the economy of a Member State or of an overseas country or territory ; such link shall not be one of nationality, whether of the members of the company or firm, or of the persons holding managerial or supervisory posts therein, or of the holders of the capital,

who wish to set up agencies, branches or subsidiaries in a Member State.

Title II : Entry and residence

The following steps are to be taken before the end of the second year of the second stage of the transitional period :

A. The provisions laid down by law, Regulation or administrative action which in any Member State govern the entry and residence of nationals of other Member States will, where such provisions are not justified on grounds of public policy, public security or public health, and are liable to hinder those nationals in taking up or pursuing activities as self-employed persons, be so amended, in particular by the abrogation of those having an economic purpose, as to eliminate this source of hindrance ;

B. The abolition of provisions laid down by law, Regulation or administrative action which in a Member State prohibit nationals of other Member States working in paid employment in that State from staying on and tak ing up an activity there in a self-employed capacity even though such nationals satisfy the requirements which they would have to meet if they were entering the Member State in question at the time when they wished to take up the activity concerned.

Title III : Restrictions

Subject to the exceptions or special provisions laid down in the Treaty and in particular to :

- Article 55 concerning activities which are connected with the exercise of official authority in a Member State ; and to

- Article 56 concerning provisions on special treatment for foreign nationals on grounds of public policy, public security or public health,

the following restrictions are to be eliminated in accordance with the timetable laid down under Title IV :

A. Any measure which, pursuant to any provision laid down by law, Regulation or administrative action in a Member State, or as the result of the application of such a provision, or of administrative practices, prohibits or hinders nationals of other Member States in their pursuit of an activity as a self-employed person by -treating nationals of other Member States differently from nationals of the country concerned.

Such restrictive provisions and practices are in particular those which, in respect of foreign nationals only :

(a) prohibit the taking up or pursuit of an activity as a self-employed person ;

(b) make the taking up or pursuit of an activity as a self-employed person subject to an authorization or to the issue of a document such as a foreign trader's permit ;

(c) impose additional conditions in respect of the granting of any authorization required for the taking up or pursuit of an activity as a self-employed person ;

(d) make the taking up or pursuit of an activity as a self-employed person subject to a period of prior residence or training in the host country ;

(e) make the taking up or pursuit of an activity as a self-employed person more costly by through taxation or other financial burdens, such as a requirement that the person concerned shall lodge a deposit or provide security in the host country ;

(f) limit or hinder, by making it more costly or more difficult access to sources of supply or to distribution outlets ;

(g) prohibit or hinder access to any vocational training which is necessary or useful for the pursuit of an activity as a self-employed person ;

(h) prohibit foreign nationals from becoming members of companies or firms, or restrict their rights as members, in particular as regards the functions which they may perform within the company or firm ;

(i) deny or restrict the right to participate in social security schemes, in particular sickness, accident, invalidity or old age insurance schemes, or the right to receive family allowances ;

(j) grant less favourable treatment in the event of nationalization, expropriation or requisition.

The like shall apply to provisions and practices which, in respect of foreign nationals only, exclude, limit or impose conditions on the power to exercise rights normally attaching to an activity as a self-employed person, and in particular the power :

(a) to enter into contracts, in particular contracts for work, business or agricultural tenancies, and contracts of employment, and to enjoy all rights arising under such contracts ;

(b) to submit tenders for or to act directly as a party or as a subcontractor in contracts with the State or with any other legal person governed by public law ;

(c) to obtain licences or authorizations issued by the State or by any other legal person governed by public law ;

(d) to acquire, use or dispose of movable or immovable property or rights therein ;

(e) to acquire, use or dispose of intellectual property and all rights deriving therefrom ;

(f) to borrow, and in particular to have access to the various forms of credit ;

(g) to receive aids granted by the State, whether direct or indirect ;

(h) to be a party to legal or administrative proceedings ;

(i) to join professional or trade organizations ;

where the professional or trade activities of the person concerned necessarily involve the exercise of such power.

Furthermore, included among the abovementioned provisions and practices are those which limit or impair the freedom of personnel belonging to the main establishment in one Member State to take up managerial or supervisory posts in agencies, branches or subsidiaries in another Member State.

B. Any requirements imposed, pursuant to any provision laid down by law, Regulation or administrative action or in consequence of any administrative practice, in respect of the taking up or pursuit of an activity as a self-employed person where, although applicable irrespective of nationality, their effect is exclusively or principally, to hinder the taking up or pursuit of such activity by foreign nationals.

Title IV : Timetable

The effective abolition of restrictions in respect of freedom of establishment shall take place according to the following timetable :

A. For the activities listed in Annex I it shall, save where paragraph B otherwise provides, take place before the end of the second year of the second stage of the transitional period.

B. For activities falling within Annex I, group 400 - "Construction", carried out under public works contracts it shall take place by 31 December 1963.

However, in view of the particular nature and requirements of this sector and in order to ensure that restrictions are lifted in a progressive and balanced manner and that the removal of restrictions is accompanied by appropriate measures for the coordination of procedures :

1. When the value of the public works contracts awarded in one Member State to nationals or companies or firms of other Member States by that State or by its regional or local authorities, such as Lander, regions, provinces, departments, communes, or other legal persons governed by public law still to be determined exceeds the quota referred to in Title VC (e) 1 (a) of the General Programme on the Provision of Services, then that State shall be entitled to order that no further public works contracts may be awarded until the end of the year in question to nationals or companies or firms of other Member States acting through their agencies or branches established in that State.

2. As regards legal persons governed by public law which as at 31 December 1963 have not been included among those referred to in the first subparagraph, before the end of the transitional period. Restrictions on the award of public works contracts by the aforesaid legal persons to such agencies or branches are to be abolished.

C. For the following activities it shall take place between the date specified in paragraph A and the end of the second stage of the transitional period, that is to say for :

- activities listed in Annex II ;

- activities of undertakings providing direct insurance other than life assurance. However, the lifting of restrictions as regards the setting up of agencies or branches shall be dependent on coordination of the conditions for the taking up and pursuit of the aforesaid activities.

D. For the following activities it shall take place between the beginning of the third stage and the end of the second year of the third stage, that is to say for :

- activities listed in Annex III,

- activities of undertakings providing life assurance. However, the lifting of restrictions as regards the setting up of agencies or branches shall be dependent on coordination of the conditions for the taking up and pursuit of the aforesaid activities. Nevertheless, pending such coordination, before the end of the second stage a limit shall be fixed on the conditions in this respect which may be imposed on such agencies or branches.

E. For activities listed in Annex IV it shall take place between the last date specified in paragraph D and the end of the transitional period.

F. For agriculture, in respect of activities listed in Annex V, the abolition of restrictions on freedom of establishment shall take place as follows :

1. Restrictions relating to establishment on agricultural holdings abandoned or left uncultivated for more than two years shall be abolished as. soon as the General Programme is adopted ; establishment will not, however, entail the right to transfer from one such holding to another ;

2. Restrictions on establishment in agriculture for nationals of other Member States who have been employed as paid agricultural workers in the host country for a continuous period of two years shall be abolished at the end of the first stage ;

3. At the beginning of the third year of the second stage each Member State will so amend its legislation relating to agricultural tenancies as to ensure that such legislation applies to tenant farmers who are nationals of other Member States in like manner as it applies to nationals of the Member State concerned. At the same time each Member State shall grant to nationals of other Member States who have fanned in the Member States in question for more than two years the right to transfer from one holding to another.

4. Each Member State will, at the beginning of the third stage, take the necessary steps to ensure that farmers who are nationals of other Member States enjoy the same rights as its own nationals with regard to access to the various forms of credit and membership of cooperatives.

5. Each Member State will, at the beginning of the third year of the third stage, take the necessary steps to ensure that farmers who are nationals of other Member States enjoy the same rights as its own nationals with regard to access to the various forms of aid.

6. All, other existing restrictions in respect of the taking up and pursuit of the abovementioned activities will be abolished at the end of the transitional period.

G. 1. As regards transport by rail, road and inland waterway, the abolition of restrictions will take place in accordance with the timetable laid down in the General Programme and will be accompanied by such measures for the coordination of provisions laid down by law, Regulation or administrative action of Member States in respect of the right to take up and pursue the various activities concerned as are necessary for the avoidance of distortions arising from the abolition of restrictions. Such coordination will be carried out under the common transport policy.

2. A General Programme for sea and air transport will be decided on by unanimous vote of the Council.

Title V : Mutual recognition of diplomas and other evidence of formal qualifications — Coordination

Subject to Article 57 (3) of the Treaty and to Title IV of this General Programme, when Directives implementing the General Programme for each activity as a self-employed person are being drawn up, it shall at the same time be examined whether lifting of restrictions on freedom of establishment should be proceeded, accompanied or followed by the mutual recognition of diplomas, certificates and other evidence of formal qualifications, or by the coordination of provisions laid down by law, Regulation or administrative action in respect of the taking up and pursuit of these activities.

Pending such mutual recognition of diplomas, or such coordination, and in order to facilitate the taking up and pursuit of activities as self-employed persons and to avoid distortions, a transitional system may be applied ; such system may where appropriate include provision for the production of a certificate establishing that the activity in question was actually and lawfully carried on in the country of origin.

The duration and details of this transitional system shall be settled when the Directives are drawn up.

Title VI : Coordination of safeguards required of companies and firms

It is intended that the safeguards required by Member States of companies and firms for the protection of the interests of members and others should, to the extent necessary and with a view to making such safeguards equivalent, be coordinated before the end of the second year of the second stage of the transitional period.

Title VII : Aids

It is intended that, without prejudice to Article 92 et seq. of the Treaty, the granting by Member States of aids liable to distort the conditions of establishment should in each case be prohibited on or before the removal of restrictions on freedom of establishment in the activity where the distortion occurs.

Done at Brussels, 18 December 1961.

For the Council

The President

Ludwig Erhard

--------------------------------------------------

ANNEX I [1]

Before the end of the second year of the second stage

Major Group | Group | |

11 | 110 | Coal mining |

12 | | Metal mining |

121 | Iron ore mining |

122 | Metal mining except iron ore mining |

ex 13 | ex 130 | Crude petroleum and natural gas, except prospecting and drilling |

14 | 140 | Stone quarrying, clay and sand pits |

19 | | Other non-metallic mining and quarrying |

191 | Salt mining and quarrying (sodium chloride) |

192 | Chemical and fertilizer mineral mining |

199 | Non-metallic mining and quarrying not elsewhere classified |

23 | | Manufacture of textiles |

231 | Spinning, weaving and finishing textiles |

232 | Knitting mills |

233 | Cordage, rope and twine industries |

239 | Manufacture of textiles not elsewhere classified |

24 | | Manufacture of footwear, other wearing apparel and made-up textile goods |

241 | Manufacture of footwear |

242 | Repair of footwear |

243 | Manufacture of wearing apparel, except footwear |

244 | Manufacture of made-up textile goods. except wearing apparel |

25 | | Manufactures of wood and cork, except manufacture of furniture |

251 | Sawmills, planing and other wood mills |

252 | Wooden and cane containers and cane small ware |

259 | Manufacture of cork and wood products not elsewhere classified |

26 | 260 | Manufacture of furniture and fixtures |

27 | | Manufacture of paper and paper products |

271 | Manufacture of pulp, paper and paperborad |

272 | Manufacture of articles of pulp, paper and paperboard |

28 | 280 | Printing, publishing and allied industries |

29 | | Manufacture of leather and leather and fur products except footwear and other wearing apparel |

291 | Tanneries and leather finishing plants |

292 | Manufacture of fur products, except wearing apparel |

293 | Manufacture of leather products, except footwear and other wearing apparel |

30 | 300 | Manufacture of rubber products |

ex 31 | | Manufacture of chemicals and chemical products |

311 | Basic industrial chemicals, including fertilizers |

312 | Vegetable and animal oils and fats |

313 | Manufacture of paints, varnishes and lacquers |

ex 319 | Manufacture of miscellaneous chemical products (except medicinal and pharmaceutical preparations) |

32 | | Manufacture of products of petroleum and coal |

321 | Petroleum refineries |

329 | Manufacture of miscellaneous products of petroleum and coal |

33 | | Manufacture of non-metallic mineral products, except products of petroleum and coal |

331 | Manufacture of structural clay products |

332 | Manufacture of glass and glass products |

333 | Manufacture of pottery, china and earthenware |

334 | Manufacture of cement (hydraulic) |

339 | Manufacture of non-metallic mineral products not elsewhere classified |

34 | | Basic metal industries |

341 | Iron and steel basic industries |

342 | Non-ferrous metal basic industries |

35 | 350 | Manufacture of metal products, except machinery and transport equipment |

36 | 360 | Manufacture of machinery, except electrical machinery |

37 | 370 | Manufacture of electrical machinery, apparatus, appliances and supplies |

ex 38 | | Manufacture of transport equipment |

383 | Manufacture of motor vehicles |

384 | Repair of motor vehicles |

385 | Manufacture of motorcycles and bicycles |

389 | Manufacture of transport equipment, not elsewhere classified |

39 | | Miscellaneous manufacturing industries |

391 | Manufacture of professional, scientific, measuring and controlling instruments |

392 | Manufacture of photographic and optical goods |

393 | Manufacture of watches and clocks |

394 | Manufacture of jewellery and related articles |

395 | Manufacture of musical instruments |

399 | Manufacturing industries not elsewhere classified |

40 | 400 | Construction [2] |

51 | | Electricity, gas and steam |

52 | | Water and sanitary services |

521 | Water supply |

522 | Sanitary services [3] |

ex 61 | | Wholesale and retail trade |

ex 611 | Wholesale trade, including sales agents (self-employed) and sales representatives (including the right to solicit custom from private persons) |

| | 6111 | Agricultural raw materials |

| | ex 6112 | Industrial mineral and chemical products, except coal |

| | 6113 | Timber and building materials |

| | 6114 | Machinery and equipment for industry, trade and agriculture; motor vehicles |

| | 6115 | Ironmongery and electrical equipment |

| | 6116 | Furniture and furnishings |

| | 6117 | Textiles and wearing apparel |

| | 6118 | Foodstuffs, beverages and tobacco |

| | ex 6119 | Wholesale trade not elsewhere classified (except pharmaceutical products) |

62 | 620 | Banks and other financial institutions |

ex 63 | ex 630 | Insurance |

| Reinsurance |

ex 64 | ex 640 | Real estate (except 6401) |

| Transport |

718 | Services incidental to transport |

72 | 720 | Storage and warehousing |

73 | 730 | Communication |

ex 83 | | Business services |

839 | Business services not elsewhere classifled |

ex 84 | | Recreation services |

ex 841 | Film production, distribution and projection, opening of theatres that specialize exclusively in the showing of films in the language of the country of origin |

[1] When drawing up this Annex, use has been made of the "International Standard industrial Classification of all Economic Activities" (ISIC) issued by the Statistical Office of the United Nations. Statistical Papers, Series M No 4 Rev I, New York, 1958. This classification, together with its explanatory notes, must be used as a basis when classifying the various activities into Major Group and Group. Activities which are not specifically mentioned in this classification should be included under the heading covering the activities closely related to them, having regard to the circumstances of the industry within the European Economic Community, and in particular to technical developments. Manufacturing and processing industries are classified according to the kind of economic activity they deal with, whether the work is carried out as an industry or as a small craft industry.

[2] Including "public works", which term is to be understood as comprising ail activities covered by the Major Group carried out in connection with the building of tunnels, bridges, roads, etc., irrespective of the procedure whereby the contract for such works is awarded.

[3] This Group includes in particular waste sewage disposal.

--------------------------------------------------

ANNEX II [1]

Between the date specified in Title IV A of the timetable laid down in the General Programme and the end of the second stage

Major Group | Group | |

ex 01 | | Agriculture |

| ex 012 | Agricultural services |

| | 0121 | Agronomist (sub-group extension of ISIC) |

20 | | Food manufacturing industries, except beverage industries |

| 201 | Slaughtering, preparation and preserving of meat |

| 202 | Manufacture of dairy products |

| 203 | Canning and preserving of fruits and vegetables |

| 204 | Canning and preserving of fish and other sea foods |

| 205 | Manufacture of grain mill products |

| 206 | Manufacture of bakery products |

| 207 | Sugar factories and refineries |

| 208 | Manufacture of cocoa, chocolate and sugar confectionery |

| 209 | Manufacture of miscellaneous food preparations |

21 | | Beverage industries |

| 211 | Distilling, rectifying and blending of spirits |

| 212 | Wine industries and the production of other fermented beverages except malt liquors |

| 213 | Breweries and manufacturing of malt |

| 214 | Soft drinks and carbonated water industries |

ex 31 | | Manufacture of chemicals |

| ex 319 | Manufacture of miscellaneous chemical products ; medicinal and pharmaceutical preparations |

ex 61 | | Wholesale and retail trade |

| ex 611 | Wholesale trade |

| ex 612 | ex 6119 | Wholesale trade not elsewhere classified: medicinal and pharmaceutical preparations Retail trade (except ex 6122: retail sale of medicinal and pharmaceutical preparations, pharmacies, and hawkers and peddlers) |

ex 63 | ex 630 | Insurance: Direct insurance other than life assurance [2] |

ex 64 | | Real estate |

| | 6401 | Surveyor (sub-group extension of ISIC) |

ex 83 | | Business services |

| ex 831 | Legal services: Tax counselling |

| 832 | Accounting, auditing and bookkeeping services (this group includes all activities carried out by an accountant, irrespective of his description |

| 833 | Engineering and technical services [3] |

ex 84 | | Recreation services |

| 843 | Recreation services except theatres and films (this group includes instructors in various sports, in particular judo, ski-ing, swimming and climbing) |

ex 85 | | Personal services |

| 852 | Restaurants, cafes, taverns and other drinking and eating places |

| 853 | Hotels, rooming houses, camps and other lodging places |

[1] When drawing up this Annex, use has been made of the "International Standard Industrial Classification of all Economic Activities" (ISIC) issued by the Statistical Office of the United Nations, Statistical Papers. Series M No 4 Rev 1, New York, 1958. This classification, together with its explanatory notes, must be used as a basis for classifying the various activities into Major Group and Group. Activities which are not specifically mentioned in this classification should be included under the heading covering the activities most closely related to them, having regard to the circumstances of the industry within the European Economic Community, and in particular to technical developments. Manufacturing and processing industries are classified according to the kind of economic activity they deal with, whether the work is carried out as an industry or as a small craft industry

[2] See Title IV (C) of the General Programme.

[3] This group includes in particular the activities in a self-employed capacity of engineers, architects, applied physicists, chemists, geologists, etc.

--------------------------------------------------

ANNEX III [1]

Between the beginning of the third stage and the end of the second year of the third stage

Major Group | Group | | |

ex 01 | | Agriculture |

| ex 012 | Agricultural services |

| | 0122 | Veterinary services, animal hospitals and care centres (sub-group extension of ISIC) |

04 | | Fishing |

| 041 | Ocean and coastal water fishing, excluding factory-vessel fishing |

| | 0411 | Fishing in territorial waters (sub-group extension of ISIC) |

| | 0412 | Fishing outside territorial waters (sub-group extension of ISIC) |

| 042 | Factory-vessel fishing |

| 043 | Inland water fishing |

ex 13 | ex 130 | Crude petroleum and natural gas. prospecting and drilling |

22 | 220 | Tobacco manufactures |

ex 61 | | Wholesale and retail trade |

| ex 611 | Wholesale trade |

| | ex 6112 | Minerals and industrial chemical products: coal |

| ex 612 | Retail trade |

| | ex 6122 | Retail sale of medicinal and pharmaceutical preparations, pharmacies |

ex 63 | ex 630 | Insurance [2] |

| | Life-assurance |

| | Insurance agents and brokers |

ex 71 | | Transport [3] |

| 711 | Railway transport |

| 712 | Tramway and omnibus operators |

| 713 | Road passenger transport, except omnibus operators |

| 714 | Road transport not elsewhere classified |

| 715 | Ocean transport, except in coastal waters |

| 716 | Water transport, except ocean transport |

| 717 | Air transport |

| 719 | Transport not elsewhere classified |

ex 82 | | Community services |

| 822 | Medical and other health services |

| 823 | Research and scientific institutes [4] |

ex 85 | | Personal services |

| 851 | Domestic service |

| 854 | Laundries and laundry services; cleaning and dyeing |

| 855 | Barber and beauty shops |

| 856 | Portrait and commercial photographic studios |

| 859 | Personal services not elsewhere classified |

[1] When crawing up this Annex, use has been made of the "International Standard Industrial Classification of all Economic Activities" (ISIC) issued by the Statistical Office of the United Nations, Statistical Papers, Series M No 4 Rev I, New York, 1958. This classification, together with its explanatory notes, must be used as a basis when classifying the various activities into Major Group and Group. Activities which are not specifically mentioned in this classification should be included under the heading covering the activities most closely related to them, having regard to the circumstances of the industry within the European Economic Community, and in particular to technical developments Manufacturing and processing industries are classified according to the kind of economic activity they deal with, whether the work is carried out as an industry or as a small craft industry.

[2] See Title IV (D) of the General Programme.

[3] See Title IV (G1) and (G2) of the General Programme.

[4] This group includes also medical and veterinary research laboratories for the control of foodstuffs.

--------------------------------------------------

ANNEX IV [1]

Within the period specified in Title IV (E) of the timetable laid down in the General Programme

Major Group | Group | |

02 | | Forestry and logging |

| 021 | Forestry |

| 022 | Logging |

03 | 030 | Hunting, trapping and game propagation |

ex 38 | | Manufacture of transport equipment |

| 381 | Ship building and repairing |

| 382 | Manufacture of railroad equipment |

| 386 | Manufacture of aircraft [2] |

ex 61 | | Wholesale and retail trade |

| ex 612 | Retail trade |

| | Hawkers and peddlers |

ex 82 | | Community services |

| 821 | Education services |

ex 83 | | Business services |

| ex 831 | Legal counselling other than falling within Annex II. This group includes patent attorneys |

ex 84 | | Recreation services |

| ex 841 | Film production, distribution and projection (other than that falling within Annex I) |

| 842 | Theatres and related services |

90 | 900 | Activities not dealt with in the other Annexes |

[1] When drawing up this Annex, use has been made of the "International Standard Industrial Classification of all Economic Activities" (ISIC) issued by the Statistical Office of the United Nations, Statistical Papers, Series M No 4 Rev I, New York, 1958. This classification, together with its explanatory notes, must be used as a basis when classifying the various activities into Major Group and Group. Activities which are not specifically mentioned in this classification should be included under the heading covering the activities most closely related to them, having regard to the circumstances of the industry within the European Economic Community, and in particular to technical developments. Manufacturing and processing industries are classified according to the kind of economic activity they deal with, whether the work is carried out as an industry or as a small craft industry.

[2] This group includes the manufacture of material for use in space.

--------------------------------------------------

ANNEX VI [1]

Major Group | Group | |

ex 01 | | Agriculture |

| 011 | Agriculture and Livestock Production |

| 012 | Agricultural services |

| | (except 0121: Annex IIand 0122: Annex III) |

[1] When drawing up this Annex, use has been made of the "International Standard Industrial Classification of all Economic Activities" (ISIC) issued by the Statistical Office of the United Nations, Statistical Papers, Series M No 4 Rev I, New York, 1958. This classification, together with its explanatory notes, must be used as a basis when classifying the various activities into Major Group and Group. Activities which are not specifically mentioned in this classification should be included under the heading covering the activities most closely related to them, having regard to the circumstances of the industry within the European Economic Community, and in particular to technical developments. Manufacturing and processing industries are classified according to the kind of economic activity they deal with, whether the work is carried out as an industry or as a small craft industry.

--------------------------------------------------