No C 105/18 Official Journal of the European Communities 26. 4. 79 
(b) it is obvious from the accounts or other reliable evidence that the employer has insufficient assets 
and so such proceedings would be pointless. It would be up to the appropriate court to decide 
whether this was the case as rapidly as possible following a request to do so from an employee.' 
Reason 
The amendment is self-explanatory. 
Voting 
For: 7; against: large majority; abstentions: 31. 
As a result of the adoption of an amendment during the debates, the following passage of the Section's 
opinion was replaced: 
Page 7, point 2.5.4. (b) 
'(b) the institutions may be financed by contributions from employers, employees and the public 
authorities. They may not, however, be financed by employees' contributions alone.' 
Voting 
For: large majority; against: 3; abstentions: 9. 
Opinion on the proposals by the Commission concerning the Community's generalized tariff 
preferences scheme for 1979 
(Doc. COM(78) 470 final) 
The text referred to the Committee has not yet been published in the Official Journal of the 
European Communities. 
A. LEGAL BASIS FOR THE OPINION 
On 13 October 1978 the Council referred the abovementioned proposal to the Economic and 
Social Committee in accordance with Article 198 of the Treaty establishing the European 
Economic Community. 
B. OPINION OF THE ECONOMIC AND SOCIAL COMMITTEE 
The Economic and Social Committee prepared its opinion on the above matter at its 163rd 
plenary session held in Brussels on 29 and 30 November 1978. 
The full text of the opinion is as follows: 
THE ECONOMIC AND SOCIAL COMMITTEE, 
Having regard to the Treaty establishing the European 
Economic Community, and in particular Article 198 
thereof, 
Having regard to the request made by the Council of the 
European Communities on 13 October 1978 for an 
opinion, Having regard to the decision taken by its Bureau on 
18 October 1978 instructing the Section for External 
Relations to draw up an opinion on the matter, 
Having regard to the opinion issued by the Section for 
External Relations at its meeting held on 14 November 
1978, 
Having regard to the report submitted by the rapporteur, 
Mr Cremer, 
26. 4. 79 Official Journal of the European Communities No C 105/19 
Having regard to the discussions at its 163 rd plenary 
session held on 29 and 30 November 1978 (meeting of 
29 November), 
Having regard to its previous opinions on the matter, 
and in particular those of 29 September 1976 (1) and 
26 October 1977 (2), 
Having regard to its opinion on the multilateral trade 
negotiations in GATT (3), 
HAS ADOPTED THE FOLLOWING OPINION 
by a large majority to four votes against with six 
abstentions: 
1. The Committee supports the Commission's 
proposals, subject to the comments set out below. 
2. The Committee regrets that it did not have more 
time to examine in detail the Commission's weighty 
package of proposals concerning the 1979 generalized 
tariff preferences scheme for Community imports from 
developing countries. It will therefore reconsider this 
matter at a later date, so that it can discuss the most 
important aspects of the GSP thoroughly. 
3. From the proposals it is apparent that the 
Commission has gone some way towards 
accommodating some of the Economic and Social 
Committee's past wishes that: 
(a) GSP machinery should be geared first and foremost 
to benefiting the countries most in need; 
(b) account should be taken of the level of 
competitiveness and development reached by the 
beneficiary countries; 
(c) the GSP should be amended to take into account 
the Community's own balance and employment, 
particularly in the Community sectors faced with 
structural difficulties. 
Nevertheless, the Committee would ask that the 
Community GSP scheme becomes more selective as 
regards both countries and products and benefit those 
countries that are most in need - in accordance with the 
other policies of the Community. 
(*) OJNoC281, 27. 11. 1976. 
(2) OJNoC 18,23. 1. 1978. 
(3) OJ No C 126, 28. 5. 1977. 4. As far as the textile GSP is concerned, the 
Committee thinks that, in view of the employment 
situation and the level of production capacity in use in 
the Community's textile industry, it is difficult to double 
the size of the duty-free quotas offered to the developing 
countries until a distinction is drawn between the poorest 
of the developing countries and the rest and the 
individual quotas in the Community are really shared out 
in a more suitable fashion. 
A practical link between the GSP and the Multifibre 
Agreement (MFA) with regard to the GSP's duration, 
effect and technical details is advisable. However, 
countries with which the Community has concluded 
agreements under the MFA but which, on account of the 
level of competitiveness they have already attained, have 
not participated in the GSP at all or only in part should 
not be given access to the preferences scheme as a result 
(Romania) or receive duty-free quotas for sensitive goods 
which they have been denied so far (Hong Kong). 
Furthermore, in cases where individual developing 
countries are already competitive with regard to 
individual goods, their present duty-free quotas should 
not be increased. 
Since there is hardly time for the Commission's proposal 
for textiles to be amended in line with the Committee's 
recommendations by 1 January 1979, the Committee 
suggests that the 1978 GSP for textiles be extended for a 
further year with a justifiable increase for the particular 
benefit of the least developed countries. 
5. The Committee has gone into the question of 
whether it would be a good idea to do away with the 
special 'cut-offs' planned for so-called 'hybrid' products. 
If difficulties arose and the present procedure were no 
longer in force, the Community might take more 
restrictive measures, such as the imposition of quotas. 
6. Finally, as far as the Community's GSP as a whole 
is concerned, the Committee would emphasize that any 
commercial, financial or other undertaking given to 
non-EEC countries, including developing countries, must 
bear in mind the following: 
— Such undertakings should be largely based on the 
mutual interests of the Community and its partners. 
— In their relations with the Community and in the 
international context the developing countries 
should behave in a way that is in keeping with the 
agreements concluded and conducive to healthy 
competition (this is particularly vital in cases where 
concessions have been made unilaterally). Such 
No C 105/20 Official Journal of the European Communities 26. 4. 79 
7. Since the GSP scheme is one of the Community 
instruments which enable the Community to assume its 
responsibilities towards the developing countries at the 
world level, the Community should do its utmost to 
make this instrument more effective and, in particular, to 
give the poor developing countries the best openings. 
8. Moreover, the Committee would like to have better 
statistics in future to enable it to make a more precise 
assessment of the effects of the GSP. 
The Chairman 
of the Economic and Social Committee 
Fabrizia BADUEL GLORIOSO 
ANNEX 
to the opinion of the Economic and Social Committee 
The following amendment, which was moved in accordance with the Rules of Procedure, was rejected 
during the debate: 
Add the following paragraph at the end of point 3: 
'In more general terms, the Committee would like to see a policy which is compatible with the 
Community's internal policies and the international arrangements it has made in the sectors in 
question; this applies not only to textiles but to all the other sectors, particularly agriculture.' 
Voting 
For: 23; against: 52; abstentions: 8. 
Opinion on the draft Council Decisions: 
— amending Decision 78/774/EEC concerning the activities of certain third countries in the 
field of cargo shipping, 
— on the implementation of Article 2 of Decision 78/774/EEC concerning the activities of 
certain third countries in the field of cargo shipping 
(Doc. COM(78) 515 final) 
The text referred to the Committee has been published in Official Journal of the European 
Communities No C 259 of 1 November 1978, page 6. 
. A. LEGAL BASIS FOR THE OPINION 
On 25 October 1978 the Council referred the abovementioned proposal to the Economic and 
Social Committee in accordance with Articles 84 (2) and 198 of the Treaty establishing the 
European Economic Community. behaviour is particularly necessary with regard to 
prices (e.g. there should be no dumping), regularity 
of supply, terms of payment, access to markets, etc. 
— All the countries concerned should recognize 
fundamental human rights and respect minimum 
standards laid down for working conditions by the 
ILO. The Committee considers the Commission's 
new proposals in this area as a first step that should 
be followed up. 
Done at Brussels, 29 November 1978.