WRITTEN QUESTION E-2837/03 by Alexandros Alavanos (GUE/NGL) to the Commission. Creation of a new airline from Olympic Airways.
Date: 2003-09-25
Institutions: European Parliament, Provisional data
Subjects: Greece, air transport, collective agreement, exchange of information, labour law, transfer of businesses, transport company

C 84 E/218

Official Journal of the European Union

EN

3.4.2004

The proposal for a Directive does not provide for reduced rates for labour-intensive services as such. In its
evaluation report on the experiment with reduced rates for such services (2), the Commission concluded
that, from the information supplied by the Member States and given the limitations of the methods of
analysis used, it was not possible to find solid evidence of such reductions either boosting job creation or
having an impact on the black economy.

For the purposes of this report the Commission used its QUEST macro-economic model to carry out a an
analysis of the effects of a reduced rate of VAT compared with the effects of reduced labour charges. The
results showed that even in the most favourable hypothesis, namely that the entire reduction of VAT rates
was passed on in domestic prices, a reduction in charges on labour creates 52 % more jobs, calculated for
the EU as a whole, for the same budgetary cost.

However, it should be noted that some sectors currently covered by the experiment (work on private
housing and home care services) have been included in Annex H because many Member States already
apply reduced rates or exemptions for these services under specific derogations which they have been
granted. This is not the case for small repairs and hairdressing, since only a minority of Member States
currently apply reduced rates to those services.

The Commission has indeed seen the Centraal Planbureau study sent to it by the Netherlands
2. and 3.
Government. Although the Netherlands report did not reach the Commission until after the evaluation
report was adopted, it did not alter the general trend which had emerged from the reports received from
the Member States participating in the experiment and all
the other information available to the
Commission when it drew up its report.

4.
The Commission proposal of 23 July 2003 is currently being examined by the Council. It will be up
to the Council to decide, on a unanimous basis and in the light of Parliament’s opinion, the future scope of
reduced rates of VAT.

(1) COM(2003) 397 final.
(2) COM(2003) 309 final.

(2004/C 84 E/0262)

WRITTEN QUESTION E-2837/03

by Alexandros Alavanos (GUE/NGL) to the Commission

Subject: Creation of a new airline from Olympic Airways

(25 September 2003)

The Hellenic Parliament recently adopted a law regulating the form and operation of a new airline,
Olympic Airlines, derived from Olympic Airways.

Article 11 of the new law annuls the collective labour agreements and procedures for reaching agreement
concluded with the trade unions, following their termination by the Board of Olympic Airways and
Olympic Aviation, while paragraphs 4 and 5 of Article 9 of Law 1876/1990, which govern the period of
validity of collective labour agreements, have ceased to apply.

Given that these developments constitute a change in industrial relations to the detriment of the workforce
during the transfer to the new company, will the Commission say:

1. whether

the annulment of articles of Law 1876/1990 governing compliance with collective
agreements and procedures for reaching agreement (an article of the new law) is consistent with
Articles 3 and 4 of Directive 98/50/EC (1) relating to the safeguarding of employees’ rights in the event
of transfers of undertakings, and

2. whether, in the event of non-compliance with the articles of Directive 98/50/EC, the Commission will
intervene, and in what manner, to safeguard the rights of the workers who are being transferred to the
new company and the rights of those remaining with the old company?

(1) OJ L 201, 17.7.1998, p. 88.

3.4.2004

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Official Journal of the European Union

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Supplementary answer
given by Mr Dimas on behalf of the Commission

(16 April 2004)

In its letter of 30 October 2003, the Commission asked the Greek authorities for additional information
on the questions raised by the Honourable Member about the social aspects of the formation of this new
airline. As it received no response, it sent a reminder on 17 February 2004, giving the company two
weeks to reply, which it failed to do.

As a result, the Commission is now considering what action it should take and will take care to inform the
Honourable Member.

The Commission also decided on 17 March 2004 to examine in detail whether the formation of this new
airline in September 2003 was compatible with the EC Treaty’s rules on State aid.

(2004/C 84 E/0263)

WRITTEN QUESTION E-3075/03

by Maurizio Turco (NI) to the Commission

(20 October 2003)

Subject: Freedom and pluralism in information

The Commission adopted the Green Paper on Services of General Interest (1) on 21 May 2003. Among
other issues the Green Paper tackles the question whether the possibility of taking tangible measures to
protect pluralism should be re-considered at Community level and what measures might be envisaged.
All interested parties were invited to submit their comments by 15 September 2003.

Can the Commission say what comments it has received and what steps it intends to take as regards
safeguarding pluralism?

(1) COM(2003) 270 final.

Answer given by Mr Prodi on behalf of the Commission

(12 November 2003)

In the public consultation on the Green Paper
the Commission has received up to now about
260 contributions. Comments were sent in particular by governments of Member States, a national
Parliament, regional and local authorities, national regulatory authorities, providers of local services,
providers of social services and health services, operators in network industries, organisations in the media
sector, trade unions, consumer organisations and industry associations. Also political parties, academic
institutions and individual citizens sent their comments.

The Commission is currently still analysing the contributions received. However, the comments for which
an explicit authorisation to publish was given have already been made available on the Commission’s
Internet site (1).

The Commission intends to present its conclusions from the consultation on the Green Paper during the
first semester of 2004.

(1) http://europa.eu.int/comm/secretariat_general/services_general_interest/