Europaudvalget 2016-17
EUU Alm.del Bilag 222
Offentligt
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Att: Commissioner Margrethe Vestager
European Commission
Rue de la Loi / Wetstraat 2001049 Brussels
ERHVERVSMINISTEREN
Dear Commissioner Margrethe Vestager,
Joint letter from Denmark, Norway, Sweden and France concerning
state aid for relocation of jobs
In the Commission’s second draft of the General Block Exemption Regu-
lation (GBER) published 13 October 2016, it has come to our attention
that no alterations so far have been taken on board amending the text in
respect to the proposed article 2 point 61 a concerning provisions for con-
trol of relocation of undertakings and jobs based on state aid.
We would therefore like to take this opportunity to further elaborate and
explain the important proposed amendment of the block exemption, as we
are concerned for possible loss of control with relocation of undertakings
and jobs based on state aid in light of the proposed revision of the GBER.
We sincerely hope that the Commission will take onboard the following
concerns and that we can continue communication on this issue in order
to reach a solution.
We must relay our strong concern with the proposed insertion in the
GBER of a compatibility criterion of “unsubstantial” job losses resulting
from a regional investment aid beneficiary’s relocation. We are very con-
cerned about the current drafting of the Commission’s proposal in point
61a of the GBER to include regional investment aid for the relocation of
undertakings and workforce which defines “Closure” to mean losses of at
least a 100 jobs or at least 50 % of the workforce.
We propose that the provision should be rephrased to only include the
first sentence;
“Closure of the same or similar activity’ means full clo-
sures and also partial closures...”
and exclude any type of threshold. If a
threshold is inevitable, the number of 100 jobs should be set significantly
lower to minimize the distortive effects, which will surely arise from an
ERHVERVSMINISTERIET
Slotsholmsgade 10-12
1015 Kbenhavn K
Danmark
Tlf.
+45 33 92 33 50
Fax.
+45 33 12 37 78
CVR-nr. 10092485
EAN nr. 5798000026001
[email protected]
www.evm.dk
EUU, Alm.del - 2016-17 - Bilag 222: Notat samt 2. høringssvar vedr. revision af gruppefritagelsesforordningen (havne og lufthavne)
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unfair competition of state budgets, especially in countries where the
work force is mostly engaged in SMEs.
To further outline this rationale one must look at the proposed new provi-
sion in connection with the existing regional aid guidelines (RAG) for
2014-2020, which defines such moving around of jobs as a manifestly
negative effect (point 121, 126), unlikely to be balanced by any positive
elements
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of course, provided that that there is a causal link between the
aid and the relocation. The RAG also explicitly states that such ‘reloca-
tion aid’ granted under a notified scheme remains subject to the same no-
tification obligation as the scheme.
This leads to a contradiction between the logic of the RAG and the pro-
posed new definition in the GBER article 2 point 61 a. The proposed new
article 2 point 61 a defines “Closure” to mean losses of at least a 100 jobs
or at least 50 % of the workforce. The exemption in the GBER laid down
in Article 13 provides Member States with a legal guarantee that aid to
relocation of undertakings below losses of 100 jobs or below 50 % of the
workforce is automatically compatible with the single market. This stands
in contrast with the presumption of incompatibility for this type of aid in
the RAG, which makes such aid subject to notification. The Commission
should not underestimate the deterrent effect of keeping a notification
requirement and the corollary risk of exposure to illegal aid and recovery.
The clear message from the Commission must be that there is no Europe-
an value added, if regional investment aid is allowed to move jobs around
Europe with tax payers’ money - be it national state aid or EU structural
funds. The aim must be to create more innovation, economic growth and
jobs based on fair competition on the single market - not to move under-
takings and jobs around Europe with public money.
We hope that these arguments have persuaded the Commission to reas-
sess the current proposed wording of point 61a and we would urge the
Commissioner to feel free to contact us for any further elaboration on this
issue.
Yours sincerely,
EUU, Alm.del - 2016-17 - Bilag 222: Notat samt 2. høringssvar vedr. revision af gruppefritagelsesforordningen (havne og lufthavne)
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Brian Mikkelsen
Minister for [Industry, Business and Financial Affairs]
Denmark
Monica Mæland
Minister of Trade and Industry
Norway
Mikael Damberg
Minister for Enterprise and Innovation
Sweden
Michel Sapin
Minister of the Economy and Finance
France