Sunday, April 1

Ever Larger Barriers

The European Union has launched yet an other attack on Europe's and thus the UK's army of expanding and very productive self-employed and small businesses. The EU Commission has produced an innocent looking Green Paper - all in the interest of ''harmonisation and integration.'' But innocent it is not.

In response The Federation of Small Businesses (FSB) has called on the European Commission to reconsider its proposals contained in the Green Paper on EU Labour law. A call that gives further evidence (as if it were needed) that the EU is the actual government of the UK.
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The FSB is concerned that the Green Paper seeks to create a 'one size fits all' approach to labour markets across the EU, which would further reduce flexibility in the UK labour market and put future small businesses and employment growth under threat. There is, as one would expect, very little in the document to protect the right to be self-employed. The true reason for that is eurocrats do not like the self employed is that they are far too difficult to monitor.

Although the European Union Commission's Green Paper accepts that there is a need to reduce administration burdens for small businesses, the FSB is now calling for action ''after many years of undelivered promises''. Well indeed, unfulfilled promises are very much in keeping with the EU culture that would only be a surprise to those that do not know the EU very well.
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Many workers prefer the traditional informality, flexibility and convenience of working for small businesses. The increasing corporate approach to employment with its over bearing 'HR' departments, a corporate culture is increasingly considered to be less than desirable, particularly with the younger and better educated work force. Twelve million people work for small businesses in the UK alone; a trend that is increasing.
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As the FSB stresses, since the 1980s 80% of big businesses in the US started as small businesses, whilst in the EU 80% of big businesses are the result of mergers. This demonstrates the failure of the EU at nurturing the self employed and small businesses to become bigger. Over 50% of jobs in the EU are created by less than 5% of hi-tech SMEs Small Medium Enterprises) and 99.8% of businesses are SMEs – therefore the current set-up of the social dialogue with trade unions talking to big business at the exclusion of all other sectors is indeed bad for the European economy and bodes ill for job creation in the UK.
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The greater point of this issue being that a '' one size fits all '' policy of the European Union is totally in keeping with the founding principle of European 'integration'. It is the price we are all expected to pay. It is we are told in Orwellian language ''good for us''.

Those, especially the Policy People, in the FSB, who do not understand that present day eurocrats are driving steadily towards the founding principles of the EU 'project' cannot therefore by definition understand how the mechanics of the EU are in practice working. The Green Paper is a part of that process and is in any significant respect - despite protests by eurolovies to the contrary - non negotiable in any meaningful aspect.

Thus, to lobby the EU in order to effect change may well appear impressive to the ill-informed but will in reality have no meaningful effect on the increasingly over controlled and over regulated wealth creators so very vital to our Economy.
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There is only one answer to the problem of the erection of larger barriers to the growth of businesses as that stalwart defender of British entrepreneurial life Lord Tebbit of Chelmsford confirmed last week when the Noble Lord joined the Better Off Out Campaign (BOO). So there, yet again we have it, we say BOO to the FSB.
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