This document is an excerpt from the EUR-Lex website
Document 92003E001380
WRITTEN QUESTION E-1380/03 by Anne Jensen (ELDR) to the Commission. Wage subsidies in Germany.
WRITTEN QUESTION E-1380/03 by Anne Jensen (ELDR) to the Commission. Wage subsidies in Germany.
WRITTEN QUESTION E-1380/03 by Anne Jensen (ELDR) to the Commission. Wage subsidies in Germany.
JO C 70E, 20.3.2004, pp. 39–40
(ES, DA, DE, EL, EN, FR, IT, NL, PT, FI, SV)
|
20.3.2004 |
EN |
Official Journal of the European Union |
CE 70/39 |
(2004/C 70 E/043)
WRITTEN QUESTION E-1380/03
by Anne Jensen (ELDR) to the Commission
(15 April 2003)
Subject: Wage subsidies in Germany
According to Danish media reports, German tradesmen are entitled to receive wage subsidies from the German state, thereby substantially reducing the cost of their labour. Apparently, certain German building firms have endeavoured with the backing of such wage subsidies to enter the construction market in Denmark. This means that, thanks to the subsidy from the German state, they can practice price dumping and out-bid Danish building firms that are not in receipt of wage subsidies.
Will the Commission advise whether this kind of wage subsidy does in actual fact distort competition and run counter to the EU's competition rules?
Answer given by Mr Monti on behalf of the Commission
(4 June 2003)
The information available to the Commission does not allow to identify the German public support measure, as described in Danish media reports and as referred to by the Honourable Member. Therefore, the Commission requested Germany to provide all necessary information. Should the German measure exist and contain state aid in the meaning of Article 87 paragraph 1 of the EC Treaty, and should this aid not be exempted from notification pursuant to the Commission Block Exemption Regulation (EC) No 2204/2002 of 12 December 2002 on the application of Articles 87 and 88 of the EC Treaty to State aid for employment (1), its compatibility will be assessed under the relevant State aid rules.
(1) OJ L 337, 13.12.2002, and Corrigendum OJ L 349, 24.12.2002.