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What are the wider supervisory implications of the Wirecard case?

29-10-2020

While multiple causes underpin accounting scandals such as Wirecard, they often point at deficiencies in the audit profession and its oversight. Currently, the system of national public audit oversight boards (POBSAs) is fragmented and overly complex, characterized by limited responsiveness to red flags, and apparent lack of communication among the POBSAs, and with other supervisors. This suggests supervisory coordination and clear action triggers are imperative. Importantly, pervasively low transparency ...

While multiple causes underpin accounting scandals such as Wirecard, they often point at deficiencies in the audit profession and its oversight. Currently, the system of national public audit oversight boards (POBSAs) is fragmented and overly complex, characterized by limited responsiveness to red flags, and apparent lack of communication among the POBSAs, and with other supervisors. This suggests supervisory coordination and clear action triggers are imperative. Importantly, pervasively low transparency limits the usefulness of this briefing and hinders evidence-based policy making.

Údar seachtarach

Beatriz GARCÍA OSMA, Ana GISBERT, Begoña NAVALLAS

Access to the occupation of road transport operator and to the international road haulage market

07-07-2020

The regulations on admission to the occupation of road transport operator and on access to the international road transport market have been contributing to the functioning of EU road transport and fairer competition between resident and non-resident hauliers since December 2011. Despite the improvements they have brought to the sector, persistent shortcomings such as diverging national application of the rules and uneven enforcement called for a revision of both acts. On 31 May 2017, as part of ...

The regulations on admission to the occupation of road transport operator and on access to the international road transport market have been contributing to the functioning of EU road transport and fairer competition between resident and non-resident hauliers since December 2011. Despite the improvements they have brought to the sector, persistent shortcomings such as diverging national application of the rules and uneven enforcement called for a revision of both acts. On 31 May 2017, as part of a 'mobility package', the European Commission adopted a new proposal to address the main shortcomings affecting the sector, and improve its competitiveness and efficiency. In June 2018, Parliament's Committee on Transport and Tourism (TRAN) adopted its report. After further debates and procedural developments, Parliament adopted its first-reading position on 4 April 2019. The Council, on its side, reached a general approach on this proposal in December 2018, under the Austrian Presidency. After four negotiating rounds, the Council and Parliament reached a provisional agreement on the proposal on 12 December 2019, which was approved by Coreper on 20 December. The Council formally adopted its first-reading position on 7 April 2020, and the TRAN committee recommended on 8 June that Parliament approve it at second reading. The agreed text is thus due to be voted in plenary in July at second reading. If adopted, this would put an end to three years of debate on a complex and controversial proposal. Sixth edition. The 'EU Legislation in Progress' briefings are updated at key stages throughout the legislative procedure.

Proportionality test for new national regulations for professions

25-07-2018

In the EU, professions are regulated at either Union or Member State level. In the latter case, qualification requirements can differ widely between Member States, due to their respective historical development and experience. This can lead to a lack of clarity on the criteria used, and result in fragmentation of the single market. The proposed directive on a proportionality test before adoption of new regulation of professions, tabled by the European Commission, sought to harmonise the way in which ...

In the EU, professions are regulated at either Union or Member State level. In the latter case, qualification requirements can differ widely between Member States, due to their respective historical development and experience. This can lead to a lack of clarity on the criteria used, and result in fragmentation of the single market. The proposed directive on a proportionality test before adoption of new regulation of professions, tabled by the European Commission, sought to harmonise the way in which proportionality tests are carried out before Member States introduce new regulation on professions. The new directive will supplement provisions of Directive 2005/36/EC on the recognition of professional qualifications, last amended by Directive 2013/55/EU. The European Parliament proposed a specific status for healthcare services, and explicitly addressed gold-plating practices (unnecessary national requirements). A text was agreed between Parliament and Council in trilogue in March, which was voted in the Parliament plenary on 14 June 2018 and adopted by the Council on 21 June 2018. The final act was signed on 28 June 2018. Member States have until 30 July 2020 to bring into force the laws and administrative provisions necessary to comply with the directive. Third edition. The ‘EU Legislation in Progress’ briefings are updated at key stages throughout the legislative procedure.

Proportionality test for new national regulations for professions

06-06-2018

In the European Union, the right to choose an occupation and to exercise a regulated profession is a fundamental right. While professions are regulated either at Union or at Member State level, the EU principles of proportionality and non-discrimination should be respected. The Parliament and the Council reached agreement in trilogue negotiations on the European Commission's proposal concerning a proportionality test before adoption of new measures for the regulation of professions. The agreement ...

In the European Union, the right to choose an occupation and to exercise a regulated profession is a fundamental right. While professions are regulated either at Union or at Member State level, the EU principles of proportionality and non-discrimination should be respected. The Parliament and the Council reached agreement in trilogue negotiations on the European Commission's proposal concerning a proportionality test before adoption of new measures for the regulation of professions. The agreement reached in March 2018 is scheduled to be voted by the Parliament at first reading during the June plenary session.

Professional qualifications in inland navigation

08-11-2017

As part of its efforts to reduce transport emissions, the EU wants to make better use of inland navigation. This requires addressing the limited labour mobility and shortage of qualified workers in the sector. The proposed directive seeks to establish one competence-based system of qualifications for workers on all EU inland waterways. Ultimately, the new rules aim to make jobs in inland navigation more attractive. Parliament is due to vote on the proposal in plenary in November.

As part of its efforts to reduce transport emissions, the EU wants to make better use of inland navigation. This requires addressing the limited labour mobility and shortage of qualified workers in the sector. The proposed directive seeks to establish one competence-based system of qualifications for workers on all EU inland waterways. Ultimately, the new rules aim to make jobs in inland navigation more attractive. Parliament is due to vote on the proposal in plenary in November.

Adapting the road haulage market to developments in the sector: road transport operators and access to the market

16-10-2017

This note seeks to provide an initial analysis of the strengths and weaknesses of the European Commission's impact assessment (IA) accompanying the above proposal, submitted on 31 May 2017 and referred to Parliament's Committee on Transport and Tourism (TRAN). The existing legislative framework regulating European cabotage operations (the national carriage of goods for hire or reward carried out by non-resident hauliers on a temporary basis in a host Member State) was adopted in 2009 (Regulations ...

This note seeks to provide an initial analysis of the strengths and weaknesses of the European Commission's impact assessment (IA) accompanying the above proposal, submitted on 31 May 2017 and referred to Parliament's Committee on Transport and Tourism (TRAN). The existing legislative framework regulating European cabotage operations (the national carriage of goods for hire or reward carried out by non-resident hauliers on a temporary basis in a host Member State) was adopted in 2009 (Regulations 1071/2009 and 1072/2009) with the aim of supporting the completion of the internal EU market in road transport and, in particular, of boosting its efficiency and competitiveness. To this day, however, the national transport market remains fragmented as Member States restrict cabotage operations for non-resident hauliers. At the same time, the carriage of goods, especially by light commercial vehicles (LCVs), is on the rise and is expected to increase on account of technological development, the growth of the e-commerce sector, and the related increase in demand for delivery services. In preparation for the legislative proposal the Commission conducted a REFIT exercise that showed potential scope for cutting red tape and reducing compliance costs for transport operators and national authorities. The proposed regulation aims to improve the internal market for road transport and achieve a better balance (in terms of the administrative burden and the cost of compliance) between the various stakeholders (e.g. transport operators, national authorities, drivers and the customers of transport operators) by amending the existing regulation. For the Commission, the proposal is part of a broader legislative initiative regarding European road transport legislation in general and, more specifically, the proposal concerning social legislation for road transport. In this regard, it is also related to the reform of the free movement of labour, in particular the posting of workers. The proposed regulation is also in line with the European Parliament's call to the Commission, expressed in its resolution of 9 September 2015, to clarify or review Regulation 1072/2009 in order to take measures against illegal practices that lead to unfair competition and encourage social dumping.

Proportionality test before adoption of new regulation of professions

12-05-2017

In general, the IA appears to set out logical reasoning linking the problem, its underlying drivers, the objectives and the policy options to tackle the problem. It seems to be based on sound research and analysis, while nevertheless recognising that there are still data gaps to be filled. With regard to the analysis of impacts, a more targeted analysis of the likely impacts on SMEs might have been desirable. Also, the IA does not seem to identify operational objectives for its preferred policy option ...

In general, the IA appears to set out logical reasoning linking the problem, its underlying drivers, the objectives and the policy options to tackle the problem. It seems to be based on sound research and analysis, while nevertheless recognising that there are still data gaps to be filled. With regard to the analysis of impacts, a more targeted analysis of the likely impacts on SMEs might have been desirable. Also, the IA does not seem to identify operational objectives for its preferred policy option and corresponding monitoring indicators. More generally, a proof-reading of the final text, and different choices as to its organisation and presentation, would almost certainly have considerably improved the IA's clarity and readability and its effectiveness in supporting the policy choices made in the proposal.

Access to the occupation of road transport operator and to the international road haulage market

15-03-2017

Regulation (EC) No 1071/2009 and Regulation (EC) No 1072/2009 set out a common legal framework to access road transport operator business and the road haulage market. The different analyses and studies carried out at European level show that the two regulations had positive effects on the internal market (such as harmonisation, introduction of quantitative criteria, clarification of terms, linking of the international cabotage to international carriage operations) and are an appropriate tool to deal ...

Regulation (EC) No 1071/2009 and Regulation (EC) No 1072/2009 set out a common legal framework to access road transport operator business and the road haulage market. The different analyses and studies carried out at European level show that the two regulations had positive effects on the internal market (such as harmonisation, introduction of quantitative criteria, clarification of terms, linking of the international cabotage to international carriage operations) and are an appropriate tool to deal with this issue. Nevertheless, several shortcomings were identified, considerably limiting the efficiency of the two legislative acts. Improvements are therefore needed, in particular regarding cabotage performance, rules enforcement, clarifying problematic terms, letterbox companies, and infringements. At the same time, harmonising the issues interpreted differently by Member States will benefit the market as a whole. The situations experienced by stakeholders, as well as best practices, could provide useful input for future approaches in this field. Beyond specific provisions and particular issues to be clarified and/or improved, the existing evaluations show that the most appropriate approach for the future would be a progressive opening of the haulage market and a deeper harmonisation at economic, legal and social level across the European Union.

Implementing Measures under the Insurance Distribution Directive (EU) 2016/97

23-01-2017

This briefing has been drawn up to support ECON’s work on the scrutiny of delegated acts, in particular as regards the discussion of 25 January 2017 on the implementing measures under the Insurance Distribution Directive (EU) 2016/97.

This briefing has been drawn up to support ECON’s work on the scrutiny of delegated acts, in particular as regards the discussion of 25 January 2017 on the implementing measures under the Insurance Distribution Directive (EU) 2016/97.

Social, Economic and Legal Consequences of Uber and Similar Transportation Network Companies (TNCs)

15-10-2015

Commercial success and massive uptake of services provided by companies such as Uber trigger a number of questions for regulators both in the United States and in the European Union. The main question is if such web based applications or platforms merit their success solely to innovation or if their success is due to exploitation of loopholes in regulatory requirements. Citizens and consumer organisations question if regulatory responses to these innovative services are dictated by genuine concerns ...

Commercial success and massive uptake of services provided by companies such as Uber trigger a number of questions for regulators both in the United States and in the European Union. The main question is if such web based applications or platforms merit their success solely to innovation or if their success is due to exploitation of loopholes in regulatory requirements. Citizens and consumer organisations question if regulatory responses to these innovative services are dictated by genuine concerns over proper regulation of transportation services and consumer safety or constitute a protection of traditional incumbent transport operators.

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