It is important that Economics Minister Martin Kocher has already expressed a clear stance – the directive would be a massive disadvantage for SMEs and thus for the local location
Vienna (OTS) – “The current draft of the supply chain directive cannot be approved. This would mean a massive competitive disadvantage, especially for domestic small and medium-sized businesses and thus also for Austria as a business location. The latest economic forecasts already show that growth in Europe is significantly weaker than in the USA and Asia. When it comes to new laws, special care must be taken to ensure that they do not further weaken Europe’s position in the global economy,” explains ÖVP economics spokesman Peter Haubner. Economics Minister Martin Kocher’s abstention from tomorrow’s vote at EU level “is therefore fully supported.” The Austrian corporate landscape consists of over 99 percent of SMEs, which would face “a bureaucratic monster with enormous liability obligations” under the supply chain directive. Haubner continued: “This is a draft that has not been fully thought out and cannot be approved because it is not possible, especially for smaller companies, to check whether there have been violations along the supply chain. This is not reasonable for the companies, Economics Minister Kocher is acting in their interests by not agreeing.”
The current draft would ensure that a company would be liable for violations that occur many steps earlier in production at suppliers, as well as for steps in downstream production. “The bureaucratic effort is pushing smaller companies out of the market and this form of control or tracking of even indirect business partners is impossible for export-oriented companies,” says Haubner. Those who are still vehemently in favor of Austrian approval may not mean well for the Austrian economy and the location. Finally, the economic spokesman for the People’s Party emphasizes: “The People’s Party is and remains the strong partner of the economy in our country. We are working for the best framework conditions for them. In Austria, in Europe and the world.” (Ending)
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