FISCAL  INCENTIVES  ARE  INDISPENSABLE  PREREQUISITES
FOR  THE  DEVELOPMENT  OF  EMPLOYEE  SHARE  OWNERSHIP

Worldwide practical evidence and a wide range of academic research credibly and authentically support the view that a proper legal environment and the provision of suitable fiscal incentives are indispensable prerequisites for any policy truly aiming the development of employee share ownership.

Moreover, such evidence and research also show that fiscal incentives always pay off medium/long term and in many ways.

Organizations promoting employee ownership around the world have demanded persistently and consistently supportive legislations including fiscal incentives for the common good (evidenced in additional growth and profitability, the spread of wealth, contribution to economic and social stability).

New fiscal incentives pave the way to new encouraging development, while political decisions reducing or cutting such incentives always lead to regression.

From this perspective it is very unfortunate and damaging that Professor Jens Lowitzsch in his study prepared for the European Parliament under the title "Employee Financial Participation in Companies' Proceeds" (September 2012) attempted to cast doubt, even to deny the well founded and widely shared view.

In addition, we demonstrate how biased Lowitzsch chose the cases for his study:

He chose very specific cases (basically exceptions) for supporting his statements instead of presenting "typical" cases and putting the employee share ownership experience in large European companies into a worthy place in the analysis, the way how an honest scientific approach should have done.

On the other hand, authors of the study were severely condemned by the Court of Justice of Brussels on 6 June 2014.  The study has to be definitely removed by the European Parliament. Considering the seriousness of the facts, the judgment is immediately enforceable. More information on this issue

 


 

 

 

 

For information and contact
 EFES - EUROPEAN FEDERATION OF EMPLOYEE SHARE OWNERSHIP
FEAS - FEDERATION EUROPEENNE DE L'ACTIONNARIAT SALARIE
Avenue Voltaire 135, B-1030 Brussels
Tel: +32 (0)2 242 64 30 - Fax: +32 (0)2 808 30 33
E-mail: efes@efesonline.org
Web site: www.efesonline.org
EFES' objective is to act as the umbrella organization of employee owners, companies and all persons, trade unions, experts, researchers, institutions looking to promote employee share ownership and participation in Europe.