Meeting of the representatives
of the cooperative sector in Warsaw
National Co-operative Council of Poland
with the cooperation with the office CECOP-EST organizes
on March 31st - April 1st the meeting of
the representatives of the cooperative sectors in Warsaw.
The organizers consider the great importance
to discuss, among the leaders of the co-operative organizations
from the candidate countries, how their organizations
prepare themselves to the integration process, what
are their fears, expectations and hopes; to present
their experiences obtained hitherto. They are also convinced
that a common declaration of support of the European
integration signed by the co-operative leaders would
be a clear signal for millions of co-operators from
our countries encouraging them to take part in the forthcoming
referenda and to vote in favour of the accession to
the European Union.
The 2-days meeting will be held on March
31st - April 1st and they are invited only the representatives
of the cooperative sector of the candidate countries
which will access the EU in the first wave e.g. in May
2004. On the first day the international guests will
take part in a big forum with the representatives of
Polish co-operative movement, government, President’s
office and Parliament on “Poland’s and candidate countries’
co-operative movements in the enlarged European Union”.
On the second day we intent to hold a working meeting
of the co-operative leaders of the candidate countries
in order to discuss about concrete issues of the European
integration and its impact on co-operatives.
You could find enclosed the
proposal Declaration by the Co-operative
Community of the Central European Countries Candidating
for Membership of the European Union which is prepared
to sing if the present representatives will be agree
on it.
* * * * *
Declaration by the Co-operative
Community of the Central European Countries Candidating
for Membership of the European Union
The co-operative community of the Central
European countries welcome with joy the 16th of April
2003, the date of the signing in Athens of the Treaty
on the Enlargement of the European Union.
The co-operative movements of our countries, possessing
a tradition of over 150 years, and uniting millions
of members belonging to tens of thousands of cooperatives
representing all sectors of the economy, are convinced
that the 16th of April will go down as one of the most
important dates in the history of our region. They also
express the hope that this will be an important day
for our movement.
Entering together with our entire national economies
the powerful economic system of Europe, we, co-operators
from the candidate countries, are about to join the
great European cooperative family which, in the European
Union countries, is universally regarded as a key element
of the social economy and as the economic sector in
which economic energy is most harmoniously combined
with social objectives. Without co-operatives, it would
be difficult in Europe to imagine backing for agriculture,
a struggle against unemployment, local development or
social care. The significance of co-operatives and their
recognition by the authorities of the European Union
are illustrated by such official Commission documents
as “Co-operatives in Enterprise Europe” or the “Statute
for a European Co-operative Society”. It is also illustrated
by the important political role which sectoral European
co-operative organisations, representing the co-operative
movements in agriculture, labour, housing, consumer’s
and other sectors, play in talks with the European Commission.
We, the co-operative community in the candidate member-countries,
realise that this means great responsibility for us,
but also a great opportunity.
Therefore we express our recognition of the Governments
of our countries for the effective performance of difficult
negotiations which have finally led to the signing of
the Treaty. We have always rendered it our full support,
and will do so in future in the realisation of the process
of integration and in the preparations for the referenda
on accession. We desire to join in the information campaign
prior to the referenda.
We appeal to everyone to whom the welfare of our countries
and prosperity of co-operatives is dear, to say YES!
to European Union membership in the forthcoming referenda.
* * * * * *
Chances and Risks of the Czech
Republic in EU Accession
An accession of the Czech Republic to
EU structures ranks among the top priorities of the
Czech foreign policy since the nineties. Despite the
different doubtful or negative attitudes to the process
of the European integration, embracing all Central and
Eastern European countries, our government has always
fully promoted the idea of our accession to EU. This,
however, does not mean that the connected risks to be
faced by our economy would not be taken into consideration.
For quite a long time, till the end of the nineties,
the discussions on the strengths and weaknesses of this
step were held at different levels but without any fundamental
comprehensive arguments. Discussions were based on experience
of those European countries recently admitted to EU.
Their experience gained after the accession was applied
with smaller or bigger success to the Czech conditions.
Each party (for or against accession) selected suitable
arguments and tried to explain it in our conditions.
It is possible to say that these discussions were not
objective ones as it is not possible to apply all foreign
experience in our conditions.
In order to clarity the discussion and
support it by arguments a Study on Social and Economic
Impacts of the Accession was elaborated. The author
was a Working group for integration of the Czech Republic
to EU (a consultative body of the Council of the Economic
and Social Agreement). The working group consisted of
social partners of the Tripartite (including representatives
of the co-operative sector). The study is known as “The
Chances and Risks” and was published in March 2001 and
its contents activated discussion about our accession.
It was an impulse for continuation of further inquiry
into all aspects connected with the accession and it
led to publishing of the second part of the study in
May 2002. The title was The Social and Economic Links
in Relation to the Czech Republic´s Integration to EU.
While the first part of the study dealt
with macro-economic aspects of the integration the second
part dealt more with micro-economic aspects.
The referendum will be held in our country
in June this year. We can say that according to the
public opinion polls held in March 80% of our inhabitants
is for the integration. This is the present state. We
believe that this broad support will be expressed in
the referendum.
Now, allow me a few words on our changes
and risks. The studies show that EU accession will bring
higher demands on competitiveness of economic subjects
(not only on co-operatives). They will be forced to
cover additional costs but it will not be a shock of
the kind experienced during the transformation from
the centrally planned to the open market economy. We
are justified to suppose that from the long-term perspective
the assets will significantly dominate over the costs.
Concerning the short-term perspective it is important
that neither costs nor assets will be evenly scheduled
both concerning time and individual groups of economic
subjects.
One of the attributes of the present
situation in our country is a bad law enforcement at
all levels. We expect improvement of the situation in
this direction after our accession as the principle
of the defence of the weaker parts is incorporated in
aquis communautaire and it will be obligatory to include
it into our legislation, too. Of course, it is not only
the problem of amendments in our legislation but mainly
of adopting such regulations aiming at its implementation.
This will bring costs for all partners in relations
between employers-employees, producers and buyers-consumers,
shareholders majority and minority ones, citizen and
his/her health, big companies unfriendly to environment
etc. Our co-operative societies (as producers) will
experience impacts within these categories stemming
from the increased consumer protection (for instance
the products will be guaranteed for two years), higher
degree of employee protection (co-ops are employers)
as well as impacts from higher demands on environmental
protection (production sphere, packing, etc. ).
Integration to EU will strengthen confidence
in the Czech economy. It should result in more foreign
investments but also departure of investors of exclusively
speculative character. A bigger number of foreign investors
open new possibilities also for our co-operatives. They
will be able to gradually change to higher forms of
collaboration with foreign partners than is the present
work for a wage. This will become reality after adoption
of the Statutes of European Co-operative Society that
will enable creation of direct international co-operative
links (establishment of European co-operatives).
EU membership opens the possibility to
get finances from the structural funds. Co-operatives
can make use these broad possibilities under the condition
that they will be able to justify the need for these
funds (three priorities set by EU), elaborate draft,
programme and co-finance the project.
Further changes will appear in the sphere
of employment structures and employees qualifications.
We will access EU as a country with skilled and educated
labour (see European Commission Evaluating Report) but
despite this fact we will have to do a lot to improve
our labour quality. The main task after the accession
will be to retain highly qualified specialist in our
country. Co-operatives (and not only them) who will
not accept this trend will fail. Our education system
will have to adapt to labour market needs. The education
is a key factor for the implementation of economic and
social aims and for achieving economic prosperity. Our
sector of producers´ co-operatives is very much concerned
with apprentice training. In the past our producers´
co-operatives substantially participated in the apprentice
training in various fields of study. Only dozens of
the apprentice vocational schools remained that had
formerly educated thousands of good craftsmen and workers
in different fields of study. Today only hundreds of
pupils study at these schools. A lack of qualified workers
is felt within all production fields. Together with
integration to EU we expect a new development of adult
and apprentice vocational education as one of the chances
for the Czech Republic.
If we talk about expected costs to be
born by our co-operatives in connection with the integration
to EU we must mention costs concerning labour relations
and occupational safety and health in employment. In
reality it means creation and development of equal and
cultural relations between employees and employers,
respecting gender equality. The implementation of the
EU Directive on minimum health and safety requirements
at employment (Directive no. 89/655) will be very cost
and time consuming.
The mentioned studies stress expected
retail price increase at some products mainly because
our country (and other CEEC as well) do not achieve
the same or similar price level usual on the world markets.
This is a form of a compensation of the lower competitiveness
of their economies. The fact is that the price equalisation
with EU market will be faster than equalisation of wages
determined by the work productivity development.
A big majority of our co-operatives rank
among SME representing a relevant segment of our national
economy. The legislative norm regulating co-ops in our
country is the same for all businesses (Commercial Code).
Therefore our co-operatives face the same problems as
any other subjects. No valid Czech legislation takes
into account special characteristics of co-operative
business so no special advantages or relieves are granted
to co-operatives at national or regional level. By this,
I would like to stress, that all advantages and disadvantages
to be overcome by SME will have to be overcome by co-operatives
of all sectors as well.
The producers´ co-operative sector is
aware of the stronger competitive pressure to be expected
after the integration not only because of the increased
influx of foreign goods (which exists already now) but
also pressure from companies from the new Central and
Eastern Europe EU members. In some countries the labour
power is cheaper than in our country and without the
customs barriers the Czech market will become more accessible.
On the other hand their markets will open for our co-operative
products. This phenomenon can be advantageous namely
for co-operatives operating in the border areas.
Concerning expected positive sites we are of the opinion
that after integration we will be part of the unified
European market. As such we expect to enjoy the same
protection of internal market as is applied by the existing
member countries. What I mean here is namely protection
against influx of cheap products from Asia (textile,
shoes, electronics).
The leadership of our union (but also
of the Co-operative Association of the Czech Republic)
pays a special attention to preparation to EU accession
and tries to ensure that co-operatives are well prepared
for this step. I would like to stress that our Management
Board fully supports Czech accession and makes all efforts
so that co-operatives have the same attitude. As part
of our activities connected with the preparations we
have launched an information campaign in our publications.
We regularly publish information on current preparations,
on European Community discussions, existing programmes
and EC projects. Within our system of education and
training we inform about inclusion of acquis communautaire
into our legislation, about law amendments, regulations
and directives in connection with this process. The
co-operative employees are trained on application of
these new norms into the practice. In preparation process
our Union introduces quality management system using
ISO 9000, system of environment protection 14000, certification
of these systems, EU technical norms, applies for PHARE
Programme finances for promotion of integration processes,
support of competitiveness and co-operative innovation
activities. We try to make use of the experience of
our EU partners mainly from France and Italy. Therefore
we maintain bilateral relations but also contacts through
CECOP /The European Confederation of Workers´ Co-operatives,
Social Co-operatives and Participative Enterprises/.
European Commission projects implemented within CECOP
activities have been a relevant source of knowledge
for us not only concerning the co-operative sector in
EU countries but also in candidate countries participating
in the projects. Positive is also the fact that representation
of CECOP and its activities in the CEEC known as CECOP-EST
is based in Prague within the structure of our Union.
To know what the integration to EU structures will bring
about for co-operatives means to be well informed about
EU co-operative sector. It is our participation in CECOP
activities that enables us to get the information of
this character.
We do not hide the fact to our
co-operatives that the early stages of our integration
will be generally very demanding but at the same time
we stress that if they are well prepared they will undoubtedly
overcome the early obstacles and will soon be able to
make use of the united market conditions for the benefit
of themselves and of our co-operative movement. Among
our members there are co-operatives that have already
met very difficult criteria of European business activities.
They cannot by overtaken by the accession.
