Brexit - debate with Michel Barnier during the EESC Plenary Session

The speech delivered by the President of the Employers' Group, Jacek P. Krawczyk during the debate with Michel Barnier, EU's Chief Brexit negotiator

Dear Mr Barnier, as President of the Committee's Employers' Group, I am honoured to have the opportunity for an exchange of views with you.

I would like to congratulate you on the clear and open way in which you have started the process: we have a clearer roadmap of the priorities and sequence of issues to be tackled. As we prepare for the negotiations to intensify, the Employers' Group wishes to echo the concerns expressed by our close partners, namely national and EU-level employers' organisations, during this important period.

Employers, on both sides of the Channel, are not in favour of Brexit. But business has to deal with a situation it did not ask for. These negotiations create challenges for both sides but the EU is not a restaurant Ă  la carte. Here we fully support the Commission: there are no low hanging fruits for grabs.

As you are aware, we cannot yet anticipate the impact of Brexit on issues that are important for companies and citizens:

  • On free movement (4 freedoms – goods, services, capital, people).
  • On borders and customs (cross-border supply chains, checks, waiting times).
  • On maintaining standards and avoiding distortions of competition. (for goods and services).
  • On market access and regulatory convergence.
  • On legal certainty and applicable jurisdictions for companies, workers and citizens. 

The main expectation for employers is that companies have certainty on the withdrawal agreement and clarity about the future relationship. Hard or soft Brexit, this is essential. The shortage of political and economic certainty is already affecting EU-UK commercial relationships.

This also applies if negotiations are prolonged or if there is a transitional arrangement (i.e. new FTA). Companies must be able to continue their operations with as little disruption as possible. We would therefore like to know, in your view, what will be the Commission's approach if in a few months the negotiations don't produce the expected results on time?

Since the referendum, it often appears that we are in a damage-limitation exercise amid the climate of political uncertainty. Whatever happens EU-UK cooperation will continue on our common overarching policy challenges: globalisation, trade and investment, security. But the economic stakes are huge:  annual investment from UK to EU is around ÂŁ20bn – and slightly higher from EU to UK.

Of course we hope that the result of the negotiations can be of mutual benefit, giving us confidence that economic recovery in the EU stays on track. It is also a welcome opportunity to reflect on the future of Europe and our vision for the EU of 27. The Employers' Group believes in more Europe where needed and less Europe where there is no added value.

So how can we help? The EESC's role is to support the work of the Institutions, to support the Commission. We must play our role in this process too, on behalf of organised civil society and to advance the interests of companies and citizens. We can put at your disposal our expertise and offer to create space for informed debate. The business community has suggested stakeholders should be involved when tackling issues such as market access, regulatory convergence and customs.

On behalf of the Employers' Group we are ready to engage and we look forward to hearing how we can assist you during this process. We wish you the very best of luck in this challenging task ahead.