21 abr 2017
Legislative issues

CEOE presents its proposals to improve legislation and legal processes

Abundant and unclear legislation distorts the market and hinders business activity

Legislative quality and legal processes have direct effects on the growth of a country, warns CEOE in the document prepared by its Legal Commission comprised of 'Proposals to improve the legislation and the Administration of Justice', and in which it states that one of the main factors that investors take into account when making their decisions is "the existence of clear, practical and reasonable legislation and a predictable, agile and efficient judicial system."

CEOE’s Legal Commission analysed the proposals in Parliament
CEOE’s Legal Commission analysed the proposals in Parliament — ©CEOE

CEOE’s Legal Commission analysed the proposals in Parliament with the President of the Justice Commission, Margarita Robles, and the spokespeople for the parliamentary groups during a meeting on "Proposals for the Promotion of Growth in Spain: Legislation and Justice". Also participating in the event were the Minister of Justice, Rafael Catalá, and the president of Congress, Ana Pastor, who delivered the closing speech. On the Employers’ side, attendees included Valentín Pich, president of CEOE’s Legal Commission; José María Campos, Secretary of said Legal Commission, and Josep Sánchez Llibre, Head of Relations with Parliament.

In the document, CEOE states that hyper-regulation "is a problem that Spain suffers." For entrepreneurs, legislation "abundant and, at times, unclear and unsystematic, causes distortions in the market and hinders business activity." In this respect, it recalls that Spain ranks 32nd among economies in which business is easier to implement, at a great distance from countries such as the United Kingdom or Germany and below the OECD average. Likewise, Spain ranks 85th in terms of the easiness to launch a business.

On the other hand, CEOE considers that a judicial system that is "slow and ineffective” generates delays in the resolution of commercial conflicts and creates additional costs to the business sector as well as to the Administration itself ". On the contrary, "an efficient judicial system protects the entrepreneur, favours transparency in commercial relations and decreases delinquency."

Therefore, CEOE believes that improving the quality of our legislation and adopting measures that expedite the judicial system "must be a priority in order to foster economic growth in Spain." To achieve these goals, CEOE sets forth proposals for improvement measures both, at the legislative level and in the Administration of Justice.

The former include less and better legislation, listening to the the addressee of the regulatio, diligent control of the technical quality of the regulation and to reinforce its explanatory purpose, as well as for administrations to have regulatory coordination.