ECONOMIC VISION 2020: Business. Finance. Economy.
cent reduction target by 2030. If Von der Leyen is serious about achieving carbon neutrality by 2050, then we require ambitious targets for 2030. As the S&D Vice-President responsible for a Green New Deal, I will be monitoring the Commission’s work in this regard. The EU has the potential to take leadership in implementing and enforcing current policies and in coming up with new proposals that can deliver the emission reductions required. Urgent action is needed to address maritime and aviation emissions, while the enforcement of standards for road transport are also a priority as is ensuring new energy-efficient building stock and renovating current buildings.
A skilled workforce not only secures a better standard of living for citizens but also ensures the availability of adequate future labour supply.
The peak of the migration crisis has passed, yet, little progress has been made to create a new framework that would prevent or help the EU deal with a similar crisis in the future. With geopolitical relations with Turkey, a strategic partner in addressing migratory flows, at a historic low, and several EU member states not willing to cooperate on long-term solutions, what progress do you see possible in this area, and what role can the EP play in the process? Very little progress has been registered but, at least, we can see some practical efforts by a few member states to reach an agreement on relocating people seeking protection upon arrival in the EU. The importance of funding as an incentive to member states should also not be overlooked. The new EU Asylum, Migration and Integration Fund is currently under negotiation. As the rapporteur for this instrument, I am pushing for a robust set of properly funded objectives that encourage member states to show solidarity with other member states, and with people in need of protection. I am seeking to ensure that the money is spent where it is needed – in front line member states and in those member states with the largest number of people seeking, or being granted, international protection across the EU. We also need to ensure that more money is available for the integration of people in need of protection into our societies. A new SME strategy is long overdue. This appears to be forthcoming during this mandate. How do you think SMEs can be aided to be productive, and to innovate and grow? SMEs are the backbone of our economy, representing over 90 per cent of all businesses. At an EU level, they account for 85 per cent of new jobs created in the last five years. To support SMEs is to support family-run businesses. It means supporting innovators and entrepreneurs. From a Maltese perspective, they provide vocational training to young people.
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In the SME strategy outlined by Von der Leyen, the Commission is expected to develop a new private– public fund specialising in initial public offerings for SMEs. The initial investment is expected to come from the EU, and that could be matched by private investors. To encourage growth, funding is not enough. Governments should provide SMEs with the necessary tools to help set up proper internal governance. This is especially important for family-run businesses whose interest is to keep on growing and expanding. Most of the budding SMEs today – such as those operating in sales and IT sectors to give an example – can expand their business to other EU member states. So, to increase their competitiveness, funds and schemes should provide internationalisation and innovation support services to SMEs. Finally, the EU is facing many labour market challenges, particularly characterised by an ageing population and a structural skills mismatch. Companies today are struggling to hire employees with the right profile compared to 5-10 years ago. What, in your view, can the EU do to address what many have already started labelling as a ‘skills crisis’? The pace of economic change is likely to accelerate because of technological developments and the spread of Artificial Intelligence. As a result of this, continuous education and training is needed. This education and training for students and current workers must take into consideration the jobs of the future. For a country to move forward, it needs to invest in a sustainable economy and services in different sectors. Innovation is the key, including the need to revitalise crafts and trade. This applies to a wide range of sectors, such as machinery, energy and smart grids, 3D printing, blockchain and more. Through continued social dialogue, governments, employers and unions can chart the way forward on how best to generate the necessary pool of funds that can be allocated for the upgrading of skills. A skilled workforce not only secures a better standard of living for citizens but also ensures the availability of adequate future labour supply.