Madrid, August 5, 2024.- The analysis published last month highlights the demands of the construction employers’ association CECE with the European governments. Below, we highlight the requests of the FIEC employers’ association, more focused on the sustainability of the construction sector in the following 10 points:

1) Ensuring an adequate framework for public procurement: FIEC argued that Europe’s current legal framework does not adequately address unfair competition by third country companies in public procurement, especially those bidding at prices that appear to be abnormally low. It called for measures to restrict EU member states from undertaking in-house procurement and harmonised methods for identifying abnormally low tenders. It also called for measures to avoid the practice of imposing the use of particular BIM software on bidders.

2) Price adjustment mechanisms: It called on the European Commission to issue guidance aimed at encouraging member states to consider price revision mechanisms that take into account complexity of construction projects. The call comes after contractors in fixed price contracts were burned by supply chain problems and inflation, sending some bankrupt.

3) Investing in infrastructure: With pressure on European energy network to deliver far more renewable energy, along with a transport network that FIEC said is “far from complete and deteriorating”, it argued that investment in infrastructure projects should be a key priority at national and EU level.

4) Construction at core of transition to sustainable society: FIEC said that a series of plans to boost sustainability in Europe, including the Circular Economy Action Plan, Renovation Wave, Fit for 55 and other initiatives represent a business opportunity for construction sector. But it called for balance between the green agenda for and flexibility for industry, with enough time for companies to become more circular, adopt low-carbon construction materials, and low-emission fuels, and embrace new whole life cycle approaches, along with adequate financial support to cope with the “enormous efforts” involved in decarbonising the entire construction value chain.

5) Adequate implementation of EU taxonomy for sustainable activities:The EU taxonomy for sustainable activities a key reference for investors and companies, designed to direct investment to projects most needed for the transition to climate neutrality. FIEC’s manifesto said that it was essential to enable construction companies to comply with EU taxonomy’s technical criteria, which involves making sure that new or revised criteria must be implementable by construction companies. It also called on the European Commission to ensure that smaller companies that do not comply with ambitious technical criteria will have alternative solutions and aren’t cut off from investments.

6) Tackle labour shortage and skills gap: Construction companies are still struggling to find workers with skills, a problem that has become more pressing with the green and digital transition and an ageing population. FIEC urged the EU to increase investment in learning as well as apprenticeship schemes and schemes promoting the attractiveness of the construction sector. Meanwhile, it asked policy-makers to consider ways of allowing the safe access of skilled third-country nationals to the EU.

7) Build climate-resilient cities of tomorrow: FIEC called on the European Commissionto accompany member states, regions and cities in defining the medium- and long-term objectives for urban areas, striking the right balance between the urgency of climate protection and socio-economic needs such as affordable and social housing and mobility.

8) Ensure fair working conditions: On backdrop of mandate of European Labour Authority (ELA), FIEC said the EU should continue to fight against fraudulent practices in construction and improve access to and the quality of national and EU legislative information.

9) Strengthen a culture of prevention for healthy and safe working: FIEC said it backed the ‘Vision Zero’ scheme promoted by the European Commission in the field of occupational safety and health. But it warned that when adapting or elaborating occupational health and safety legislation, the EU must take into account specific sectoral circumstances and needs, including period of adaptation for companies. It called for the existing health and safety legislative framework across Europe to be made simpler and more easily enforceable without lowering protection for workers and companies.

10) Build a level playing field for European international contractors: Over the past decade, European construction has experienced “continuously increasing unfair competition” in public procurement procedures inside and outside the EU internal market from third-country state-owned enterprises, according to FIEC and EIC. While there have been some steps to level the playing field, they urged the new European Commission and European Parliament to continue in this direction and suggested that the reconstruction of Ukraine would be an ideal opportunity to introduce a ‘Buy European’ policy.

Now we have to wait to see if the European Commission, its policies for the next 5 years, will listen or not to these demands from the construction employers.