Joint statement calling for balanced approach to subcontracting rules
HOTREC has joined BusinessEurope and fellow European-level employers’ organisations in a joint statement urging the European Parliament to reject, or substantially amend, the own-initiative report on subcontracting chains and intermediaries.
Subcontracting is a legitimate and essential business practice across the hospitality ecosystem. From specialised services and seasonal activities to maintenance, catering logistics and events, subcontracting enables flexibility, innovation and competitiveness, while supporting thousands of SMEs operating within Europe’s tourism value chain.
As highlighted in the joint statement, EU law already provides comprehensive safeguards for workers engaged in subcontracting arrangements. Existing instruments, including the Enforcement Directive on posting of workers and the Public Procurement Directive, establish clear liability and monitoring mechanisms.
Where challenges occur, the issue lies primarily in enforcement at national level, not in legislative gaps.
Introducing new EU-level restrictions, particularly limits on the number of subcontracting tiers or expanded joint liability regimes, would:
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create disproportionate administrative burdens for businesses,
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undermine contractual freedom and freedom of establishment,
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distort competition in the internal market,
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and weigh heavily on SMEs, which represent the vast majority of hospitality operators.
For hospitality businesses, such measures could reduce operational flexibility and increase costs at a time when the sector continues to face labour and skills shortages, rising input prices and intense international competition.
HOTREC therefore supports the call for policymakers to prioritise effective implementation of existing rules rather than introducing duplicative regulation.