The Assembly therefore calls on the governments of Council of Europe member states and on the
European Community to bear the following priority areas in mind when shaping, jointly or
individually, their policies for industry:
3.1 providing the best possible general environment for industry, in order to permit the most viable
companies to prosper and compete on fair and equal terms both within individual countries, groups of
countries, or worldwide;
3.2 encouraging the permanent adaptation by all companies, big and small, to constantly changing
economic and technological circumstances, rather than favouring a few selected major ones. Priority
should be given to precommercial research and development, and to combining resources and
abilities to focus on generic technologies as exemplified by the Eureka projects. Small and mediumsized
companies are particularly important, since they are often highly dynamic, innovative and
responsive as well as being a major source of new employment. This includes a legislative
framework designed to promote good "corporate governance" providing both for efficiency and for
high ethical standards in management vis-à-vis employees, society and the environment;
3.3 improving the efficiency of firms and thus increasing productivity and competitiveness, however,
rationalisation can also result in more unemployment and higher social costs. All measures to
increase efficiency should take this into consideration;
3.4 continuously enhancing the quality of the workforce, since education and human resource
development constitute the most important components of long-term economic competitiveness. A
good general education in schools (basic skills) and universities is of vital importance. Training
programmes should focus on giving comprehensive assistance to workers' adjustment. These
programmes should comprise retraining, job-search assistance and temporary income support. Cooperation
between management and labour can play an important role in increasing the company's
capacity to sustain profitability and higher real wages. Particular attention should be paid to the issue
of patents and to patent infringement, in a way such as to reconcile the rights of invention of
technologically developed countries with the legitimate preoccupations of developing nations;
3.5 fighting the threatening anarchy in world trade through a strong GATT capable of setting, and
having members respect, universal rules of competition in trade and investment. Such rules should
also contribute to the protection of the environment, and defend more resolutely the trade interests
and investments of developing nations and the countries of central and eastern Europe;
3.6 integrating central and eastern Europe as rapidly as possible into the European and world economic
mainstream, considering the region's massive economic problems and rapidly increasing
unemployment - not least because west European prosperity and stability otherwise risk foundering.
Every effort must be made to open western markets to these countries and to assist them in their
economic restructuring - even at the risk of temporary national disadvantages or a certain transitory
protection of industry in central and eastern Europe;
3.7 encouraging companies, by legislative and other measures, to engage more readily in the
protection of the environment, and press for higher worldwide standards in this domain, thus ensuring
that certain companies, countries or groups of countries are not placed at a competitive disadvantage
internationally;
3.8 refraining from increasing the overall burdens on European industry through legislation and
regulations which put it at a competitive disadvantage vis-à-vis other parts of the world.
