“It's time to turn the page. Italy needs a real one shock therapy, which must mark a strong discontinuity and produce immediate economic effects”. This is the alarm raised by Confindustria in the programmatic document that will be sent to the political forces in view of the next elections.
Viale dell'Astronomia points out that since 2007 industrial production has lost 25%, while the unemployment rate has doubled and per capita income has returned to 1997 levels. According to the association, “it is the risk of destruction of our industrial base is high. It's a'economic and social emergency. We must regain growth, create jobs, give young people back a future of progress. Immediate, strong and courageous choices are needed".
Confindustria asks those who aspire to lead the country to "recognize and reaffirm the centrality of businesses", because without the necessary choices "in the next few years we will not grow more than 0,5% per year. The alternative is decline: we cannot and will not accept it. The future of our young people and our businesses depends on it. We have to go back to growing, it's an imperative, an achievable goal".
The concrete measures contained in the document (and anticipated by "La Repubblica") aim to increase GDP by 12% in five years, creating 1,7 million jobs.
Here is an outline of the proposals on the table:
TAX AND PUBLIC EXPENDITURE
– Reduction of the tax wedge of 8% in three years for the manufacturing sector from the IRAP tax base, to be accompanied by an 11% cut in social security contributions.
– Increase in VAT rates: the first two should go from 4 to 6% and from 10 to 12% (an increase of the third from 21 to 22% is already envisaged starting from July), simultaneously bringing the rate to 6% on groceries currently subject to 10%.
– Reduction of the IRES rate from 27,5% to 23%.
– Increase from 20 to 23% for the substitute tax rate on financial income.
– Remodulation of the personal income tax levy on the lowest incomes.
– Cuts to current state spending equal to 1% per annum.
WORK
– Modification of the Fornero reform in the sense of greater flexibility in entry, encouraging part-time work for workers with at least 40 years of contributions to encourage the hiring of young people.
– Increased working hours for a total of one week per year. These hours would be paid double compared to the usual salary, because on these the entrepreneur would be allowed not to pay either Irpef, contributions or Irap. In a recessionary phase, this proposal can only be of interest to exporting companies.
PAYMENT OF PUBLIC ADMINISTRATION DEBTS
The industrialists' association is asking the public administration to immediately liquidate two thirds of the debts to companies and proposes excluding unsold buildings from the IMU for a period not exceeding three years from construction.
