MARIGOT–Senator Guillaume Arnell has said St. Martin companies will continue to fall within the provisions of Loi pour le Devéloppement Economique des Outre Mer (LODEOM) for another year, benefitting from the system of employer social security exemptions.
However, he said the reform undertaken by the Government in its Draft Financing Law of the Social Security PLFSS for 2019 planned to align the LODEOM with the general regime, to restrict the list of sectors eligible for these exemptions and finally simplify the scales.
“This reform would have particularly penalised the economic sector of St. Martin essentially composed of very small and medium-sized companies,” Arnell explained. “The island’s socio-professionals immediately sounded the alarm and alerted the Collectivité, which issued an unfavourable opinion on this PLFSS project. They then asked us, myself and Députée Claire Guion-Firmin to open the debate in Parliament.
“By working together we were finally able to reason with the Government. We want to thank in particular Maître Sandrine Jabouley, Michel Vogel and all the socio-professionals for their investment in this sensitive issue.”
At first reading in the National Assembly, amendments aimed at raising the rate and thresholds in favour of the companies of St. Martin defended by Claire Guion Firmin were granted by Gérald Darmanin, Minister of Action and Public Accounts.
During examination of the text in the Senate, Arnell defended a similar amendment supported by a new argument. In the face of Overseas Minister Annick Girardin’s opposition, the Senator strongly deplored the lack of alternatives proposed by the Government.
The Government, however, introduced a second reading to the National Assembly and consented to an amendment ensuring for one year continuation of the LODEOM benefit.
“When we work together, elected officials and the driving forces of St. Martin, we are stronger and with a more audible voice to face Government. Now it is up to companies to translate in reality this effort that we have obtained to make good use of these measures to encourage local hiring and to build, in consultation, the future framework a reform that allows our companies to be competitive,” concluded Claire Guion-Firmin and Guillaume Arnell.
Source: The Daily Herald https://www.thedailyherald.sx/islands/84253-senator-arnell-st-martin-companies-to-benefit-from-lodeom-for-another-year
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