According to the European Commission, the legislative initiative on introduction of a European services e-card is designed to increase cross-border activities in the service sector and promotecompetition. However, in the view of the BAK, the legislative proposals do not provide any benefit. In reality, the proposals make it easier for dishonest companies and pseudo self-employed persons to engage in crossborder activities. Austrian companies and their employees could suffer considerable damage due to the resulting unfair competition. It also poses a considerable risk in terms of wage dumping and social dumping.