Proposal for a COUNCIL REGULATION amending Council Regulations (EC, ECSC, Euratom) No 106/2001 of 15 January 2001 laying down the weightings applicable from 1 July 2000 to the remuneration of officials of the European Communities serving in third countries and No 1794/2001 of 10 September 2001 laying down the weightings applicable from 1 January 2001 to the remuneration of officials of the European Communities serving in third countries and adjusting the weightings applicable from 1 July 2000 and 1 January 2001 to the remuneration of officials of the European Communities serving in Naka (Japan)

(presented by the Commission)

EXPLANATORY MEMORANDUM

I. On 5 October 1987, by Regulation (Euratom, ECSC, EEC) No 3019/87, the Staff Regulations were amended by the addition of an Annex X laying down special and exceptional provisions, including special arrangements for emoluments, applicable to officials of the European Communities serving in third countries.

Articles 11, 12 and 13 of Annex X deal with the remuneration of officials posted in countries outside the European Union. Remuneration is payable in euros in Belgium but there is also provision for all or part of an official's remuneration to be paid in the currency of the country of employment. In that event, the portion of remuneration paid in local currency is subject to weighting.

Article 13 of Annex X requires the Council to determine the weightings for third countries every six months.

This proposal involves the amendment of Council Regulations (EC, ECSC, Euratom) No 106/2001 of 15 January 2001 and No 1794/2001 of 10 September 2001, and the adjustment of the weightings applicable from 1 July 2000 and 1 January 2001 to the remuneration of officials of the European Communities serving in Naka (Japan). In updating the economic parity of Naka (Japan), the rise in the cost of living in another town of the same name was used by mistake.

The budgetary impact is negligible compared with the total operating costs of the delegations.

II. Council Regulation (ECSC, EEC, Euratom) No 2175/88 of 18 July 1988 laid down the initial weightings applicable from 10 October 1987. Since then these weightings have been adjusted by the Council every six months, most recently by Regulation No 1794/2001 of 10 September 2001 which took effect on 1 January 2001.

The remuneration system for staff serving in countries outside the Community is based on equivalent purchasing power for Brussels and the various places of employment.

Application of this principle is based on the calculation of economic parities by Eurostat. The weighting is the factor obtained by dividing the economic parity by the exchange rate. This means that implementation of a weightings system primarily involves calculating economic parities between Brussels and the various places of employment.

The accounting exchange rates used are those for the month preceding the date of each rectification.

Tables A show the new economic parities, the corresponding exchange rates and the resulting weightings for July 2000 and January 2001 for the place of employment concerned.

Tables B show the variations in percentage terms between the figures in Tables A and those for the previous half-year for the place of employment concerned in July 2000 and January 2001.

ANNEX

TABLES A

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ANNEX

TABLES B

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Proposal for a COUNCIL REGULATION amending Council Regulations (EC, ECSC, Euratom) No 106/2001 of 15 January 2001 laying down the weightings applicable from 1 July 2000 to the remuneration of officials of the European Communities serving in third countries and No 1794/2001 of 10 September 2001 laying down the weightings applicable from 1 January 2001 to the remuneration of officials of the European Communities serving in third countries and adjusting the weightings applicable from 1 July 2000 and 1 January 2001 to the remuneration of officials of the European Communities serving in Naka (Japan)

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to the Staff Regulations of officials of the European Communities and the conditions of employment of other servants of the Communities laid down by Regulation (EEC, Euratom, ECSC) No 259/68 [1], as last amended by Regulation (EC, ECSC, Euratom) No 2804/2000 [2], and in particular the first paragraph of Article 13 of Annex X,

[1] JO No L 56, 04.03.1968, p. 1.

[2] OJ No L 326, 22.12.2000, p. 3.

Having regard to Council Regulations (EC, ECSC, Euratom) No 106/2001 [3] of 15 January 2001 laying down the weightings applicable from 1 July 2000 to the remuneration of officials of the European Communities serving in third countries and No 1794/2001 [4] of 10 September 2001 laying down the weightings applicable from 1 January 2001 to the remuneration of officials of the European Communities serving in third countries,

[3] OJ No L 19, 20.01.2001, p. 1.

[4] OJ No L 244, 14.09.2001, p. 1

Having regard to the proposal from the Commission,

Whereas:

(1) In updating the economic parity of Naka (Japan), the rise in the cost of living in another town of the same name was used by mistake. The weightings applicable to Naka (Japan) from 1 July 2000 and 1 January 2001 are consequently inaccurate and have to be corrected,

HAS ADOPTED THIS REGULATION:

Article 1

The tables annexed to Council Regulations (EC, ECSC, Euratom) No 106/2001 of 15 January 2001 laying down the weightings applicable from 1 July 2000 to the remuneration of officials of the European Communities serving in third countries and No 1794/2001 of 10 September 2001 laying down the weightings applicable from 1 January 2001 to the remuneration of officials of the European Communities serving in third countries are corrected with respect to Naka (Japan) as shown in the Annex.

The exchange rates for the calculation of such remuneration shall be those used for implementation of the general budget of the European Communities for the months preceding the months of July 2000 and January 2001 respectively.

Article 2

This Regulation shall enter into force on the day of its publication in the Official Journal of the European Communities.

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at Brussels,

For the Council

The President

ANNEX

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FINANCIAL STATEMENT

1. TITLE OF OPERATION

Proposal for a Council Regulation amending Council Regulations (EC, ECSC, Euratom) No 106/2001 of 15 January 2001 laying down the weightings applicable from 1 July 2000 to the remuneration of officials of the European Communities serving in third countries and No 1794/2001 of 10 September 2001 laying down the weightings applicable from 1 January 2001 to the remuneration of officials of the European Communities serving in third countries and adjusting the weightings applicable from 1 July 2000 and 1 January 2001 to the remuneration of officials of the European Communities serving in Naka (Japan)

2. BUDGET HEADING INVOLVED

A 6000

3. LEGAL BASIS

Articles 12 and 13 of Annex X to the Staff Regulations

4. BUDGETARY IMPACT

4.1 Provisional real expenditure EUR 88 531 000 for 2001 (EUR 7 377 583 per month) (1)

4.2 Estimated impact of July 2000 weighting + EUR 4 171 (2)

4.2.1 Estimated expenditure for six months [(2) x 6] + EUR 25 023

4.3 Estimated impact of January 2001 weighting + EUR 3 382 (3)

4.3.1 Estimated expenditure for six months [(3) x 6] + EUR 20 289

4.4 Impact in relation to provisional real expenditure [{(2) + (3)} : (1)] + 0.1024%