COMMISSION STAFF WORKING PAPER

2013 Eurostat Report on the annual adjustment of remuneration and pensions of EU officials

Accompanying the document

Proposal for a Council Regulation

adjusting with effect from 1 July 2013 the correction coefficients applied to the remuneration and pensions of officials and other servants of the European Union Contents

Executive Summary. 3

Introduction. 4

1........... Correction coefficients for staff outside Belgium and Luxembourg. 6

1.1........ Adjustment of remuneration and pensions outside Belgium and Luxembourg. 6

1.2........ Correction coefficients for staff outside Belgium and Luxembourg. 6

2........... Correction coefficients for pensioners outside Belgium and Luxembourg. 10

3........... Correction coefficients for staff serving outside the European Union. 13

Executive Summary

Annex XI of the Staff Regulations sets out rules for implementing Articles 64 and 65 of the Staff Regulations. These are supplemented by procedural manuals adopted by the Working Groups on Articles 64 & 65 of the Staff Regulations which meet periodically in Luxembourg, and other applicable legislation and international agreements.

The version of Annex XI adopted in May 2004 expired with effect from 31 December 2012 although Articles 64 and 65 continued to apply. Owing to the legislative void, the modalities to be followed for the Eurostat report covering the period July 2012 – July 2013 were discussed at the meeting of the Article 65 Working Group held in Luxembourg in March 2013 and at the joint meeting of the Articles 64 & 65 Working Groups held in Luxembourg in September 2013.

A new version of Annex XI was subsequently adopted in October 2013. This takes effect from 1 January 2014, however the annual adjustment of remuneration and pensions in Belgium and Luxembourg is temporarily suspended by Article 65(3) which introduces an immediate two-year pay freeze.

In these circumstances, this report presents only the information required for the annual adjustment of remuneration and pensions outside Belgium/Luxembourg, namely:

- correction coefficients for staff working outside Brussels (Intra-EU and Extra-EU);

- correction coefficients for pensioners living outside Belgium.

The correction coefficients which apply to remuneration outside Belgium and Luxembourg in order to maintain equality of purchasing power, are provided in Tables 5 and 9 for staff serving in Intra-EU and Extra-EU duty stations respectively.

The correction coefficients which apply to pensions outside Belgium and Luxembourg in order to maintain equality of purchasing power, are provided in Table 7.

Introduction

In accordance with the Articles 64 and 65 and Annex XI of the Staff Regulations applicable to officials and other servants of the European Union, Eurostat hereby presents its report for the twelve months to July 2013.

Annex XI of the Staff Regulations describes rules for implementing Articles 64 and 65 of the Staff Regulations, ie. the method for the annual adjustment of remuneration and pension of European officials. These rules are supplemented by procedural manuals adopted by the Working Groups on Articles 64 & 65 of the Staff Regulations which meet periodically in Luxembourg, and other applicable legislation and international agreements[1].

The version of Annex XI adopted in May 2004[2] expired with effect from 31 December 2012 although Articles 64 and 65 continued to apply. Owing to the legislative void, the modalities to be followed for the Eurostat report covering the period July 2012 – July 2013 were discussed at the meeting of the Article 65 Working Group held in Luxembourg in March 2013 and at the joint meeting of the Articles 64 & 65 Working Groups held in Luxembourg in September 2013.

A new version of Annex XI was subsequently adopted in October 2013[3]. This takes effect from 1 January 2014, however the annual adjustment of remuneration and pensions in Belgium and Luxembourg is temporarily suspended by Article 65(3) which introduces an immediate two-year pay freeze.

In these circumstances, the annual adjustments shall accordingly be determined by the following factors:

· economic parities between Brussels and elsewhere (correction coefficients) using the same calculation approach as 2003-2012 (current manual A64/11/27 for Intra-EU and A64/11/28 for Extra-EU).

Chapters 1 to 3 of this report examine respectively:

· Economic parities between Brussels and other locations outside Belgium and Luxembourg, for staff (intra-EU),

· Economic parities between Brussels and locations outside the European Union, for staff (extra-EU), and

· Economic parities between Belgium and other member states, for pensioners.

All figures and calculations contained in this report relating to intra-EU locations are based on data supplied by the responsible authorities in the Member States with the exception of information about the consumption patterns of EU officials, which is collected directly by surveys. Information for extra-EU locations is compiled in collaboration with the United Nations International Civil Service Commission and the International Section on Remuneration and Prices of the Coordinated Organisations. More information on methodology, detailed results and statistical analysis is available in the appendices to this report and detailed procedural manuals[4].

For any information concerning this report, please contact Eurostat in Luxembourg:

Eurostat, Unit C3

Statistics for Administrative Purposes

BECH – A2/004,

Bâtiment Jean Monnet

L-2920 Luxembourg

Tel.: (352) 4301-34792

Email: estat-a64ia65@ec.europa.eu

1. Correction coefficients for staff outside Belgium and Luxembourg

1.1. Adjustment of remuneration and pensions outside Belgium and Luxembourg

The value of the annual adjustment for duty station locations outside Brussels (active staff) and places of residence outside Belgium (pensioners) is equal to the product of the annual adjustment for Brussels (active staff) or Belgium (pensioners) multiplied by the change in the economic parities between Brussels and the duty station (active staff) or Belgium and the country (pensioners).

In accordance with Article 65(3) of the Staff Regulations adopted in October 2013, the annual adjustment for Brussels (active stafff) or Belgium (pensioners) is zero (ie. a pay freeze).

However, in order to maintain equivalence of purchasing power, it is still necessary to take into account changes in economic parities between Brussels and elsewhere.

For the 2012-13 exercise it was agreed at the meeting of the Article 65 Working Group held in Luxembourg in March 2013 and at the joint meeting of the Articles 64 & 65 Working Group held in Luxembourg in September 2013 to calculate economic parities between Brussels and elsewhere using the same calculation method as for 2003-2012 (current manual A64/11/27 for Intra-EU and A64/11/28 for Extra-EU), with the change in the cost of living in Brussels (Belgium) being measured by the Harmonised Index of Consumer Prices for Belgium.

In accordance with Article 3(5) of Annex XI no correction coefficient is applicable in Belgium or Luxembourg.

1.2. Correction coefficients for staff outside Belgium and Luxembourg[5]

The object of the economic parities is to compare the relative costs of living of EU officials in Brussels (reference city) with each of the European capitals and other places of employment in the European Union for which a correction coefficient has been set. The method used is to compare the price of a "basket" of goods and services in Brussels with the prices of similar goods and services in each of the other places of employment. The weighted average of all the price ratios is the "economic parity". The average consumption expenditure pattern of EU officials are used as weights, identified by means of periodic surveys of household expenditure. In places of employment outside Brussels with very few officials, a common structure pooling all the questionnaires from similar locations is derived instead.

The changes in the cost of living in the places of employment outside Belgium and Luxembourg are measured by the implicit price indices which are calculated as the product of the Harmonised Index of Consumer Prices for Belgium (HICP) and the changes in the economic parities between Brussels and those other places. Table 4 shows these changes for the year to July 2013.

The correction coefficients applicable to the salaries of the European institution officials working in the capitals and places of employment other than Brussels and Luxembourg are determined on the basis of the relationships between the economic parities and the exchange rates for the month of July.

The correction coefficient operates as a percentage adjustment to salaries to take account of the cost of living differences between Brussels and the various duty stations.

Table 5 shows the calculation of the correction coefficients at July 2013 for places of employment situated in the European Union territory for which correction coefficients have been set.

2. Correction coefficients for pensioners outside Belgium and Luxembourg

The Staff Regulations which are in force since 1 May 2004 stipulate the creation of correction coefficients for pensioners separate from those used for staff remuneration. The difference is that instead of being based on capital city price comparisons they relate to national comparisons, with Belgium as the base country.

Their use is subject to specific rules set out in the Staff Regulations.

This section presents the calculated values of the economic parities and the correction coefficients for pensioners. The changes in the cost of living in Member States other than Belgium and Luxembourg are measured by the implicit indices which are calculated as the product of the Harmonised Index of Consumer Prices (HICP) for Belgium and the changes in the economic parities between Belgium and the Member States.

Table 6 shows these changes for the year to July 2013.

Table 7 shows the correction coefficients for all member States (relative to Belgium) calculated for the pensioners at July 2013.

3. Correction coefficients for staff serving outside the European Union

Since 1989 the Staff Regulations also stipulate the creation of correction coefficients for staff serving in duty stations outside the European Union. An important difference is that expenditure on housing, on education, and on healthcare is not taken into account as specific arrangements are made for these. Price data for remaining expenditure items is taken from “place-to-place” surveys undertaken in collaboration with the United Nations International Civil Service Commission and the International Section on Remuneration and Prices of the Coordinated Organisations, rather than from surveys run directly by national authorities. This is used to establish economic parities with Brussels, which are subsequently updated using published national consumer price indices (relative to the harmonised index of consumer prices for Belgium). Another important difference is that in accordance with Annex X of the Staff Regulations, correction coefficients are only applied at the specific request of the EU official, irrespective whether they are above or below 100.

This section presents the calculated values of the economic parities and the correction coefficients for extra-EU staff. Information is compiled for a list of 143 duty stations, however economic parities are not presented where data is unavailable or unreliable due to local instability or other reasons. The total changes in the cost of living are measured by the implicit indices which are calculated as the product of the Harmonised Index of Consumer Prices for Belgium (HICP) and the changes in the economic parities between Brussels and the duty station concerned.

Table 8 shows these changes for the year to July 2013.

Table 9 shows the correction coefficients for all extra-EU duty stations (relative to Belgium) calculated at July 2013.

Appendix 1 to the

Eurostat Report on the Annual Adjustment of Remuneration and Pensions Explanations and statistical analyses

Reference period:

Year to 1 July 2013

CONTENTS

1. Equivalence of purchasing power of EU officials in the Member States 3

1.1. Economic parities and correction coefficients. 3

1.2. Rents and rent parities. 4

1.3. Purchasing power parities - analysis of results. 14

1.3.1. Major changes in the economic parities from 2012 to 2013. 14

1.3.2. The impact of rent parities on the overall parities. 18

2. Equivalence of purchasing power of EU pensioners in the Member States 22

2.1. Economic parities and correction coefficients for pensioners. 22

2.2. Purchasing power parities for pensioners – analysis of results. 28

2.3. Comparison of correction coefficients for staff and pensioners. 31

3. Equivalence of purchasing power of EU staff outside the European Union 33

Introduction

This document is an appendix to the 2013 Eurostat report on the annual adjustment of remuneration and pensions. While the principal results concerning correction coefficients for staff and pensioners are presented in the main report, the purpose of this appendix is to give some explanations and statistical analyses of the results as well as detailed tables with statistical information.

Chapters 1, 2 and 3 of this document examine respectively:

· the economic parities and correction coefficients for staff (Intra-EU);

· the economic parities and correction coefficients for pensioners;

· the economic parities and correction coefficients for staff (Extra-EU).

All figures and calculations contained in this report relating to Intra-EU locations are based on data supplied by the responsible authorities in the Member States, with the exception of information about the consumption patterns of EU officials, which is collected directly by surveys. Information for Extra-EU locations is compiled in collaboration with the United Nations International Civil Service Commission and the International Section on Remuneration and Prices of the Coordinated Organisations. More information on methodology is available in detailed procedural manuals[6].

For any information concerning this appendix, please contact Eurostat in Luxembourg:

Eurostat, Unit C3

BECH – A2/004

Bâtiment Jean Monnet

L-2920 Luxembourg

tel.: (+352) 4301-34792

Email: estat-a64ia65@ec.europa.eu

Equivalence of purchasing power of EU officials in the Member States

o Economic parities and correction coefficients

The object of the economic parities is to compare the relative cost of living of European officials in Brussels (reference city) and in each of the capitals and other places of employment for which a correction coefficient has been set. The method used is to compare the price of a "basket" of goods and services purchased by the average official in Brussels with the price of the same basket in each of the other places of employment. The average of all the price ratios is the "economic parity".

The system works as follows: the total range of goods and services constituting the consumption of the average European institution official is divided into 80 basic headings (such as meat, footwear, motor cars, books). A price ratio between the place of employment and Brussels is established for each of these headings; this is called the basic parity. Price surveys are conducted on products selected to represent the basic heading and specified in the necessary detail to enable prices in a sufficiently narrow range to be collected.

The Staff Regulations require each basic parity to be checked by direct survey at least once every five years. In practice checks are carried out at shorter intervals as part of the European Comparison Programme (ECP). At each annual salary review around one third of the basic price parities are replaced by new parities produced by the latest price surveys.

For the 2013 annual review, new parities obtained from price surveys have been integrated for the following groups:

· Food, Drink and Tobacco (survey 2012-1)

· Personal appearance (survey 2012-2)

The 80 basic parities are then updated using the price index ratio between the place of employment and Brussels.

Housing is dealt with differently. Special rent surveys of estate agents are carried out each year at each place of employment, including Brussels, to calculate an economic parity for the basic heading "accommodation costs for tenants". The calculation follows a methodology that has been developed by Eurostat in collaboration with the national statistical institutes of the Member States, based on the principle that the parity used should be calculated in such a way to allow European institution officials outside Brussels to live in dwellings of comparable quality to those occupied by European institution officials in Brussels. The basic parity "accommodation costs of owner-occupiers" is calculated by reference to the rent the owner-occupiers would pay if they were tenants (these are known as "imputed rents").

In order to calculate the overall economic parities weights have to be applied to each basic heading according to its relative importance in the consumption basket. These weights are calculated directly from the results of the special family budget surveys conducted among European and international civil servants every five to seven years. The resulting structure reflects the consumption of the average international civil servant in Brussels and in each country or place of employment.

Using the 80 basic parities and the specific weights the overall parity is calculated in two ways: the first uses the consumption pattern for the reference city (Brussels) (this is a type of Laspeyres index); the second uses the consumption pattern for the place of employment (this is a type of Paasche index). In accordance with the standard practice for international comparisons both types of index are calculated and the geometric mean of the results (the Fisher index) is used as the economic parity.

The correction coefficients applicable to the salaries of the European institution officials working in the capitals and places of employment other than Brussels and Luxembourg, which are calculated for the month of July, are determined on the basis of the relationships between the economic parities and the exchange rates fixed by the Commission and specified in the Staff Regulations for the relevant countries. The correction coefficient operates as a percentage adjustment to salaries to take account of the cost of living differences between Brussels and the various duty stations.

The details of the economic parities calculation, at the level of 12 main consumption groups, are shown in table 3.1 for all capitals and other places apart from Brussels and Luxembourg. This table also includes information about the consumption weights by country and by expenditure groups.

o Rents and rent parities

Changes in the rent parities are provided in the Table 3.2 which shows also the average rents by type of dwelling on which the calculation is based. The average rents used to compute the rent parities are in fact weighted moving averages, based on a six-year model, to take into account the average occupancy length, which is estimated to be six years. Any annual updating of rents during the life of the typical lease is included in the model by using the appropriate adjustment indices.

Purchasing power parities - analysis of results

Major changes in the economic parities from 2012 to 2013

The calculation of correction coefficients used for salary adjustment in places other than Brussels and Luxembourg involves the revision of some elementary parities each year. Changes in the global parities from one year to the next come mainly from survey prices and rent revisions, but may also be affected by the trend in the price indices used to update the elementary parities at the date of the adjustment and by changes in the consumption structures. Details of the changes in the economic parities from 2012 to 2013, including a decomposition of all the effects, are given in table 3.3.

The six biggest increases in global economic parities during the period under review can be observed in The Hague (+3.4%), Dublin (+2.2%), Vienna and Zagreb (+1.8%), Munich and Tallinn (+1.7%).

The six biggest decreases in the parities can be observed in London (-5.8%), Culham (-4.4%), Budapest (-2.8%), Riga (-1.9%), Varese and Warsaw (-1.6%).

For the 2013 salary adjustment two new price surveys have been incorporated: Food, drink and tobacco (conducted in Spring 2012), and Personal appearance (conducted in Autumn 2012). The introduction of new prices from these latest consumer price surveys affects 23 elementary parities out of the 80 basic heading classification (15 and 8 respectively), which together account for about 23% of the EU average consumption weight (15% and 8% respectively).

The introduction of the Spring 2012 survey results has led to an increase in the overall parity for 27 locations and a decrease in the parity for 4 locations, with the impact ranging between -2.4% (Karlsruhe) and +1.3% (Bucharest). The introduction of the Autumn 2012 survey results has generated an increase in the overall parity for 29 locations and a decrease for 2 locations, with the impact ranging between -0.2% (Munich) and +1.0% (Dublin, Vilnius, Warsaw).

Rent surveys are carried out every year in all Member States. A six-year moving average model is used for calculating rent parities: the rent parities for 2013 are based on the relative trend in the real-estate markets in Brussels and other places of employment between 2008 and 2013. These parities are, therefore, affected by the following factors:

· introduction of rent data for year 2013,

· deletion of the rent data for 2007,

· price indices used for updating the rents for 2008 - 2012 to price of 2013.

It should be noted that for Greece, Spain, France, Italy and Netherlands price data for houses is now incorporated alongside the price data for apartments.

Details of the changes in the rent parities from 2012 to 2013, including a decomposition of all the effects, are given in table 3.4. The largest increases in the rent parity could be observed in Paris (+20.4%), Athens (+13.8%), Zagreb and Dublin (+11.9%). The largest decreases in the rent parity were recorded in Madrid (-14.1%), Sofia (-11.4%), Ljubljana (-7.8%), and Budapest (-6.9%).

The introduction of the new rent parities has led to an increase in the overall parity for 12 locations and a decrease for 19 locations, with the impact ranging between -2.5% (Sofia) and +1.4% (Athens).

As regards price indexation, the impact of applying official indices for the year to July 2013 at the level of total consumption was lower than Brussels in 12 places and higher than Brussels in the remaining 19 places. Here it should be recalled that there are important differences between HICP and PPP methodologies (e.g. use of different weights for aggregation purposes). For this reason, the "price updating effect" presented in the table cannot be directly compared with the relative movement of the all-items HICP published separately on the Eurostat website – although other things being equal that movement does give an indication of the likely magnitude and direction of change.

The weighting structure used to aggregate the parities has not been updated except for UK-London, where finalised results from the survey which was conducted there in 2011 have been applied. The periodicity of SHE ("Survey of Household Expenditures") is set by Article 64 Working Group decision at five to seven years.

1.3.2 The impact of rent parities on the overall parities

The rent and imputed rent parities, due to their associated high consumption weights (around 22% on average across the EU) influence in a quite significant way the global parities and consequently the correction coefficients. The analysis of correction coefficients calculated with and without the rent element for the same place of employment makes it easier to isolate the effect of rent differences separately from differences arising from other causes.

The correction coefficient for rents (compared to Brussels =100) is very high in London (311.6), Paris (176.0), Stockholm (175.5), and Copenhagen (158.1), whereas they are quite low in Sofia (44.3), Nicosia (56.9), Lisbon (73.3), Tallinn (74.4) and Valletta (75.3).

For the overall correction coefficient, however, the range is smaller: London (139.2), Copenhagen (134.8), and Stockholm (132.9) compared to Sofia (57.5), Bucharest (69.8) and Vilnius (71.9).

When rents are added to the computation, the correction coefficient is increased by 10% or more in London (+33.6%), Paris (+13.4%), Bucharest (+11.5%), Warsaw and Budapest (+10.8%).

By contrast the impact is negative in Nicosia (-9.6%), Sofia (-6.8%), Varese (-3.9 %), Lisbon (-3.8%), Valletta (-3.3%), Bonn (-2.9%), and Karlsruhe (-2.7%), and the impact is near zero in Berlin.

More details on the effect of rent on the 2013 correction coefficients are given in table 3.5.

· Equivalence of purchasing power of EU pensioners in the Member States

o Economic parities and correction coefficients for pensioners

The correction coefficients for pensioners with a reference date of 1 July 2013 have been calculated in accordance with the agreed methodology on the basis of the following information:

Ø Parities for all goods and services, except for rents, as used for the calculation of the correction coefficients for active staff. These parities are based on bilateral comparison of prices of about 3000 goods and services between different capital cities and Brussels (for more details see point 1.1 above).

Ø Country rent parities: For calculating country rent parities the following procedure has been applied in most of the countries. Calculate a spatial adjustment factor in the form of national/capital ratio of market rents derived from an official database like CPI, household budget survey, housing register, etc. With the help of this adjustment factor transform the capital city rent parity from Article 64 estate agency rent surveys to the country rent parity. The following exceptions to this general rule were agreed with the respective NSIs:

1. Netherlands: No such adjustment factors were available for Netherlands, for which average country rents were compared directly with the average rents in Belgium (all derived from ECP-PPP rent surveys).

2. Germany: As information on rents for four German cities (Berlin, Bonn, Karlsruhe and Munich) is available the ratio between the average of those cities and Berlin is used.

3. Denmark: Due to the specificities of the rental market in Copenhagen, which is completely different from the market in the rest of the country, an estimate of the Copenhagen rent parity different from the one for staff is used as basis for the spatial adjustment factor. The new estimate is obtained averaging the staff rent parity with a rent ratio for the general population obtained from the NSI. In the absence of updated information, a similar approach as for the Netherlands is used.

4. Malta and Estonia: As no reliable information on the adjustment factors were available for Malta and Estonia a ratio equal 1 was used.

5. A similar approach as for the Netherlands is authorised in Bulgaria, Ireland, Greece, Portugal, Romania, Slovakia.

Each National Statistical Institute is requested each year to check and, if possible, to update their spatial adjustment factor. For 2013, fresh information/confirmations were received from CZ, ES, HR, IT, LV, LT, HU, PL, FI, SE, UK. Same factor used for 2012 was re-applied in 2013 for BE, FR, CY, AT, SI.

Ø Consumption weights for the pensioners calculated on the basis of a wide scale family budget survey carried out in 2002[7]. Consumption weights for Croatia have been estimated as the average of the values for duty stations outside Brussels, adjusted for rents (this is a similar method to the estimation of values for staff duty stations with insufficient individual sample response).

The details of the economic parities calculation, at the level of 12 main consumption groups, are shown in table 4.1 for all countries apart from Belgium and Luxembourg. This table also includes information about the consumption weights by country and by expenditure groups. Table 4.2 presents the rent ratios used in 2011 and 2012.

The correction coefficients applicable to the EC pensioners are determined on the basis of the relationships between the economic parities and the exchange rates fixed by the Commission and specified in the Staff Regulations for the relevant countries. The correction coefficient operates as a percentage adjustment to pensions (only for the pension rights acquired before 1 May 2004; being the correction coefficient 100% for the pension rights acquired from that date) to take account of the cost of living differences between Belgium and the Member States, except Luxembourg where, according to the Staff Regulations, a correction coefficient of 100% is applied.

o Purchasing power parities for pensioners – analysis of results

One of the main differences in the calculation of Pensioner values by comparison to the values for Staff arises from the aggregation using pensioner expenditure weights rather than staff consumption patterns. This can affect the impact of the individual components (introduction of new price surveys, price updating using indices, new rents). A decomposition of the changes in the economic parities for r the period June 2012-2013 is shown in Table 4.3 below.

In 2013, for 16 out of the 26 member states (i.e. excluding BE and LU), the rent correction coefficient (ratio between the rent parity and the exchange rate) is under 100. This means that the average rents are lower in these places than in Belgium. For the remaining 10 countries, the rent correction coefficient is greater than 100.

Moreover, for 12 Member States, the rent correction coefficient is lower than the correction coefficient without rent. This means that, for these places, the rents lead to a reduction of the global correction coefficient.

o Comparison of correction coefficients for staff and pensioners

Table 4.5 compares the pensioners’ correction coefficients with those for active staff. Among all Member States, Denmark has the highest country-based CC, London the highest capital-based CC. The biggest differences between capital city CCs and country CCs can be observed in the United Kingdom, Hungary, Finland, Sweden, France, Romania, and Ireland. By contrast, in Germany, Estonia, Greece, Lithuania and Malta the two CCs are nearly at the same level.

In all countries except Estonia, Greece, Cyprus, Malta and Portugal the country CCs are lower than the capital city CCs. Without rents, the two sets of CCs are closer – and the country CC without rent is slightly higher than the capital city CC in 15 out of the 26 Member States (ie. excluding BE and LU).

It should be mentioned that the Staff Regulations set out specific rules for the application of the pensioner CC.

· Equivalence of purchasing power of EU staff outside the European Union

As at July 2013, correction coefficients are compiled for a list of 143 Extra-EU duty stations. However, the application of Extra-EU correction coefficients is only likely to be requested in practice where the cost of living is higher than in Brussels. The following table shows the places where the correction coefficient is greater than 100 at 1st July 2013:

[1] These include the Statistical Law (223/2009); the PPP Regulation (1445/2007); the HICP Regulation (2494/1995 et seq); the GDP Regulation (ESA95: 2223/1996, ESA2010: 549/2013); the Transparency Regulation (1049/2001); the 2009 trilateral international memorandum of understanding (Eurostat / UN International Civil Service Commission / International Section on Remuneration and Prices of the Coordinated Organisations); the ILO 1973 Resolution on household surveys; the LFS Regulation (577/1998); the SES and LCS Regulation (530/1999).

[2] Council Regulation No.723/2004 of 22 March 2004 amending the Staff Regulations of officials of the European Communities and the Conditions of Employment of other servants of the European Communities.

[3] The compromise text voted by European Parliament on 2.7.2013 was adopted by the TTE Council on 10.10.2013; signature is anticipated during Parliamentary Session in Strasbourg 21-25.10.2013; publication in Official Journal is expected by 31.10.2013

[4] Document A64/11/27 describes the methodology for the calculation of intra-EU correction coefficients (and the calculation of the Brussels International Index);

Document A64/11/28 describes the methodology for the calculation of extra-EU correction coefficients.

[5] A separate chapter is prepared concerning correction coefficients for duty stations outside the European Union, to which the additional provisions of Annex X to the Staff Regulations also apply.

[6] DocumentA64/11/27 describes the methodology for the calculation of intra-EU correction coefficients (and the calculation of the Brussels International Index); Document A64/11/28 describes the methodology for the calculation of extra-EU correction coefficients.

[7] An updating survey was launched during 2012-13 and work has now begun to process the results.