EN Official Journal of the European Union CE 65/250

(2004/C 65 E/265)

WRITTEN QUESTION E-2961/03

by Alexandros Alavanos (GUE/NGL) to the Commission

(8 October 2003)

Subject: Staff employed by the Community Support Framework Management Body (MOD-AE)

Under Law 2372/96 (Official Gazette of 23 February 1996) the Community Support Framework Management Body (MOD-AE) was set up as a public limited company. This body was initially intended to operate until 2003, a period subsequently extended to 2010 with the possibility of further extensions.

Article 8(1) of the ‘MOD-AE’ Articles of Association state that staff shall be recruited from the private sector or seconded from the civil service or public sector under fixed-term renewable contracts which, under Article 8(2), cannot be converted into open-ended contracts. The MOD-AE staff members, numbering around 600, have been recruited gradually from the private sector since 1996 under fixed-term contracts renewable every two years. At the same time, the company refuses to conclude a collective agreement.

1. Following the adoption of Directive 1999/70/EC (1), is it possible for a legal provision to remain in force formally prohibiting the conversion of fixed-term into open-ended contracts in this or any other public company?

2. Does the fact that the company is required to fulfil a specific task, i.e. management of the Community support framework, constitute legal grounds entitling it to conclude fixed-term contracts with its staff on an exclusive basis?

3. Is the company entitled to refuse to conclude collective agreements regarding career advancement, overtime, training, working regulations, etc.?

4. What action will the Commission take to bring the MOD-AE into line with Directive 1999/70/EC?

Answer given by Mrs Diamantopoulou on behalf of the Commission

(20 November 2003)

1. Council Directive 1999/70/EC of 28 June 1999, concerning the framework agreement on fixed-term work concluded by ETUC, UNICE and CEEP does not provide for transformation of fixed-term contracts into permanent contracts. It states, however, that in order to prevent abuse arising from the use of successive fixed-term contracts, the Member States must introduce at least one of the following measures: (a) objective reasons justifying the renewal of fixed-term contracts or relationships; (b) the maximum total duration of successive fixed-term contracts or relationships; (c) the number of renewals of such contracts or relationships. It is the Member States who, after consultation with the social partners, determine under what conditions the fixed-term employment contracts shall be regarded as ‘successive’ and when they shall be deemed to be contracts of indefinite duration.

2. It is for the authorities in the Member States, and ultimately for the European Court of Justice, to determine what could be considered objective reasons for renewals. If the nature of the company employing the workers is temporary, it seems that this could constitute an objective reason.

3. Negotiating and concluding collective agreements is an extremely important tool for regulating working conditions. It is recognised as such in the EC Treaty as well as in Community legislation and it is also mentioned in the European Union Charter on Fundamental Rights. The procedure for concluding collective agreements is however determined by national law. There is no Community legislation which obliges an individual employer to conclude a collective agreement.

4. The Commission is currently examining the national measures transposing Directive 1999/70/EC. Should these examinations reveal that the transpostition is incorrect or incomplete, it will start infringement procedures if necessary.

(1) OJ L 175, 10.7.1999, p. 43.