WRITTEN QUESTION P-2251/01

by Bartho Pronk (PPE-DE) to the Commission

(19 July 2001)

Subject: Follow-up questions on the Social Security Supplements Act

On 21 May, together with my colleague Ria Oomen-Ruijten, I asked questions about the Netherlands Government's intention to cease paying social security benefits under the Social Security Supplements Act (Written Question E-1525/01(1)). Commissioner Diamantopoulou has now answered these questions. To our regret, she gave a very general answer and did not go into any of the detailed points we had raised.

I would therefore like to ask the following two questions:

- Can the Commission answer the first three questions asked on 21 May 2001 individually?

- Can the Commission give an estimate as to when it expects to take a decision regarding the Netherlands Government's proposal?

(1) OJ C 350 E, 11.12.2001.

Answer given by Mrs Diamantopoulou on behalf of the Commission

(5 September 2001)

At the Honourable Member's request, the Commission wishes to clarify the answer given to written question E-1525/01 from the same Member.

As regards the first question, the Commission wishes to confirm that, in the framework of the free movement of persons within the Community, Member States must in principle pay social security benefits acquired under their legislation to beneficiaries residing on the territory of another Member State. However, as was pointed out in the Commission's preceding answer, the Community rules coordinating the national social security systems, and in particular Regulation (EEC) No 1408/71(1), provide for certain exemptions to the principle of exportation, notably in the case of special non-contributory benefits. Hence the system established by Regulation (EEC) No 1408/71 (and in particular Article 10a thereof) provides insured persons, who are resident in a Member State, with guarantees as regards the payment of special non-contributory benefits provided for by the legislation of the Member State on whose territory they reside.

As regards the second question, the Commission is keen to stress that it is highly sensitive to the consequences for the parties concerned of a possible loss of income that is under the minimum. However, absent harmonisation at Community level, it is for each Member State to specify the conditions for entitlement to benefits, provided it respects Community law and notably the principle of the free movement of citizens. It is in this context that one should examine the question as to whether the non-exportation of the Netherlands benefit in question is justified on the basis of the criteria fleshed out by the Court of Justice, particularly in the jurisprudence to which the Commission's preceding answer refers.

As to the third question, the Commission, as it stated in its new Social Policy Agenda(2), shares the goal of modernising social protection for all Europeans. It will also take this goal into account when it decides whether to propose including this benefit in the list of non-exportable benefits.

The Commission intends to present a package of amendments to Regulation (EEC) No 1408/71 before year's end. These amendments are mainly designed to bring this Regulation into line with the rulings of the Court of Justice. More particularly, this proposal will follow up the Court of Justice's judgments in Jauch(3) and Leclere(4) on the Austrian and Luxembourg benefits which the Court deemed to be exportable, but which are still on the list of non-exportable benefits (Annex IIa). As regards the benefit provided for in the Social Security Supplements Act (Toeslagenwet) the Commission will examine - on the basis of the criteria set out in this answer and in the answer to written question E-1525/01 - the advisability of including this benefit in the list and, if appropriate, will propose doing so in the same package of amendments.

Not only the Council but also the European Parliament would be required, as part of the codecision procedure that applies to any amendment to Regulation (EEC) No 1408/71, to give an opinion on any such proposals.

(1) Council Regulation (EEC) No 1408/71 of 14 June 1971 on the application of social security schemes to employed persons and their families moving within the Community (OJ L 149, 5.7.1971), Regulation updated by Regulation (EC) No 118/97 (OJ L 28, 30.1.1997).

(2) COM(2000) 379 final.

(3) Judgment of 8 March 2001, Jauch, C-215/99, not yet published.

(4) Judgment of 31 May 2001, Leclere, C-43/99, not yet published.