WRITTEN QUESTION No. 2878/97 by Wayne DAVID to the Commission. German coal subsidies
Date: 1997-09-01
Institutions: DAVID, European Parliament
Subjects: ECSC Treaty, Germany, State aid, coal, coal industry, restriction on competition

16. 4. 98

EN

Official Journal of the European Communities

C 117/89

(98/C 117/111)

WRITTEN QUESTION E-2875/97

by Kenneth Coates (GUE/NGL) to the Commission

(11 September 1997)

Subject: Freedom of movement

Mr Alan Howarth CBE MP, speaking for the British Government, says that, (cid:145) ... in general, legislation does not
allow Jobseeker(cid:146)s Allowance (JSA) to be paid for periods when jobseeker(cid:146)s are absent from Great Britain. This is
because JSA is payable to people who meet certain labour and market conditions ... Absence abroad prevents
people from being able to meet these(cid:146).

Do  these  provisions  of  the  Jobseeker(cid:146)s  Allowance  contravene  the  Treaty  on  European  Union,  Article  8a(1),
which states that (cid:145)Every citizen shall have the right to move and reside freely within the territory of the Member
States ...(cid:146)?

Joint answer
to Written Questions E-2873/97 and E-2875/97
given by Mr Flynn on behalf of the Commission

(2 October 1997)

The social security systems of the Member States are coordinated by Council Regulations (EEC) No 1408/71 and
574/72 (1). These Regulations foresee the right to export certain social security benefits to people residing in
another Member State. It must be noted, however, that under Article 69 of Regulation (EEC) No 1408/71 the right
to export unemployment benefits is limited to a period of three months and only if the aim is to look for a new job
in another Member State.

This system has been upheld by the Court of justice on the grounds that entitlement to unemployment benefits is
linked to availability for work and that the beneficiary should be available for work in the competent Member
State.  In  attaching  conditions  to  the  facilities  granted  to  the  unemployed  who  are  actively  seeking  work,  the
Community  legislature  has  made  correct  use  of  its  discretionary  powers  in  respect  of  the  implementation  of
freedom of movement of workers (2).

However,  the  Commission  is  of  the  opinion  that  the  period  of  three  months  should  be  extended,  taking  into
consideration that as a result of the situation of the employment market, a much longer time is needed to find a
job. Therefore, it already proposed in 1980 to extend this period (3). This proposal has been re-tabled under an
amended version in January 1996 (4).

Judgment of 8.4.1992, Case C-62/91, Gray, ECJ law reports, 1992, I-2737.

(1)  Updated by Regulation (EEC) No 118/97 (OJ L 28, 30.1.1997) lastly amended by Regulation (EEC) No 1290/97 (OJ L 176, 1.7.1997).
(2) 
(3)  OJ C 189, 9.7.1980
(4)  OJ C 68, 6.3.1996

(98/C 117/112)

WRITTEN QUESTION P-2878/97

by Wayne David (PSE) to the Commission

(1 September 1997)

Subject: German coal subsidies

The continued practice of allowing state aid to be paid to certain sections of the German coal industry is resulting
in below-cost pricing and the subsidizing of less efficient producers of anthracite; it is also against the specific
conditions of aid approval and the fundamental principles of the ECSC and the EC. The result is that anthracite
producers in the UK, for example, are facing unfair competition.

Can the Commission inform the Parliament what action it is planning to take on this matter?