Common Position (EC) No 21/1999 of 14 April 1999 adopted by the Council, acting in accordance with the procedure referred to in Article 189c of the Treaty establishing the European Community, with a view to adopting a Council Regulation on the European Social Fund
Date: 1999-04-14
Institutions: Council of the European Union
Subjects: EU employment policy, European Social Fund, fight against unemployment, gender equality, sustainable development, vocational training

14.5.1999

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Official Journal of the European Communities

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COMMON POSITION (EC) No 21/1999

adopted by the Council on 14 April 1999

with a view to adopting Council Regulation (EC) No …/1999 of … on the European
Social Fund

(1999/C 134/02)

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European
Community, and in particular Article 125 thereof,

Having
regard
Commission (1),

to

the

proposal

from the

Having regard to the opinion of the Economic and
Social Committee (2),

Acting in accordance with Article 189c of
Treaty (3),

the

in the

first subparagraph, points 1, 2 and 3 of the said
Regulation (hereinafter referred to as (cid:28)Objectives
1, 2 and 3’),
the
Community initiative for combating all forms of
in connection
discrimination and inequalities
and within the
with the
framework of innovative measures and technical
assistance;

labour market,

framework of

(3) Whereas it is necessary to define the mission of
the Fund in relation to the tasks prescribed in
the Treaty and in the context of the priorities
agreed by the Community in the fields of human
resource development and employment;

on

down

general

provisions

2052/88 (5)

(1) Whereas Council Regulation (EC) No …/1999
laying
the
Structural Funds (4) replaces Regulation (EEC)
(EEC)
No
No 4253/88 (6) whereas it is also necessary to
replace Council Regulation (EEC) No 4255/88
of 19 December 1988 laying down provisions for
implementing Regulation (EEC) No 2052/88 as
regards the European Social Fund (7);

Regulation

and

general

(2) Whereas Regulation (EC) No …/1999 defines
the
the
arrangements
Structural Funds as a whole and it is necessary
for
to define which activities are
financing
Fund
(hereinafter (cid:28)the Fund’) within the framework of
Objectives 1, 2 and 3, referred to in Article 1,

governing

European

eligible

Social

the

by

(1) OJ C 176, 9.6.1998, p. 39, and OJ C 74, 18.3.1999, p. 7.
(2) OJ C 407, 28.12.1998, p. 74.
(3) European Parliament opinion of 19 November 1998 (OJ
C 379, 7.12.1998, p. 173), Council Common Position of
14 April 1999 and European Parliament Decision of …
(not yet published in the Official Journal).

(4) OJ L ….
(5) OJ L 185, 15.7.1988, p. 9. Regulation as last amended
by Regulation (EC) No 3193/94 (OJ L 337, 24.12.1994,
p. 11).

(6) OJ L 374, 31.12.1988, p. 1. Regulation as last amended

by Regulation (EC) No 3193/94.

(7) OJ L 374, 31.12.1988, p. 21. Regulation as last amended
by Regulation (EC) No 2084/93 (OJ L 193, 31.7.1993,
p. 39).

(4) Whereas

on

the Conclusions of

the Amsterdam
in June 1997 and its
European Council
employment (8)
resolution
initiated the implementation of
the European
employment strategy, the annual guidelines on
employment and the process of establishing
national action plans for employment;

growth

and

the Fund,

(5) Whereas it is necessary to redefine the scope
of
the
in particular
restructuring and simplification of the Objectives
of the Structural Funds, to support the European
employment strategy and the national action
plans for employment linked to it;

following

(6) Whereas it

is necessary to define a common
framework for Fund interventions in all three
Structural Fund Objectives in order thereby to
and complementarity of
ensure
actions undertaken pursuant to those Objectives
with a view to improving the workings of the
labour market
human
to
resources;

consistency

developing

and

(7) Whereas the Member States and the Commission
ensure that programming and implementation of
the actions financed by the Fund in the context
of all the Objectives contribute to the promotion

(8) OJ C 236, 2.8.1997, p. 3.

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of equality of opportunity between men and
women and the promotion of the integration and
retention
and
disadvantaged
individuals in the labour market;

groups

of

and rapid access to Fund support for operations
concerned with combating social exclusion and
thereby build up their capacity for action in that
field;

(8) Whereas the Member States and the Commission
also ensure that the social dimension and the
employment aspect of the information society
are duly taken into account
in implementing
actions financed by the Fund;

(9) Whereas it is necessary to ensure that operations
relating to industrial adaptation take account of
the general needs of workers of either sex,
resulting from economic change and changes in
production systems identified or predicted and
are not designed to benefit a single firm or a
particular industry; whereas particular attention
should be devoted to small and medium-sized
enterprises and to enhancing access to training
and to improving work organisation;

(10) Whereas it is necessary to ensure that the Fund
continues to strengthen employment and job
qualifications by supporting anticipatory action,
as far as possible, counselling, networking and
training operations throughout the Community
and that in consequence the eligible activities are
therefore horizontal and cover the economy as a
whole, without an a priori restriction to specific
industries or sectors;

(11) Whereas it is necessary to redefine the eligible
actions in order to increase the effectiveness of
the implementation of policy aims in the context
of all the Objectives under which the Fund takes
action; whereas it
is necessary to define the
expenditure eligible for Fund assistance within
the framework of the partnership;

(12) Whereas

it

is necessary to supplement and
specify the content of plans and forms of
assistance, especially following the redefinition
of Objective 3;

(13) Whereas the provision of assistance from the
should be based on the
levels
Fund at all
Community’s
social and employment policy
priorities and on the priorities laid down in the
national action plans;

introduced
(14) Whereas
whereby
non-
groups,
governmental organisations, may gain simple

arrangements may
local

including

be

(15) Whereas measures of major importance to the
Community undertaken at the initiative of the
Commission have an important role to play in
achieving
the
Community structural action referred to in
Article 1 of Regulation (EC) No …/1999;
whereas
primarily
promote policy innovation and transnational
cooperation;

objectives

initiatives

general

should

such

the

of

(16) Whereas the Fund also contributes to support for
technical assistance and innovative measures,
and also for preparatory, monitoring
and
evaluation measures and control in accordance
with Articles 22 and 23 of Regulation (EC) No
…/1999;

(17) Whereas

is appropriate to lay down the
powers
implementing
the
provisions and to set out transitional provisions;

adoption of

it
for

(18) Whereas Regulation (EEC) No 4255/88 should

be repealed,

HAS ADOPTED THIS REGULATION:

Article 1

Tasks

Within the framework of the task entrusted to the
European Social Fund (the Fund) by Article 123 of the
Treaty and of the tasks entrusted to the Structural
Funds pursuant to Article 130b of the Treaty and in
accordance with the provisions of Regulation (EC) No
…/1999, the Fund shall support measures to prevent
and combat unemployment and to develop human
resources
to promote a high level of
employment,
equality between men and women,
sustainable development, and economic and social
cohesion. In particular, the Fund shall contribute to
the actions undertaken in pursuance of the European
Employment Strategy and the Annual Guidelines on
Employment.

in order

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Article 2

Scope

2. Within the policy fields set out in paragraph 1
the Fund shall take account of:

of Member

The Fund shall support and complement

the
1.
activities
towards
developing the labour market and human resources in
the following policy fields, in particular in the context
of
for
employment:

their multiannual national

action plans

directed

States

(b)

(a) developing and promoting active labour-market
policies to combat and prevent unemployment, to
prevent both women and men moving into
long-term unemployment,
the
reintegration of the long-term unemployed into
the
the
occupational integration of young people and of
persons returning to the labour market after a
period of absence;

labour market,

facilitate

support

and

to

to

(b) promoting equal opportunities for all in accessing
the labour market, with particular emphasis on
those exposed to social exclusion;

(c) promoting and improving:

— training,

— education,

— counselling

as part of lifelong learning policy to:

(a) support

for

local

initiatives

concerning
in particular initiatives to support
employment

employment and territorial

employment,
local
pacts;

programmes

the social and labour-market dimensions of the
information society, notably by developing policy
and
the
designed
employment potential of the information society
and by ensuring equal access to its facilities and
benefits;

harness

to

(c) equal opportunities for women and men as part of

the mainstreaming approach.

Article 3

Eligible activities

The financial support of the Fund shall mainly
1.
take the form of assistance to persons and be devoted
to the following activities to develop human resources
which may be part of a pathway approach to
labour-market integration:

(a) education and vocational

training,

training equivalent
apprenticeships,

including
to compulsory
vocational
in
schooling,
particular the provision and upgrading of basic
skills, rehabilitation in employment, measures to
promote employability on the labour market,
guidance, counselling and continuing training;

pretraining,

— facilitate

access
integration into, the labour market,

improve

and

to,

and

(b) employment aids and aids for self-employment;

— improve and maintain employability, and

(c)

— promote job mobility;

in the fields of research, science and technology
development,
and the
training of managers and technicians at research
establishments and in enterprises;

postgraduate

training

skilled,

trained and adaptable
a
(d) promoting
workforce,
innovation and adaptability in work
organisation, developing entrepreneurship and
conditions facilitating job creation, and enhancing
skills and boosting human potential in research,
science and technology;

(e)

specific measures to improve women’s access to
and participation in the labour market, including
their career development, their access to new job
opportunities and to starting up of businesses, and
to reduce vertical and horizontal segregation on
the basis of sex in the labour market.

(d) development of new sources of employment,

in

particular in the social economy.

the
In order to increase the effectiveness of
2.
activities referred to in paragraph 1 assistance may
also be given to:

(a) structures and systems:

(i) development and improvement of

training,
education and skills acquisition, including the

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training of teachers, trainers and staff, and
improving the access of workers to training
and qualifications;

in Article 2(1) shall,
priorities, be taken into account.

in accordance with national

(ii) modernisation and improved efficiency of

employment services;

(iii) development of links between the worlds of
work and education, training and research
establishments;

(iv) development, as far as possible, of systems
for anticipating changes in employment and
in qualification needs, particularly in relation
to new patters of work and new forms of
work organisation, taking into account the
need for reconciliation of family and working
life and for enabling older workers to have a
fulfilling occupation until retirement. This
shall not, however, include the financing of
early-retirement schemes;

(b) accompanying measures:

(i)

to
assistance in the provision of services
beneficiaries, including the provision of care
services and facilities for dependents;

(ii) promoting socioeducational development to
facilitate the pathway approach to labour-
market integration;

(iii) awareness-raising, information and publicity.

3.
The Fund may finance activities pursuant to the
second subparagraph of Article 2(4) of Regulation
(EC) No …/1999.

The programming of Fund interventions shall
2.
provide that a reasonable amount of
the Fund
appropriations made available for the intervention in
question may be available, in conformity with Article
27 of Regulation (EC) No …/1999, in the form of
small grants, with special arrangements for access
by
local
partnerships.

non-governmental

organisations

and

Article 5

Community initiative

Pursuant to Article 20 of Regulation (EC) No
1.
…/1999, the Fund shall, in accordance with Article
the
21(2)
of
for
implementation of
in
combating
connection with the labour market (EQUAL).

to
the Community initiative
inequalities

that Regulation,

discrimination

contribute

and

In accordance with Article 21(2) of Regulation
2.
(EC) No …/1999, the decisions on the contribution of
the Fund to the Community initiative may extend the
scope of assistance referred to in Article 3 of this
Regulation to cover measures which can be funded by
Regulations (EC) No …/1999 (1), (EC) No …/1999 (2)
and (EC) No …/1999 (3)
the
implementation of all the measures provided for in the
initiative.

to permit

so as

Article 4

Article 6

Concentration of assistance

Innovative measures and technical assistance

1. With due regard to national priorities as laid
down in particular in the national action plans of
employment as well as to the ex-ante evaluation, a
strategy shall be set out taking account of all relevant
policy fields. In order to maximise the efficiency of
Fund support, its interventions within this strategy and
taking into account the priority fields referred to in
Article 2(1) shall be concentrated on a limited number
of areas or themes and be directed towards the most
important needs and the most effective operations.

In allocating appropriations to each intervention by
the Fund a joint selection shall be made of the policy
fields to be given priority. The measures provided for

In accordance with Article 22(2) of Regulation
1.
(EC) No …/1999,
the Commission may finance
preparatory, monitoring and evaluation operations in
Member States or at Community level which are
necessary for the implementation of the operations
referred to in this Regulation. They may include:

(1) Council Regulation (EC) No …/1999 of … on the

European Regional Development Fund (OJ L …).

(2) Council Regulation (EC) No …/1999 of … on support
for rural development from the European Agricultural
Guidance and Gurantee Fund (EAGGF) (OJ L …).

(3) Council Regulation (EC) No …/1999 of … on structural

measures in the fisheries sector (OJ L …).

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(a) operations of an innovatory nature and pilot
projects concerning labour markets, employment,
and vocational training;

Article 8

Implementing provisions

(b) studies, technical assistance and the exchange of

experience having a multiplier effect;

All detailed implementing rules for this Regulation
shall be adopted by the Commission according to the
procedure laid down in Article 49 of Regulation (EC)
No …/1999.

(c)

assistance

with
implementation, monitoring,

technical
the
and
preparation,
evaluation, as well as control of operations
financed by the Fund;

connected

(d) operations directed, within the framework of
social dialogue, at staff from enterprises in two or
more Member States and concerning the transfer
of
to areas of
special knowledge
intervention by the Fund;

relating

(e)

informing the various partners involved, the final
beneficiaries of assistance from the Fund and the
general public.

2.
In accordance with Article 22(2) of Regulation
(EC) No …/1999, the scope of the operations referred
to in paragraph 1(a) of this Article shall be extended,
by a decision for Fund participation, to measures that
may be financed under Regulations (EC) No …/1999,
(EC) No …/1999 and (EC) No …/1999, so as to cover
all the measures necessary for the implementation of
the innovative actions in question.

Article 7

Applications for assistance

Applications for a contribution from the Fund shall be
accompanied by a computerised form, drawn up
jointly, listing the operations regarding each form of
assistance so that it can be followed through from
budgetary commitment to final payment.

Article 9

Transitional provisions

The transitional provisions set out in Article 52 of
Regulation (EC) No …/1999 shall apply mutatis
mutandis to this Regulation.

Article 10

On a proposal from the Commission, the Council
shall review this Regulation by 31 December 2006.

It shall act on this proposal accordance with the
procedure laid down in Article 130d of the Treaty.

Article 11

Repeal

Regulation (EEC) No 4255/88 shall be repealed as
from 1 January 2000.

References
construed as references to this Regulation.

to the

repealed Regulation shall be

Article 12

Entry into force

This Regulation shall enter into force on the third day
following 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 … .

For the Council

The President

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STATEMENT OF THE COUNCIL’S REASONS

I.

INTRODUCTION

1. On 20 March 1998 the Commission submitted to the Council a proposal, based on

Article 125 of the EC Treaty, for a Regulation on the European Social Fund.

2. The European Parliament and the Economic and Social Committee, having been
consulted in accordance with Article 189c of the Treaty, delivered their Opinions on
19 November 1998 and 10 September 1998 respectively.

3. Further to the European Parliament’s opinion,

the Commission submitted an

amended proposal on 2 February 1999.

4. On 13 April 1999, the Council adopted its Common Position in accordance with

Article 189c of the Treaty.

II. OBJECTIVE

This draft Regulation is intended to define the activities eligible for financing by the
European Social Fund.

III. ANALYSIS OF THE COMMON POSITION

1. General remarks

Further to the conclusions of the Amsterdam European Council and its resolution
on growth and employment, and the extraordinary meeting of the European
Council
in Luxembourg, an employment strategy was developed at European
Community level. It is based on annual guidelines and national action plans.

In its Common Position, the Council redefined the scope of the Social Fund in this
context, following the restructuring and simplification of the objectives of the
Structural Fund to support the European employment strategy and the national
plans related to it.

The activities of the Fund centre on five policy fields:

— developing

and

promoting

active

labour-market

policies

to

combat

unemployment,

— promoting equal opportunities for all in gaining access to the labour market,

— promoting and improving education and vocational training,

— promoting a skilled, trained and adaptable labour force,

— improving women’s access to and position in the labour market.

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2. Amendments by the European Parliament

2.1. Amendments of the European Parliament accepted by the Commission

In its amended proposal, the Commission accepted the following amendments
proposed by the European Parliament: 4, 6, 7, 8, 11, 66, 18, 19, 67, 23, 68, 27
and 31. It also accepted parts of amendments 3, 12, 65, 15, 34 and 38.

2.2. Amendments of the European Parliament not accepted by the Commission

The Commission did not, in its amended proposal, accept amendments 5, 9, 10,
13, 16, 20, 22, 25, 26, 28, 29, 30, 32, 33, 35, 36, 37, 39, 40, 41, 42, 43, 44, 46,
47 and 48 and did not accept parts of amendments 3, 12, 65, 15, 34 and 38.

2.3. Amendments of the European Parliament accepted by the Council

The Council accepted amendments 7, 8, 11, 12, 18, 19, 23, 27 and 31 and
partially accepted amendments 3, 6, 12, 65, 15, 66, 67 and 68.

2.4. Amendments of the European Parliament not accepted by the Council

The Council did not accept amendments 4, 5, 9, 10, 13, 16, 20, 22, 26, 28, 29,
30, 31, 32, 33, 34, 35, 36, 37, 38, 39, 40, 41, 42, 43, 44, 46, 47 and 48, but
partially accepted amendments 3, 12, 65, 15, 66, 67 and 68.

3. Analysis of the text

3.1. Preamble

The Council followed the Commission’s amended proposal almost entirely.

The Council incorporated amendments 6 (partially) and 7 by combining them in
the seventh recital.

The Council incorporated amendment 11, at least in spirit, into the 13th recital of
its Common Position. The Council added that the priorities laid down in the
national action plans had to be taken into account in the provision of assistance
from the Fund.

3.2. Article 1 (Tasks of the Fund)

The Council accepted that part of amendment 65 which stated that the Fund shall
support measures to prevent and combat unemployment.

The remainder of amendment 65 was not included by the Commission in its
amended proposal.

3.3. Article 2 (Scope)

This Article corresponds to the Commission’s amended proposal, with the
exception of a small number of amendments made by the Council to take into
account the diversity of the policies, practices and needs of the Member States in
the areas of employment and development of human resources.

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The Council incorporated parts of amendments 15 and 66, and amendments 18
(in redrafted form) and 19.

The Council did not, however, deem it desirable to include Amendments 16 and
20, or parts of amendments 15 and 16.

3.4. Article 3 (Eligible activities)

In general, the Council followed the Commission’s amended proposal apart from a
number of clarifications, principally of a drafting nature.

In redrafted form, the Council incorporated amendments 67, 23, 68 (in part), 27
and 31.

The Council did not accept amendment 67, as the concept of (cid:28)employability’ was
difficult to define, and preferred the phrase (cid:28)measures to promote employability on
the labour market’.

For similar reasons of clarity and precision, the Council preferred the term (cid:28)social
economy’ instead of the reference to the third sector in the European Parliament’s
amendment 23.

Furthermore, the Council did not accept amendments 22, 68 (in part), 26, 28, 29,
30, 31, 32 and 33.

3.5. Article 4 (Concentration of assistance)

The Council did not follow the Commission’s amended proposal in its entirety.
While it felt that assistance from the Fund should take account of the priority
areas referred to in Article 2(1), the Council introduced a degree of flexibility,
considering that it was too binding that the Member States should be obliged to
cover all five policy areas.

With the same concern for
flexibility, with regard to the allocation of
appropriations, the Council did not deem it desirable to adopt the Commission’s
proposal to place particular emphasis on the areas referred to in Article 2(1)(d)
and (e). That would restrict the possibility of meeting the requirements identified
in the ex ante evaluations and in national employment action plans.

the Council did not adopt

the Fund’s
In addition,
appropriations for distribution by intermediary organisations in the form of small
grants as proposed by the Commission: this was seen as excessively binding. It
was replaced by the words (cid:28)a reasonable amount’.

the 1 % minimum of

The Council was thus unable to accept amendments 34, 35, 36, 37 and 38 (in
part).

However,
amendment 38 concerning (cid:28)local partnerships’.

the Council accepted that part of

the European Parliament’s

3.6. Article 5 (Community initiative)

The Council followed the Commission’s amended proposal.

Amendments 39 and 40 were not accepted by the Council.

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3.7. Article 6 (Innovative measures and technical assistance)

The Council followed the Commission’s amended proposal.

The Council did not accept amendments 41, 42, 43, 44 and 46.

3.8. Articles 7, 8, 9, 10, 11 and 12

The Council followed the Commission’s amended proposal.

Amendments 47 and 48 were not incorporated by the Council in its Common
Position.