Opinion of the Economic and Social Committee on the 'Draft Communication from the Commission to the Member States establishing the guidelines for Community Initiative Programmes (CIPs) for which the Member States are invited to submit proposals for support under the Equal initiative'
Date: 2000-01-26
Institutions: European Economic and Social Committee
Subjects: EU aid, EU initiative, EU programme, aid system, cooperation policy, employment policy

C 75/16

EN

Official Journal of the European Communities

15.3.2000

Opinion of the Economic and Social Committee on the ‘Draft Communication from the
Commission to the Member States establishing the guidelines for Community Initiative
Programmes (CIPs) for which the Member States are invited to submit proposals for support
under the Equal initiative’

(2000/C 75/07)

On 19 October 1999 the Commission decided to consult the Economic and Social Committee, under
Article 262 of
the Treaty establishing the European Community, on the above-mentioned draft
communication.

The Section for Employment, Social Affairs, and Citizenship, which was responsible for preparing the
Committee’s work on the subject, adopted its opinion unanimously on 11 January 2000. The rapporteur
was Mr Sharma.

At its 369th plenary session of 26 and 27 January 2000 (meeting of 26 January), the Economic and
Social Committee adopted the following opinion by 122 votes in favour and no votes against, with five
abstentions.

1. Legal basis, content and scope of the proposal

1.1.
The legal basis for establishing guidelines for Com-
munity Initiative Programmes (CIPs) derives from the Treaty
of Amsterdam which includes a new title on employment and
provides for a new co-ordinated strategy for employment
across Member States. The employment guidelines, based on
the four pillars of Employability, Entrepreneurship, Adapta-
bility and Equal Opportunities, when transposed into national
action plans for employment (NAPs), provide the framework
for financial support at EU level. The aim of this community
initiative which is entitled Equal, is to promote new means of
combating all forms of discrimination and inequalities in
connection with the labour market. This new approach is a
direct consequence of Article 13 of the Treaty of Amsterdam
which for the first time provides a legal basis for combatting
discrimination based on sex, racial or ethnic origin, religion or
belief, age or sexual orientation, and Article 137 in favour of
social inclusion. Equal will also take due account of the social
and vocational integration of asylum seekers.

The objective of the European Employment Strategy
1.2.
(EES) is to arrive at a significant increase in the employment
rate in Europe on a lasting basis. This is to be achieved by
developing skills and employability of those currently outside
the labour market and to address the needs of those already in
work but in vulnerable sectors to update and renew their skills.
In the Communication the Commission underlines that the
capacity for entrepreneurship needs to be broadened and equal
participation of men and women in the labour market must
be ensured. Action needs to be taken to counter inequalities,
discrimination and exclusion, for the jobless and for the
employed.

The ESC agrees with the emphasis on involvement of
2.2.
local and regional authorities, and greater emphasis on the
role of business in the programme. (Paragraph 6). Although
business have already participated in the previous community
they need encouragement by information and
initiatives,
awareness campaigns to underline the added value and benefits
of company involvement. Companies are often put off by the
time they must invest due to heavy bureaucracy of such
initiatives. However the importance of the involvement of
NGOs and social partners in projects and the programme must
not be overlooked. The mainstreaming potential of Equal will
be great, and while authorities will be an important factor, the
other sectors will also have much to offer which should not be
downplayed.

2.3.
A move to more strategic projects (paragraph 6) set
firmly in both the relevant policy framework and in the
local/regional context is welcome. There should, however,
remain the possibility of smaller scale, focused projects also
being supported and efforts should be made to integrate
companies of all sizes including SMEs which constitute the
motor for local development. Small projects do have the
potential
to produce valuable information, whereas large
projects may not, but can on occasions become bogged down
in organisational detail.

2.4.
is fully
The ESC supports moves to ensure Equal
integrated with other EU programmes (paragraph 8) within
and beyond the employment field, and would wish to see the
same principle extended to Equal’s integration with national
and regional policies as well.

2. General Comments

2.1.
The ESC welcomes the commitment to integrate Equal
within the overall European Employment Strategy and agree
that innovative action in a trans-national context has much to
offer.

There is a need to ensure that gender equality issues
2.5.
(paragraph 9) are taken into account
the
implementation of Equal, as well as other equality issues
(ethnicity, age, disability etc.) also being treated as ‘horizontal’
concerns. Consideration could be given to some thematic
fields which pick up on particular discrimination issues (in the
same way as gender is expected to be a specific as well as

throughout

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horizontal theme), particularly in relation to disability. Dis-
ability issues have greatly benefited from the Horizon pro-
gramme, and may become marginalised if treated purely as a
horizontal consideration.

2.6.
The ESC understands that the thematic fields put
forward are indicative at this point (paragraph 9). However,
those currently proposed do not cover the full range of areas
which should be covered, and in particular do not adequately
represent those currently covered by Adapt. The final thematic
areas should be more detailed with better explanations of what
is meant — vague definitions in previous programmes have
led to confusion and inefficiency.

2.7.
The process of periodic review of themes (paragraph
11) should be designed in such a way that it can be integrated
smoothly with programme implementation, without imposing
delays or confusion.

2.8.
The Development Partnership models (paragraph 12)
should be feasible in all Member States. The importance of
their plans being strategic and integrated with other pro-
grammes and policies is critical and will require a more
sophisticated approach to the messages which potential bid-
ders are given, and to the selection process itself. It will also
require thorough information about local/regional/national
priorities, which will be an additional requirement for Member
State level technical assistance.

The Committee has taken note of the joint action of
2.9.
29 April 1999 whereby the Council recognised the desirability
of helping asylum seekers who faced repatriation with edu-
cation and training, which will give them skills useful in their
home country (1). Member States should be encouraged by the
Commission to ensure that action in respect of asylum seekers
should be programmed in the Equal DPs.

2.10.
The ESC supports partnerships (with Phare, Tacis and
Meda countries (paragraph 17). The rules and regulations
governing relationships between Equal DPs and others outside
the EU need to be revised and clarified to ensure that all parties
are clear as to what to expect and what is possible. There
should be reduction in the minimum partner numbers to one,
and it is important that all Member States adopt the same
policy towards trans-national requirements. This should be
communicated clearly to all parties, which is not the case with
the current initiatives.

(1) Joint action of 26 April 1999 adopted by the Council on the basis
of Article K.3 of the Treaty on European Union, establishing
projects and measures to provide practical support in relation to
the reception and voluntary repatriation of refugees, displaced
persons and asylum seekers, including emergency assistance to
persons who have fled as a result of recent events in Kosovo —
OJ L 114, 1.5.1999, p. 2; cf Article 5 ( c ).

3. Specific comments and recommendations

3.1.

II. Actions within Equal CIPs

M o d e l s f o r t y p e s o f a c t i o n

3.1.1.
In the model put forward where there are three
separately identified phases to DP development (paragraph
21), the stages should operate as seamlessly as possible,
without unnecessary bureaucracy or delay in the transition
from one to another.

S e t t i n g u p d e v e l o p m e n t p a r t n e r s h i p s

3.1.2.
It is essential that during the limited development
phase (paragraph 25), information on thematic priority, state
is available, and that the exact
of the labour market etc.
requirements are spelt out clearly to potential applicants. Links
with the previous initiatives will also be important, and
will require additional dissemination work to ensure that
information is available. Connections should also be made
with other programmes, in particular Leonardo. This should
not mean, however, that only promoters with prior Adapt and
Employment experience should (implicitly or explicitly) be
selected.

S e l e c t i o n g u i d e l i n e s f o r i m p l e m e n t i n g C I P s

3.1.3.
The criteria set out in paragraph 26 will need to be
information particularly in
supplemented with additional
relation to targeting, evaluation, dissemination and main-
streaming. These elements are so crucial
that
partnerships should clearly demonstrate their commitment to
them from the very beginning.

for Equal

T h e d e v e l o p m e n t p a r t n e r s h i p a g r e e m e n t

The Development Partnership agreement will be a
3.1.4.
crucial document. Comprehensive guidance should be given
to partnerships on what it should contain, and how it should
be used throughout the life of the partnership.

T r a n s - n a t i o n a l c o - o p e r a t i o n

3.1.5.
Flexibility in the types of trans-national partnerships
should be encouraged. Some should be full partnerships with
others following the same theme over the life of the project.
Consideration should be given to some information-sharing
and possibly joint decision-making between Member States
where trans-national partnerships are in place before appli-
cations are made.

3.1.6.
All Member States should take the same approach to
trans-national working, so that conflicting policies do not
apply to partners; this has caused considerable problems in the
current Employment and Adapt programmes.

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R e q u i r e m e n t t o d e m o n s t r a t e c o - f u n d i n g

3.2.

III. Actions at European level

3.1.7.
Demonstration of available co-funding (paragraph
33) should be reviewed. Current rules governing the source of
co-funding, and audit requirements for its demonstration
(particularly in relation to SMEs) have been seriously damaging
to the operation of many projects and directly contradict the
objectives of the Community Initiatives.

A p p l i c a t i o n o f E S F r u l e s

Consideration should be given to reducing the
3.1.8.
administrative burden, simplifying procedures and language,
which arises from the application of ESF rules (which are
essentially modelled on single year projects), by changing to
multi-annual projects. Not only should it be possible to
extend project timetables, but longer periods should also be
considered from the start. Extensions may not be agreed until
late on in project lifetimes, and may be associated with
considerable additional administration. There would be merit
in allowing some projects up to 5-6 years life, so as to be able
to demonstrate results over a period of time. This is essential
if the lasting benefits of pilot actions are to be observed.

M e c h a n i s m s
l e v e l

t o c r e a t e a n i m p a c t a t U n i o n

The ESC supports the proposed actions of a thematic
3.2.1.
review at Union level, periodic assessment of the value added
by Equal to the NAP but considers a creation of new discussion
fora over and above those which already exist is a duplication
of effort. It will be important to pay more attention to the
messages to be delivered, and the audiences, which should
receive them; it is all too easy in this environment to start with
the medium and not the message.

3.2.2.
The roles and responsibilities of the technical assist-
ance office (paragraph 47) should be clearly specified and
communicated to all other parties at an early stage, and its
relationship to Member State Technical Assistance clarified.

3.3.

IV. Programme preparation

P r o p o s e d c o n t e n t s o f a C I P

The implications of increased flexibility of ESF regulations
(paragraph 36) need to be thoroughly considered and very
clear messages given to promoters (particularly in relation to
eligibility). ESF’s impact as a whole on the Initiatives should be
considered, since many of its governing provisions are out of
step with pilot, trans-national action, and act against the spirit
of the programme and its ability to deliver.

The CIP should include,

in addition to the items
3.3.1.
outlined in paragraph 49, a detailed review of the relationship
between Equal and the implementation of other EU and
national programmes, and also outline measures to be taken
to ensure that they work together harmoniously. Member
States should consider steps they could take which would
reduce overlap and conflicting priorities,
and achieve
maximum synergy in implementation.

D i s s e m i n a t i o n o f g o o d p r a c t i c e a n d m a i n -
s t r e a m i n g o f a c t i v i t i e s

3.1.9.
The stronger focus on dissemination (paragraph 37)
and increased emphasis on mainstreaming into EU and
national programmes are welcomed. Links with national policy
should be particularly strongly encouraged, and thought given
to appropriate operational and monitoring structures to ensure
that this happens. Funding for additional dissemination and
mainstreaming (paragraph 38) is a good development, but the
decision-making procedure to make this happen should be
streamlined and efficient.

T e c h n i c a l a s s i s t a n c e

3.1.10.
Technical assistance is vital for the effective and
efficient running of the programme (paragraphs 40-42). The
ESC believes it should be funded at 100 % (as for the EU level
technical assistance office.)

P r o p o s e d f i n a n c i a l f r a m e w o r k f o r a C I P

3.3.2.
The financial framework put forward (paragraph 50)
should be simpler than that currently used, in order to avoid
lengthy and counter-productive subsequent modifications to
the programme.

3.3.3.
Intervention rates for DPs should be reviewed and
consideration given to higher rates for highly experimental
projects. An alternative would be sliding rates over time to
allow projects to get started with ESF resources, and move into
required co-funding proportions later. This would also test
more accurately the sustainability, and thus mainstreaming
potential, of project operations.

3.3.4. Monitoring and evaluation arrangements should be
reviewed (paragraph 51). They should ensure that ESF type
statistical data is modified to include qualitative data which
take innovation and piloting into account. Also, DPs should
be given much firmer guidance on what type of evaluation
they should carry out themselves, with the inclusion of some
common items to facilitate comparisons.

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3.3.5.
The audit process should also be reviewed, with
stronger emphasis on accurate and stringent information from
the beginning, and use of common systems, rather than the
evolutionary ‘case by case’ approach which pertains at present.

T i m e t a b l e f o r s u b m i s s i o n a n d a g r e e m e n t o f
C I P p l a n s

3.3.6.
The timetables for submission and agreement of
plans (paragraph 53), (as indeed for all stages) should be
reviewed in the light of what is actually likely to happen, and
this should be taken into account in the programme. Current
programmes all too often work to fictitious timetables, which
all parties know will not be met in practice. This undermines
the effectiveness of programmes, and their reputation.

M o n i t o r i n g a n d e v a l u a t i o n o f n a t i o n a l p r o -
g r a m m e s

The role of monitoring committees should be
3.3.7.
strengthened (paragraph 55), with more structures in place to
ensure good quality attendance and the forming of effective
links with other key bodies.

As mentioned above, programme level monitoring
3.3.8.
(paragraph 56) should be reviewed and made more appropriate
to the innovative and trans-national nature of the programme,
with the inclusion of measures of ‘soft’ outcomes and learning,
not just crude output measures.

3.3.9.
The timetable for programme evaluation (at both MS
and EU level) should ensure that information is available to
influence future developments, and does not come too early
or too late.

Brussels, 26 January 2000.

The President

of the Economic and Social Committee

Beatrice RANGONI MACHIAVELLI

Opinion of the Economic and Social Committee on the ‘Proposal for a European Parliament and
Council Regulation clarifying Council Regulation (EC) No 2223/96 as concerns principles for
recording taxes and social contributions’

(2000/C 75/08)

On 14 January 2000 the Council decided to consult the Economic and Social Committee, under Article
262 of the Treaty establishing the European Community, on the above-mentioned proposal.

The Economic and Social Committee decided to appoint Mr Vasco Cal as rapporteur-general for this
opinion.

At its 369th plenary session of 26 and 27 January 2000 (meeting of 26 January), the Economic and
Social Committee adopted the following opinion by 79 votes in favour with 3 abstentions.

1.

Introduction

1.2.
In this connection, some Member States declare taxes
and contributions which are actually due (according to assess-
ments and declarations), including amounts which will never
be collected, i.e. taxes unpaid because of insolvency, bank-
ruptcy etc. Other Member States declare actual cash receipts,
which arrive much later.

1.1.
The European System of Accounts (ESA) determines
Member States’ general government net borrowing, i.e. govern-
ment deficit. This is a key factor in connection with the
protocol on the excessive deficit procedure which, in turn,
governs the stability and growth pact. The protocol requires
that the government deficit of each Member State can be
calculated quickly. The figures must also be transparent and
comparable.

The Commission thus proposes that ‘taxes and social
1.3.
contributions recorded in the system (should) not include
amounts unlikely to be collected’ and that, ‘accordingly, taxes