Opinion of the European Central Bank of 18 December 2013 on the containment of public expenditure as regards the Banca d’Italia (CON/2013/92)
Date: 2013-12-18
Institutions: European Central Bank
Subjects: Italy, central bank, national law, public expenditure, remuneration of work

EN 

ECB-PUBLIC 

OPINION OF THE EUROPEAN CENTRAL BANK 

of 18 December 2013 

on the containment of public expenditure as regards the Banca d’Italia 

(CON/2013/92) 

Introduction and legal basis 

On 25 November 2013, the European Central Bank (ECB) received a request from the Italian Ministry of 

Economy  and  Finance  for  an  opinion  on  the  proposed  amendments  to  the  draft  law  relating  to  the 

provisions for drawing up the annual and pluriannual budget of the State (hereinafter the ‘draft law’), and 

in  particular  to  Article  9,  paragraph  27-quattuordecies  thereof  (hereinafter  the  ‘draft  amendment’).  The 
draft  law  was  approved  by  the  Italian  Senate  on  27  November,  without  any  material  changes1,  and  is 

currently under consideration by the Chamber of Deputies. This opinion is delivered on the basis of the 

draft amendment attached to the request. 

The ECB’s competence to deliver an opinion is based on Articles 127(4) and 282(5) of the Treaty on the 

Functioning of the European Union and the third indent of Article 2(1) of Council Decision 98/415/EC of 

29  June  1998  on  the  consultation  of  the  European  Central  Bank  by  national  authorities  regarding  draft 
legislative provisions2, as the draft law relates to the Banca d’Italia. In accordance with the first sentence 

of  Article 17.5  of  the  Rules  of  Procedure  of  the  European  Central  Bank,  the  Governing  Council  has 

adopted this opinion. 

1.  

Purpose of the draft law 

The  draft  law  aims  at,  inter  alia,  stabilising  the  public  finances  by  rationalising  and  reducing  public 

expenditure  relating  to  civil  service  recruitment,  remuneration  and  pensions.  The  draft  amendment 

provides  that  the  Banca  d’Italia  will  take  into  account,  within  its  legal  remit,  the  principles  of  public 
expenditure  containment  laid  down  in  Articles  11  and  12  of  the  draft  law3.  These  principles  will  be 

implemented  by  means  of  collective  agreements  negotiated  between  the  Banca  d’Italia  and  the  trade 

unions. In the absence of collective agreements, the Banca d’Italia will adopt appropriate implementing 

measures. 

1 

2 
3 

However,  Article  9(27-quattuordecies)  has  been  renumbered  as  Article  1(201)  whereas  Articles  11  and  12  have  been 
renumbered as Article 1(306) to (326), respectively. 
OJ L 189, 3.7.1998, p. 42. 
Article  1(306)  to  (326)  of  the  draft  law,  as  approved  by  the  Senate,  lay  down  provisions  on  contract  renewal, 
remuneration,  recruitment  policies,  termination  benefits  and  pensions  for  civil  servants,  the  aim  of  which  is  to  reduce 
public expenditure. 

 
 
 
 
                                                 
ECB-PUBLIC 

2. 

Compliance with the central bank independence principle 

2.1.  As  underlined  in  the  ECB’s  Convergence  Reports4  and  several  opinions5  on  issues  concerning 

autonomy  in  staff  matters,  which  are  an  aspect  of  the  financial  independence  of  national  central 

banks (NCBs), Member States may not impair an NCB’s ability to recruit and retain the qualified 

staff necessary for the NCB to perform independently the tasks conferred on it by the Treaty and 

the Statute of the European System of Central Banks and of the European Central Bank. Moreover, 

any  amendment  to  the  legislative  provisions  on  the  remuneration  of  members  of  an  NCB’s 

decision-making  bodies  and  its  employees  should  be  decided  in  close  and  effective  cooperation 

with  the  NCB  to  ensure  the  ongoing  ability  of  the  NCB  to  independently  carry  out  its  tasks. 

Autonomy in staff matters extends to issues relating to staff pensions. 

2.2  By virtue of Article 3(1) of Legislative Decree No 165 of 30 March 2001 on general rules for the 

organisation  of  employment  by  the  public  authorities,  the  rules  and  principles  applying  to  the 

Italian  civil  service  do  not  currently  apply  to  the  staff  of  the  Banca  d’Italia,  and  the  draft 

amendment  aims  at  extending  the  principles  of  containing  public  expenditure  to  the  Banca 

d’Italia’s  staff,  with  regard  to  recruitment,  remuneration  and  pensions.  Consequently,  the  Banca 

d’Italia will have to take these principles into account in relation to its own legal remit. 

2.3  The ECB understands that the draft amendment requires the Banca d’Italia to (a) assess whether the 

draft  amendment’s  principles  can  be  implemented  without  prejudice  to  the  Banca  d’Italia’s 

autonomy in staff matters; and (b) take measures in accordance with such principles only if and to 
the extent compatible with its ability to independently carry out its task6. Since Article 18(2), points 

4  to  6  of  the  Statute  of  the  Banca  d’Italia  remain  unchanged,  the  ECB  also  understands  that  the 

Board of Directors retains its power to adopt the Banca d’Italia internal regulations, determine the 

staffing level, recruit and dismiss employees and approve agreements negotiated with trade unions. 

Based  on  these  understandings,  the  draft  amendment  can  be  considered  compatible  with  the 

principle  of  financial  independence.  The  ECB  trusts  that  it  will  be  consulted  on  any  future  draft 

legislative provisions in this matter. 

This opinion will be published on the ECB’s website. 

Done at Frankfurt am Main, 18 December 2013. 

[signed] 

The President of the ECB 

Mario DRAGHI 

4 
5 

6 

See, for example, the ECB’s Convergence Report, 2013, p. 27. 
See, for example, Opinions CON/2010/42, CON/2010/56, CON/2010/69, CON/2010/80;CON/2011/104, CON/2011/106. 
All ECB opinions are published on the ECB’s website at www.ecb.europa.eu. 
See Opinion CON/2010/58. 

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