Proposal for a DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL on a European Year of Skills 2023
Date: 2022-10-12
Institutions: Directorate-General for Employment, Social Affairs and Inclusion, European Commission
Subjects: adult education, continuing vocational training, cooperation in the field of education, education policy, labour force, labour market, promotion of the European idea, skilled worker, updating of skills, vocational education

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   EUROPEAN COMMISSION  Brussels, 12.10.2022  COM(2022) 526 final 2022/0326 (COD)  Proposal for a DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL on a European Year of Skills 2023 (Text with EEA relevance)  
 
EXPLANATORY MEMORANDUM 

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CONTEXT OF THE PROPOSAL 

Reasons for and objectives of the proposal 

In  her  State  of  the  European  Union  Address  on  14  September  2022,  President  von  der 
Leyen  identified  a  “workforce  with  the  right  skills”  as  a  crucial  factor  underpinning  the 
current and future competitiveness of our social market economy. Skills mean more and better 
jobs because a skilled workforce is a key driver of growth, enhancing the innovation power 
and  competitiveness  of  all  European  companies,  in  particular  small  and  medium-sized 
enterprises (SMEs).  

Equipping  the  EU  workforce  with  the  skills  needed  also  ensures  that  the  green  and  digital 
transitions are socially fair and just. It empowers individuals to successfully navigate labour 
market changes and to fully engage in society and democracy, so that nobody is left behind, 
as stated in the European Skills Agenda of 20201 and in line with the European way of life.2 
Building  on  it,  the  Porto  Declaration,3  agreed  by  the  EU  leaders  in  May  2021,  shows  a 
strong commitment to upskilling and reskilling and to improved employability. It welcomed 
the ambitious EU headline targets set by the European Pillar of Social Rights Action Plan of 
at least 60% of adults participating in training every year and an employment rate of at least 
78% by 2030, which requires significant effort to activate more women and young people for 
the labour market. 

The 2023 European Year of Skills, announced by President von der Leyen in her State of the 
European  Union  Address,  represents  a  unique  opportunity  to  support  European  companies, 
and  especially  small  and  medium-sized  enterprises,  “grappling  with  a  shortage  of  staff”  by 
putting “more focus in our investment on professional education and upskilling”, by ensuring 
“better  cooperation  with  companies”,  by  matching  companies’  needs  “with  people’s 
aspirations” of both low and high skilled, and by speeding up and facilitating the“recognition 
of qualifications also of third country nationals”.  

The  COVID-19  pandemic  and  now  Russia’s  war  of  aggression  against  Ukraine,  have 
signalled and accentuated the strategic dependencies and labour mismatches we recognise in 
Europe.  

In addition, the green and digital transitions, and other structural evolutions such as the need 
for  increased  resilience  and  globalisation  impact  all  professions  on  the  European  labour 
market,  changing  the  skills  needed  for  the  European  economy  to  grow  in  a  sustainable  and 
competitive  manner.  For  example,  putting  an  end  to  the  dependency  on  Russian  energy 
imports  and  achieving  the  ambitious  EU  energy-efficiency  and  renewable  energy  targets 
require  a  massive  and  rapid  deployment  of  energy  efficiency  improvements,  building 
renovations and renewable energy. This hinges upon the availability of a skilled workforce all 
across the EU.  

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Communication  from  the  Commission  to  the  European  Parliament,  the  Council,  the  European 
Economic  and  Social  Committee  and  the  Committee  of  the  Regions  -  European  Skills  Agenda  for 
sustainable competitiveness, social fairness and resilience (COM(2021)274 final) 
The  2022  Strategic  Foresight  Report  (COM(2022)289  final)  called,  for  instance,  for  increasing 
expenditure in education and training, while stressing that this entails both learning skills to adapt to a 
rapidly  transforming  technological  reality  and  labour  market,  as  well  as  green  skills  and  climate 
awareness.  
The Porto declaration - Consilium (europa.eu) 

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At the same time, demographic change is reducing the available labour force. While the EU 
average  unemployment  rate  remains  stable  at  6%  in  August  2022,4  77%  of  companies 
struggled  to  find  employees  with  the  required  skills  already  in  2019.5  In  particular,  the 
availability  of  skilled  staff  and  experienced  managers  is  the  most  important  problem  for  a 
quarter of EU’s small and medium-sized enterprises, representing 99% of all EU businesses.6 
And  in  2021,  28  occupations  were  classified  as  having  shortages,  including  the  healthcare, 
hospitality,  construction  and  service  sectors,  in  addition  to  shortages  of  IT  and  security 
specialists,  in  particular  cybersecurity  experts,  and  workers  with  science,  technology, 
engineering  and  mathematics  background7,  showing  a  growing  demand  for  both,  high  and 
low-skilled  workers.  In  this  context,  the  smooth  functioning  of  the  European  labour  market 
depends  on the  availability of a workforce with  the right  skills  as much as on ensuring that 
individuals’  engagement  in  upskilling  and  reskilling  meets  companies’  needs  across  the 
Union. 

The  EU  is  facing  an  unparalleled  shortage  of  women  in  Science,  Technology,  Engineering 
and  Mathematics  (STEM)  careers  and  education.  Women  make  up  52%  of  the  European 
population  and  make  up  the  majority  of  tertiary  graduates  in  the  EU,  yet  only  2  out  of  5 
scientists  and  engineers  are  women  and  only  18%  of  specialists  in  ICT.8  At  the  same  time, 
young  girls  are attracted to  the STEM field  in  school,  and in  some countries perform better 
than boys. This phenomenon of lost talent is referred to as the “leaky pipeline”. 

Addressing  skills  gaps  can  boost  the  innovation  power,  productivity  and  growth  of  the 
European social market economy. This is particularly relevant for digital skills. To illustrate, 
70%  of  businesses  report  a  lack  of  staff  with  adequate  digital  skills  as  an  obstacle  to 
investment,9  while  almost  half  of  the  EU  population  has  no  or  very  low  level  of  digital 
skills.10  Recognising  this  challenge,  the  2030  Digital  Compass  Communication  sets  the  EU 
target  of  80%  of  adults  having  at  least  basic  digital  skills  and  20  million  ICT  specialists 
employed  by  2030.11  Proposal  32  of  The  Conference  on  the  Future  of  Europe  further 
highlighted the need to empower all EU citizens with the necessary digital skills.12 

A workforce with the right skills is a precondition for the green transition too, forecasted to 
generate 2.5 million  additional jobs in  the EU by  2030.13 The importance of skills  was also 
stressed as a finding of the 2022 European Year of Youth, highlighting the urgency to equip 
the European youth with skills for the future.  

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Eurostat, Unemployment rate, (une_rt_m)  
Eurofound, European Company Survey 2019 
Eurostat, Key Figures on European Businesses, 2022 Edition, p. 10. 
European Labour Authority, Report on labour shortages and surpluses 2021 and ENISA, Cybersecurity 
skills  development  in  the  EU,  March  2020.  The  ENISA  studies  identify  there  is  a  gap  of  291,000 
professionals in cybersecurity. 
European  Institute  for  Gender  Equality,  Gender  equality  index  2020  :  key  findings  for  the  EU, 
Publications Office of the European Union, 2021 
Communication  from  the  Commission  to  the  European  Parliament,  the  Council,  the  European 
Economic  and  Social  Committee  and  the  Committee  of  the  Regions  –  2030  Digital  Compass:  the 
European way for the Digital Decade (COM/2021/118 final) 
European Commission, Digital Economy and Society Index (DESI) 
Communication  from  the  Commission  to  the  European  Parliament,  the  Council,  the  European 
Economic  and  Social  Committee  and  the  Committee  of  the  regions  2030  Digital  Compass:  the 
European way for the Digital Decade (COM/2021/118 final) 
Conference on the Future of Europe, Report of the Final outcome, May 2022  
Cedefop, The green employment and skills transformation, p. 22 

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Given that only around 37% of adults undertake training,14 further investing in upskilling and 
reskilling  opportunities  and  encouraging  all  working-age  adults  to  take  part  in  them  is 
essential to realise the opportunities of the green and digital transitions.  

The already evident shortage of staff will deepen further, as the size of the European working-
age  population  is  expected  to  shrink  from  64%  in  2019  to  56%  in  2070,15  and  the  old-age 
dependency  ratio  is  expected  to  increase  from  32  in  2020  to  54  in  2070.16  Thus,  additional 
effort  is  needed  to  activate  more  people  for  the  labour  market  through  reskilling  and 
upskilling, in particular women and young people not in education, employment or training. It 
is also important to promote the digital skills of the older population and ensure they have the 
capacity  to  fully  participate  in  society  and  access  vital  services  increasingly  available  only 
online. 

Yet, the EU domestic workforce alone is and will not be sufficient to meet current and future 
labour  market  demands.  In  this  context,  migrants  already  play  a  crucial  role  in  Europe’s 
economy  and  society.  In  the  last  decade,  migrant  workers17  filled  a  significant  part  of  new 
jobs  in  the  EU,  helping  to  address  labour  market  needs.  Admission  of  migrants  is  part  of  a 
wider  policy  mix  to  address  both  the  existence  and  the  root  causes  of  labour  and  skill 
shortages.  The  COVID-19  pandemic  showed  that  as  many  as  13%  of  workers  performing 
essential functions – from doctors to nurses and drivers – are migrants18.  

Thus, making the EU an attractive choice for talent in shortage occupations from around the 
world is a precondition for the Union to remain globally competitive. For this, third country 
nationals have to be able to realise their full potential and use their skill-set on the European 
labour  market,  but  also  to  benefit  from  learning  opportunities,  mobility  and  recognition  of 
qualifications  in  a  mutually  beneficial  and  circular  way.  This  applies  both  to  newly  arrived 
foreign  talent  and  third  country  nationals  already  legally  residing  in  the  EU,  whose  labour 
market  participation  rates  tend  to  lag  behind  those  of  EU  citizens.19  It  also  includes  the 
continuous support for the labour market integration of people fleeing the war in Ukraine as 
long as they decide to stay in the EU.  

In order to boost competitiveness of European companies, in particular  SMEs, to realise the 
full potential of the digital and green transitions in a socially fair, inclusive and just manner, 
the  2023  European  Year  of  Skills  would  further  promote  a  mindset  of  reskilling  and 
upskilling.  The  aim  is  to  ensure  that  nobody  is  left  behind  in  the  twin  transitions  and  the 
economic recovery, and to notably address labour shortages for a better skilled workforce in 
the Union that is able to seize the opportunities of this process, by: 

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Eurostat,  TRNG_AES_100,  data  from  2016,  referring  to  participation  in  training  over  the  last  12 
months, excluding on the job training.  
Eurostat, ‘Population on 1st January by age, sex and type of projection (proj_19np)’ 
Defined as the ratio between the number of persons aged 65 and over and the number of persons aged 
between 15 and 64, multiplied by 100. See Eurostat, PROJ_19NDBI 
On 1 January 2021, the third-country nationals residing in EU-27 Member States represented 5.3% of 
total  population.  However,  according  to  Eurostat,  in  2020  (using  the  LFS  data  and  ISCO-08 
classification),  they  accounted  for  8.7%  of  cleaners  and  helpers,  7.2%  of  food  preparation  assistants, 
6.9% of agricultural, forestry and fishery labourers, 6.1% of building workers and 6.0% of labourers in 
mining, construction, manufacturing and transport.  
JRC, Immigrant Key Workers: Their Contribution to Europe's COVID-19 Response, April 23, 2020 
Eurostat, Migration Integration Statistics – labour market indicators (data extracted in April 2021). For 
example, in 2020, the EU employment rate for people aged 20 to 64 years was 61.9 % for those born 
outside the EU, compared to 73.5 % for the native-born population as well as for people born in another 
EU Member State. 

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Promoting  increased,  more  effective  and  inclusive  investment  into  training  and 
upskilling to harness the full potential of the European current and future workforce 
and  to  support  people  in  managing  job-to-job  transitions,  active  ageing,  and 
benefiting  from 
the  ongoing  economic 
transformation.  

the  new  opportunities  brought  by 

Strengthening skills relevance by closely cooperating with social partners, public and 
private  employment  services,  companies,  education  and  training  providers  and 
developing joined-up approaches with all branches of governments. 

Matching  people’s  aspirations  and  skills-set  with  labour  market  opportunities 
especially  those  offered  by  the  green  and  digital  transitions  and  the  core  sectors  in 
need of recovery from the pandemic. A special focus will be given to activate more 
people for the labour market, in particular women and young people especially those 
not in education, employment or training (NEETs). 

Attracting people from third countries with the skills needed by the Union, including 
by  strengthening  learning  opportunities  and  mobility,  and  by  facilitating  the 
recognition of qualifications. 

• 

Consistency with existing policy provisions in the policy area 

Principle 1 of the European Pillar of Social Rights proclaims everyone’s right to education, 
training  and  lifelong  learning,  enabling  individuals  to  participate  fully  in  society  and  to 
manage successfully labour market transitions. Principle 4 states that everyone has the right to 
timely and tailor-made assistance to improve their employment or self-employment prospects, 
including the right to receive support for training and re-qualification. Principle 5 on secure 
and  adaptable  employment  emphasises  that,  regardless  of  the  type  and  duration  of  the 
employment  relationship,  workers  should  enjoy  fair  and  equal  treatment  with  respect  to 
working conditions, access to social protection and training. 

European  initiatives  supporting  the  realisation  of  these  rights  have  a  long  history.  The 
European Year of Skills 2023 will further strengthen a number of existing initiatives, realising 
synergies between the actions and with a focus on accelerating the path towards the 2030 EU 
targets on employment and skills.  

The  2020  European  Skills  Agenda  for  sustainable  competitiveness,  social  fairness  and 
resilience is the Commission’s five-year strategic plan to train more people, more often and 
for  the  skills  needed  on  the  labour  market.  It  sets  out  12  concrete  actions,  including  the 
Council Recommendations on vocational education and training, individual learning accounts, 
micro-credentials for lifelong learning and employability, the upskilling of researchers and the 
Pact for Skills. Their implementation will be further promoted via the European Year of Skills 
2023, ensuring that they reach their full potential. This will also contribute to the priority of 
the  new  European  Agenda  for  Adult  learning  to  reinforce  the  supply  and  take-up  of 
upskilling and reskilling opportunities with sustainable funding. 

The  Updated  2020  New  Industrial  Strategy  for  Europe  lays  out  a  plan  for  the  EU’s 
industry to draw lessons from the COVID-19 pandemic, strengthen economic resilience and 
accelerate  the  green  and  digital  transition.  This  includes  a  flexible  ecosystem-based  policy 
approach,  focused  on  better  connecting  all  players  within  a  value  chain  or  an  industrial 
ecosystem and inter alia featuring transition pathways that have a strong skills dimension. The 
European  Year  of  Skills  2023  will  enhance  the  voice  of  European  companies  and  their 
employees  within  the  industrial  ecosystems,  also  relying  on  existing  social  dialogue 
structures. 

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The European Commission’s comprehensive approach to legal migration and integration is set 
out in the New Pact on Migration and Asylum. Regarding legal migration, the Commission 
proposed  a  number  of  initiatives  aimed  at  contributing  to  attracting  third-country  nationals 
with skills needed in the EU. This includes the roll-out of an EU Talent Pool and of Talent 
Partnerships with partner countries. In 2023, Member States will also implement the Recast 
EU Blue Card Directive and the Proposals to recast the Long-Term Residents Directive 
and  the  Single  Permit  Directive  should  be  negotiated.  In  addition,  the  European 
Commission  will  promote  complementary  pathways  to  the  EU  for  people  in  need  of 
international protection, in order to harness refugees’ talent. 

The Action Plan on Integration and Inclusion 2021-2027 recognises that skills and talents 
of  migrants  as  well  as  EU  citizens  with  a  migrant  background  are  often  undervalued  or 
underutilised and proposes actions to better harness their potential on the EU labour market. 
The  European  Year  of  Skills  2023  will  promote  these  existing  initiatives  and  complement 
their  impact,  including  by  speeding  up  and  facilitating  the  recognition  of  qualifications 
awarded outside the Union, allowing third country nationals to realise their full potential on 
the European labour market. 

Following  the  State  of  the  European  Union  Speech  in  2021,  the  European  Commission  has 
implemented  a  structured  dialogue  with  the  Member  States  across  government  and 
stakeholders to advance investment in and reforms of digital education and skills policies, in 
view  of  the  cross-cutting  challenges  posed  by  the  digital  transition  and  the  need  for 
acceleration  of  policy  and  results.  The  European  Year  of  Skills  2023  could  build  on  the 
structured dialogue process, expanding its focus to fit the objectives outlined above. 

European Union funds and instruments will also play a key part in the implementation of 
the European Year of Skills 2023. The European Social Fund Plus (ESF+) with a budget of 
over  €99  billion  for  the  2021-2027  programming  period  remains  the  main  instrument  for 
investing  in  people,  working  in  synergy  with  other  funds  (the  InvestEU  programme,  the 
European  Globalisation  Adjustment  Fund  for  displaced  persons,  the  European  Regional 
Development  Fund (ERDF), the Just  Transition Fund (JTF), the European Solidarity Corps, 
the Digital Europe Programme, Erasmus+, Horizon Europe, the Programme for Environment 
and climate action (LIFE), the Modernisation Fund, the Technical Support Instrument (TSI), 
the  Neighbourhood,  Development  and  International  Cooperation  Instrument  (NDICI))  and 
with skills-related reforms and investments included in Member States’ national plans under 
the Recovery and Resilience Facility (RRF). 

The European Year of Skills 2023 will also draw on the work of all Union Agencies active in 
the  field  of  skills  and  employment,  further  strengthening  their  activities  and  creating 
synergies, in particular with the European Centre for the Development of Vocational Training 
(Cedefop), the European Foundation for the Improvement of Living and Working Conditions 
(Eurofound),  the  European  Training  Foundation  (ETF),  the  European  Labour  Authority 
(ELA), the European Agency for Safety and Health at Work (EU-OSHA) and the European 
Union Agency for Cybersecurity (ENISA). 

• 

Consistency with other Union policies 

The European Year of Skills 2023 will also promote synergies between skills policies and EU 
initiatives  on  training.  The  Digital  Education  Action  Plan  prioritises  the  enhancement  of 
digital  skills  and  competences  including  democratic  resilience  and  media  literacy.  The 
European  Education  Area  supports  the  further  development  of  education  and  training 
systems in the Member States. Creating the space for discussion and exchange, the European 
Year  of  Skills  2023  will  further  establish  bridges  between  these  domains.  Fostering 

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researchers’ core and transversal skills is a central element of the European Research Area, 
thereby responding to the labour market demand for highly-skilled talents.  

The  reinforced  Youth  Guarantee,  focuses  on  the  integration  of  NEETs  into  the  labour 
market.  A  key  driver  is  providing  access  to  quality  education  and  training  to  improve 
employability in line with labour market needs.  

Increasing  women’s  participation  in  the  labour  market  has  a  strong,  positive  impact  on  the 
economy,  notably  in  the  context  of  a  shrinking  workforce  and  skills  shortages  and  the 
ambitious Porto target of employment of 78% by 2030. The Gender Equality Strategy, aims 
at  addressing  the  gender  pay  and  pensions  gaps;  and  gender  stereotypes,  for  example,  in 
traditionally male or female-dominated professions such as sciences, technology, engineering 
and mathematics, or in the care sector.  

Despite a continuous small increase of the employment rate of persons with disabilities during 
the last decade, disability employment gap persists at around 24 percentage points in the EU. 
The  Disability  Employment  package  presents  actions  to  improve  the  employment  rate  of 
persons with disabilities, by allowing them to acquire the skills, reskill or upskill to meet the 
needs  of  the  labour  market,  and  highlights  the  need  to  increase  the  employment  rate  of 
persons with disabilities. 

Moreover, as skills are fundamental and relevant to all economic sectors, most EU initiatives 
envisage measures expressly related to skills. Skills development  plays a prominent role for 
the  successful  implementation  of  a  number  of  other  Union  policies,  on  which  the  European 
Year of Skills 2023 will build. This includes the European Green Deal, with initiatives such 
as  the  Fit  for  55  package,  the  Renovation  Wave  for  Europe,  the  REPowerEU  Plan,  the 
proposal  for  a  recast  of  the  Energy  Efficiency  Directive,  the  New  Circular  Economy 
Action Plan, the Zero Pollution Action Plan, the EU Biodiversity Strategy for 2030, the 
Farm  to  Fork  Strategy,  and  the  Communication  on  a  new  approach  for  a  sustainable 
blue economy in the EU. 

The  Year  of  Skills  2023  will  furthermore  build  on  the  New  European  Bauhaus,  Horizon 
Europe  and  its  missions,  the  new  European  Innovation  Agenda,  the  European  Strategy 
for  Universities,  a  strategy  Shaping  Europe’s  Digital  Future,  a  European  Strategy  for 
Data,  the  Digital  Decade,  the  Commission’s  proposal  for  a  European  Declaration  on 
Digital  Rights  and  Principles  for  the  Digital  Decade,  the  joint  EU/OECD  financial 
competence  framework  for  adults,  the  Strategy  for  the  Rights  of  Persons  with 
Disabilities,  the  EU  anti-racism  action  plan,  the  EU  Roma  Strategic  Framework  for 
equality,  inclusion  and  participation,  the  Action  Plan  on  Integration  and  Inclusion  2021-
2027, the European Democracy Action Plan,  the the Long Term Vision for EU’s Rural 
Areas, the Communication on a new approach for a sustainable blue economy in the EU, 
the European Care Strategy,  the Action plan for the social economy  and the Transition 
pathway  for  the  proximity  and  social  economy  industrial  ecosystem,  the  European 
Critical  Raw  Materials  Act  and  the  Communication  on  Critical  Raw  Materials 
Resilience,  the  Joint  Communication  on  Defence  Investment  Gaps  and  Way  Forward, 
and  the  Space  Programme  Regulation.  Each  of  these  initiatives  and  policies  includes 
measures that may relate to skills development in general or for particular groups or refers to 
specific skill sets.  

In  addition,  the  EU  is  championing  skills  policies  and  investments  globally.  The  Global 
Gateway  strategy  and  the  Youth  Action  Plan  prioritise  investments  in  quality  education 
systems in partner countries. Team Europe is contributing to skills development, for example 
through supporting teacher training and vocational  education and training related initiatives. 

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These  efforts  in  the  external  dimension  complement  directly  the  objectives  set  out  in  this 
proposal. 

2. 

• 

LEGAL BASIS, SUBSIDIARITY AND PROPORTIONALITY 

Legal basis 

In accordance with Article 149 of the Treaty on the Functioning of the European Union, in the 
field of employment the Union has the competence to support actions of the Member States, 
to  encourage  cooperation  and  to  provide  comparative  analysis  and  advice,  and  to  promote 
innovative approaches.  Article 149  TFEU provides  that the Union’s action  may “encourage 
cooperation  between  Member  States”  and  shall  “support  their  action  in  the  field  of 
employment  through  initiatives  aimed  at  developing  exchanges  of  information  and  best 
practices,  providing  comparative  analysis  and  advice  as  well  as  promoting  innovative 
approaches and evaluating experiences, in particular by recourse to pilot projects”. 

The  Decision  will  contribute  to  objectives  set  out  in  Article  145  TFEU,  which  requires 
Member  States  and  the  Union  “to  work  towards  developing  a  coordinated  strategy  for 
employment  and  particularly  for  promoting  a  skilled,  trained  and  adaptable  workforce  and 
labour markets responsive to economic change”.  

• 

Subsidiarity (for non-exclusive competence)  

The  present  proposal  is  in  conformity  with  the  principle  of  subsidiarity  as  provided  for  in 
Article 5(3) of the Treaty on European Union (TEU). The objectives of the proposal cannot be 
achieved  to  a  sufficient  extent  solely  by  action  undertaken  by  the  Member  States.  This  is 
because  action  at  national  level  alone  would  not  benefit  from  the  European  dimension  of 
exchange of experience and good practice between Member States. The Union shall pursue its 
objectives  by  appropriate  means  commensurate  with  the  competences  which  are  conferred 
upon it by the Treaties. In addition, Member States' action would benefit from the awareness 
and visibility created within and beyond the EU. 

• 

Proportionality 

The present proposal is in conformity with the principle of proportionality as provided for in 
Article 5(4) TEU. The proposed course of action is simple. It relies on existing programmes 
and  on  refocusing  communication  activities  on  the  themes  of  the  European  Year  of  Skills 
imposes  no  disproportionate  management  constraints  on  administrations 
2023. 
implementing the proposal. 

It 

The Union action will support and complement the efforts of Member States. This action will 
firstly improve the effectiveness of the Union’s own instruments. Secondly, it will act as an 
enabler by  encouraging synergies and cooperation among Member States, organisations and 
foundations, and private and public enterprises. 

The Union action will not go beyond what is necessary to address the identified problems and 
to achieve the objectives of the initiative. 

• 

Choice of the instrument 

A decision of the European Parliament and of the Council is the most appropriate instrument 
to ensure the full involvement of the legislative authority in designating 2023 as the European 
Year of Skills. 

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RESULTS 
CONSULTATIONS AND IMPACT ASSESSMENTS 

EX-POST 

EVALUATIONS, 

OF 

STAKEHOLDER 

Ex-post evaluations/fitness checks of existing legislation 

Stakeholder consultations 

Collection and use of expertise 

3. 

• 

N/A 

• 

N/A 

• 

N/A 

• 

Impact assessment 

No impact assessment has been carried out as there is no need. The objectives of the proposed 
initiative fall within the objectives of existing Union policies and programmes. The European 
Year  of  Skills  2023  can  be  implemented  within  existing  budget  limits  by  using  those 
programmes that provide for setting funding priorities on an annual or multiannual basis. The 
proposed initiative would not have any significant social, economic or environmental impact 
beyond that of the existing instruments.  

Regulatory fitness and simplification 

Fundamental rights 

• 

N/A 

• 

N/A 

4. 

BUDGETARY IMPLICATIONS 

The  proposal  does  not  require  any  additional  budgetary  resources  in  terms  of  credits.  All 
needs can be met through redeployments from the technical assistance of ESF+, including the 
hiring  of  some  interim  staff  to  help  implement  communication  campaign  and  events  on  the 
ground,  already  from  2022  and  up  to  2024.  Permanent  staff  in  place  will  ensure  the 
supervision of the interim staff to ensure a smooth implementation throughout the whole year.  

5. 

• 

OTHER ELEMENTS 

Implementation plans and monitoring, evaluation and reporting arrangements 

The proposal includes an obligation for the Commission to report by 31 December 2024 on 
the implementation, results and overall assessment of the initiatives covered by the European 
Year of Skills.  

Explanatory documents (for directives) 

• 

N/A 

• 

Detailed explanation of the specific provisions of the proposal 

EN 

8 

  EN 

2022/0326 (COD) 

Proposal for a 

DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL 

on a European Year of Skills 2023 

(Text with EEA relevance) 

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  on  the  Functioning  of  the  European  Union,  and  in  particular 
Article 149 thereof, 

Having regard to the proposal from the European Commission, 

After transmission of the draft legislative act to the national parliaments, 
Having regard to the opinion of the European Economic and Social Committee20,  
Having regard to the opinion of the Committee of the Regions21,  

Acting in accordance with the ordinary legislative procedure, 

Whereas:  

(1) 

(2) 

A  skilled  workforce  is  crucial  to  ensuring  socially  fair  and  just  green  and  digital 
transitions,  and  to  strengthening  the  Union’s  sustainable  competitiveness  and 
resilience in the face of adverse external shocks such as the COVID-19 pandemic or 
the fallout of Russia’s war of aggression against Ukraine. More and better skills open 
up  new  opportunities  and  empower  individuals  to  fully  participate  in  the  labour 
market,  society  and  democracy,  to  harness  and  benefit  from  the  opportunities  of  the 
green and digital transitions and to exercise their rights. 

Across  the  Union,  companies  report  difficulties  to  find  workers  with  the  necessary 
skills.  In  2021,  28  occupations  were  classified  as  having  shortages,  including  the 
healthcare, hospitality, construction and service sectors, in addition to shortages of IT 
and security specialists, in particular cybersecurity experts, and workers with science, 
technology,  engineering  and  mathematics  background.22  Increasingly,  the  biggest 
constraint to  a successful  digital  and  green  transition is  the lack of workers with  the 
right  skills.  In  many  Member  States,  demographic  ageing  is  expected  to  accelerate 
over the coming decade as “baby boom” cohorts retire, reinforcing the need to make 
use of the full potential  of all working-age adults  through continuous investments  in 
their skills as well as activitating more people, in particular women and young people 
especially those not in education, employment or training (NEETs).  

20 
21 
22 

OJ C , , p. . 
OJ C , , p. . 
European Labour Authority, Report on labour shortages and surpluses 2021 and ENISA, Cybersecurity 
skills development in the EU, March 2020. The ENISA studies identify that there is a gap of 291,000 
professionals in cybersecurity. 

EN 

9 

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(3) 

(4) 

(5) 

(6) 

23 
24 

25 
26 
27 

28 
29  

The  availability  of  skilled  staff  or  experienced  managers  also  remains  the  most 
important  problem  for  a  quarter  of  Union’s  25  million  small  and  medium-sized 
enterprises  (SMEs)23,  constituting  the  backbone  of  Union’s  economy,  representing 
99%  of  all  businesses  and  employing  83  million  people.  The  Commission 
Communication “An SME strategy for sustainable Europe”24 recognises the essential 
role of SMEs to Europe’s competitiveness and prosperity.  

Low  skills  of  working-age  adults  remain  a  significant  challenge  for  the  Union, 
pointing  to  considerable  untapped  potential  of  upskilling  and  reskilling  to  help 
mitigate  increasing  labour  shortages  in  sectors  such  as  manufacturing  and  services, 
and  in  particular  in  economic  activities  related  to  hospitality  and  manufacturing  of 
computer  and  electronic  equipment,  and  the  care  sector.25  However,  participation  in 
adult learning in the Union has stagnated over the last decade and 21 Member States 
fell short of the 2020 EU-level target. For many adults, such as those in atypical forms 
of  work,  employees  of  small  and  medium-sized  enterprises,  the  unemployed,  the 
inactive  and  the  low-qualified,  skills  development  opportunities  are  too  often  out  of 
reach.  Increasing  the  upskilling  and  reskilling  opportunities  for  these  groups,  and  all 
working-age  adults,  also  contributes  to  reaching  the  EU  employment  target  of  78%, 
with employment rate in the EU in 2021 being at 73.1%.26  
The first principle of the European Pillar of Social Rights27 states that everyone has the 
right  to  quality  and  inclusive  education,  training  and  lifelong  learning  in  order  to 
maintain  and  acquire  skills  that  enable  them  to  participate  fully  in  society  and 
successfully  manage  transitions  in  the  labour  market.  Principle  4  touches  on  active 
support  for  employment,  to  uphold  everyone’s  right  to  timely  and  tailor-made 
assistance  to  improve  their  employment  or  self-employment  prospects,  including  the 
right  to  receive  support  for  training  and  re-qualification.  Principle  5  on  secure  and 
adaptable  employment  emphasises  that,  regardless  of  the  type  and  duration  of  the 
employment relationship, workers should enjoy fair and equal treatment with respect 
to  working  conditions,  access  to  social  protection  and  training.  Article  14(1)  of  the 
Charter  of  Fundamental  Rights  of  the  European  Union  (the  ‘Charter’)28  states  that 
everyone has the right to education and access to vocational and continuing training.  

Principle  3  of  the  European  Pillar  of  Social  Rights  underlines  that  regardless  of 
gender, racial or ethnic origin, religion or belief, disability, age or sexual orientation, 
everyone  has  the  right  to  equal  treatment  and  opportunities,  and  this  includes 
employment  and  education.  The  European  Year  of  Skills  should  be  carried  out  in  a 
way  that  is  inclusive  and  actively  promotes  equality  for  all.  The  European  Pillar  of 
Social Rights Action Plan29 points out that by increasing participation of groups which 
are  currently  under-presented  in  the  labour  market,  we  can  achieve  a  more  inclusive 
employment growth.  

Eurostat, Key Figures on European Businesses, 2022 Edition, p. 10.  
Communication  from  the  Commission  to  the  European  Parliament,  the  Council,  the  European 
Economic and Social Committee and the Committee of the regions “An SME Strategy for a sustainable 
and digital Europe” (COM/2020/103 final) 
European Commission, 2021 Labour Market and Wage Developments in Europe, p. 26 
Eurostat, Employment (as % of the population aged 20 to 64), (LFSI_EMP_A) 
Communication  from  the  Commission  to  the  European  Parliament,  the  Council,  the  European 
Economic  and  Social  Committee  and  the  Committee  of  the  regions  Establishing  a  European  Pillar  of 
Social Rights (COM/2017/0250 final) 
Charter of fundamental rights of the European Union (2000/C 364/01) 
The European Pillar of Social Rights Action Plan (europa.eu) 

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10 

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(7) 

(8) 

(9) 

The  European  Skills  Agenda30,  adopted  in  July  2020,  calls  for  a  skills  revolution  to 
ensure the recovery of our economy, strengthen Europe’s global competitiveness and 
turn  the  green  and  digital  transitions  into  opportunities  for  all.  It  aims  to  foster 
collective  action  on  skills,  ensure  that  training  content  is  aligned  with  the  evolving 
labour market needs, and better match training opportunities with people's aspirations 
to  incentivise  their  uptake  across  the  working-age  population.  The  European 
Parliament welcomed the objectives and actions of the European Skills Agenda in its 
Resolution of 11 February 2021.31  

On  25  June  2021,  the  European  Council  welcomed  the  EU  headline  targets  of  the 
European  Pillar  of  Social  Rights  Action  Plan,  in  line  with  the  Porto  Declaration32, 
thereby supporting the ambition of ensuring, by 2030, an employment rate of at least 
78% and that at least 60% of all adults participate in training every year.  

On  14  September  2022,  President  von  der  Leyen  announced  in  her  State  of  the 
European  Union33  Address  that  the  European  Commission  would  propose  to  make 
2023  the  European  Year  of  Skills.  The  President  pointed  to  the  problem  of  labour 
shortages  in  certain  sectors  and  underlined  the  importance  of  investments  in 
professional  education  and  upskilling.  She  also  underlined  that  attracting  the  right 
skills  to  Europe  has  to  be  part  of  the  solution,  supported  by  speeding  up  and 
facilitating the recognition of qualification also of third country nationals. In bringing 
the European Year of Skills to life, the Commission seeks to increase momentum and 
foster implementation of the many actions it has already taken to strengthen reskilling 
and  upskilling  in  the  Union  to  address  labour  market  shortages  and  support  the 
sustainable growth of the EU social market economy.  

On  15  September  2021,  President  von  der  Leyen  announced  in  her  State  of  the 
European Union Address the launch of a structured dialogue at top-level to strengthen 
commitments  on  digital  skills  and  education.  Member  States  appointed  national 
coordinators  for  this  process.  The  European  Year  of  Skills  2023  will  build  on  the 
structured  dialogue  process,  expanding  its  focus  in  line  with  the  objectives  of  this 
Decision. 

The  Year  of  Skills  follows  the  2022  European  Year  of  Youth  which  sought  to 
empower, honour, support and engage with young people, including those with fewer 
opportunities,  in  a  post-COVID-19  pandemic  perspective  with  a  view  to  having  a 
long-term  positive  impact  for  young  people.  The  European  Year  of  Youth  already 
emphasised  the  importance  of  skills  to  find  good  quality  employment  for  young 
people. 

(10)  As  companies  and  other  stakeholders  know  best  what  skills  are  needed  in  their 
industrial ecosystems, strengthening their collective action on skills development has 
to  be  part  of  the  solution.  The  Pact  for  Skills  brings  together  companies,  social 

30 

31 

32 

33 

Communication  from  the  Commission  to  the  European  Parliament,  the  Council,  the  European 
Economic  and  Social  Committee  and  the  Committee  of  the  Regions  -  European  Skills  Agenda  for 
sustainable competitiveness, social fairness and resilience (COM(2021)274 final) 
European Parliament, European Parliament resolution of 11 February 2021 on the Communication from 
the  Commission  to  the  European  Parliament,  the  Council,  the  European  Economic  and  Social 
Committee and the Committee of the Regions European Skills Agenda for sustainable competitiveness, 
social fairness and resilience (2020/2818(RSP)) 
European Council Conclusions, 24-25 June 2021. This follows  up on the  Porto Declaration of 8 May 
2021 
State of the Union Address 2022, online at: https://state-of-the-union.ec.europa.eu/index_en   

EN 

11 

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partners, education and training providers, public employment services and other key 
skills stakeholders, both private and public. So far, more than 700 organisations have 
signed  up  and  12  large  scale  partnerships  in  strategic  sectors  have  been  set  up,  with 
pledges  to  promote  6  million  training  opportunities.  The  regional  dimension  is  also 
important,  including  in  border  regions,  where  finding  workers  with  the  right  skills 
requires targeted measures to support effective cross-border labour markets. Similarly, 
disadvantaged and remote regions, including the outermost, face particular challenges 
as access to the labour market and upskilling and reskilling opportunities are limited. 

(11)  The  Council  Recommendations  on  Individual  Learning  Accounts34  and  Micro-
credentials for lifelong learning and employability35 help people to update or complete 
their  skill-sets,  also  in  response  to  emerging  skills  needs  in  the  labour  market,  in  a 
more  flexible  and  targeted  way.  The  Council  Resolution  from  December  2021  on  a 
new  European  Agenda  for  Adult  Learning  2021-203036  promotes  upskilling  and 
reskilling  that  can  in  turn  reduce  skills  mismatches  and  labour  shortages.  Skills 
guidance  and  skills  self-assessment  opportunities  are  among  the  measures  which 
support people in their up- and reskilling. 

(12)  The strengthened active labour market policies advocated for by the EASE (Effective 
Active  Support  to  Employment)  Commission  Recommendation37  aim  to  support 
transitions into new employment amid the recovery from the COVID-19 crisis and the 
better matching of skills in the labour market, supported by employment services with 
a sufficient administrative capacity. 

(13)  The Council Recommendation on vocational education and training (VET)38 supports 
modernisation of VET systems to equip young people and adults with the knowledge, 
skills and competences they need to thrive in the evolving labour market and society, 
to  manage  the  recovery  and  the  just  transitions  to  the  green  and  digital  economy,  in 
times of demographic change and throughout all economic cycles. It promotes VET as 
a  driver  for  innovation  and  growth,  which  is  agile  in  adapting  to  labour  market 
changes and providing skills for occupations in high demand. 

(14)  Skills for the green transition and the upskilling and reskilling of the workforce will be 
needed  in  the  context  of  the  shift  to  a  modern,  resource-efficient  and  competitive 
economy,  as  laid  out  under  the  European  Green  Deal39  setting  the  path  towards  EU 
climate neutrality by 2050. The Commission Communication “Fit for 55”40 recognises 
that  the  green  transition  can  only  succeed  if  the  Union  has  the  skilled  workforce  it 

34 
35 

36 

37 

38 

39 

40 

Council Recommendation of 16 June 2022 on individual learning accounts (OJ C 243, 27.6.2022, p. 26) 
Council  Recommendation  of  16  June  2022  on  a  European  approach  to  micro-credentials  for  lifelong 
learning and employability (OJ C 243, 27.6.2022, p. 10) 
Council Resolution on a new European agenda for adult learning 2021-2030 (OJ C 504, 14.12.2021, p. 
9) 
Commission Recommendation of 4.3.2021on an effective active support to employment following the 
COVID-19 crisis (EASE) (OJ L 80, 8.3.2021, p. 1) 
Council  Recommendation  of  24  November  2020  on  vocational  education  and  training  (VET)  for 
sustainable competitiveness, social fairness and resilience (OJ C 417 2.12.2020, p. 1) 
Communication from the Commission to the European Parliament, the European Council, the Council, 
the  European  Economic  and  Social  Committee  and  the  Committee  of  the  Regions  -  The  European 
Green Deal (COM/2019/640 final) 
Communication  from  the  Commission  to  the  European  Parliament,  the  Council,  the  European 
Economic  and  Social  Committee  and  the  Committee  of  the  Regions  –  Fit  for  55:  delivering  the  EU's 
2030 Climate Target on the way to climate neutrality (COM(2021) 550 final) 

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needs  to  stay  competitive  and  points  to  the  flagship  actions  of  the  Skills  Agenda  to 
equip people with the skills that are needed for the green and digital transitions.  
(15)  The Digital Decade Policy Programme 203041 reiterates the objective of ensuring that 
at least 80% of the EU population have at least  basic digital skills by 2030, and sets 
the  target  of  20  million  employed  ICT  specialists,  with  the  aim  of  achieving  gender 
convergence, by 2030, also by creating a cooperation framework between the Member 
States  and  the  Commission.  The  Digital  Decade42  stresses  the  lack  of  capacity  of 
specialised  education  and  training  programmes  to  train  additional  ICT  experts.  The 
Digital  Education  Action  Plan  2021-202743  emphasises  that  technological  means 
should be used to ease accessibility and strengthen flexibility of learning opportunities, 
including upskilling and reskilling.  

(16)  The  Commission  Communication  on  An  Updated  Industrial  Strategy44  calls  for 
decisive action to make lifelong learning a reality for all and ensure that education and 
training keep pace with and help deliver the digital and green transitions. It underlines 
that  a  skilled  workforce  is  key  in  ensuring  successful  transitions,  supporting  the 
competitiveness  of the European industry, its digital  and green transition  and quality 
job creation. It also recognises the importance of strong partnerships between the EU, 
Member  States,  social  partners  and  other  relevant  stakeholders  and  cooperation 
between  and  within  industrial  ecosystems.  The  social  economy  can  play  a  decisive 
role  as  it  is  an  important  proponent  of  socially  fair  and  inclusive  digital  and  green 
transitions and a key driver of social innovation, including in the field of reskilling and 
upskilling. 

(17)  Attracting skilled third-country nationals can contribute to tackling the Union’s skills 
and labour shortages. In October 2021, the revised EU Blue Card Directive45 entered 
into force, a key achievement for attracting highly skilled talent into the labour market. 
The  New  Pact  on  Migration  and  Asylum46  also  places  a  strong  emphasis  on  labour 
migration and on integration of third country nationals. Against this background, the 
Commission adopted a Skills and Talent Package47 in April 2022 to reinforce the legal 
framework and Union action in this area. Proposals to recast the Long-Term Residents 
Directive and the Single Permit Directive will allow to simplify the procedures for the 
admission  of  workers  of  all  skill  levels  to  the  Union.  The  Commission  will  also 

41 

42 

43 

44 

45 

46 

47 

Proposal  for  a  Decision  of  the  European  Parliament  and  of  the  Council  establishing  the  2030  Policy 
Programme “Path to the Digital Decade” (COM/2021/574 final) 
Communication  from  the  Commission  to  the  European  Parliament,  the  Council,  the  European 
Economic  and  Social  Committee  and  the  Committee  of  the  regions;  2030  Digital  Compass:  the 
European way for the Digital Decade (COM (2021)118 final) 
Communication  from  the  Commission  to  the  European  Parliament,  the  Council,  the  European 
Economic  and  Social  Committee  and  the  Committee  of  the  Regions  on  the  Digital  Education  Action 
Plan (COM/2018/022 final) 
Communication  from  the  Commission  to  the  European  Parliament,  the  Council,  the  European 
Economic and Social Committee and the Committee of the Regions - Updating the 2020 New Industrial 
Strategy: Building a stronger Single Market for Europe’s recovery (COM(2021) 350 final) 
Directive (EU) 2021/1883 of the European Parliament and  of the Council of 20 October 2021 on the 
conditions  of  entry  and  residence  of  third-country  nationals  for  the  purpose  of  highly  qualified 
employment, and repealing Council Directive 2009/50/EC (OJ L 382, 28.10.2021, p. 1) 
Communication  from  the  Commission  to  the  European  Parliament,  the  Council,  the  European 
Economic and Social Committee and the  Committee of the Regions on a New Pact on Migration and 
Asylum (COM/2020/609 final) 
Communication  from  the  Commission  to  the  European  Parliament,  the  Council,  the  European 
Economic and Social Committee and the  Committee of the Regions Attracting skills and talent to the 
EU (COM/2022/657 final) 

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continue  to  roll  out  an  EU  Talent  Pool  to  facilitate  labour  matching  with  non-EU 
nationals. The Commission is also working towards the launch of tailor-made Talent 
Partnerships with specific key partner countries to boost international labour mobility 
and development of talent in a mutually beneficial  and circular way. In addition, the 
Union continues to be the leading contributor to global funding for education focusing 
especially  on  teacher  training,  girls  education  and  vocational  education  and  training. 
This work, under the umbrella of the Global Gateway strategy48, is complementary to 
the objectives of this proposal. 

(18)  Trust in and transparency of qualifications, whether acquired in Europe or beyond, is 
key  in  facilitating  their  recognition.  EU  transparency  tools  (European  Qualifications 
Framework,  Europass,  ESCO,  EU  Skills  Profile  Tool  for  third  country  nationals, 
European  Digital  Credentials  for  Learning)  are  a  starting  point  to  help  increase  the 
transparency and comparability of qualifications. For well functioning labour markets, 
skills  must  be  understood  and  valued,  whether  acquired  in  formal,  non-formal  or 
informal settings. Skills identification and documentation, as well as guidance to make 
skills visible, are crucial steps in this context. 

(19)  Overall  public  and  private  investments  in  upskilling  and  reskilling  are  insufficient. 
Most  job-related  training  in  the  Union  is  employer-sponsored.  However,  many 
companies,  in  particular  SMEs,  do  not  provide  or  fund  training  for  their  staff,  and 
individuals  in  atypical  work  have  less  or  no  access  to  employer-sponsored  training. 
Such  inequalities  undermine  individuals’  welfare  and  health,  reduce  economic 
competitiveness,  result  in  missed  opportunities  and  barriers  to  innovation  and  risk 
leaving  people  behind  in  the  transition  to  more  sustainable  economic  activities.  An 
enabling  framework  unlocking  and  incentivising  employers’  financial  investments  in 
skills and giving visibility to the economic value of upskilling and reskilling is needed. 

(20) 

In  the  past,  the  Union  witnessed  significant  increases  in  the  public  investments  in 
initial  education  and  training.  However,  so  far,  this  has  not  been  matched  with 
corresponding  increases  in  investments  to  support  continuing  skills  development 
throughout the entire working life.49 The Council Conclusions of 8 June 202050 invite 
Member States to “explore possible models for public and private financing of lifelong 
learning  and  the  development  of  skills  on  an  individual  level”,  and  call  on  the 
Commission to support Member States in these efforts. 

(21)  Significant EU funding support is available for reskilling and upskilling, for instance 
through the European Social Fund Plus (ESF+), the Recovery and Resilience Facility 
(RRF)51, the European Regional Development Fund (ERDF), the Just Transition Fund 
(JTF), the  InvestEU  programme, the  Digital  Europe Programme, Erasmus+, Horizon 
Europe, the Programme for Environment and climate action (LIFE), the Modernisation 
Fund,  the  Neighbourhood,  Development  and  International  Cooperation  Instrument 
(NDICI).  The  ESF+  remains  the  main  EU  funding  tool  to  invest  in  more  and  better 
skills of the workforce, in particular by supporting institutions and services to assess 
and  anticipate  skills  needs  and  challenges,  supporting  reskilling  and  upskilling 

48  

49 
50 

51 

Joint  Communication  to  the  European  Parliament,  the  Council,  the  European  Economic  and  Social 
Committee,  the  Committee  of  the  Regions  and  the  European  Investment  Bank  The  Global  Gateway 
(JOIN/2021/30 final) 
See for instance the increase in tertiary attainment, cf. Education and Training Monitor 2021 
Council Conclusions of 8 June 2020 on reskilling and upskilling as a basis for increasing sustainability 
and employability, in the context of supporting economic recovery and social cohesion 
Established by Regulation (EU) 2021/241 of 12 February 2021. 

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opportunities  for  workers  offered  by  the  public  and  private  sectors.  Reforms  and 
investments included in Member States’ national recovery and resilience plans have a 
prominent  skills  dimension,  often  linked  with  active  labour  market  policies,  in 
particular  youth  employment  support.  In  the  national  recovery  and  resilience  plans 
endorsed  by  the  Commission  and  the  Council  so  far,  around  20%  of  the  social 
expenditure  is  dedicated  to  “employment  and  skills”52.  REACT-EU  was  the  first 
instrument  of  NextGenerationEU  to  make  payments  for  the  recovery  of  Member 
States. It helped create jobs and invest in skills in the regions most in need. Workers 
that  lose  their  jobs  due  to  large-scale  restructuring  events,  may  also  benefit  from 
support through the European Globalisation Adjustment Fund for Displaced Workers 
(EGF)  to  find  new  jobs,  for  instance  through  further  education  and  training  and 
tailored career guidance and advice. 

(22)  Regulation  (EU)  2021/1056  of  the  European  Parliament  and  of  the  Council 
establishing  the  Just  Transition  Fund53  recognises  that  upskilling  and  reskilling  of 
workers  and  jobseekers  is  an  instrument  needed  to  ensure  a  fair  and  inclusive  green 
transition  and  to  mitigate  adverse  consequences.  The  Council  Recommendation  on 
ensuring a fair transition towards climate neutrality54 sets out specific guidance to help 
Member  States  devise  and  implement  policy  packages  on  relevant  employment  and 
social  aspects,  including  upskilling  and  reskilling  policies.  Furthermore,  the  Council 
Recommendation  on  learning  for  the  green  transition  and  sustainable  development55 
promotes  policies  and  programmes  to  ensure  that  learners  of  all  ages  acquire  the 
knowledge  and  skills  to benefit  from  a  changing  labour  market,  live  sustainably  and 
take action for a sustainable future. 

(23)  The  InvestEU  programme,  under  its  Social  investment  and  Skills  window,  supports 
demand  for  and  supply  of  skills,  improving  final  recipients’  skills  sets  or  skills 
utilisation  and  fostering  skills-investment  markets.  InvestEU  supports  also  general 
investments in education, training and related services. In addition, the Just Transition 
Scheme under the InvestEU supports investments, including those aimed at supporting 
upskilling and reskilling of workers, in regions having an approved just transition plan 
under the Regulation (EU) 2021/1056 or projects that benefit those regions, provided 
they are key to the transition of those territories.  

(24)  Tailor-made expertise through the Commission’s Technical Support Instrument (TSI) 
can help Member States undertake reforms linked to national or regional strategies on 
skills,  translating  temporary  EU  funding  into  durable  improvements  in  the  available 
reskilling  and  upskilling  opportunities.  Mutual 
the 
Commission, can also support the process. 

facilitated  by 

learning, 

52 

53 

54 

55  

Social  categories  are  defined  and  applied  based  on  the  methodology  adopted  by  the  Commission  in 
consultation  with  the  European  Parliament  and  the  Member  States  in  the  Delegated  Regulation 
2021/2105.  By  03/10/2022,  25  recovery  and  resilience  plans  have  been  endorsed  by  the  Commission 
and the Council. 
Regulation (EU) 2021/1056 of the European Parliament and of the Council of 24 June 2021 establishing 
the Just Transition Fund PE/5/2021/REV/1 (OJ L 231, 30.6.2021, p. 1) 
Council Recommendation on ensuring a fair transition towards climate neutrality (OJ C 243, 27.6.2022, 
p. 35) 
Council  Recommendation  of  16  June  2022  on  learning  for  the  green  transition  and  sustainable 
development, OJ C 243, 27.6.2022, p. 1. 

EN 

15 

  EN 

                                                 
(25)  The European Strategy for the Rights of Persons with Disabilities 2021-203056 aims to 
ensure their full participation in society, on an equal basis with others in the Union and 
beyond.  Within  the  Strategy,  the  European  Commission  commits  to  make  sure  that 
persons  with  disabilities  can  take  part  in  trainings  and  learn  new  skills,  as  a 
fundamental requisite for employment and independence. 

(26)  At  Union  level,  the  necessary  financial  allocation  for  the  implementation  of  this 
Decision  would  be  identified  within  the  budget  of  the  contributing  programmes  in 
accordance  with  the  Multiannual  Financial  Frameworks  2014-2020  and  2021-2027. 
Without  prejudice  to  the  powers  of  the  budgetary  authority,  the  aim  should  be  to 
provide  funding  for  the  implementation  of  this Decision  of  at  least  9.3  EUR  million 
for operational expenses.  

(27)  Since the objectives  of this Decision cannot  be sufficiently  achieved by the Member 
States, but can rather by reason of the scale and effects of the proposed action be better 
achieved  at  Union  level,  the  Union  may  adopt  measures,  in  accordance  with  the 
principle of subsidiarity, as set out in Article 5 TEU. In accordance with the principle 
of proportionality, as set out in that Article, this Decision does not go beyond what is 
necessary in order to achieve those objectives. 

(28) 

In order to ensure swift implementation of the European Year of Skills, this Decision 
should  enter  into  force  as  a  matter  of  urgency  on  the  day  following  that  of  its 
publication in the Official Journal of the European Union. 

HAVE ADOPTED THIS DECISION:  

Article 1 
Subject matter 

The year 2023 shall be designated as the ‘European Year of Skills 2023’ (hereinafter referred 
to as the ‘European Year’).  

Article 2 
Objectives 

In line with principles 1, 4 and 5 of the European Pillar of Social Rights, contributing to the 
objectives set out in the 2020 European Skills Agenda and the EU headline targets set by the 
European Pillar of Social Rights Action Plan, the overall objective of the European Year shall 
be to further promote a mindset of reskilling and upskilling thereby boosting competitiveness 
of  European  companies,  in  particular  small  and  medium-sized  entreprises,  realising  the  full 
potential of the digital and green transitions in a socially fair, inclusive and just manner. More 
specifically, the activities of the Year will promote  skills policies and investments to  ensure 
that  nobody  is  left  behind  in  the  twin  transition  and  the  economic  recovery,  and  to  notably 
address labour shortages for a better skilled workforce in the  Union that is able to seize the 
opportunities of this process, by: 

1. 

56 

Promoting  increased,  more  effective  and  inclusive  investment  into  training  and 
upskilling to harness the full potential of the European current and future workforce 
and  to  support  people  in  managing  job-to-job  transitions,  active  ageing,  and 

Communication  from  the  Commission  to  the  European  Parliament,  the  Council,  the  European 
Economic and Social Committee and the Committee of the regions Union of Equality: Strategy for the 
Rights of Persons with Disabilities 2021-2030 (COM/2021/101 final) 

EN 

16 

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2. 

3. 

4. 

1. 

(a) 

(b) 

(c) 

(d) 

(e) 

(f) 

benefiting  from 
transformation.  

the  new  opportunities  brought  by 

the  ongoing  economic 

Strengthening skills relevance by closely cooperating with social partners, public and 
private  employment  services,  companies,  education  and  training  providers  and 
developing joined-up approaches with all branches of governments. 

Matching  people’s  aspirations  and  skills-set  with  labour  market  opportunities 
especially  those  offered  by  the  green  and  digital  transitions  and  the  core  sectors  in 
need of recovery from the pandemic. A special focus will be given to activate more 
people for the labour market, in particular women and young people especially those 
not in education, employment or training (NEETs). 

Attracting people from third countries with the skills needed by the Union, including 
by  strengthening  learning  opportunities  and  mobility,  and  by  facilitating  the 
recognition of qualifications. 

Article 3 
Type of measures 

The measures to be taken to achieve the objectives set out in Article 2 shall include 
the  following  activities  at  European,  national,  regional  or  local  level,  and,  where 
relevant, in cooperation with third countries, linked to the objectives of the European 
Year: 

conferences, forum discussions and further events to promote debate on the role and 
contribution of skills policies to achieve competitive, sustainable and fair economic 
growth in light of the demographic change and to mobilise relevant stakeholders to 
ensure access to training is a reality on the ground; 

working  groups,  technical  meetings  and  events  to  promote  discussion  and  mutual 
learning  on  the  actions  and  approaches  that  public,  private  and  third-sector 
stakeholders  can  take,  including  the  preparation,  publication  and  dissemination  of 
good practice examples, guidelines and further supporting documents deriving from 
the events;  

initiatives  targetting  inter  alia  individuals,  companies,  chambers  of  commerce  and 
industry,  social  partners,  public  authorities,  education  and  training  providers  to 
promote 
the  provision,  financing  and  uptake  of  upskilling  and  reskilling 
opportunities;  

information, communication and awareness-raising campaigns on EU initiatives for 
upskilling and reskilling, promoting their implementation and delivery on the ground 
and also their uptake by potential beneficiaries; 

increasing dialogue in existing stakeholder groups and networks, also via established 
online platforms; 

implementing  and  as  necessary  developing  further  skills  intelligence  tools,  while 
promoting and disseminating their application in identifying current and future skills 
needs, particularly linked to the green and digital transitions, the core sectors in need 
of  recovery  from  the  pandemic,  energy  crisis  and  the  impact  of  Russia’s  war  of 
aggression in Ukraine; 

(g) 

promoting  tools  and  instruments  for  increased  transparency  of  qualifications, 
including qualifications awarded outside the Union; 

EN 

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  EN 

(h) 

2. 

promoting  programmes,  funding  opportunities,  projects,  actions  and  networks  of 
relevance  to  public,  private  and  non-governmental  stakeholders,  involved  in  the 
design, dissemination and implementation  of upskilling and reskilling opportunities 
and vocational training; 

The  Commission  may  identify  other  activities  which  could  contribute  to  the 
objectives  of  the  European  Year  and  allow  references  to  the  European  Year  to  be 
used  in  promoting  those  activities  in  so  far  as  they  contribute  to  achieving  those 
objectives. Other Union institutions and Member States may also identify such other 
activities and suggest them to the Commission 

Article 4 
Coordination at national level 

The organisation of participation in the European Year at national and regional level shall be a 
responsibility of the Member States. To that end, each Member State shall appoint a national 
coordinator that can represent the different branches of government in a holistic manner. The 
national  coordinators  shall  ensure  the  coordination  of  relevant  activities  at  national  and 
regional level.  

Article 5 
Coordination at Union level 

1. 

2. 

3. 

4. 

The  coordination  of  the  European  Year  at  Union  level  shall  have  a  transversal 
approach with a view to creating synergies between the various Union programmes 
and initiatives in the field of skills.  

The  Commission  shall  rely  on  the  expertise  and  assistance  of  relevant  Union 
Agencies in implementing the European Year.  

The  Commission  shall  convene  meetings  of  the  national  coordinators  in  order  to 
coordinate the activities referred to  in  Article 3. These meetings  shall also  serve as 
opportunities to exchange information regarding the implementation of the European 
Year  at  national  and  Union  level.  Representatives  of  the  European  Parliament  and 
relevant Union Agencies may participate in those meetings as observers. 

The  Commission  shall  engage  with  social  partners,  labour  market  bodies  and 
representatives  of  organisations  or  bodies  active  in  the  field  of  skills,  to  assist  in 
implementing the European Year at Union level.  

Article 6 
Cooperation at international level 

For the purpose of the European Year, where necessary, the Commission shall cooperate with 
third  countries  and  competent  international  organisations,  in  particular  with  the  the  OECD, 
Unesco and the ILO, while ensuring the visibility of the Union's participation.  

Article 7 
Monitoring and evaluation 

By 31 December 2024, the Commission shall present a report to the European Parliament, the 
Council, the European Economic and Social Committee and the Committee of the Regions on 
the  implementation,  results  and  overall  assessment  of  the  initiatives  provided  for  in  this 
Decision.  

EN 

18 

  EN 

Article 8 
Entry into force 

This Decision shall enter into force on the day following that of its publication in the Official 
Journal of the European Union. 

Done at Brussels, 

For the European Parliament 
The President 

For the Council 
The President 

EN 

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  EN 

LEGISLATIVE FINANCIAL STATEMENT 

1. 

FRAMEWORK OF THE PROPOSAL/INITIATIVE 

1.1.  Title of the proposal/initiative 

1.2.  Policy area(s) concerned 

1.3.  The proposal/initiative relates to: 

1.4.  Objective(s) 

1.4.1. General objective(s) 

1.4.2. Specific objective(s) 

1.4.3. Expected result(s) and impact 

1.4.4. Indicators of performance 

1.5.  Grounds for the proposal/initiative 

1.5.1. Requirement(s)  to  be  met  in  the  short  or  long  term  including  a  detailed 
timeline for roll-out of the implementation of the initiative 

1.5.2. Added  value  of  Union  involvement  (it  may  result  from  different  factors,  e.g. 
coordination gains, legal certainty, greater effectiveness or complementarities). For 
the purposes of this point 'added value of Union involvement' is the value resulting 
from  Union  intervention  which  is  additional  to  the  value  that  would  have  been 
otherwise created by Member States alone. 

1.5.3. Lessons learned from similar experiences in the past 

1.5.4. Compatibility  with  the  Multiannual  Financial  Framework  and  possible 
synergies with other appropriate instruments 

1.5.5. Assessment  of  the  different  available  financing  options,  including  scope  for 
redeployment 

1.6.  Duration and financial impact of the proposal/initiative 

1.7.  Management mode(s) planned 

2.  MANAGEMENT MEASURES 

2.1.  Monitoring and reporting rules 

2.2.  Management and control system(s) 

2.2.1. Justification  of 
mechanism(s), the payment modalities and the control strategy proposed 

the  management  mode(s), 

funding 

the 

implementation 

2.2.2. Information  concerning the risks identified and the internal control  system(s) 
set up to mitigate them 

2.2.3. Estimation  and  justification  of  the  cost-effectiveness  of  the  controls  (ratio  of 
"control  costs  ÷  value  of  the  related  funds  managed"),  and  assessment  of  the 
expected levels of risk of error (at payment & at closure) 

2.3.  Measures to prevent fraud and irregularities 

3. 

ESTIMATED FINANCIAL IMPACT OF THE PROPOSAL/INITIATIVE 

EN 

20 

  EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
3.1.  Heading(s)  of  the  multiannual  financial  framework  and  expenditure 
budget line(s) affected 

3.2.  Estimated financial impact of the proposal on appropriations 

3.2.1. Summary of estimated impact on operational appropriations 

3.2.2. Estimated output funded with operational appropriations 

3.2.3. Summary of estimated impact on administrative appropriations 

3.2.4. Compatibility with the current multiannual financial framework 

3.2.5. Third-party contributions 

3.3.  Estimated impact on revenue 

EN 

21 

  EN 

 
 
 
 
 
 
 
 
LEGISLATIVE FINANCIAL STATEMENT 

1. 

FRAMEWORK OF THE PROPOSAL/INITIATIVE  

1.1. 

Title of the proposal/initiative 

European Year of Skills 2023 

1.2. 

Policy area(s) concerned  

Policy Area: Employment and Skills 

1.3. 

The proposal/initiative relates to:  

X a new action  

 a new action following a pilot project/preparatory action57  

 the extension of an existing action  

 a merger or redirection of one or more actions towards another/a new action  

1.4. 

Objective(s) 

1.4.1.  General objective(s) 

The  general  objective  of  the  European  Year  of  Skills  2023  shall  be  to  further 
promote a mindset of reskilling and upskilling, ensuring that nobody is left behind in 
the  twin  transitions  and  notably  addressing  labour  shortages  for  a  better  skilled 
workforce  in  the  EU  that  is  able  to  seize  the  opportunities  of  this  process,  thus 
boosting  the  competitiveness  of  European  companies,  in  particular  small  and 
medium-sized  entreprises,  realising  the  full  potential  of  the  digital  and  green 
transitions in a socially fair, inclusive and just manner. 

1.4.2. 

Specific objective(s) 

The European Year of Skills 2023 shall follow four specific objectives: 

1. 
Promoting increased, more effective and inclusive investment into training and 
upskilling to harness the full potential of the European current and future workforce 
and  to  support  people  in  managing  job-to-job  transitions,  active  ageing,  and 
the  ongoing  economic 
benefiting  from 
transformation.  

the  new  opportunities  brought  by 

2. 
Strengthening  skills  relevance  by  closely  cooperating  with  social  partners, 
public and private employment services, companies, education and training providers 
and developing joined-up approaches with all branches of governments. 

3.  Matching  people’s  aspirations  and  skills-set  with  labour  market  opportunities 
especially  those  offered  by  the  green  and  digital  transitions  and  the  core  sectors  in 
need of recovery from the pandemic. A special focus will be given to activate more 
people for the labour market, in particular women and young people especially those 
not in education, employment or training (NEETs). 

Attracting  people  from  third  countries  with  the  skills  needed  by  the  Union, 
4. 
including  by  strengthening  learning  opportunities  and  mobility,  and  by  facilitating 
the recognition of qualifications. 

57 

As referred to in Article 58(2)(a) or (b) of the Financial Regulation. 

EN 

22 

  EN 

                                                 
1.4.3.  Expected result(s) and impact 

Specify the effects which the proposal/initiative should have on the beneficiaries/groups targeted. 

The European Year of Skills 2023 is expected to have positive effects at individual, 
governmental  and  societal 
types  of  measures  foreseen  (events, 
information,  communication  and  awareness-raising  campaigns,  increased  dialogue, 
promotion and development of tools) will lead to:  

level.  The 

more  and  better  focused  investment  in  labour  market  relevant  reskilling  and 
upskilling  opportunities,  benefitting  workers  and  employers  by  addressing  existing 
labour shortages and fostering employment and social inclusion.  

– 

information  exchange,  mutual 

increased 
strengthened 
collaboration, benefitting the work of public and private organisations, as well 
as social partners, at international, European, national, regional and local level.  

learning,  and 

1.4.4. 

Indicators of performance 

Specify the indicators for monitoring progress and achievements. 

– 

– 

Outcome indicators: 

Number of events organised 

Number of outputs to be set up in the framework of the information campaign  

By  31  December  2024,  the  Commission  shall  submit  a  report  to  the  European 
Parliament,  the  Council,  the  European  Economic  and  Social  Committee  and  the 
Committee of the Regions on the implementation, results and overall assessment of 
the initiatives provided for in this Decision.  

1.5. 

Grounds for the proposal/initiative  

1.5.1.  Requirement(s) to be met in the short or long term including a detailed timeline for 

roll-out of the implementation of the initiative 

Short-term:  strengthened  cooperation  and  increased  awareness  among  public  and 
private actors about skills policies and instruments. Short-term requirements will be 
met in  the course of the European Year of Skills 2023, with the  implementation  of 
the types of measures foreseen.  

Long-term:  promote  increased  opportunities  for  upskilling  and  reskilling,  thereby 
contributing to address the issue of labour shortages in the EU.  

1.5.2.  Added  value  of  Union  involvement  (it  may  result  from  different  factors,  e.g. 
coordination gains, legal certainty, greater effectiveness or complementarities). For 
the purposes of this point 'added value of Union involvement' is the value resulting 
from  Union  intervention  which  is  additional  to  the  value  that  would  have  been 
otherwise created by Member States alone. 

The added value of Union involvement results from: 

-greater  effectiveness  of  the  Union’s  own  instruments  by  raising  awareness  and 
visibility of skills policies.  

-complementing  national  level  actions  with  a  European  dimension  allowing  for  an 
exchange  of  experience  and  good  practice  between  Member  States,  social  partners 
and other stakeholders, private and public enterprises, within and beyond the EU. In 

EN 

23 

  EN 

addition,  Member  States'  action  would  benefit  from  the  awareness  and  visibility 
created within and beyond the EU. 

1.5.3.  Lessons learned from similar experiences in the past 

The  European  Years  organised  over  the  last  10  years  have  proven  their  value  as 
effective  awareness  raising  instruments,  which  had  an  impact  on  both  the  general 
public  and  multipliers  and  have  created  synergies  between  different  areas  of 
intervention at Union and Member States level. 

1.5.4.  Compatibility  with  the  Multiannual  Financial  Framework  and  possible  synergies 

with other appropriate instruments 

The European Year of Skills 2023 will promote synergies between skills policies and 
other  relevant  Union  policies.  The  European  Year  of  Skills  2023  will  build  on 
existing relevant Union initiatives, as skills development is fundamental and relevant 
to all economic sectors.  

More  specifically,  the  European  Year  of  Skills  2023  will  build  on  the  European 
Skills Agenda, the Digital Education Action Plan, the European Education Area, the 
European Research Area, the European Green Deal, including the Fit for 55 package, 
the Renovation Wave for Europe, the REpowerEU Plan, the New Circular Economy 
Action  Plan,  the  Zero  Pollution  Action  Plan  and  the  EU  Biodiversity  Strategy  for 
2030, the Farm to  Fork  Strategy,  and  the Communication on a new approach for a 
sustainable blue economy in the EU. It will furthermore build on the New European 
Bauhaus,  Horizon  Europe  and  its  missions,  the  new  European  Innovation  Agenda, 
the  European  Strategy  for  Universities,  the  Commission’s  proposal  for  a  European 
Declaration  on  Digital  Rights  and  Principles  for  the  Digital  Decade,  a  strategy 
Shaping Europe’s Digital Future, a European Strategy for Data, the Digital Decade, 
the  reinforced  Youth  Guarantee,  the  Strategy  for  the  Rights  of  Persons  with 
Disabilities, the joint EU/OECD financial competence framework for adults, the EU 
anti-racism  action  plan,  the  EU  Roma  Strategic  Framework  for  equality,  inclusion 
and  participation,  the  Action  Plan  on  Integration  and  Inclusion  2021-2027,  the 
Gender  Equality  Strategy,  the  European  Democracy  Action  Plan,  the  Long  Term 
Vision  for  EU’s  Rural  Areas,  the  Communication  on  a  new  approach  for  a 
sustainable blue economy in the EU, the European Care Strategy, the Action plan for 
the social economy and the Transition pathway for the proximity and social economy 
industrial  ecosystem,  the  Joint  Communication  on  Defence  Investment  Gaps  and 
Way  Forward,  and  the  Space  Programme  Regulation,  the  Global  Gateway  strategy 
and the Youth Action Plan. Each of these initiatives and policies includes measures 
that may relate to skills development in general or for particular groups or refers to 
specific skill sets. 

1.5.5.  Assessment  of  the  different  available  financing  options,  including  scope  for 

redeployment 

Two  options  were  envisaged:  requesting  additional  credits  or  trying  to  fund  the 
Eurpean Year of Skills through redeployments.  

Given  that  the  needs  in  credits  are  distributed  over  three  years  (2022-2024),  it  was 
possible to meet all needs in credits through internal redeployments, building on the 
ESF+ technical assistance, both operational and administrative. 

However, in terms of staff, mere redeployment was not assessed possible. Therefore, 
permanent staff will be reinforced by interim staff for the duration of the activities. 

EN 

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The  costs  related  to  interim  staff  can  also  be  funded  through  redeployments  of 
credits. 

EN 

25 

  EN 

1.6. 

Duration and financial impact of the proposal/initiative 

X limited duration  

–  X  in effect from adoption of the decision to 31/12/2024 

–  X  Financial impact from 2022 to 2024 for commitment appropriations and from 

2022 to 2026 for payment appropriations.  

 unlimited duration 

–  Implementation with a start-up period from YYYY to YYYY, 

–  followed by full-scale operation. 

1.7.  Management mode(s) planned58  

X Direct management by the Commission 

–  X by its departments, including by its staff in the Union delegations;  

–    by the executive agencies  

 Shared management with the Member States  

 Indirect management by entrusting budget implementation tasks to: 

–   third countries or the bodies they have designated; 

–   international organisations and their agencies (to be specified); 

–   the EIB and the European Investment Fund; 

–   bodies referred to in Articles 70 and 71 of the Financial Regulation; 

–   public law bodies; 

–   bodies governed by private law with a public service mission to the extent that 

they are provided with adequate financial guarantees; 

–   bodies governed by the private law of a Member State that are entrusted with 
the  implementation  of  a  public-private  partnership  and  that  are  provided  with 
adequate financial guarantees; 

–    persons  entrusted  with  the  implementation  of  specific  actions  in  the  CFSP 

pursuant to Title V of the TEU, and identified in the relevant basic act. 

– 

If more than one management mode is indicated, please provide details in the ‘Comments’ section. 

Comments  

58 

Details  of  management  modes  and  references  to  the  Financial  Regulation  may  be  found  on  the 
site: 
BudgWeb 
https://myintracomm.ec.europa.eu/budgweb/EN/man/budgmanag/Pages/budgmanag.aspx  

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26 

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2. 

MANAGEMENT MEASURES  

2.1.  Monitoring and reporting rules  

Specify frequency and conditions. 

Work Programme of the European Year 

2.2.  Management and control system(s)  

2.2.1. 

Justification of the management mode(s), the funding implementation mechanism(s), 
the payment modalities and the control strategy proposed 

Direct  management,  as  per  article  62.1(a)  of  the  Financial  Regulation,  is  the 
preferable mode as the actions will be implemented by the European Commission, in 
particular  DG  EMPL,  which  will  ensure  the  coordination  with  the  Member  States 
and the various stakeholders 

2.2.2. 

Information concerning the risks identified and the internal control system(s) set up 
to mitigate them 

The controls are part of DG EMPL internal control system. These new activities will 
be covered by the same approach to identify risks and mitigate them. 

2.2.3.  Estimation and justification of the cost-effectiveness of the controls (ratio of "control 
costs ÷ value of the related funds managed"), and assessment of the expected levels 
of risk of error (at payment & at closure)  

The controls are part of DG EMPL internal control system. These new activities will 
generate non-significant additional costs of control at DG level. 

2.3.  Measures to prevent fraud and irregularities  

Specify existing or envisaged prevention and protection measures, e.g. from the Anti-Fraud Strategy. 

The  Commission  shall  ensure  that,  when  actions  financed  under  this  Decision  are 
implemented, the financial interests of the Union are protected by the application of 
preventive  measures  against  fraud,  corruption  and  any  other  illegal  activities,  by 
effective checks and by the recovery of the amounts unduly paid and, if irregularities 
are detected, by effective, proportional and dissuasive penalties. The Commission is 
authorised  to  carry  out  checks  and  verifications  in  situ  under  this  Decision,  in 
compliance  Council  Regulation  (Euratom,  EC)  No  2185/96  of  11  November  1996 
concerning  on-the-spot  checks  and  inspections  carried  out  by  the  Commission  in 
order to protect the European Communities financial interests against fraud and other 
irregularities.  If  need  be,  investigations  shall  be  carried  out  by  the  European  Anti-
Fraud  Office  and  shall  be  governed  by  Regulation  (EC)  No  1073/1999  of  the 
European Parliament and of the Council of 25 May 1999 concerning investigations 
conducted by the European Anti-Fraud Office (OLAF)  

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3. 

3.1. 

ESTIMATED FINANCIAL IMPACT OF THE PROPOSAL/INITIATIVE  

Heading(s)  of  the  multiannual  financial  framework  and  expenditure  budget 
line(s) affected  

  Existing budget lines  

In order of multiannual financial framework headings and budget lines. 

Budget line 

Heading of 
multiannual 
financial 
framework 

Number  

2.a 

2.a 

2.a 

07.020502 –  ESF – Operational technical 
assistance – Financing under REACT-EU 

07.010101  –  Support  expenditure  for  the 
ESF+ - shared management  

07.010101  –  Support  expenditure  for  the 
ESF+  -  shared  management  –  Financing 
under REACT-EU 

Type of  
expenditure 

Diff./Non-
diff.59 

Diff./Non
-diff. 

Contribution  

from 
EFTA 
countries
60 

from 
candidate 
countries
61 

from third 
countries 

within the 
meaning of 
Article 21(2)(b) of 
the Financial 
Regulation  

YES/NO  YES/NO  YES/NO 

YES/NO 

Diff. 

NO 

NO 

NO 

Non-diff. 

NO 

NO 

NO 

NO 

NO 

Non-diff. 

NO 

NO 

NO 

NO 

59 
60 
61 

Diff. = Differentiated appropriations / Non-diff. = Non-differentiated appropriations. 
EFTA: European Free Trade Association.  
Candidate countries and, where applicable, potential candidates from the Western Balkans. 

EN 

28 

  EN 

 
 
 
 
 
 
                                                 
3.2. 

Estimated financial impact of the proposal on appropriations  

Programmes  and  budget  lines  mentioned  below  are  indicative.  Appropriate  funding  will  be  identified  within  the  envelopes  of 
contributing programmes, in accordance with the applicable financial rules. 

3.2.1. 

Summary of estimated impact on operational appropriations  

–    The proposal/initiative does not require the use of operational appropriations  

–  X  The proposal/initiative requires the use of operational appropriations, as explained below: 

Heading of multiannual financial  
framework  

Number  Under Heading 2a: Cohesion, Resilience and Values  

EUR million (to three decimal places) 

DG EMPL 

 Operational appropriations  

Budget line 07 02 05 02 

 TOTAL operational appropriations  

Commitments 

Payments 
Commitments 
Payments 
Commitments 
Payments 

Commitments 

Payments 

(1a) 

(2a) 

(1b) 

(2b) 

(1c) 

(2c) 

1a+1b+
1c 

2a+2b 

+2 

2022 

2023 

2024 

2025 

2026 

TOTAL 

8,500 
0 

0,500 
3,600 

0,300 
1,920 

0 
3,660 

0 
0,120 

9,300 
9,300 

8,500 

0,500 

0,300 

0 

0 

0 

3,600 

1,920 

3,660 

0,120 

9,300 

9,300 

  Appropriations  of  an  administrative  nature  financed  from  the 

envelope of specific programmes  

2022 

2023 

2024 

2025 

2026 

TOTAL 

EN 

29 

EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Budgte line 07 01 01 01 

Budget line 07 01 01 01 – REACT-EU 

 TOTAL appropriations DG EMPL 

Commitments / 
Payments 

Commitments / 
Payments 

(3) 

(3) 

Commitments 

Payments 

2a+2b 

+2 

0,108 

0,443 

0,158 

0,000 

0,506 

0,000 

8,608 

0,108 

1,449 

4,549 

0,458 

2,078 

3,660 

0,120 

0,710 

0,506 

10,516 

10,516 

Heading of multiannual financial  
framework  

7 

‘Administrative expenditure’ 

2022 

2023 

2024 

2025 

2026 

TOTAL 

EUR million (to three decimal places) 

DG EMPL 

 Human resources  
 Other administrative expenditure  

0,125 

0,502 

0,084 

0,017 

TOTAL DG EMPL 

Appropriations  

0,125 

0,519 

0,084 

TOTAL appropriations 
under HEADING 7 
of the multiannual financial framework  

(Total  commitments  = 
Total payments) 

0,125 

0,519 

0,084 

0,711 

0,017 

0,728 

0,728 

TOTAL appropriations  

Commitments 

8,734 

1,968 

0,542 

11,243 

2022 

2023 

2024 

2025 

2026 

TOTAL 

EUR million (to three decimal places) 

EN 

30 

EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
under HEADINGS 1 to 7 
of the multiannual financial framework  

Payments 

0,234 

5,068 

2,162 

3,660 

0,120 

11,243 

3.2.2.  Estimated output funded with operational appropriations  

2022 

2023 

2024 

2025 

Enter as many years as necessary to show the 
duration of the impact (see point 1.6) 

TOTAL 

OUTPUTS 

Commitment appropriations in EUR million (to three decimal places) 

o
N

Cost 

o
N

Cost 

o
N

Cost 

o
N

Cost 

o
N

Cost  N

o

Cost 

o
N

Cost 

Total 
No 

Total 
cost 

Indicate 
objectives and 
outputs  

 

Type
62 

Avera
ge 
cost 

SPECIFIC OBJECTIVES No 
163… 

- Output 

- Output 

- Output 

Comm
unicati
on 
campai
gn 

Comm
ission’
s 
events 

Preside
ncy’s 
events 

7,000 

1 

7,000 

1,500 

5 

0,300 

0,500 

3 

0,167 

1 

7,000 

5 

1,500 

3 

0,500 

62 
63 

Outputs are products and services to be supplied (e.g.: number of student exchanges financed, number of km of roads built, etc.). 
As described in point 1.4.2. ‘Specific objective(s)…’  

EN 

31 

EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                 
1 

0,300 

1 

0,300 

- Output 

Evalua
tion 

0,300 

Subtotal for specific objective No 1 

SPECIFIC OBJECTIVE No 2 ... 

- Output 

Subtotal for specific objective No 2 

TOTALS 

1 

7,000 

8 

2,000 

1 

0,300 

10 

9,300 

EN 

32 

EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
3.2.3. 

Summary of estimated impact on administrative appropriations  

–    The  proposal/initiative  does  not  require  the  use  of  appropriations  of  an 

administrative nature  

–  X  The proposal/initiative requires the use of appropriations of an administrative 

nature, as explained below: 

–  EUR million (to three decimal places) 

2022 

2023 

2024 

2025 

Enter as many years as necessary to show the 
duration of the impact (see point 1.6) 

TOTAL 

HEADING 7 
of the multiannual 
financial framework 

Human resources  

0,125 

0,519 

0,084 

0,017 

0,125 

0,519 

0,084 

Other administrative 
expenditure  

Subtotal HEADING 7 
of the multiannual 
financial framework  

–   

Outside HEADING 764 
of the multiannual 
financial framework  

Human resources  

0,108 

0,949 

0,158 

Other expenditure  
of an administrative 
nature 

Subtotal  
outside HEADING 7 
of the multiannual 
financial framework  

–   

TOTAL 

0,108 

0,949 

0,158 

0,234 

1,468 

0,242 

0,711 

0,017 

0,728 

1,216 

1,216 

1,948 

–  The  appropriations  required  for  human  resources  and  other  expenditure  of  an  administrative  nature  will  be 
met by appropriations from the DG that are already assigned to management of the action and/or have been 
redeployed within the DG, together if necessary with any additional allocation which may be granted to the 
managing DG under the annual allocation procedure and in the light of budgetary constraints. 

64 

Technical  and/or  administrative  assistance  and  expenditure  in  support  of  the  implementation  of 
EU programmes and/or actions (former ‘BA’ lines), indirect research, direct research. 

EN 

33 

  EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                 
3.2.3.1.  Estimated requirements of human resources  

–    The proposal/initiative does not require the use of human resources.  

–  X  The  proposal/initiative  requires  the  use  of  human  resources,  as  explained 

below: 

–  Estimate to be expressed in full time equivalent units 

2022 

2023 

2024 

Yea
r 
N+
3 

Enter as many years as 
necessary to show the duration 
of the impact (see point 1.6) 

 Establishment plan posts (officials and temporary staff) 

20 01 02 01 (Headquarters and Commission’s Representation 
Offices) 

3 

3 

0.50 

20 01 02 03 (Delegations) 

01 01 01 01 (Indirect research) 

01 01 01 11 (Direct research) 

Other budget lines (specify) 

 External staff (in Full Time Equivalent unit: FTE)65 

20 02 01 (AC, END, INT from the ‘global envelope’) 

20 02 03 (AC, AL, END, INT and JPD in the delegations) 

07 01 01 01 66 

- at Headquarters 

- in Delegations  

01 01 01 02 (AC, END, INT - Indirect research) 

 01 01 01 12 (AC, END, INT - Direct research) 

Other budget lines (specify) 07 01 01 01 NGEU  

TOTAL 

7 

7 

5 

0 

10 

8 

18 

0 

5.50 

–  XX is the policy area or budget title concerned. 

–  The  human  resources  required  will  be  met  by  staff  from  the  DG  who  are  already  assigned  to 
management of the action and/or have been redeployed within the DG, together if necessary with 
any additional allocation which may be granted to the managing DG  under the annual allocation 
procedure and in the light of budgetary constraints. 

–  Description of tasks to be carried out: 

Officials and temporary staff 

External staff 

Formulating  and  coordinating  with  other  services  the  work  plan  of  the 
Year;  drawing  up  the  terms  of  reference  for  service  and  purchase 
contracts  and  accompanying  the  selection  process;  ensuring  the 
interinstitutional  coordination;  preparing  briefings  and  speeches  for 
Commissioner  and  DG;  ensuring  input  for  press  work;  accompanying 
ex-post evaluation 

65 

66 

AC=  Contract  Staff;  AL  =  Local  Staff;  END=  Seconded  National  Expert;  INT  =  agency  staff; 
JPD= Junior Professionals in Delegations.  
Sub-ceiling for external staff covered by operational appropriations (former ‘BA’ lines). 

EN 

34 

  EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                 
3.2.4.  Compatibility with the current multiannual financial framework  

The proposal/initiative: 

–  X the proposal is compatible with the current multiannual financial framework  

–    can be fully financed through redeployment within the relevant heading of the 

Multiannual Financial Framework (MFF). 

–    requires use of the unallocated margin under the relevant heading of the MFF 

and/or use of the special instruments as defined in the MFF Regulation. 

–    requires a revision of the MFF. 

3.2.5.  Third-party contributions  

The proposal/initiative: 

–  X  does not provide for co-financing by third parties 

–    provides for the co-financing by third parties estimated below: 

Appropriations in EUR million (to three decimal places) 

Year 
N67 

Year 
N+1 

Year 
N+2 

Year 
N+3 

Enter as many years as necessary 
to show the duration of the 
impact (see point 1.6) 

Total 

Specify  the  co-financing 
body  

TOTAL appropriations 
co-financed  

67 

Year N is the year in which implementation of the proposal/initiative starts. Please replace "N" by the 
expected first year of implementation (for instance: 2021). The same for the following years. 

EN 

35 

  EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                 
3.3. 

Estimated impact on revenue  

–  X  The proposal/initiative has no financial impact on revenue. 

–    The proposal/initiative has the following financial impact: 

– 

– 

– 

 

 

on own resources  

on other revenue 

please indicate, if the revenue is assigned to expenditure lines  

EUR million (to three decimal places) 

Appropriations 
available for 
the current 
financial year 

Budget revenue line: 

Article …………. 

Impact of the proposal/initiative68 

Year 
N 

Year 
N+1 

Year 
N+2 

Year 
N+3 

Enter as many years as necessary to show 
the duration of the impact (see point 1.6) 

For assigned revenue, specify the budget expenditure line(s) affected. 

Other  remarks  (e.g.  method/formula  used  for  calculating  the  impact  on  revenue  or  any  other 
information). 

68 

As regards traditional own resources (customs duties, sugar levies), the amounts indicated must be net 
amounts, i.e. gross amounts after deduction of 20 % for collection costs. 

EN 

36 

  EN