TO OFFICIALS IN THE FORM OF REMUNERATION , PENSIONS AND ALLOWANCES .
20 IN A COMMUNICATION TO THE COUNCIL DATED 29 NOVEMBER 1978 THE COMMISSION EXPRESSED THE DESIRE THAT ARTICLE 1 OF ITS PROPOSAL OF 1 APRIL 1977 SHOULD BE AMENDED . THE TEXT OF THE NEW PROPOSAL CORRESPONDS TO THE FIRST TWO PARAGRAPHS OF ARTICLE 63 AS AMENDED BY REGULATION NO 3085/78 . IN THE SAME COMMUNICATION , THE COMMISSION PROPOSED A TRANSITIONAL PERIOD OF SIX MONTHS , THAT IS TO SAY UNTIL 1 OCTOBER 1979 , FOR PENSIONERS AND RECIPIENTS OF ALLOWANCES WHOSE NET EMOLUMENTS WOULD SUFFER A REDUCTION FOLLOWING THE UPDATING .
21 REGULATION NO 3085/78 FOLLOWED THAT PROPOSAL FROM THE COMMISSION , WITH A MINOR AMENDMENT TO THE WORDING , ADDING AFTER THE PROPOSED TRANSITIONAL PROVISION A FURTHER TRANSITIONAL PROVISION : ' ' FROM THAT DATE THE DIFFERENCE BETWEEN THE NET AMOUNTS RESULTING FROM THE IMPLEMENTATION OF THIS REGULATION AND THOSE RECEIVED IN SEPTEMBER 1979 SHALL BE REDUCED BY 1/10 PER MONTH ' ' .
22 IT APPEARS FROM THE REPORT OF THE PARLIAMENT ' S COMMITTEE ON BUDGETS THAT THE PARLIAMENT WAS IN A POSITION TO ASSESS THE POSSIBLE IMPACT OF THE COMMISSION ' S INITIAL PROPOSAL ON PENSIONS AND TRANSFERS MADE UNDER ARTICLE VII TO THE STAFF REGULATIONS AND THAT ASSURANCES GIVEN TO THE PARLIAMENT BY THE COMMISSION MUST BE UNDERSTOOD TO THE EFFECT THAT THE ' ' NEUTRALITY ' ' OF THE PROPOSAL CONCERNED THE ENTIRE REMUNERATION OF OFFICIALS AND THAT IN CERTAIN CASES THE COMMISSION ' S PROPOSAL MIGHT HAVE THE EFFECT OF INCREASING THE COST OF TRANSFERS .
23 IN FACT , THE REGULATION FINALLY ADOPTED CONFORMED TO THE PROPOSAL SUBMITTED TO THE PARLIAMENT APART FROM THE SUBSTITUTION OF UPDATED EXCHANGE RATES FOR THE EUA AND THE TRANSITIONAL PROVISIONS INTENDED TO ALLEVIATE THE EFFECT OF THE PROVISIONS OF THE REGULATION FOR A SPECIFIC PERIOD WITH REGARD TO CERTAIN PENSIONERS . AS REGARDS THE SUBSTITUTION OF THE UPDATED EXCHANGE RATES FOR THE EUA , IT SHOULD BE NOTED THAT THE RATES ADOPTED EXACTLY REFLECTED THE VALUE OF THE EUA IN TERMS OF NATIONAL CURRENCIES AS AT 1 APRIL 1978 , SO THAT THE AMENDMENT TO THE INITIAL PROPOSAL CONSTITUTED IN REALITY A CHANGE OF METHOD RATHER THAN OF SUBSTANCE . AS REGARDS THE TRANSITIONAL PROVISION FOR THE BENEFIT OF CERTAIN PENSIONERS , IT SHOULD BE NOTED THAT THAT PROVISION CORRESPONDED BROADLY TO THE WISH EXPRESSED BY THE PARLIAMENT .
24 IN THOSE CIRCUMSTANCES , FURTHER CONSULTATION WITH THE PARLIAMENT REGARDING THE CONTESTED PROVISIONS WAS UNNECESSARY .
CONTENT AND EFFECTS OF THE REGULATIONS
25 THE APPLICANTS ARE OF THE OPINION THAT THE NEW SYSTEM FOR CALCULATING THE EXCHANGE RATES FOR TRANSFERS ENCROACHES UPON THEIR VESTED RIGHTS . ON THE BASIS OF THE PROVISIONS IN FORCE UNTIL APRIL 1979 THE APPLICANTS ENTERED INTO BINDING COMMITMENTS FROM WHICH THEY COULD NOT BE DISCHARGED FOR A SPECIFIC PERIOD OF TIME . THE EXISTENCE FOR MANY YEARS OF THE FACILITY FOR TRANSFERRING REGULARLY A CERTAIN PART OF