CELEX: 51973PC0398
Language: en
Date: 1973-03-14
Title: Proposal for REGULATION (EURATOM, ECSC, EEC) OF THE COUNCIL adjusting the weightings applied to the remuneration and pensions of the officials and other servants of the European Communities (submitted to the Council by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (73) 398
Vol. 1973/0062
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 ---pagebreak--- OMMISSION OF THE EUROPEAN COMMUNITIES
                                                COM(73)398 final
                                                Brussels , 14 March 1973
                               Proposal for
             REGULATION (EURATOM , ECSC , EEC ) OP THE COUNCIL
             adjusting the weightings applied to the remu­
             neration and pensions of the officials and other
             servants of the European Communities
              ( submitted to the Council "by the Commission )
  C°M(73 ) 398 final
 ---pagebreak---                                                         27VW73-E
                           EXPLANATORY MEMORANDUM
Article 65(2) of the Staff Regulations of Officials stipulates :
"In the event of a substantial change in the cost of living the Council
  shall dooidc within two month's  what adjustments should be made to the
  weightings and , if appropriate , to apply them retrospectively ."
Furthermore , at point II b of its decision of 21 March 1972 on the method
of calculation used for the periodic examination of the level of
remuneration of officials , the Council laid down that to compensate
for the rise in the cost of living the weightings should be adjusted in
accordance with Article 6.5(1 ) , to take effect from the end of the
reference period , vathout prejudice to application of the provisions
of Article 6^(2).
Details of the joint indexes prepared by the Statistical Office of the
European Communities in agreement with OECD , ILO and the national
statistical offices of the Member States , which reflect the changes in
the cost of living in the second half of 1972, are annexed hereto .
These show a rise of 3*6% for Belgium ( joint index, excluding rents).
The official Belgian consumer price index shows for the corresponding
period an increase of
       3 . 1% for the whole country and
       k% for Brussels .
On the basis of the figures given in the annex the Commission has decided
to propose that the weightings be adjusted with effect from 1 January 1973 *
1.     The half-yearly rate of J. 6% for Belgium corresponds to an annual
rate of between 7 and 8$ ; an increase such as this must be considered
" substantial ".
2.     It does not seem feasible to require officials to wait for more
than twelve months before compensating them for a 7-3$ loss in purchasing power .
3»     Similar reasons can be advanced for all the countries where officials
are employed .
k.     The Member States in which wages and salaries are linked to the
cost-of-living index , moreover , all take as the base point rates of
increase well below those now obtaining in all the countries where officials
are employed .
 ---pagebreak---                                                       27v 13/73 -E
J?.   Failure to make an interim adjustment would again mean making
substantial adjustments at the end of the reference period .    The
adjustment proposed should reduce the amount of discussion needed
next autumn .
6.    For all these reasons , the Commission puts forward this measure
to the Council to safeguard the purchasing power of the remuneration
and pensions of officials .
 ---pagebreak---                                                           27VIX/73-E
                                                          BELGIUM
                                                         (Brussels )
               Consumer price index by . grout) of expenditure
               at 1, January 1973 (1 -July 1972 » 100)         .
               (prepared from a price survey carried' out by
               the -. Index Department of the Ministry of Economic
               Affairs and Energy , weighted to take account of
               the inquiry into European officials' family budgets )
                                              Weighting    Index numbers
     Group of expenditure                                  at 1 January 1973
                                                           (1' July 1972 »
                                                                    100)
                                         Excl . rents       Excl . rents
  GENERAL 'INÉEX NUMBEK                        1000.0            103.6
  Food                                          30^.2            IO5.8
  Housing , furniture , household
  equipment and articles , related
  services                                      199-6            102.6
       Rent
  Clothing                                      117.6            102.2 .
  Medical services and personal
  hygiene .-                   '•                65.3            101.3
  Transport-                                    171.7'           104.2
  Cultural activities , entertainment            99.6            101.8
■ Miscellaneous      "   '                       41.0            101.2
   As the figures are rounded off , the separate index numbers multiplied
   by the weightings do not always give the general index number exactly .
 ---pagebreak---                                                        27VIV73 -E
                                                       GERMANY
                                                         ( Bonn )
              Co nsumer "price index by group of expenditure
              at" 1 January 1973 (1 July 1972 a 100)
              ( calculated from index numbers prepared by the
                Inter-Organization Section for the Study of .
                Vfe.ges and Prices )
                                         Weighting      Index numbers at
       Group Of expenditure'               ( %)        1 January 1973
                                                        (1 July 1972=100)
GENERAL INDEX NÏÏMBER                     1000                103-3
    I. Pood , drink                        271.0              102.7
   II . Housing and household services     191.0              104.1
  III . Household equipment and
        maintenance                        121.0              101 Λ
   IV . Domestic service                     18.5             103.3
    V. Clothing and footwear               100.0              103.2
   VI . Personal hygiene                     28.0             103 Λ .
  VII . Medical care                         25.0             101.1
 VIII . Transport                          1^5.5              101.3
   IX . Recreation , reading                                  101.9
    X. Miscellaneous                        33.5              121.3
 ---pagebreak---                                                        27VIV73 E
                                                       FRANCE
                                                       ( Paris )
               Consumer price index by group - of expenditur e
                    at 1 January 1973 (1 July 1972 « lbof
                (prepared by INSEE on plan of Inter-Organization
                 Section for the Study of Wages and Prices )
                                                                          •T *
                                       Weighting       Index numbers at
     Group of expenditure                             1 January 1973
                                                       (1 July 1972=100)
GENERAL INDEX NUMBER                    1000                  103.3
   I. Food , drink       -> •            296.5                104.0
  II . Housing and household services    194.5                103-8
 III . Household equipment and
       maintenance                        76.5                102.5
  IV . Domestic service       !           50.0   1            104.0
   V. Clothing and footwear               99.0                104.1
  VI . Personal hygiene                   31.0            .   104.1 • '
 VII . Medical care                       31.0                102.2    '
VIII . Transport                         110.5         '    " 101.4    i :
  IX . Recreation , reading               78.0                103.3
   X. Miscellaneous                       33-0                100.8 "-
 ---pagebreak---                                                            27VIV 73 -E
                                                           ITALY
                                                           ( Rome )
             Consumer price index by group of e xpenditure
                  at l " January " 1973 (1 July 1972" = 100)
             ( calculated from index numbers prepared by the
               Inter-Organization Section for the Study of
               Wages and Prices )
                                           Weighting         Index numbers at
    Group of expenditure                                     1 January 1973
                                                           (1 July 1972=100 )
GENERAL INDEX NUMBER                        1000                 105.3
   I. Food , dnnk                            302.0               104.5
  II . Housing and household services        201.0               101.1
 111 . Household equipment and
       maintenance                            7°»0               10^.3
  IV . Domestic service                       32.0               109.5
   V. Clothing and footwear .                102.0               109.7
  VI . Personal hygiene                       35*5               104.1
 VII . Medical care                           22.5               100.0
VIII . Transport                             124.0               102 . ** .
  IX . Recreation , reading                   69«5               104.6 -
   X. Miscellaneous                           33 »5              1^1.9
 ---pagebreak---                                                               2?VW73-E
                                                              NETHERLANDS
                                                              ( The Hague )
             Consumer jprice index by " group 'of 'expenditure
                  aTT January 1975 (1 July 1972 « 100) ' '
              ( calculated . -from index, numbers prepared by the
                Inter-Organization Section for . the Study , of
                Wages and Prices )
                                             Weighting . ■ . . Index numbers at
     Group of expenditure                     w                1 January 1973
                                                            . (1 July 1972=100)
GENERAL INDEX NUMBER     .      .    .. .  . 1000                   103.0   ■
   I. Food , drink                            253.0                 104.7
  II . Housing and household services         180.0                 101.7
 III . Household equipment and
       maintenance                            117.0                 102.5
  IV . Domestic service                        22.0                 105.1
   V. Clothing and footwear'                   98.0                  98.9     .
  VI . Personal hygiene                        29.0                 102.8
 VII . Medical care                            36.0                 111 -9
VIII . Transport                              158.0                 102.2
  IX . Recreation , reading                    72.0                 103.5
   X. Miscellaneous                            35.0                 105.3
 ---pagebreak---                                                             27VIX/73-E
                                                            UNITED KINGDOM
                                                            (London)
             Consumer price index by group o f expenditure
                 at 1 January 1975 .(1 July 19?2 = 100 )
             ( calculated froifl index numbers prepared by
               the Inter-Organization Sectipn for the
              Study of Vfeges and Prices )             : .
                                          Weighting         Index numbers at .
       Group of expenditure                {%)              1 January 1973
                                                           (1 July 1972=100)
GENERAL INDEX NUMBER                       100Q                 105.0
    I. Food . drink                         24-6 . 3            103-2
   II . Housing and household services      2hh.3               109-7
 111 . Household equipment and
        maintenance                          78.5               103.6
   IV . Domestic service                     4-2.0              102.8
    V. Clothing and footwear                 83.5               10^.7
 , VI . Personal hygiene                     28.0               102.1
 VII . Medical care                          2^.5               101.1
VIII . Transport                            144.0               103.3
   IX . Recreation , reading                 6.5 *0             106.0
    X. Miscellaneous                         ^3»5               102.3
 ---pagebreak---                                                          27VIX/73-E
                                                         S WITZERLAND
                                                         ( Geneva)
                 Consumer price index at 1 January 1973
                            (1 July 1972 a 100 )
                 ( calculated by the Inter-Organization
                   Section for the Study of Vfeiges and
                  Prices from data supplied by the
                   International Labour Office )
At 1 January 1973 the index stood at lOk.Ji to take the gross figures
supplied by the ILO .    Exchange rate 3 . 8^ Swiss francs to the dollar
on 1 July 1972 , 3»80 on 1 January 1973 *
The index would be 103-6 at constant exchange rates .
Switzerland 's national consumer price index rose 3-7# over the same
period .
             1
 ---pagebreak---                                                          27VW73-E
                                 PROPOSAL POR
                 REGULATION (EURATOM. ECSC , EEC)
                                OF THE COUNCIL
                  adjusting the weightings applied to the
                 remuneration and pensions of the officials
                 and other • servants of the European Communities ,
THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing a Single Council and a Single
Commission of the European Communities ;
Having, regard to Council, Regulation (EIX3, Euratom , ECSC) No 259/68 ^"^
of 29 February 1968 laying down the Staff Regulations of Officials and
the Conditions of Ikployment 'of Other Servants of the European
Communities and instituting special measures temporarily applicable to
Officials of the Commission , as last amended by Council Regulation
(Euratom , ECSC , EEC) No 1^73/72^ of 3C June 1972, and in particular
Articles 2 and 3 thereof ,and Articles 6*f , 65(2) and 82 of the Staff
Regulations of Officials of the European Communities and the first
paragraph of Article 20 and Article 6k of the Conditions of Itaployment
of Other Servants of the Communities ;
Having regard to Council Regulation (ECSC , EEC, Eutatom)" No 264-7/72^
of 12 December 1972 .adjustihg the remuneration and pension^- of officials
of the European Communities and the remuneration of other' 'servants of
the Commission ;
Having regard to the probosal from the Commission ;
                                                                1        -• *
whereas , by reason of the substantial.rise in the cost of living which has
taken place in Belgium 311d in the other countries where Officials'- eind - Other
Servants of the European Communities - are employed during the second half
of 1972 , the weightings applied to . the remuneration aad pensions of the
Officials and Other Servants should be adjusted ;      "
;_; 0J No L 36 , h March 1968 , p. 1 .
; 'vOJ No L 160 , 16 July 1972, p. 1 .
O ; 0J No L 283 , 20 December 1972, p . 1 .
 ---pagebreak---                                                               274/IX/73-E
HAS ADOPTED THIS REGULATION :
                                   Article 1"
1.      With effect from 1 January 197,3 the weightings applicable to the
remuneration of Officials employed in the countries listed below shall
be as follows :
        Belgium                                       112.8
        Federal Republic of Germany                   107.4
        France                                        134.7
        Italy                                         111.1
        Grand Duchy of Luxembourg                     112.8
        Netherlands                              ' 112.8
      . United Kingdom                                122.8
        Switzerland                                 , 109.0
2.      With effect ,, from 1 January 1973 the weighting applicable to pensions
in accordance with the second subparagraph of Article 82(1 ) of the Staff
Regulations shall be that given below for the Community country in which
the person entitled to the pension declares his home to be :
        Belgium                        '       -      112.8
        Federal Republic of Germany                   107-4      ' -
        France                                        134.7
        Italy                  .                      111.1
        Grand Duchy of Luxembourg                     112.8                ''
        Netherlands                                   112.8
If a person entitled to a pension declares his home to be in a country other
than those listed above , the ^weighting applicable to the pension shall be
that for, Belgium .
                                   Article 2
Article 5 of Council Regulation (Euratom , ECSC , EEC) No 2647/72 is repealed
with effect from 1 January 1973 •
- » •                              Article 3
This Regulation shall enter into force on the day following its publication
in the Official Journal of the European Communities .
This Regulation shall be binding in its entirety and directly applicable
in all Member States .
Done at Brussels ,'                               ■   For the Council
                                                    • The President' '