Fifth trilogue on Staff Regulations COM(2011)890 – 2011/0455 COD Brussels, 19 June 2013 Participants: EP: Ms ROTH-BEHRENDT (S&D/DE), rapporteur, Mr BALDASSARRE (EPP/IT), shadow, Mr SPERONI (EFD/IT), shadow Mr LEHNE (EPP/DE), JURI Chair Council: Mr MONTGOMERY, Permanent Representative of IE to the EU Representatives of the Irish Presidency, the future Lithuanian Presidency and the Council Secretariat Commission: Vice-President ŠEFCOVIC Mr NOCIAR, Ms PRADINES, Mr LINDER (VP ŠEFCOVIC Cabinet) Ms SOUKA, Mr FRUTUOSO DE MELO, Mr LEVASSEUR, Mr ROQUES (DG HR) Summary: During the fifth trilogue on the Staff Regulations, the representatives of the Council, the EP and the Commission accepted, without further discussion the compromise package negotiated at technical level. Subject to endorsement of this political agreement by the three institutions, today's agreement could pave the way to final agreement on the Staff Regulations before the end of the IE Presidency term. Detail: Building up on the substantial progress at technical level, the three institutions confirmed during the fifth trilogue their agreement with all elements of the compromise package. The Commission explained in detail the solutions that were agreed upon for individual elements of the package: the method and associated clauses (moderation clause, crisis clause, correction clause and a recovery clause). Concerning the expiry date and the review clause, it was agreed that the method and the levy would expire at the end of 2023, unless the Council fails to agree on the new ones. The Commission would submit an interim report at the end of 2018 and in 2022 a report analysing the evolution of purchasing power and if appropriate, it would propose to amend the method. The solidarity levy of 6%, applicable to the same salary base as today, should be applied as of 1 January 2014 although the salaries and pensions will be frozen during both 2013 and 2014. The rate should increase up to 7% for officials as of grade AD 15, step 2. The experts were also able to find an agreement on some elements related to careers of contract agents, AST/SCs and ADs. A new specific function group should be created for the secretarial staff. ASTs in transition should be able to progress up to grade AST9 instead of AST 7 proposed by the COM (EP request). The Commission reiterated that although it had not made any proposal as regards the AD careers and there was no mandate on this in the EC conclusions, it made important steps forward to facilitate the agreement. Hence, a stronger link should be created between grade and function carried; there should a reduction in the promotions rates between AD12- AD13 and AD13-AD14, limited, in each case to 15%. To address the issue of transition, 2 additional steps would be introduced in grades AD12 and AD13. The promotion rates in lower grades would be increased in order to accelerate the career of officials hired after 2004. There will be no other possibility for an AD12 to become AD 13 other than the publication of a vacant post. We will retain the same pension scheme with a retirement age of 65 for current staff (but with transition rules), there will be a small increase to the age of 66 for staff recruited in the future and the accrual rate will be also lowered for the new staff. The early retirement without reduction of pension rights will be no longer possible, unless it is considered, in specific cases, to be in the interest of the service. As regards the 'other issues' proposed for discussion by either the EP or the Council, there was an agreement on some ethical aspects, agreement on the EP amendment to reduce the travel time to 2.5 days and abolish the travel allowance for AD9 and above without family and agreement on some allowances and annual leave for staff posted outside the EU. The working time would be increased to 40 hours as of 1 January 2014, without compensation. The Presidency welcomed the progress made on a number of points, if compared to the Commission proposal and confirmed its intention to present and defend this agreement in the Council. The important parts of the deal from the Council view will certainly include: the crisis and moderation clause (there might be less enthusiasm about the recovery clause); solidarity levy (the step forward on the higher grades from the Commission appreciated); careers, in particular the link between grade and function; link retirement age - life expectancy and higher pension age for current staff. The Council would have certainly wished for more progress on allowances and it will probably find it difficult to accept the careers for ASTs going up to AST9. It appreciated that solution was found for the levy and that no link was introduced between the revision of the MFF and the Staff Regulations. The EP rapporteur explained that it was not very enthusiastic about the review clause for the method but it could accept it in a spirit of compromise. To balance the Council request on the crisis clause, the EP had requested the recovery clause, important for preserving the parallelism. There was strong call for progressivity as regards the solidarity levy in the EP- the solution found is not perfect but it is an important signal. The automatic career for up to AD14 was generally not appreciated so the freeze in the AD12 grade until the official applies for a managerial function was welcomed (plus the introduction of seniority steps in this grade to compensate). The rapporteur further welcomed changes to early retirement, compromises on ethical questions negotiated at the EP request and the abolishment of travel allowance for AD9+ officials without family, although it is likely to raise question of fairness. Although she would have preferred to see the Commission study on life expectancy first, the rapporteur could also accept the increase of pension age. The rapporteur also noted that the provisions of Article 50 should also apply to staff of the political groups (the Council apparently engaged to this already during the negotiation of the EEAS Staff Regulations). The rapporteur generally considered this to be a good compromise and was ready to defend it in the EP. Next steps: The written version of the compromise package should be finalised in the days to come, to allow the representatives of the institutions to consult their constituencies (the Presidency will probably circulate it on Monday) ahead of their final meeting that was scheduled for Tuesday 25 June at 21h00. The text should be submitted to Coreper for approval at its last meeting under the IE Presidency scheduled for Wednesday 26 June.