Proposal for a Regulation of the European Parliament and of the Council amending Regulation (EC) N°883/2004 on the coordination of social security systems, and determining the content of Annex XI. - Relevant parts to Title III, chapter IV of the proposal laying down the procedure for implementing Regulation (EC) No 883/2004 on the coordination of social security systems (invalidity benefits and old-age and survivors' pensions).

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1.

Tekst

I.

INTRODUCTION

At its meeting on 12-13 July, the Social Questions Working Party held a first examination of

the above-mentioned parts of the proposal and completed the first reading of Title III, chapter

IV of the proposal for an implementing Regulation (doc. 11754/06).

II. DELEGATIONS'COMMENTS

Article 1(2)

AT suggested that the text be simplified further through a horizontal provision. CION

supported that suggestion.

Article 1(3)

The discussions were held in the light of proposals made by the Austrian, French and German

delegations (DS 369/06, 114/06 and 467/06, respectively).

ES could go along with Article 1(3) as set out in the CION proposal or as suggested by FR

but entered a scrutiny reservation in relation to the issue of schemes requiring a specific

period of insurance. DE and SE could agree with the CION text and could also go along with

the French proposal. DE stressed the need to take account of certain contribution-based

pensions (eg. invalidity pensions). SE entered a scrutiny reservation on the Austrian proposal.

FR expressed concerns that the overall consistency of the Regulation might be jeopardised to

take account of borderline cases. It emphasized that pro rata-calculation was the main rule and

could be laid down in the preamble. AT drew attention to periods of less than one year. SK

and PL stressed that their new pension systems did not allow for pro-rata calculation. DE

stressed that if pro-rata was not possible, specific rules regarding independent systems of

calculation should be included in Annex XI. LV, PL and SK entered scrutiny reservations on

Article 1(3).

A number of delegations (DK, FR, HU, PL, SK) could go along with the approach of the

German delegation (DS 467/06) but stressed that the suggested text under b) could not work

for certain specific schemes. DK stressed that it would be inappropriate to provide that this

particular period had to be calculated on the basis of pro-rata calculation as its system would

give better results. DE supported the Austrian proposal and considered that the time element

used in calculation should be decisive rather than the issue as to how the system was financed.

ANNEX VIII

DE introduced its note regarding the pension schemes for liberal professions (DS 459/06) and

SK its proposal for a new entry (DS 345/06). FR suggested to change the title of the Annex.

CION stressed that these issues were linked to the final wording of Article 52.4.

No other comments were made at this stage.

ANNEX XI

C. DENMARK

N0 2

Following a suggestion by AT, DK and CION agreed to examine the possibility of improving

the drafting of this entry by making reference to the applicable legislation.

N0 3

No comments were made at this stage.

N0 5

No comments were made at this stage.

D. GERMANY

N0 5

EE, LV and LT entered scrutiny reservations on the German delegation's request for two new

entries which were closely related to the German legislation after the Second World War (DS

460/06). AT was of the view that this issue could be solved without the need for new entries

in Annex XI.

N0 6

Following remarks by AT and FR, it was agreed that AT, FR and CION would discuss the

possibility of redrafting the text of this entry with DE.

G. SPAIN

N0 1

No comments were made at this stage.

N0 2

CION and FR took a positive stance on ES's suggestion to amend the entry and broaden its

content (DS 454/06).

N0 3

No comments were made at this stage.

N0 4

No comments were made at this stage. ES announced that it was still holding consultations

with CION on a specific issue.

H. FRANCE

In reply to a question by DE, FR indicated that this entry was intended to avoid any possible

loopholes in the legislation as the same legislation should apply to both the basic and the

supplementary schemes. It referred to drafting changes in the French version as suggested in

DS 114/06. DE agreed on the need for this entry and felt that the German text should be

reviewed.

I. IRELAND

IE indicated that the reference to its legislation in entry N0 2 should read "Section 118(1)(a)

of the Social Welfare (Consolidation) Act, 2005."

Following a remark by AT, the Chair invited IE and CION to discuss the possible need for a

redrafting of the text.

Q. NETHERLANDS

N0 2 (a)

AT and FR considered that the text should be simplified and that it should also cover self-

employed persons. CION stressed that any such extension would represent an excessive

burden and preferred to leave the entry unchanged.

N0 2 (b), (c) and (d)

No comments were made at this stage.

N0 2 (e)

In reply to ES, CION confirmed that this provision deviated from Article 12 of the

implementing Regulation and that it was limited to very specify situations. FR felt that this

derogation was appropriate and that the text should be made as uniform as possible. AT

stressed that it should be redrafted to make it clear that it was the same rule than under (c). It

was agreed that NL and CION would reflect on the possible redrafting of the text to make it

clearer.

N0 2 (f), (g) and (h)

No comments were made at this stage.

N0 2(i)

In reply to ES, NL indicated that the deadline of one year referred to a national provision

which the insured persons should be made aware of. CION considered the entry useful.

N0 2 (j)

No comments were made at this stage.

N0 3(a)

Following comments by AT and ES, the Chair invited NL and CION to think about a possible

horizontal clause.

N0 3(b) and (c)

FR stressed that the text should read "periods" instead of "periods of insurance" in (b).

N0 3(e)

It was agreed that the Chair and CION would ensure that the date of application of the basic

Regulation would be mentioned once the whole package would become applicable.

N0 4

The Working Party took note of the suggestion by NL to adapt this entry in view of the new

Dutch legislation relating to incapacity for work which entered into force on 1 January 2006

(DS 523/06).

R. AUSTRIA

N0 1

It was noted that the words "at any time" should be changed to "at some time".

N0 3, 4 and 5

No comments were made at this stage.

W. FINLAND

N0 1

No comments were made at this stage.

N0 2

FR considered that this entry might have to be re-examined. ES felt that a better form of

words should be sought as the text should be made more specific and not refer to pensions but

to the amount of pensions. FI stressed that, while there might be some room for improvement

with regard to the text, if necessary, this entry should remain as set out in the Council minutes

Statement upon approval of the Pensions Chapter of the basic Regulation. CION further

added that the need for this entry was explained in a recital in the basic Regulation.

N0 3

FI did not share AT, ES and PL's views that this entry reflected the same situation than the

relevant Estonian and Swedish entries and that an horizontal approach would be needed. It

indicated that Finnish legislation only took account of the income levels and not of the

employment periods. AT entered a scrutiny reservation. CION stressed that this entry should

not raise problems as it did not affect rights in any way. It hinted that a provision determining

the reference period might have to be added as in the case of the Swedish entry. Another

possibility would be to envisage an horizontal provision but this might prove difficult. FI

noted that the entry was included in the text of the Council general approach on

Miscellaneous Amendments 2005 to Council Regulation (EEC) No 1408/71. The Chair

invited FI and CION to consider the issue further.

X. SWEDEN

N0 2

No comments were made at this stage.

N0 3 and 4

Upon suggestion by CION, it was agreed that the text of these entries would have to be

adjusted to make it consistent with the text of the Council's general approach on

Miscellaneous Amendments 2005 to Regulation N0 1408/71.

On No 4(b), SE indicated that it would come back to a question raised by AT about the

reference period.

Y. UNITED KINGDOM

N0s 1 and 4

No comments were made at this stage.

N0 5

AT considered that the text should be more specific as in entry N0 14 in Annex VI to

Regulation (EEC) No 1408/71. UK recalled that acceptance of this entry was a pre-condition

for the UK accepting the Pensions Chapter in the basic Regulation. Therefore, while drafting

changes could be possible, the substance should remain unchanged. The Chair invited UK and

CION to examine whether entries N0s 4 and 5 could be combined and the text improved

further.

N0 6

Following a question by AT, CION considered the entry justified, taking into account the

provisions in their entirety.

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