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Europe Daily Bulletin No. 8289
Contents Publication in full By article 17 / 34
GENERAL NEWS / (eu) eu/economy/social

Main implications of BEPG and Employment package streamlining process proposed by Commission - "Exhaustive" recommendations for BEPG every three years

Brussels, 03/09/2002 (Agence Europe) - On Tuesday, the European Commission approved, in Strasbourg, its communication on "Streamlining the Annual Economic and Employment Policy Co-ordination Cycles" (see yesterday's EUROPE, p.11), which essentially aims to synchronise the Broad Economic Policy Guidelines and the Employment Strategy, as has been called for on several occasions, mainly by the Spring Summit in Barcelona in March. In order to achieve synchronisation and to improve the coherence, transparency and effectiveness of coordination while safeguarding the autonomous nature of the coordination process as established in the Treaty, the Commission proposes to focus action on the medium term, to give greater importance to the implementation and rationalisation of existing processes by focusing action on several important moments of the year. The communication was presented to the European Parliament on Tuesday by Commissioners Pedro Solbes and Anna Diamantopoulou.

Thus, the Commission considers the main elements of "better streamlined policy coordination" may be set out succinctly as follows: - preparation of the European Spring Council; - role of the Spring European Council; - adoption of new guidelines and recommendations; - concentration of the implementation review in the fourth quarter. These stages are represented by the Commission in a "chart of the streamlined policy coordination cycle", namely: (1) Policy formation phase: Mid January, the Commission presents its spring report and the Implementation Package (examination of BEPG implementation, a draft Joint Employment Report and a progress report on the Internal Market Strategy); - from January to early March: the Council presents various Council contributions including the Joint Employment Report; - mid March: Spring European Council: playing a determining role in the annual coordination cycle, this summit carries out an examination on the basis of which it presents general political orientations on economic and social issues. The Spring European Council is preceded by the Social Partners Tripartite Social Summit for Growth and Development; - early April: on the basis of the guidelines given by the European Council, the Commission adopts the "Guidelines Package" covering BEPG, the Employment Guidelines and the annual recommendations to Member States on employment. This package would be published for the first time in April 2003 and would, in principle, cover a period running till 2006 (i.e. three years). The guidelines will continue to be set out each year in order to take into account eventual major developments, but should remain stable until 2006 at least except if circumstances prevent it from being so, affirms the Commission's communication. Furthermore, the Internal Market Strategy to accompany this package is expected to cover questions relating to the Internal Market until 2006 and would only be adjusted in the meanwhile where necessary; - early June: The Ecofin Council formulates a draft for BEPGs while the Employment, Social Policy, Health and Consumer Council (ESPHCA) examines the Employment Guidelines and employment recommendations; - June (2nd half): The European Council approves the Guideline Package, the Ecofin Council adopts the BEPG, the ESPHCA Council adopts the guidelines for employment and the employment recommendations, and the Competitiveness Council (new formation of Internal Market, Industry, Transport and Energy Councils) approves the Internal Market Strategy. (2) Policy implementation review phase: This phase is focused on the fourth quarter with, for the Commission, review of the implementation of guidelines in the various fields on the basis of information collected (reports, bilateral contacts, results of different benchmarking exercises).

Implications of streamlining for procedures and for Institutions

In its communication, the Commission examines the implications of these changes for:

(1) procedures concerning: a) BEPGs: - The Commission will only present "exhaustive" recommendations every three years. It fully retains, however, its right of own initiative and may present a recommendation for BEPG entirely reshuffled over intermediary years if the situation so requires; - the Commission report on implementation of BEPG would be brought forward (by one month or one and a half months) to be presented mid-January in the context of the Implementation Package; b) the Employment Guidelines and the Luxembourg Process: the current Employment Package would be divided in two (the draft Joint Employment Report would be presented in the context of the Implementation Package at the same time as the Commission's Spring Report); - the Commission proposal concerning the Employment Guidelines and the relevant recommendations would be presented after the Spring European Council, with the recommendation concerning BEPGs in the context of the Guidelines Package: the action plans of Member States should be communicated early October at the latest; c) the economic reform process initiated in Cardiff: the national reports on structural reform could be integrated in an annual

general report on Member State economic policies, while keeping emphasis on the micro-economic aspects. They should be forwarded in October at the latest in order to allow sufficient time to develop the Implementation Package; d) the Internal Market Strategy: - the presentation of the Implementation Report for this strategy should be shifted in order to coincide with the presentation of the Spring Report and the Implementation Package; - this would clearly be a medium-term strategy (initially covering the period 2003-2006, like the comprehensive BEPGs) in accordance with the Lisbon Strategy, explains the Commission, which specifies that the updating of this strategy would accompany that of the BEPGs, presenting specific objectives concerning the Internal Market; - e) scoreboards: their publication timetable is to be adjusted to provide information for implementation in good time; f) the Stability and Growth Pact: programmes must be presented sufficiently early during the autumn, and the Council opinions concerning the updated programmes should be adopted during the first months of the year so in order to contribute in good time to the formulation of a new series of BEPGs.

(2) The Institutions: a) The Commission: its work organisation would have to be changed, mainly in the years when guidelines or action plans are the subject of indepth review; b) the Council: coordination of the Council's work must be assured and also that of its preparatory committees, and its work must be shared out in an appropriate manner; c) the Member States: greater coordination is expected in order to reduce "duplication of work, insofar as it currently arises from overlaps between the different processes"; d) the European Parliament: - the EP would have more time to consider the effective implementation of guidelines; - different timing of debates would allow the EP to be more closely involved in the process after Commission presentation of the Guidelines Package and before the preparatory work of the different Council formations with a view to the European Council in June. "There might be greater scope for involving the EP more closely in the elaboration of the BEPGs through information consultations", says the Communication.

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