05 December 2007

Consumer Affairs Council

Key items for Financial Services

No agreement on supplementary pension rights

The Council made progress towards reaching political agreement on a common position concerning a draft Directive regarding the minimum requirements for enhancing working mobility by improving the acquisition and preservation of supplementary pension rights.

However, following intensive discussions it was recognised that the required unanimity could not be attained, one issue remaining unsolved: the duration of the vesting period. Work on this file should continue under the forthcoming presidencies.

In a context where pension schemes established in the framework of an employment relationship – supplementary pension schemes – are becoming increasingly important for covering the risks of old age in the member states, the draft Directive aims to facilitate the free movement of workers, both between and within member states, by improving opportunities for those who change employers to acquire and preserve supplementary pension rights.

Legal basis proposed: Articles 42 and 94 of the Treaty – unanimity required for a Council decision; codecision procedure with the European Parliament applicable. The European Parliament delivered its opinion at first reading on 20 June 2007.

Common Principles of Flexicurity

The Council held a debate on flexicurity. At the end of the debate, the Presidency underlined the consensual commitment of the delegations that allowed an agreement on common principles of flexicurity which guarantee a well balanced definition of flexicurity that respects the stability in contractual relations and during employment transitions as well as the role of the social partners.

Thus, the Council endorsed a joint opinion of the Employment and Social Protection Committees and adopted the conclusions set out in document 15497/07, defining common principles of flexicurity.

Council Conclusions

Agenda

Background note

© Graham Bishop