title: Commission Recommendation (EU) 2018/464 of 19 March 2018 on the monitoring of metals and iodine in seaweed, halophytes and products based on seaweed (Text with EEA relevance. )

text:
               21.3.2018

               EN

               Official Journal of the European Union

               L 78/16

         COMMISSION RECOMMENDATION (EU) 2018/464
   of 19 March 2018
   on the monitoring of metals and iodine in seaweed, halophytes and products based on seaweed
   (Text with EEA relevance)
   THE EUROPEAN COMMISSION,
   Having regard to the Treaty on the Functioning of the European Union, and in particular Article 292 thereof,
   Whereas:

               (1)

               For arsenic, cadmium and lead, maximum levels (MLs) for various foodstuffs are established under Commission Regulation (EC) No 1881/2006 (1). However, currently no MLs are established for these substances in seaweed and halophytes, except for the MLs established under this Regulation for food supplements consisting exclusively or mainly of seaweed or products derived from seaweed.

               (2)

               For mercury, currently under Regulation (EC) No 396/2005 of the European Parliament and of the Council (2) a maximum residue level (MRL) for algae and prokaryotic organisms is established at the default level of 0,01 mg/kg.

               (3)

               In 2006 the Scientific Committee for food established an upper limit for iodine intake of 600 μg/day for adults and of 200 μg a day for children of 1-3 years (3). It indicated that the ingestion of iodine-rich algal products, particularly dried products, can lead to dangerously excessive iodine intakes, if such products contain more than 20 mg iodine/kg dry matter and the exposed population lives in an area of endemic iodine deficiency.

               (4)

               Available occurrence data show that seaweeds contain significant concentrations of arsenic, cadmium, iodine, lead and mercury. As halophytes also grow in a marine environment, it can reasonably be assumed that they will show a similar uptake pattern of these substances and by consequence a similar contamination pattern.

               (5)

               Seaweed and halophytes form an increasingly important contribution to the consumption patterns of certain EU consumers. Therefore it is necessary to assess whether the contribution of arsenic, cadmium, iodine, lead and mercury from seaweed and halophytes to the total exposure of these substances, would necessitate the establishment of MLs for arsenic, cadmium and lead for these commodities or the amendment of the MRL for mercury for algae and prokaryotic organisms or any action to be taken related to the exposure to iodine from these products.

               (6)

               For food additives based on seaweed, specifications are laid down in the annexes to Commission Regulation (EU) No 231/2012 (4). For certain of these additives, EFSA recommended that the limits for the impurities of toxic elements should be revised in order to ensure that the use of these additives will not form a significant source of exposure to those toxic elements in particular for infants and young children (5). Therefore the exposure to arsenic, cadmium, iodine, lead and mercury in food additives based on seaweed and algae should be assessed.

               (7)

               For arsenic, lead, cadmium and mercury, maximum levels in feed are established under Directive 2002/32/EC of the European Parliament and of the Council (6). As certain seaweed species are used as feed, the metal content of these species should also be investigated, both for animal health reasons and in view of the transfer of these metals to food products of animal origin.

               (8)

               Occurrence data for arsenic, cadmium, iodine, lead and mercury in different seaweed species, halophytes and products based on seaweed should be gathered to support a dietary exposure assessment,

         HAS ADOPTED THIS RECOMMENDATION:

               1.

               That Member States, in collaboration with food and feed business operators, perform during the years 2018, 2019 and 2020 monitoring on the presence of arsenic, cadmium, iodine, lead and mercury in seaweed, halophytes and products based on seaweed. The monitoring should include edible halophytes including Salicorna europaea and Tetragonia tetragonoides and a wide variety of seaweed species, reflecting consumption habits and feed uses, including Arame (Ecklonia bicyclis), Bladderwrack (Fucus vesiculosus), Dulse (Palmaria palmata), Hiziki (Hizikia fusiforme), Irish moss (Chondrus crispus), Oarweed (Laminaria digitata), Kombu (Laminaria japonica, Saccharina japonica), Nori or Purple laver (Porphyra and Pyropia spp.), Rockweed (Ascophyllum nodosum), Sea lettuce (Ulva sp.), Sea spaghetti (Himanthalia elongata), Serrated wrack (Fucus serratus), Sponge seaweed (Codium sp.) Sugar kelp (Sacharina latissima) Wakame (Undaria pinnatifida) and Winged kelp (Alaria esculenta), in order to enable an accurate estimation of exposure. Also occurrence data should be gathered for food additives based on seaweed, including E400, E401, E403, E404, E405, E406, E407, E407a and E160a(iv).

               2.

               For the monitoring of food, the sampling procedures as laid down in Commission Regulation (EC) No 333/2007 (7) should be followed, in order to ensure that the samples are representative for the sampled lot.

               3.

               For the monitoring of feed, the provisions provided for in Commission Regulation (EC) No 152/2009 (8) should be followed.

               4.

               The analyses should be carried out in accordance with Annex III to Regulation (EC) No 882/2004 of the European Parliament and of the Council (9) by making use of a method of analysis that has been proven to generate reliable results.

               5.

               The analysis of mercury should preferably be carried out by determining the content of methylmercury and total mercury and the analysis of arsenic should be carried out by determining the content of inorganic and total arsenic and, if possible, other relevant arsenic species.

               6.

               The species or additive numbers should be reported and whether fresh, dried or processed products were analysed. Where possible also the origin of the products (wild or cultivated), the date and location of harvest, the part of the seaweed which was analysed, and possible information on the label of the end products should be reported.

               7.

               The monitoring data should be provided to EFSA on a regular basis, with the information and in the electronic reporting format as set out by EFSA, for compilation into one database.

      Done at Brussels, 19 March 2018.

            For the Commission

         Vytenis ANDRIUKAITIS

            Member of the Commission

      (1)  Commission Regulation (EC) No 1881/2006 of 19 December 2006 setting maximum levels for certain contaminants in foodstuffs (OJ L 364, 20.12.2006, p. 5).

      (2)  Regulation (EC) No 396/2005 of the European Parliament and of the Council of 23 February 2005 on maximum residue levels of pesticides in or on food and feed of plant and animal origin and amending Council Directive 91/414/EEC (OJ L 70, 16.3.2005, p. 1).

      (3)  Tolerable upper intake levels for vitamins and minerals — Scientific Committee on Food — Scientific Panel on Dietetic Products, Nutrition and Allergies. February, 2006 http://www.efsa.europa.eu/sites/default/files/efsa_rep/blobserver_assets/ndatolerableuil.pdf

      (4)  Commission Regulation (EU) No 231/2012 of 9 March 2012 laying down specifications for food additives listed in Annexes II and III to Regulation (EC) No 1333/2008 of the European Parliament and of the Council (OJ L 83, 22.3.2012, p. 1).

      (5)  Re-evaluation of agar (E406) as a food additive. EFSA Journal 2016; 14(12): 4645.

      (6)  Directive 2002/32/EC of the European Parliament and of the Council of 7 May 2002 on undesirable substances in animal feed (OJ L 140, 30.5.2002, p. 10).

      (7)  Commission Regulation (EC) No 333/2007 of 28 March 2007 laying down the methods of sampling and analysis for the control of the levels of trace elements and processing contaminants in foodstuffs (OJ L 88, 29.3.2007, p. 29).

      (8)  Commission Regulation (EC) No 152/2009 of 27 January 2009 laying down the methods of sampling and analysis for the official control of feed (OJ L 54, 26.2.2009, p. 1).

      (9)  Regulation (EC) No 882/2004 of the European Parliament and of the Council of 29 April 2004 on official controls performed to ensure the verification of compliance with feed and food law, animal health and animal welfare rules (OJ L 165, 30.4.2004, p. 1).


title: Commission Recommendation (EU) 2018/951 of 22 June 2018 on standards for equality bodies

text:
               4.7.2018

               EN

               Official Journal of the European Union

               L 167/28

         COMMISSION RECOMMENDATION (EU) 2018/951
   of 22 June 2018
   on standards for equality bodies
   THE EUROPEAN COMMISSION,
   Having regard to the Treaty on the Functioning of the European Union, and in particular Article 292 thereof,
   Whereas:

               (1)

               It follows from Article 2 of the Treaty on European Union that the Union is founded on the value of respect for human dignity, freedom, democracy, equality, the rule of law and respect for human rights, including the rights of persons belonging to minorities. These values are common to Member States in a society in which pluralism, non-discrimination, tolerance, justice, solidarity and equality between women and men prevail.

               (2)

               Article 8 of the Treaty on the Functioning of the European Union provides that in all its activities, the Union shall aim to eliminate inequalities, and to promote equality, between men and women.

               (3)

               Article 21 of the Charter of Fundamental Rights of the European Union prohibits any discrimination on any grounds, such as sex, race, ethnic origin, religion or belief, disability, age or sexual orientation. Article 23 of the Charter enshrines the right to equality between men and women in all areas, including employment, work and pay. Its Article 26 recognises and respects the right of persons with disabilities to benefit from measures designed to ensure their independence, social and occupational integration and participation in the life of the community. Moreover, the equality of everyone before the law is enshrined in Article 20 of the Charter of Fundamental Rights of the European Union.

               (4)

               Pursuant to Article 19 of the Treaty on the Functioning of the European Union, the Council, acting unanimously in accordance with a special legislative procedure and after obtaining the consent of the European Parliament, may take appropriate action to combat discrimination based on sex, racial or ethnic origin, religion or belief, disability, age or sexual orientation, without prejudice to the other provisions of the Treaties and within the limits of the powers conferred upon the Union. Under Article 157(3) of the Treaty on the Functioning of the European Union, the European Parliament and the Council shall adopt measures to ensure the application of the principle of equal opportunities and equal treatment of men and women in matters of employment and occupation, including the principle of equal pay for equal work or work of equal value.

               (5)

               Several Directives on the prohibition of discrimination in the relevant areas have been adopted on the basis of these provisions.

               (6)

               Council Directive 2000/43/EC (1) prohibits direct and indirect discrimination based on racial or ethnic origin, including harassment. It applies to all persons, as regards both the public and private sectors, including public bodies, in relation to (a) conditions for access to employment, to self-employment and to occupation, including selection criteria and recruitment conditions, whatever the branch of activity and at all levels of the professional hierarchy, including promotion; (b) access to all types and to all levels of vocational guidance, vocational training, advanced vocational training and retraining, including practical work experience; (c) employment and working conditions, including dismissals and pay; (d) membership of and involvement in an organisation of workers or employers, or any organisation whose members carry on a particular profession, including the benefits provided for by such organisations; (e) social protection, including social security and healthcare; (f) social advantages; (g) education; and (h) access to and supply of goods and services which are available to the public, including housing.

               (7)

               Council Directive 2000/78/EC (2) prohibits direct or indirect discrimination, including harassment, on the grounds of religion or belief, disability, age or sexual orientation as regards employment, occupation and vocational training. It applies to all persons, as regards both the public and private sectors, including public bodies, in relation to points (a)-(d) cited in the previous recital.

               (8)

               Council Directive 2004/113/EC (3) prohibits direct and indirect discrimination based on sex, including harassment and sexual harassment, in access to and supply of goods and services.

               (9)

               Directive 2006/54/EC of the European Parliament and of the Council (4) on sex equality provides for a prohibition against direct and indirect discrimination based on sex, including harassment and sexual harassment, in matters of access to employment, including promotion, and to vocational training, working conditions, including pay, and occupational social security schemes.

               (10)

               Directive 2010/41/EU of the European Parliament and of the Council (5) prohibits direct and indirect discrimination, including harassment and sexual harassment, between men and women engaged in an activity in a self-employed capacity. The scope of the Directive covers all types of discrimination, but social protection and maternity benefits are specifically mentioned.

               (11)

               All the abovementioned Directives (hereinafter ‘the equality Directives’) have been transposed by the Member States. The equality Directives, except for Directive 2000/78/EC, provide that Member States shall designate a body or bodies for the promotion, including the analysis, monitoring and support of equal treatment of all persons without discrimination on the grounds covered by the respective Directives (hereinafter ‘equality bodies’). Accordingly, all Member States have established equality bodies.

               (12)

               The present Recommendation applies to the equality bodies set up under the abovementioned equality Directives.

               (13)

               Where the equality Directives provide for such equality bodies to be established, they require Member States to ensure that the competences of these bodies include providing independent assistance to victims, conducting independent surveys concerning discrimination, publishing independent reports and making recommendations on any issue relating to such discrimination.

               (14)

               In addition, on 2 July 2008 the Commission adopted a proposal for a Council Directive on implementing the principle of equal treatment between persons irrespective of religion or belief, disability, age or sexual orientation (6). The scope of the proposal covers (a) social protection, including social security and healthcare; (b) social advantages; (c) education; and (d) access to and supply of goods and services which are available to the public, including housing. Under the proposed Directive Member States are obliged to designate a body or bodies for equal treatment also in those areas, which may be the same bodies as those already established under the equality Directives. Although the proposal has not been adopted to date, Member States should be encouraged to designate equality bodies in those areas, since experience shows that designation of such bodies strengthens protection from discrimination.

               (15)

               Directives 2006/54/EC and 2010/41/EU in addition require Member States to ensure that the tasks of the equality bodies include exchange of information available with corresponding European bodies.

               (16)

               In a number of Member States, the mandate of equality bodies also covers hate crime and hate speech. This bears relevance, in particular, as regards ensuring effective implementation of Council Framework Decision 2008/913/JHA (7) on combating certain forms and expressions of racism and xenophobia by means of criminal law, setting minimum standards for the criminalisation, prosecution and sanctioning of racist hate speech and crime.

               (17)

               In addition to their obligations under the Directives to establish equality bodies, most Member States have extended the mandate of their equality bodies' to encompass generally the scope of application of discrimination on the grounds of gender, racial or ethnic origin, religion or belief, disability, age or sexual orientation in the areas of employment and occupation, access to and supply of goods and services, education, social protection and social advantages, therefore covering the scope of Directive 2000/78/EC, as well as other areas.

               (18)

               The text of the equality Directives leaves a wide margin of discretion to Member States on the structure and functioning of equality bodies. This results in significant differences between the equality bodies established in the Member States, in terms of the bodies' mandate, competences, structures, resources and operational functioning. This in turn sometimes leads to unsatisfactory access to protection for citizens, a protection which is unequal from one Member State to another (8).

               (19)

               Some Member States have founded more than one equality body, which requires creating clear mechanisms for their coordination and cooperation.

               (20)

               In some Member States existing equality bodies have seen their mandate extended to the most diverse fields without an appropriate increase in resources. A number of equality bodies have even faced significant reductions in their budgets, which may result in weakening their capacities to carry out their tasks (9).

               (21)

               Cases of equality bodies lacking independence and effectiveness, for instance due to external pressure or inadequate staffing have been pointed out in studies (10).

               (22)

               In practice, independence could be affected in particular when the equality body is set up as part of a ministry taking instructions directly from the Government.

               (23)

               Equality bodies should not concentrate to a disproportionate extent on some tasks to the detriment of others (11).

               (24)

               To help groups or individuals that are discriminated against to make use of their rights, equality bodies should also raise the general public's awareness of their existence, of the anti-discrimination rules in force and of ways to seek redress. For this purpose, it should be easy for all to access equality bodies, physically and online. Submission of complaints should also be facilitated by confidentiality and simple procedures which are free of charge.

               (25)

               To help ensure that equality bodies function properly and in an equivalent way across the Union, it appears appropriate to recommend Member States standards for equality bodies.

               (26)

               The need for standards for equality bodies was further underlined in the 2014 Joint report on the application of Directives 2000/43/EC and 2000/78/EC (12), the 2015 Report on the application of Directive 2004/113/EC (13) as well as in the evaluation report of the 2014 Pay Transparency Recommendation and the EU Action Plan 2017-2019 ‘Tackling the gender pay gap’ (14). In addition, the European Parliament called for equality bodies' standards in its 2015 resolution (15)

               (27)

               Standards for equality bodies and human rights institutions have already been adopted by the United Nations (16), the European Network of Equality Bodies (17) and the Council of Europe (18).

               (28)

               The present Recommendation is addressed to Member States. It aims to contribute to closing the gap in standards between equality bodies across Europe.

               (29)

               The Recommendation sets out standards regarding the mandate, independence, effectiveness, accessibility, and coordination of equality bodies and regarding access to them, with a view to ensuring that they can effectively perform their functions.

               (30)

               This Recommendation builds on the Commission's commitment to encourage and help Member States to improve their capacity to enforce Union legislation and provide remedies to ensure that individuals and groups that are discriminated against and protected by Union law can fully enjoy their rights, in line with the Communication ‘EU law: Better results through better application’ (19). Independent equality bodies play an essential role in implementing Union legislation effectively and enforcing it comprehensively and consistently. Equality bodies are also valuable institutions for the sustained development of equal and inclusive democratic societies.

               (31)

               In the areas covered by Union competence, the standards for equality bodies also have to comply with the accessibility requirements enshrined in the United Nations Convention on the Rights of Persons with Disabilities. This Convention was approved on behalf of the European Community by Council Decision 2010/48/EC (20), and is thus an integral part of the EU legal order prevailing over EU secondary law.

               (32)

               Directives 2000/43/EC, 2000/78/EC, 2004/113/EC and 2006/54/EC contain an obligation for Member States to communicate all available information on their application so that the Commission can draft a report assessing of the measures they have taken under the relevant Directives. The communication is to take place within certain pre-established intervals (21) in order to enable the Commission to adopt and publish the report. Including in that communication information on the Member States' compliance with the present Recommendation would enable an assessment of its impact.

               (33)

               At Union level, the present Recommendation is without prejudice to the principles of national procedural law and the legal traditions of the Member States. It does not entail an extension of the Union's powers as defined by the Treaties and by secondary Union law,

         HAS ADOPTED THIS RECOMMENDATION:
   CHAPTER I

      PURPOSE AND SUBJECT MATTER

               (1)

               The purpose of this Recommendation is to set out measures that Member States may apply to help improve the equality bodies' independence and effectiveness, in particular as regards their capacity to ensure that individuals and groups that are discriminated against can fully enjoy their rights.

               (2)

               All Member States should ensure that equality bodies can carry out their functions, as set out in Directives 2000/43/EC, 2004/113/EC, 2006/54/EC and 2010/41/EU, in an independent and effective way.

         CHAPTER II

      RECOMMENDED MEASURES

   1.1.   Mandate of the equality bodies

   1.1.1.   Grounds and scope covered by the equality bodies' mandate

               (1)

               In addition to their obligations under Directives 2000/43/EC, 2004/113/EC, 2006/54/EC and 2010/41/EU as regards designating bodies for the promotion of equal treatment (hereinafter ‘equality bodies’), all Member States should consider designating an equality body to cover the discrimination on the grounds of religion or belief, disability, age or sexual orientation within the scope of application of Directive 2000/78/EC.

               (2)

               Member States should consider extending the equality bodies' mandate so that it covers, for all prohibited grounds of discrimination, the areas of employment and occupation, access to and supply of goods and services, education, social protection and social advantages, including hate speech related to these grounds in these areas.

               (3)

               Both for single-mandate bodies and for equality bodies which have several mandates and/or deal with several grounds, equality bodies' internal structure should ensure a focus on each part of the mandate and a focus on each ground. This should be proportionate to the impact of the related ground of discrimination, and resources should be balanced appropriately.

         1.1.2.   Functions covered by the equality bodies' mandate

      Independent assistance

               (1)

               Member States should take into consideration the following aspects of providing independent assistance to victims: receiving and handling individual or collective complaints; providing legal advice to victims, including in pursuing their complaints; engaging in activities of mediation and conciliation; representing complainants in court; and acting as amicus curiae or expert where required.

               (2)

               Member States should also take into consideration that independent assistance to victims can include granting equality bodies the possibility to engage or assist in litigation, in order to address structural and systematic discrimination in cases selected by the bodies themselves because of their abundance, their seriousness or their need for legal clarification. Such litigation could take place either in the body's own name or in the name of the victims or organisations representing the victims, in accordance with national procedural law.

               (3)

               Member States should also take into consideration that assistance to victims can include issuing recommendations or, where so authorised under national law, legally binding decisions in individual or collective cases of discrimination, as well as following up on them to ensure implementation.

               (4)

               Member States should make it possible for equality bodies to gather relevant evidence and information, in accordance with national law.

               (5)

               Where equality bodies have the legal capacity to take binding decisions, the Member State should also grant them the capacity to issue adequate, effective and proportionate sanctions.

               (6)

               The exercise of the powers conferred on equality bodies should be subject to appropriate safeguards, including, where relevant, effective judicial remedy and due process. In particular, the right to appeal before the courts against binding decisions of equality bodies, where they have the competence to take such decisions under national law, should be explicitly spelled out in national law.

      Independent surveys

               (7)

               Member States should enable equality bodies to carry out independent surveys regularly. The scope and design of surveys should ensure the gathering of a sufficient amount of sound quantitative and qualitative data on discrimination to enable the analysis necessary to draw evidence-based conclusions on where the main challenges lie and how to address them.

      Independent reports

               (8)

               Member States should enable equality bodies to publish independent reports regularly and present them to the public institutions concerned, including the relevant national or regional governments and parliaments where appropriate. Their scope should be broad enough to make possible an overall assessment of the situation regarding discrimination in the Member State for each of the grounds covered.

               (9)

               For the purpose of obtaining independent reports of high quality, Member States should enable equality bodies to conduct independent research. This could include collecting data in particular on the number of complaints per discrimination ground; the duration of administrative proceedings from submission of the complaint to the closure of the case; the outcome of administrative proceedings; and the number, duration and outcome of judicial cases in which the equality bodies are involved.

      Recommendations of equality bodies

               (10)

               Member States should ensure that their public authorities take into account, to the extent possible, recommendations from equality bodies on legislation, policy, procedure, programmes and practice. It should be ensured that the public authorities inform the equality bodies of how the recommendations have been taken into account and make this information public.

      Promotion of equality

               (11)

               To promote equality and diversity, Member States should enable equality bodies to contribute to preventing discrimination, in particular by providing training, information, advice, guidance and support to duty bearers having obligations under the equality Directives, institutions and individuals, and raising awareness both of the bodies' existence to the general public and of the content of the existing anti-discrimination rules and of how to seek redress.

               (12)

               For the same purpose, Member States should also enable equality bodies to engage in public debate, have a regular dialogue with public authorities, communicate with discriminated groups and stakeholders, and promote good practices and positive actions.

         1.2.   Independence and effectiveness

   1.2.1.   Independence

               (1)

               To guarantee the independence of the equality bodies in carrying out their tasks, Member States should consider such elements as the organisations of those bodies, their place in the overall administrative structure, the allocation of their budget, their procedures for handling resources, with particular focus on the procedures for appointing and dismissing staff, including persons holding leadership positions. Such consideration should be without prejudice to Member States' particular national organisational structures.

               (2)

               Member States should ensure that the staff of equality bodies, including persons holding leadership positions and board members, are prevented from engaging in any action incompatible with their duties and do not, during their terms of office, engage in any conflicting activity whether gainful or not.

         1.2.2.   Resources

               (1)

               The Member States should ensure that each equality body is provided with the human, technical and financial resources, premises and infrastructure necessary to perform its tasks and exercise its powers effectively. The resources allocated to equality bodies should take into account the competences and tasks allocated. Resources can only be considered adequate if they allow equality bodies to carry out each of their equality functions effectively, within reasonable time and within the deadlines established by national law.

               (2)

               Member States should ensure that the equality bodies' staff is sufficiently numerous and adequately qualified in terms of skills, knowledge and experience, to fulfil adequately and effectively each of the equality bodies' functions.

               (3)

               Member States should enable equality bodies to monitor effectively the execution of their own decisions as well as decisions by institutions, adjudicatory bodies and courts in relation to discrimination cases. To that effect, they should be promptly informed of such decisions and the measures taken to implement them.

         1.2.3.   Complaint submission, access and accessibility

               (1)

               Member States should ensure that it is possible to submit complaints to equality bodies orally, in written form and on-line, in a language of the complainant's choosing which is common in the Member State where the equality body is located.

               (2)

               Member States should ensure that the procedure to submit complaints to equality bodies is simple and free of charge.

               (3)

               Member States should provide for an obligation for equality bodies to offer confidentiality to witnesses and whistleblowers and, as far as possible, to complainants about discrimination.

               (4)

               Member States should ensure that it is easy for all persons to access the equality bodies' physical premises, their information and communication including information technologies, and services and products such as documents and audio-visual material or meetings and events open or provided to the public. They should in particular be accessible for persons with disabilities, for whom in addition reasonable accommodation as defined in the United Nations Convention on the Rights of Persons with Disabilities should be provided, to ensure to persons with disabilities access to equality bodies on an equal basis with others.

               (5)

               Where this is necessary for geographical or other reasons, Member States should consider enabling equality bodies to establish local and/or regional offices of equality bodies or local and/or regional outreach initiatives for a regular temporary presence.

               (6)

               Member States should provide sufficient budget and resources to equality bodies to enable them to carry out effective awareness-raising aimed at informing the general public of their existence and of the possibility to submit complaints about discrimination.

         1.3.   Coordination and cooperation

               (1)

               Where several equality bodies exist in the same Member State, Member States should enable them to set up regular and effective coordination in order to ensure that they apply non-discrimination principles in a consistent way. Equality bodies should not concentrate to a disproportionate extent on some tasks to the detriment of other tasks. When awareness-raising activities are carried out, other competent bodies should be involved to the extent possible in order to fully inform the general public.

               (2)

               Member States should enable equality bodies to engage in dialogue and cooperate effectively with relevant national authorities and bodies in the same Member State. This also implies ensuring that equality bodies are consulted in good time and transparently on policy and legislative proposals and developments related to matters covered by their mandate.

               (3)

               Member States should grant equality bodies the capacity to collaborate at European and at international level with other equality bodies and other organisations, including via shared surveys.

               (4)

               Member States should enable equality bodies to cooperate with relevant bodies. These include the National Frameworks designated under Article 33(2) of the United Nations Convention on the Rights of Persons with Disabilities; National Roma Contact Points; civil society organisations; and, to ensure that funds are not distributed to projects flawed by discrimination, the managing authorities of European Structural and Investment Funds.

         CHAPTER III

      COMMUNICATION BY MEMBER STATES

   Member States are invited to include information on how they take the present Recommendation into account in their communications on the application of Directives 2000/43/EC, 2000/78/EC, 2004/113/EC and 2006/54/EC.

      Done at Brussels, 22 June 2018.

            For the Commission

         Věra JOUROVÁ

            Member of the Commission

      (1)  Council Directive 2000/43/EC of 29 June 2000 implementing the principle of equal treatment between persons irrespective of racial or ethnic origin (OJ L 180, 19.7.2000, p. 22).

      (2)  Council Directive 2000/78/EC of 27 November 2000 establishing a general framework for equal treatment in employment and occupation (OJ L 303, 2.12.2000, p. 16).

      (3)  Council Directive 2004/113/EC of 13 December 2004 implementing the principle of equal treatment between men and women in the access to and supply of goods and services (OJ L 373, 21.12.2004, p. 37).

      (4)  Directive 2006/54/EC of the European Parliament and of the Council of 5 July 2006 on the implementation of the principle of equal opportunities and equal treatment of men and women in matters of employment and occupation (OJ L 204, 26.7.2006, p. 23).

      (5)  Directive 2010/41/EU of the European Parliament and of the Council of 7 July 2010 on the application of the principle of equal treatment between men and women engaged in an activity in a self-employed capacity and repealing Council Directive 86/613/EEC (OJ L 180, 15.7.2010, p. 1).

      (6)  COM(2008)426 final.

      (7)  Council Framework Decision 2008/913/JHA of 28 November 2008 on combating certain forms and expressions of racism and xenophobia by means of criminal law (OJ L 328, 6.12.2008, p. 55).

      (8)  See, among others, Human European Consultancy in partnership with the Ludwig Boltzmann Institute of Human Rights, October 2010, A Study on Equality Bodies set up under Directives 2000/43/EC, 2004/113/EC, and 2006/54/EC, page 177, and European Network of Equality Bodies, October 2012, Equality Bodies. Current Challenges.

      (9)  Human European Consultancy, op.cit, pages 78, 125, 142, and European Network of Equality Bodies, op.cit., pages 8 and 17. See also European Network of Equality Bodies, Strategic Role of Equality Bodies, 2009, pages 43-44 and 52.

      (10)  Human European Consultancy, op.cit., pages 70-145 and European Network of Equality Bodies, op.cit., pages 8 and 13-20.

      (11)  European Commission, 2006, Catalysts for Change? Equality bodies according to Directive 2000/43/EC — existence, independence and effectiveness, page 57.

      (12)  Joint report on the application of Directives 2000/43/EC of 29 June 2000 implementing the principle of equal treatment between persons irrespective of racial or ethnic origin (‘Racial Equality Directive’) and of Council Directive 2000/78/EC of 27 November 2000 establishing a general framework for equal treatment in employment and occupation (‘Employment Equality Directive’), COM(2014) 2 final.

      (13)  Report on the application of Directive 2004/113/EC implementing the principle of equal treatment between men and women in the access to and supply of goods and services, COM(2015) 190 final. This need was also mentioned in the Midterm review of the EU framework for national Roma integration strategies, COM(2017) 458 final; by the Fundamental Rights Agency's Fundamental Rights Report of May 2017; in the Report on the implementation of Commission Recommendation on strengthening the principle of equal pay between men and women through transparency, COM(2017) 671 final.

      (14)  Report on the implementation of Commission Recommendation on strengthening the principle of equal pay between men and women through transparency, op.cit.; EU Action Plan 2017-2019 Tackling the gender pay gap, COM(2017) 678 final.

      (15)  European Parliament resolution of 8 October 2015 on the application of Directive 2006/54/EC of the European Parliament and of the Council of 5 July 2006 on the implementation of the principle of equal opportunities and equal treatment of men and women in matters of employment and occupation (2014/2160(INI)).

      (16)  Office of the High Commissioner for Human Rights (OHCHR), UN General Assembly Principles relating to the Status of National Institutions (The Paris Principles), Resolution 48/134, 20 December 1993, and the General Observations on the interpretation and implementation of these principles by the International Coordinating Committee of National Institutions for the Promotion and Protection of Human Rights, in their wording of 21 February 2018.

      (17)  European Network of Equality Bodies, 2016, Developing Standards for Equality Bodies. An Equinet Working Paper.

      (18)  European Commission against Racism and Intolerance (ECRI), General Policy Recommendation No2 revised on Equality Bodies to combat racism and intolerance at national level, CRI(2018) 06, adopted on 7 December 2017.

      (19)  C(2016) 8600.

      (20)  Council Decision 2010/48/EC of 26 November 2009 concerning the conclusion, by the European Community, of the United Nations Convention on the Rights of Persons with Disabilities (OJ L 23, 27.1.2010, p. 35).

      (21)  Every four years under Directive 2006/54/EC and every five years under Directives 2000/43/EC, 2000/78/EC and 2004/113/EEC.


               18.7.2018

               EN

               Official Journal of the European Union

               C 252/298

         P8_TA(2017)0029
   Priorities for the 61st session of the UN Commission on the Status of Women
   European Parliament recommendation of 14 February 2017 to the Council on the EU priorities for the 61st session of the UN Commission on the Status of Women (2017/2001(INI))
   (2018/C 252/30)

      The European Parliament,

               —

               having regard to the proposal for a recommendation to the Council by Constance Le Grip, on behalf of the PPE Group, and Maria Arena, on behalf of the S&D Group, on the EU priorities for the 61st session of the UN Commission on the Status of Women (B8-1365/2016),

               —

               having regard to the Council conclusions of 26 May 2015 on Gender in Development and on A New Global Partnership for Poverty Eradication and Sustainable Development after 2015, and of 16 December 2014 on a transformative post-2015 agenda,

               —

               having regard to the 61st session of the UN Commission on the Status of Women (CSW) and its priority theme ‘Women’s economic empowerment in the changing world of work’,

               —

               having regard to the Fourth World Conference on Women, held in Beijing in September 1995, the Declaration and Platform for Action adopted in Beijing and the subsequent outcome documents of the United Nations Beijing + 5, + 10, + 15, + 20 Special Sessions on further actions and initiatives to implement the Beijing Declaration and Platform for Action, adopted on 9 June 2000, 11 March 2005, 2 March 2010 and 9 March 2015 respectively,

               —

               having regard to the 1979 UN Convention on the Elimination of All Forms of Discrimination against Women (CEDAW),

               —

               having regard to Rule 113 of its Rules of Procedure,

               —

               having regard to the report of the Committee on Women’s Rights and Gender Equality (A8-0018/2017),

               A.

               whereas equality between women and men is a fundamental principle of the EU, enshrined in the Treaty on European Union, and one of its objectives and tasks, and whereas the EU is also guided by this principle in its external action as both dimensions should be coordinated;

               B.

               whereas women’s human rights and gender equality are not only fundamental human rights, but preconditions for advancing development and reducing poverty and a necessary foundation for a peaceful, prosperous and sustainable world;

               C.

               whereas harassment and violence against women encompass a wide range of human rights violations; whereas any one of these abuses can leave deep psychological scars and involve physical or sexual harm or suffering, threats of such acts and coercion, damage the general health of women and girls, including their reproductive and sexual health, and in some instances result in death;

               D.

               whereas on 23 January 2017 US President Donald Trump reinstated the so-called ‘global gag’ rule, which prevents international organisations from receiving any US global health assistance if they provide, counsel for, refer to or advocate for abortion services — even if they are doing so with their own, non-US funds and even if abortion is legal in their country; whereas programmes which address HIV/AIDS, maternal and child health, Zika response efforts and other health and disease areas will now be affected; whereas this rule will set back years of gains made in advancing the health and wellbeing of communities worldwide, especially in the area of women’s and girls’ rights, and could undercut healthcare access for millions worldwide;

               E.

               whereas the fifth Sustainable Development Goal (SDG5) is to achieve gender equality and to empower all women and girls worldwide; whereas SDG5 is a stand-alone goal, meaning that it has to be mainstreamed into the whole 2030 Agenda and the realisation of all SDGs; whereas empowering women means providing them with the necessary tools to become economically independent, be represented equally across society, play an equal role in all spheres of life, and gain more power in public life and control over all decisions impacting their lives;

               F.

               whereas women are important economic agents worldwide and women’s economic participation can stimulate the economy, create jobs and build inclusive prosperity; whereas countries that value and empower women to participate fully in the labour market and decision-making are more stable, prosperous and secure; whereas gender budgeting is smart economics and ensures that public spending serves the advancement of equality between women and men;

               G.

               whereas female creativity and entrepreneurial potential are under-exploited sources of economic growth and jobs that should be further developed;

               H.

               whereas 20 years after Beijing, despite solid evidence that women’s empowerment is central to reducing poverty, promoting development and addressing the world’s most urgent challenges, EU governments recognised that no country had fully achieved equality between women and men and empowerment for women and girls, that progress had been slow and uneven, that major gaps and forms of discrimination remained and that new challenges had emerged in the implementation of the Platform for Action’s 12 critical areas of concern;

               I.

               whereas the EU plays an important role in fostering the empowerment of women and girls, within the EU as well as worldwide, by political and financial means; whereas the EU must play the key role of guardian of language on women’s human rights agreed by the UN and the EU;

               J.

               whereas women continue to produce around 80 % of food in the poorest countries and are currently the main guardians of biodiversity and crop seeds;

               K.

               whereas the land is not only a means of production, but a place of culture and identity; whereas access to land is therefore a fundamental component of life and an inalienable right for peasant and indigenous women;

               1.

               Addresses the following recommendation to the Council:

                     General conditions for empowering women and girls

                           (a)

                           Confirm its commitment to the Beijing Platform for Action and to the range of actions for women’s human rights and gender equality outlined therein; confirm its commitment to the twin-track approach to women’s human rights, through gender mainstreaming in all policy areas and the implementation of specific actions for women’s human rights and gender equality;

                           (b)

                           Encourage policies to invest in women’s and girls’ equal access to high-quality education and vocational training, including formal, informal and non-formal education, and to eliminate gender disparities in these fields and across all sectors, particularly those traditionally dominated by men;

                           (c)

                           Combat all forms of violence against women and girls in the public and private spheres as a serious breach of their physical and psychological integrity preventing them from realising their full potential; advance towards the full ratification of the Istanbul Convention by all parties;

                           (d)

                           Consider that the UN, the EU and its Member States, in order to become more efficient actors globally, must also step up their domestic efforts to eliminate violence against women and gender-based violence; reiterate, therefore, its call on the Commission to propose an EU strategy to combat violence against women, including a directive laying down minimum standards; in this context, also call on all parties to sign and ratify the Council of Europe Convention on preventing and combating violence against women and domestic violence;

                           (e)

                           Devise policies to promote and support decent work and full employment for all women;

                           (f)

                           Ensure universal access to sexual and reproductive health care and reproductive rights as agreed in the Programme of Action of the International Conference on Population and Development, the Beijing Platform for Action and the outcome documents of the review conferences thereof; provide age-appropriate sexual education to girls and boys, young women and young men in order to reduce early undesired pregnancies or the spread of sexually transmitted diseases;

                           (g)

                           Strongly condemn the ‘global gag’ rule, which prohibits international organisations from receiving US family planning funding if they provide, counsel for, refer to or lobby for abortion services; consider this rule as a direct attack on and a setback for gains made for women’s and girls’ rights; call, as a matter of urgency, on the EU and its Member States to counter the impact of the gag rule by significantly increasing sexual and reproductive health and rights funding and launching an international fund to finance access to birth control and safe and legal abortion, using both national as well as EU development funding, in order to fill the financing gap left after the Trump administration’s moves to cease funding all overseas aid organisations that provide sexual and reproductive health and rights services;

                           (h)

                           Eliminate the gender pay, lifelong earnings and pension gaps;

                           (i)

                           End all forms of discrimination against women in laws and policies at all levels;

                           (j)

                           Combat all forms of gender stereotypes perpetuating inequality, violence and discrimination, in all spheres of society;

                           (k)

                           Support women’s organisations at all levels in their work; involve them as partners in policymaking and ensure adequate funding;

                           (l)

                           Apply gender budgeting, as a tool of gender mainstreaming, to all public expenditure;

                     Enhancing women’s economic empowerment and overcoming barriers on the labour market

                           (m)

                           Call on all parties to ratify and implement the CEDAW, giving special attention to Articles 1, 4, 10, 11, 13, 14 and 15;

                           (n)

                           Urge all parties to enact policies and laws ensuring equal access to work and equal pay for equal work and work of equal value;

                           (o)

                           Continue and intensify work towards policies supporting and promoting female entrepreneurship in the context of decent work and the removal of all barriers and social prejudices in establishing and running a business, including improving access to financial services, credit, venture capital and markets under equal conditions and encouraging access to information, training and networks for business purposes; in this context, recognise and promote the role of social enterprise, cooperatives and alternative business models in women’s empowerment;

                           (p)

                           Recognise that macro-economic policies, particularly on budget discipline and public services, have a disproportionate impact on women, and that these gender impacts must be taken into account by policymakers;

                           (q)

                           Promote new investment in social care infrastructure, education and health care and in public provision of accessible, affordable and quality care services throughout the life cycle, including care for children, dependents and the elderly; ensure strong protection and labour rights for pregnant women during and after their pregnancies;

                           (r)

                           Support policies that favour the equal sharing of domestic and care responsibilities between women and men;

                           (s)

                           Support the establishment of an ILO convention to provide an international standard to address gender-based violence in the workplace;

                           (t)

                           Implement policies to address the phenomenon of political violence against women, including physical violence, intimidation and online harassment;

                           (u)

                           Take effective measures to abolish child labour, since millions of female children are exploited; introduce new mechanisms in current EU legislation to avoid the import of products produced using child labour;

                           (v)

                           Encourage women and girls through awareness raising campaigns and support programmes to enter academic and research careers in all scientific fields, with a special focus on the technology and digital economy;

                           (w)

                           Ensure coherence between EU internal and external policies and the Sustainable Development Goals;

                     Ensuring women’s equal share at all levels of decision-making

                           (x)

                           Protect civil and political rights and support ensuring gender balance in decision-making at all levels, including political decision-making, economic policy and programmes, workplaces, business or academia;

                           (y)

                           Involve social partners, civil society and women’s organisations in economic decision-making;

                           (z)

                           Strengthen women’s leadership and participation in decision-making in conflict and post-conflict situations and ensure women’s access to jobs, markets and political participation and leadership in countries emerging out of conflicts, all of which are essential for stability;

                     Addressing the needs of the most marginalised women

                           (aa)

                           Facilitate land ownership and access to credit for rural women and promote, encourage and support female entrepreneurial initiatives in rural areas, to enable women to become economically independent and to fully participate in and benefit from sustainable and rural development; protect and promote short food supply chains, through active policies at both internal and external level in the EU;

                           (ab)

                           Establish internal and international rules that guarantee limits to the extensive land grabbing that goes against the interests of small owners, especially women;

                           (ac)

                           Call for the engagement of rural women’s organisations in local, regional, national and global policymaking and support women’s networks in the exchange of experience and good practice, particularly where women’s lives could be affected by the relevant decisions;

                           (ad)

                           Call on all countries to ratify and implement the UN Convention on the Rights of Persons with Disabilities, including Article 6 thereof entitled ‘Women with disabilities’;

                           (ae)

                           Emphasise the right of migrant women workers, especially migrant and refugee domestic workers, to decent working conditions and equal social protection; call for the ratification and implementation of ILO Convention 189;

                           (af)

                           Urge all parties to implement policies that guarantee the rights and humane treatment of women and girl refugees;

                           (ag)

                           Ensure that gender-based persecution is considered as a basis for an asylum claim under the 1951 UN Convention relating to the Status of Refugees;

                           (ah)

                           Emphasise the need to protect and promote the rights of LGBTI women;

                           (ai)

                           Call on the CSW, together with the CEDAW Committee, to institutionalise an intersectional approach to their analysis, and to promote the concept of combating multiple discrimination through intersectional analysis throughout all UN bodies;

                           (aj)

                           Pursue policies to address the situation of women facing poverty and social exclusion;

                           (ak)

                           Recognise the role of women as formal and informal carers, and implement policies to improve the conditions under which they provide care;

                     Translating these commitments into expenditure and making them more visible

                           (al)

                           Mobilise the resources required to realise women’s economic rights and reduce gender inequality, including through the use of the existing instruments at EU and Member State level, such as gender impact assessments; use gender budgeting for public expenditure to ensure equality between women and men and remove all gender inequalities;

                           (am)

                           Ensure the full involvement of Parliament and its Committee on Women’s Rights and Gender Equality in the decision-making process regarding the EU’s position at the 61st session of the UN Commission on the Status of Women;

                           (an)

                           Express its strong support for the work of UN Women, which is a central actor in the UN system for eliminating violence against women and girls worldwide and bringing together all relevant stakeholders in order to generate policy change and coordinate actions; call on all UN member states, as well as on the EU, to increase their funding for UN Women;

               2.

               Instructs its President to forward this recommendation to the Council and, for information, to the Commission.


title: Council Recommendation of 13 July 2018 on the 2018 National Reform Programme of Hungary and delivering a Council opinion on the 2018 Convergence Programme of Hungary

text:
               10.9.2018

               EN

               Official Journal of the European Union

               C 320/72

      COUNCIL RECOMMENDATION
      of 13 July 2018
      on the 2018 National Reform Programme of Hungary and delivering a Council opinion on the 2018 Convergence Programme of Hungary
      (2018/C 320/16)
      THE COUNCIL OF THE EUROPEAN UNION,
      Having regard to the Treaty on the Functioning of the European Union, and in particular Articles 121(2) and 148(4) thereof,
      Having regard to Council Regulation (EC) No 1466/97 of 7 July 1997 on the strengthening of the surveillance of budgetary positions and the surveillance and coordination of economic policies (1), and in particular Article 9(2) thereof,
      Having regard to the recommendation of the European Commission,
      Having regard to the resolutions of the European Parliament,
      Having regard to the conclusions of the European Council,
      Having regard to the opinion of the Employment Committee,
      Having regard to the opinion of the Economic and Financial Committee,
      Having regard to the opinion of the Social Protection Committee,
      Having regard to the opinion of the Economic Policy Committee,
      Whereas:

                  (1)

                  On 22 November 2017, the Commission adopted the Annual Growth Survey, marking the start of the 2018 European Semester for economic policy coordination. It took due account of the European Pillar of Social Rights, proclaimed by the European Parliament, the Council and the Commission on 17 November 2017. The priorities of the Annual Growth Survey were endorsed by the European Council on 22 March 2018. On 22 November 2017, on the basis of Regulation (EU) No 1176/2011, the Commission also adopted the Alert Mechanism Report, in which it did not identify Hungary as one of the Member States for which an in-depth review would be carried out.

                  (2)

                  The 2018 country report for Hungary was published on 7 March 2018. It assessed Hungary's progress in addressing the country-specific recommendations adopted by the Council on 11 July 2017 (2), the follow-up given to the country-specific recommendations adopted in previous years and Hungary's progress towards its national Europe 2020 targets.

                  (3)

                  On 30 April 2018, Hungary submitted its 2018 National Reform Programme and its 2018 Convergence Programme. In order to take account of their interlinkages, the two programmes have been assessed at the same time.

                  (4)

                  Relevant country-specific recommendations have been addressed in the programming of the European Structural and Investment Funds (‘ESI Funds’) for the 2014-2020 period. As provided for in Article 23 of Regulation (EU) No 1303/2013 of the European Parliament and of the Council (3), where it is necessary to support the implementation of relevant Council recommendations, the Commission may request a Member State to review and propose amendments to its Partnership Agreement and relevant programmes. The Commission has provided further details on how it would make use of that provision in guidelines on the application of the measures linking the effectiveness of the ESI Funds to sound economic governance.

                  (5)

                  Hungary is currently in the preventive arm of the Stability and Growth Pact and subject to the debt rule. In its 2018 Convergence Programme, the Government plans a deterioration of the headline deficit from 2,0 % in 2017 to 2,4 % in 2018 and a gradual improvement thereafter to 0,5 % of GDP by 2022. The medium-term budgetary objective — a structural deficit of 1,5 % of GDP — is planned to be met by 2020. Based on the recalculated structural balance (4), the medium-term budgetary objective would be reached by 2022. According to the Convergence Programme, the general government debt-to-GDP ratio is expected to decline gradually to slightly below 60 % by the end of 2022. The macroeconomic scenario underpinning those budgetary projections is favourable, which poses notable risks to the implementation of the deficit targets.

                  (6)

                  The 2018 Convergence Programme indicates that the budgetary impact of the security-related measures in 2017 is significant, and provides adequate evidence of the scope and nature of these additional budgetary costs. According to the Commission, the eligible additional expenditure in 2017 amounted to 0,17 % of GDP for security-related measures. The provisions set out in Articles 5(1) and 6(3) of Regulation (EC) No 1466/97 cater for this additional expenditure, in that the severity of the terrorist threat are unusual events, their impact on Hungary's public finances is significant and sustainability would not be compromised by allowing for a temporary deviation from the adjustment path towards the medium-term budgetary objective. Therefore, the required adjustment towards the medium-term budgetary objective for 2017 has been reduced to take into account these additional costs.

                  (7)

                  On 12 July 2016, the Council recommended Hungary to achieve an annual fiscal adjustment of 0,6 % of GDP towards the medium-term budgetary objective in 2017 unless the medium-term budgetary objective was respected with a lower effort. Based on 2017 outturn data Hungary was found to be in significant deviation from the adjustment path toward the medium-term budgetary objective. In line with Article 121(4) TFEU and Article 10(2) of Regulation (EC) No 1466/97, the Commission issued a warning to Hungary on 23 May 2018 that a significant deviation from the adjustment path toward the medium-term budgetary objective was observed in 2017. On 22 June 2018, the Council adopted a subsequent Recommendation (5) confirming the need for Hungary to take the necessary measures to ensure that the nominal growth rate of net primary government expenditure (6) does not exceed 2,8 % in 2018, corresponding to an annual structural adjustment of 1 % of GDP. Based on the Commission 2018 spring forecast, there is a risk of a deviation from the recommended effort.

                  (8)

                  In 2019, in view of Hungary's general government debt ratio above 60 % of GDP and projected output gap of 2,3 %, the nominal growth rate of net primary government expenditure should not exceed 3,9 %, in line with the structural adjustment of 0,75 % of GDP stemming from the commonly agreed adjustment matrix of requirements under the Stability and Growth Pact. Based on the Commission 2018 spring forecast, there is a risk of a significant deviation from that requirement in 2019. Overall, the Council is of the opinion that significant further measures will be needed as of 2018 to comply with the provisions of the Stability and Growth Pact, in light of a strongly deteriorating fiscal outlook, in line with the recommendation addressed to Hungary on 22 June 2018 with a view to correcting the significant observed deviation from the adjustment path toward the medium-term budgetary objective.

                  (9)

                  The overall employment rate has improved significantly and the favourable economic trend provides an opportunity to reintegrate in particular unemployed people into the labour market. The gender employment gap is wide, especially in the 25-39 age group, which can in part be explained by a limited supply of good quality childcare. The level of participation in childcare for children under the age of 3 is well under the Barcelona target and the Union average. Although the public work scheme remains the main active labour market policy, the number of participants in it having decreased significantly represents a positive development. Nonetheless, the scheme remains insufficiently focused and its effectiveness in reintegrating participants into the open labour market continues to be limited considering the labour market situation. Active labour market policies which focus more on upskilling and reskilling are under-developed.

                  (10)

                  The proportion of people at risk of poverty and social exclusion has decreased to 26,3 % in 2016 but remains above the Union average. Children in general are more exposed to poverty than other age groups. The level of minimum income benefits is below 50 % of the poverty threshold for a single household, making it among the lowest in the EU. The adequacy of unemployment benefits is very low: the maximum duration of 3 months ranks as the shortest in the EU, and represents only around a quarter of the average time required by job seekers to find employment. In addition, the levels of payment are among the lowest in the EU.

                  (11)

                  The Hungarian social dialogue structures and processes remain underdeveloped and do not allow for a meaningful involvement of social partners in policy design and implementation. The deficiencies in stakeholders' engagement and the limited transparency have an impact on the evidence base for and quality of policy making, creating uncertainty for investors and slowing down convergence.

                  (12)

                  Measures have been implemented to improve the tax system, but some problems remain. Although decreasing, the tax wedge on labour, especially for certain low-income groups, is still high in Union comparison. The overall complexity of the tax system, coupled with the continued presence of distortive sector-specific taxes, remains a weakness. Measures against taxpayer's aggressive planning strategies are essential to impede distortions of competition between firms, provide fair treatment of taxpayers and safeguard public finances. Spill-over effects of taxpayer's aggressive planning strategies between Member States call for a coordinated action of national policies to complement Union legislation. Hungary records relatively high capital inflows and outflows through special purpose entities, which are disconnected from the real economy. The absence of withholding taxes on outbound (i.e. from Union residents to third-country residents) dividend, interest and royalty payments made by companies based in Hungary may lead to those payments escaping tax altogether, if they are also not subject to tax in the recipient jurisdiction. The Commission takes note that Hungary acknowledges that outbound payment may lead to aggressive tax planning if misused. Based on recent exchanges, the Commission will continue its constructive dialogue to fight against taxpayers aggressive planning strategies.

                  (13)

                  Regulatory barriers in services, and retail trade in particular, impact on the sector's performance and hamper the efficient reallocation of resources, productivity and innovation. There is a continuous trend to entrust certain services to state-owned firms specifically created for these purpose, to the detriment of open competition. Unpredictability of the legal framework is a further problem, especially in the retail sector, which in recent years has been faced with frequent changes to regulations. As the proposed regulations are often tailored to turnover or floor size, they mainly affect foreign retail chains. This increases uncertainty among business operators and can deter investment. A stable regulatory environment favourable to competition is needed. Restrictive regulation of professions remains high in Hungary, in particular with respect to key professions like accounting and legal services.

                  (14)

                  Concerns remain regarding preventing and prosecuting corruption. According to several indicators, Hungary's exposure to corruption appears to have increased over the past years and the risks of corruption could negatively affect the country's growth potential. The functioning of the prosecution service is of crucial importance to fight corruption and money laundering and while measures to fight low-level corruption appear to have been applied with some success, there is not enough focus on starting investigations into high-level cases. Limited transparency and restrictions on access to information further hinder measures to prevent corruption. Significant steps have been taken regarding public procurement, but there is scope to further improve transparency and competition in tendering processes. This could be achieved inter alia through making data gained from the e-procurement system publicly accessible.

                  (15)

                  Education outcomes for basic skills are significantly below the Union average, especially for children from disadvantaged socioeconomic background. Pupils are streamed early into different types of schools, with wide gaps in education outcomes and employment paths. Disadvantaged children, including Roma children, tend to be concentrated in vocational secondary schools which are characterised by poorer levels of basic skills and higher dropout rates, and people who leave these schools receive lower wages on average. The early school leaving rate increased to 12,4 % on average, and is particularly high among Roma children. These challenges are especially pressing in the context of quality and inclusive education. The shrinking pool of applicants and high drop-out rates in tertiary education will further limit attainment rates at a time when the demand for highly-skilled workforce is growing.

                  (16)

                  Despite ongoing efforts to improve public health, poor health outcomes, aggravated by unhealthy lifestyles, persist, having a negative impact on human capital. Low levels of healthcare spending, coupled with an inefficient allocation of resources, limit the effectiveness of the Hungarian healthcare system. This, together with a high reliance on out-of-pocket payments, has negative equity implications for the timely access to affordable, preventive and curative healthcare of good quality. Shortage of healthcare workers also hampers access to care, although recent salary increases have mitigated this challenge. Ongoing reform efforts are focused on tackling excessive use of hospital care services, a key cause of which is that primary care providers are not appropriately equipped to act as effective gatekeepers. Further rationalisation of hospital resources use, together with targeted investments to strengthen primary care services, would enable the reduction of disparities in access to care, drive efficiency gains and effectively improve health outcomes.

                  (17)

                  In the context of the 2018 European Semester, the Commission has carried out a comprehensive analysis of Hungary's economic policy and published it in the 2018 country report. It has also assessed the 2018 Convergence Programme,d the 2018 National Reform Programme and the follow-up given to the recommendations addressed to Hungary in previous years. The Commission has taken into account not only their relevance for sustainable fiscal and socioeconomic policy in Hungary but also the extent to which they comply with Union rules and guidance, given the need to strengthen the Union's overall economic governance by providing Union-level input for future national decisions.

                  (18)

                  In the light of this assessment, the Council has examined the 2018 Convergence Programme and its opinion (7) is reflected in particular in recommendation (1) below,

            HEREBY RECOMMENDS that Hungary take action in 2018 and 2019 to:

                  1.

                  In 2018, ensure compliance with the Council recommendation of 22 June 2018 with a view to correcting the significant deviation from the adjustment path toward the medium-term budgetary objective. In 2019, ensure that the nominal growth rate of net primary government expenditure does not exceed 3,9 %, corresponding to an annual structural adjustment of 0,75 % of GDP.

                  2.

                  Continue simplifying the tax system, in particular by reducing sector-specific taxes. Improve the quality and transparency of the decision-making process through effective social dialogue and engagement with other stakeholders and by regular, adequate impact assessments. Reinforce the anti-corruption framework, strengthen prosecutorial efforts and improve transparency and competition in public procurement inter alia through further developing the e-procurement system. Strengthen competition, regulatory stability and transparency in the services sector, in particular in retail.

                  3.

                  Unlock labour reserves through improving the quality of active labour market policies. Improve education outcomes and increase the participation of disadvantaged groups, in particular Roma, in quality and inclusive mainstream education. Improve the adequacy and coverage of social assistance and unemployment benefits.

         Done at Brussels, 13 July 2018.

               For the Council

               The President

            H. LÖGER

         (1)  OJ L 209, 2.8.1997, p. 1.

         (2)  OJ C 261, 9.8.2017, p. 1.

         (3)  Regulation (EU) No 1303/2013 of the European Parliament and of the Council of 17 December 2013 laying down common provisions on the European Regional Development Fund, the European Social Fund, the Cohesion Fund, the European Agricultural Fund for Rural Development and the European Maritime and Fisheries Fund and laying down general provisions on the European Regional Development Fund, the European Social Fund, the Cohesion Fund and the European Maritime and Fisheries Fund and repealing Council Regulation (EC) No 1083/2006 (OJ L 347, 20.12.2013, p. 320).

         (4)  Cyclically adjusted balance net of one-off and temporary measures, recalculated by the Commission using the commonly agreed methodology.

         (5)  Council Recommendation of 22 June 2018 with a view to correcting the significant observed deviation from the adjustment path toward the medium-term budgetary objective in Hungary (OJ C 223, 27.6.2018, p. 1).

         (6)  Net primary government expenditure comprises total government expenditure excluding interest expenditure, expenditure on Union programmes fully matched by Union funds revenue and non-discretionary changes in unemployment benefit expenditure. Nationally financed gross fixed capital formation is smoothed over a four-year period. Discretionary revenue measures or revenue increases mandated by law are factored in. One-off measures on both the revenue and expenditure sides are netted out.

         (7)  Under Article 9(2) of Regulation (EC) No 1466/97.