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		52011SC0824

			Recommendation for a COUNCIL RECOMMENDATION on the National Reform Programme 2011 of Polandand delivering a Council opinionon the updated Convergence Programme of Poland, 2011-2014 /* SEC/2011/0824 final */

			   	Recommendation for a
COUNCIL RECOMMENDATION
on the National Reform Programme 2011 of
Poland
and delivering a Council opinion
on the updated Convergence Programme of Poland, 2011-2014
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(3) thereof,
Having regard to the recommendation of the European
Commission[2],
Having regard to the conclusions of the
European Council,
Having regard to the opinion of the
Employment Committee,
After consulting the Economic and Financial
Committee,
Whereas:
(1)
On 26 March 2010, the European Council agreed to
the European Commission’s proposal to launch a new strategy for jobs and
growth, Europe 2020, based on enhanced coordination of economic policies, which
will focus on the key areas where action is needed to boost Europe’s potential
for sustainable growth and competitiveness.
(2)
On 13 July 2010, the Council adopted a
recommendation on the broad guidelines for the economic policies of the Member
States and the Union (2010 to 2014) and, on 21 October 2010, adopted a decision
on guidelines for the employment policies of the Member States[3],
which together form the ‘integrated guidelines’. Member States were invited to
take the integrated guidelines into account in their national economic and
employment policies.
(3)
On 12 January 2011, the Commission adopted the
first Annual Growth Survey, marking the start of a new cycle of economic
governance in the EU and the first European semester of ex-ante and integrated
policy coordination, which is anchored in the Europe 2020 strategy.
(4)
On 25 March 2011, the European Council endorsed
the priorities for fiscal consolidation and structural reform (in line with the
Council’s conclusions of 15 February and 7 March 2011 and further to the
Commission’s Annual Growth Survey). It underscored the need to give priority to
restoring sound budgets and fiscal sustainability, reducing unemployment
through labour market reforms and making new efforts to enhance growth. It
requested Member States to translate these priorities into concrete measures to
be included in their Stability or Convergence Programmes and National Reform
Programmes.
(5)
On 25 March 2011, the European Council also
invited the Member States participating in the Euro Plus Pact to present their
commitments in time to be included in their Stability or Convergence Programmes
and their National Reform Programmes.
(6)
On 27 April 2011, Poland submitted its 2011
Convergence Programme update covering the period 2011-2014 and on 29 April 2011
its 2011 National Reform Programme. In order to take account of the interlinkages,
the two programmes have been assessed at the same time.
(7)
The global financial crisis led to a slowdown in
economic activity in Poland, with the rate of real GDP growth dropping to 1.7%
in 2009, but stopping short of a recession. In 2010, real GDP growth bounced
back to 3.8% as strong external demand fuelled manufacturing and turned the
inventory cycle, while a resilient labour market supported private consumption.
The unemployment rate rose to 9.6% in 2010, up from 7.1% in 2008, despite
increasing employment. The crisis has taken a heavy toll on public finances.
The general government deficit rose from 3.7% of GDP in 2008 to 7.3% in 2009.
In 2010, despite a modest consolidation package and in the face of strong
growth, it reached 7.9% of GDP. The debt-to-GDP ratio has risen from 50.9% in
2009 to 55.1 % in 2010, still below the 60% Treaty threshold and the
Polish Constitutional debt break.
(8)
Based on the assessment
of the updated Convergence Programme pursuant to Council Regulation (EC) No
1466/97, the Council is of the opinion that the macroeconomic scenario underpinning
the budgetary projections is plausible, while based on slightly too favourable
growth assumptions for 2012. The programme plans to bring the deficit below the
3% of GDP reference value by 2012, the deadline set by the Council. The average
annual fiscal effort over the period 2010-2012 is broadly in line with the
1.25% of GDP recommended by the Council under the excessive deficit procedure
(EDP) on 7 July 2009. Achievement of the medium-term objective (MTO) is not
envisaged during the programme period. The amendment to the pension reform —
reducing the structural budget deficit by 0.7% in 2011 and by a further 0.5% of
GDP in 2012 — does not improve the underlying budgetary situation as it
increases long-term liabilities by the same magnitude.
Risks to budgetary targets are tilted to the downside. In particular, direct tax revenues might turn out lower than projected because of
optimistic assumptions on elasticities with respect to the tax base; programme
projections on social contributions rely on favourable scenarios for employment
and wage growth; and potential implementation delays and changes to the
deficit-reducing measures, also beyond the direct control of the government,
could result in a slippage in budget execution.
(9)
The Polish government committed itself to
bringing the general government deficit below 3% of GDP by 2012, as recommended
by the Council, and to ensuring the stability of public finances in the long
term. To this end, in 2011 it has embarked on a plan to substantially
consolidate public finances, with measures affecting both revenue and
expenditure, including major cuts in public investment expenditure. The draft
2012 budget was adopted by the government on 5 May 2011. It is expected to
contribute to a further significant reduction in the deficit. Measures may still need to be implemented in addition to the ones presented
in the draft 2012 budget to meet the 2012 deadline for correction of the
excessive deficit. However, further cuts in public
investment spending would risk limiting the capacity to co-fund the investment
projects financed by the EU.
(10)
Poland has strengthened its fiscal framework
over the years. However, in order to assure sustainability of public finances
in the medium to long term the existing fiscal rules and medium-term
programming procedures do not appear to provide for sufficient transparency of
the budgetary process, incentives for coordination between various tiers of government
and flexibility to address macroeconomic shocks and imbalances. The fiscal
rules should also be based on sufficiently broad budgetary aggregates and
should be fully consistent with the European System of National and Regional
Accounts (ESA95). On the basis of current policies, the risks to the long-term
sustainability of public finances stemming from the ageing of the population
can be assessed as medium.
(11)
Although the government has abolished special
early pensions for a majority of beneficiaries, special early retirement
arrangements for uniformed services
and miners remain in place, and the statutory retirement age for women is lower
than for men. The effective retirement age is therefore still low. Moreover,
the very heavily subsidised farmers’ social security fund (KRUS) provides
little incentive for farmers to leave the sector, slowing economic
restructuring and hampering productivity growth.
(12)
The education and training system is not fully tailored
to labour market needs. Despite a sharp increase in tertiary education
attainment, employability is affected by a skills and jobs mismatch. The higher
education system is not adequately linked to the business and employment
environment. The proportion of adults (especially older and low-skilled
workers) participating in education and vocational training remains very low.
(13)
Public spending on R&D is low in Poland, and
private spending, amongst the lowest in the EU, does little to compensate.
Furthermore, it has been declining over recent years, as the private sector
lacks sufficient incentive to invest. This is likely to become a major obstruction
to medium- and long-term economic growth. The R&D system is not integrated
as universities, research institutes and industry are only weakly interlinked.
(14)
Low female labour market participation is partly
due to insufficient provision of care facilities for children and dependents. The
number of children under three years for whom formal care arrangements are made
in Poland is far below the EU average. The enrolment rate of older children,
although it has risen over the last few years, is similarly low. In many cases
young parents can only participate in the labour market if childcare is
provided by their relatives. In addition, insufficient provision of care
services reduces the labour force potential of older women in particular since
they leave their jobs or retire early in order to take care of their
grandchildren or other dependents.
(15)
The underdeveloped network infrastructure is an
obstacle to business and foreign investment and the underdeveloped transport
infrastructure amplifies regional disparities. The energy infrastructure is
ageing rapidly and has reached its capacity limits. Moreover, it needs
significant adjustments to meet the requirements associated with climate change
mitigation policies. Although Poland’s rail system is the third largest in
Europe, it cannot properly support the expansion of economic activity because
of outdated infrastructure and rolling stock.
(16)
The quality of the business environment and
efficiency of public administration is low in Poland. In cross-country
comparisons, Poland has particular problems in the areas of tax collection,
starting and closing businesses, enforcing contracts and registering property.
Companies are hindered by lengthy licensing and permit procedures. As regards
legal actions, such as contract enforcement and obtaining construction permits,
the number of procedures involved is rather high and the overall process is too
long.
(17)
Poland has made a number of commitments under
the Euro Plus Pact[4]. On the fiscal side,
Poland commits itself to the existing debt and the temporary expenditure rule,
the introduction of new regulations limiting deficit ratios of local
governments and the introduction of a permanent expenditure rule. To reinforce
financial stability, measures aim at more efficient regulation and supervision
of the banking sector. Employment measures focus on labour market participation
of women as well as of older workers and reforms to strengthen
business-education links. The competitiveness measures focus on education and
the science sector, transport and broadband infrastructure development and
measures to improve the business environment. These commitments refer to the
four areas of the Pact and largely reflect the agenda presented in the
Convergence and National Reform Programmes. Several important policy challenges
remain unaddressed (e.g. the low participation rate of older workers) or are
only touched upon (e.g. the improvement of the business administration). The
Euro Plus Pact commitments have been assessed and taken into account in the
recommendations.
(18)
The Commission has assessed the Convergence
Programme and National Reform Programme, including the Euro Plus Pact
commitments[5]. It has taken into
account not only their relevance for sustainable fiscal and socio-economic
policy in Poland but also their conformity with EU rules and guidance, given the
need to reinforce the overall economic governance of the European Union by
providing EU-level input into future national decisions. It considers that the
programmes set out an ambitious public finance consolidation plan and
encourages the government to proceed with implementation, and to take
additional measures, if necessary, to reduce the general government deficit to
below 3% of GDP by 2012. Building on the achievements of the past decade, steps
should be taken to further increase employment, mainly by implementing reforms
in the pension and education systems, and by improving child- and
dependent-care services. Moreover, non-price competitiveness should be further
increased by improving the R&D framework and the business environment and
by promoting infrastructure investment.
(19)
In the light of this assessment, also taking
into account the Council Recommendation of 7 July 2009 under Article 126(7) of
the Treaty on the Functioning of the European Union, the Council has examined
the 2011 update of the Convergence Programme of Poland and its opinion[6]
is reflected in particular in its recommendation under (1) and (2) below.
Taking into account the European Council conclusions of 25 March 2011, the
Council has examined the National Reform Programme of Poland,
HEREBY RECOMMENDS that Poland should
take action within the period 2011-2012 to:
(1)
Implement the measures announced in the draft 2012
Budget Law and include additional measures of a permanent nature to reduce the
general government deficit to below 3% of GDP in 2012. Minimise cuts in
growth-enhancing expenditure in the future, particularly the co-financing of EU
funds, while ensuring adequate progress towards the medium term objective.
(2)
Enact legislation with a view to introducing a
permanent expenditure rule by 2013. This rule should be based on sufficiently
broad budgetary aggregates and should be fully consistent with the European
system of accounts. Moreover, take measures to strengthen the mechanisms of
coordination among the different levels of government in the medium term and
annual budgetary processes.
(3)
Raise as planned the
statutory retirement age for uniformed services,
continue steps to increase the effective retirement age and link it to life
expectancy. Establish a timetable to amend the rules
for farmers’ contributions to the social security fund (KRUS) to better reflect
individual incomes.
(4)
Implement the proposed lifelong
learning strategy, enhance apprenticeships
and dedicated vocational training
and education programmes for older and low-skilled workers. Strengthen
links between science and industry by implementing the ‘We build on Knowledge’
programme (‘Budujemy na Wiedzy’); Implement the higher education reform programme
'Partnership for Knowledge' (‘Partnerstwo dla Wiedzy’) so as to better align
educational provision with labour market needs.
(5)
Increase female labour
market participation by taking measures to ensure stable funding for pre-school
child-care arrangements, to increase enrolment rates of children under three
years.
(6)
Take measures to rebalance
incentives for investment in energy generation capacity with a view to encouraging
low-carbon emitting technologies, and to further develop cross-border
electricity grid interconnections; develop a multiannual plan for investment in
railway infrastructure and implement the rail transport master plan.
(7)
Establish a timetable to simplify legal
procedures involved in enforcing contracts; revise construction and zoning
legislation, with a view to streamlining appeal procedures and speeding up
administrative procedures.
Done at Brussels,
                                                                       For
the Council
                                                                       The
President
[1]               OJ L 209, 2.8.1997, p. 1.
[2]               OJ C , , p. .
[3]               Maintained for 2011 by Council Decision 2011/308/EU
of 19 May 2011.
[4]               More details on the commitments made under the Euro
Plus Pact can be found in SEC(2011) 729.
[5]               SEC(2011) 729.
[6]               Foreseen in Article 9(3) of Council Regulation (EC)
No 1466/97.


title: Council Recommendation of 30 November 2009 on smoke-free environments

text:
               5.12.2009

               EN

               Official Journal of the European Union

               C 296/4

      COUNCIL RECOMMENDATION

   of 30 November 2009
   on smoke-free environments
   2009/C 296/02
   THE COUNCIL OF THE EUROPEAN UNION,
   Having regard to the Treaty establishing the European Community, and in particular the second subparagraph of Article 152(4) thereof,
   Having regard to the proposal from the Commission,
   After consulting the European Parliament (1),
   Having regard to the opinion of the European Economic and Social Committee (2),
   Whereas:

               (1)

               Article 152 of the Treaty stipulates that Community action, which shall complement national policies, shall be directed towards improving public health, preventing human illness and diseases, and obviating sources of danger to human health.

               (2)

               According to Article 137 of the Treaty, the Community shall support and complement the activities of the Member States, inter alia, in the field of improvement in particular of the working environment to protect workers’ health and safety.

               (3)

               Exposure to environmental tobacco smoke (ETS) — also referred to as second-hand tobacco smoke — is a widespread source of mortality, morbidity and disability in the European Union.

               (4)

               According to conservative estimates, 7 300 adults including 2 800 non-smokers died as a result of ETS exposure at their workplace in the European Union in 2002. A further 72 000 adult deaths, including those of 16 400 non-smokers, were linked to ETS exposure at home.

               (5)

               Exposure to second-hand tobacco smoke is particularly dangerous to children and adolescents and could increase the likelihood of their taking up smoking.

               (6)

               ETS has been classified as a known human carcinogen by the World Health Organization (WHO) International Agency for Research on Cancer and as an occupational carcinogen by Finland and Germany.

               (7)

               All people have the right to a high level of health protection and should be protected from exposure to tobacco smoke.

               (8)

               Voluntary policies at national level have proved ineffective in reducing exposure to tobacco smoke. Member States’ binding legislation, properly enforced and monitored is an effective means of adequately protecting people from the health risks of second-hand tobacco smoke.

               (9)

               Legislation on smoke-free environments is most effective when it is backed up by measures such as awareness-raising campaigns, support for cessation of tobacco use, strong health warnings on tobacco product packaging and other regulation on tobacco products.

               (10)

               Civil society has an important role in building support for and ensuring compliance with legislation on smoke-free environments.

               (11)

               Smoke-free policies should have adequate instruments to implement the multi-sectorial approach to tobacco control.

               (12)

               There is a need for strengthened cooperation between Member States to facilitate the exchange of information and best practice and develop a standardised EU monitoring system.

               (13)

               The resolution of the Council and the Ministers for Health of the Member States, meeting within the Council of 18 July 1989 on banning smoking in places open to the public (3) invited the Member States to take measures banning smoking in certain enclosed premises open to the public, and to extend the ban on smoking to all forms of public transport.

               (14)

               Council Recommendation 2003/54/EC of 2 December 2002 on the prevention of smoking and on initiatives to improve tobacco control (4) recommended that Member States implement legislation and/or other effective measures that provide protection from exposure to ETS in indoor workplaces, enclosed public places, and public transport.

               (15)

               Council Directive 89/391/EEC of 12 June 1989 on the introduction of measures to encourage improvements in the safety and health of workers at work (5), while not explicitly referring to tobacco smoke, covers all risks to the health and safety of workers (6).

               (16)

               In its Environment and Health Action Plan (2004-2010) (7), the Commission has undertaken to ‘develop work on improving indoor air quality’, in particular by ‘encouraging the restriction of smoking in all workplaces by exploring both legal mechanisms and health promotion initiatives at both European and Member State level’.

               (17)

               The consultation initiated by the Commission's Green Paper ‘Towards a Europe free from tobacco smoke: policy options at EU level’ (8) (the ‘Green Paper’) has revealed strong support both for comprehensive smoke-free policies in all enclosed workplaces and public places and for further EU action to promote smoke-free environments throughout the Member States.

               (18)

               The Employment, Social Policy, Health and Consumer Affairs Council held an exchange of views on policy options at EU level on tobacco smoke-free environments on 30 and 31 May 2007. It welcomed the Green Paper and stressed the need for Community guidance to further promote tobacco-smoke free environments at EU level, as well as Community support for and coordination of national measures.

               (19)

               The European Parliament's resolution of 24 October 2007 on the Green Paper called on the Member States to introduce comprehensive smoke-free laws within two years and invited the Commission to table a relevant legislative proposal by 2011 in the event of unsatisfactory progress. It also called on the Commission to propose an amendment to the current legislative framework in order to classify ETS as a carcinogen and oblige employers to ensure that the workplace is smoke-free.

               (20)

               Article 8 of the WHO Framework Convention on Tobacco Control (FCTC), signed in June 2003 by all WHO members, and so far ratified by 167 Parties, including the Community and 26 of its Member States, creates a legal obligation for its Parties to adopt and implement in areas of existing national jurisdiction as determined by national law and to actively promote, at other jurisdictional levels, the adoption and implementation of effective measures to protect people from exposure to second-hand tobacco smoke in all indoor workplaces, public transport and indoor public places and, as appropriate, other public places.

               (21)

               The Second Conference of the Parties to FCTC in July 2007 adopted guidelines on protection from exposure to tobacco smoke (9) to assist Parties in meeting their obligations under Article 8 of the Convention. Each Party should strive to implement the guidelines within five years of the Convention's entry into force for that Party.

               (22)

               Article 14 of the WHO Framework Convention creates a legal obligation for its Parties to develop and disseminate appropriate, comprehensive and integrated guidelines based on scientific evidence and best practices and to take effective measures to promote the cessation of tobacco use and adequate treatment for tobacco dependence. The Third Conference of the Parties to the WHO Framework Convention decided to establish a working group for the elaboration of guidelines for implementation of that Article.

               (23)

               The European Strategy on Tobacco Control adopted by the WHO Regional Committee for Europe in September 2002 recommended that Member States ensure the citizens’ right to a smoke-free environment by, inter alia, making public places, workplaces and public transport smoke-free, banning smoking outdoors in all educational institutions for minors, in all places of healthcare delivery and at public events, as well as classifying ETS as a carcinogen.

               (24)

               This Recommendation is without prejudice to the Community legislation laying down minimum requirements for the safety and health protection of workers adopted under Article 137 of the Treaty, to Directive 2001/37/EC of the European Parliament and of the Council of 5 June 2001 on the approximation of the laws, regulations and administrative provisions of the Member States concerning the manufacture, presentation and sale of tobacco products (10) and to Commission Decision 2003/641/EC of 5 September 2003 on the use of colour photographs or other illustrations as health warnings on tobacco packages (11),

         HEREBY RECOMMENDS THAT THE MEMBER STATES:

               1.

               provide effective protection from exposure to tobacco smoke in indoor workplaces, indoor public places, public transport and, as appropriate, other public places as stipulated by Article 8 of the WHO Framework Convention on Tobacco Control (FCTC) and based on the annexed guidelines on protection from exposure to tobacco smoke adopted by the Second Conference of the Parties to FCTC, within five years of the FCTC’s entry into force for that Member State, or at the latest within three years following the adoption of this Recommendation;

               2.

               develop and/or strengthen strategies and measures to reduce exposure to second-hand tobacco smoke of children and adolescents;

               3.

               complement smoke-free policies with supporting measures, which may include:

                           (a)

                           taking effective measures to promote cessation of tobacco use and adequate treatment for tobacco dependence, taking into account national circumstances and priorities as outlined in Article 14 of the FCTC; and

                           (b)

                           introducing combined warnings, as defined by Article 2(4) of Commission Decision 2003/641/EC of 5 September 2003 on the use of colour photographs or other illustrations as health warnings on tobacco packages (12), and information on services supporting the cessation of tobacco use on the packages of smoking tobacco products in order to better inform consumers about the health risks of tobacco use and exposure to tobacco smoke, encourage cessation of tobacco use and deter initiation;

               4.

               develop, implement, periodically update and review comprehensive multi-sectoral tobacco control strategies, plans or programmes which address, inter alia, the issue of protection from tobacco smoke in all places accessible to the general public or places of collective use, regardless of ownership or right to access;

               5.

               provide adequate instruments to implement national strategies, tobacco control policies and programmes in order to ensure effective protection from exposure to tobacco smoke;

               6.

               communicate to the Commission, if possible within six months after the adoption of this Recommendation, national focal points for tobacco control with a view to exchanging information and best practices as well as policy coordination with other Member States;

               7.

               cooperate closely among themselves and with the Commission on a coherent framework of definitions, benchmarks and indicators for the implementation of this Recommendation;

               8.

               monitor and evaluate the effectiveness of policy measures using the above-mentioned indicators;

               9.

               inform the Commission of legislative and other action taken in response to this Recommendation and of the results of monitoring and evaluation,

         HEREBY INVITES THE COMMISSION TO:

               1.

               report on the implementation, functioning and impacts of the proposed measures, on the basis of the information provided by Member States;

               2.

               in the context of a possible revision of Directive 2001/37/EC, consider all product-related measures aimed at reducing the attractiveness and addictiveness of tobacco products;

               3.

               analyse the legal issues and the evidence base for the impact of plain packaging, including on the functioning of the internal market.

      Done at Brussels, 30 November 2009.

            For the Council

            The President

         S. O. LITTORIN

      (1)  Resolution delivered following non-mandatory consultation (not yet published in the Official Journal).

      (2)  Opinion of 5 November 2009 (not yet published in the Official Journal).

      (3)  OJ C 189, 26.7.1989, p. 1.

      (4)  OJ L 22, 25.1.2003, p. 31.

      (5)  OJ L 183, 29.6.1989, p. 1.

      (6)  Cf. Case C-49/00 Commission v. Italy, [2001] ECR I-8575, paragraphs 12-13.

      (7)  COM(2004) 416 final.

      (8)  COM(2007) 27 final.

      (9)  FCTC/COP2(7) Guidelines on protection from exposure to tobacco smoke, as elaborated by the working group convened in accordance with decision FCTC/COP1(15) of the Conference of the Parties to the WHO Framework Convention on Tobacco Control.

      (10)  OJ L 194, 18.7.2001, p. 26.

      (11)  OJ L 226, 10.9.2003, p. 24.

      (12)  See footnote 11.

      ANNEX

         Guidelines on protection from exposure to tobacco smoke, as adopted by the Second Conference of the Parties to the WHO Framework Convention on Tobacco Control

         PURPOSE, OBJECTIVES AND KEY CONSIDERATIONS

         Purpose of the guidelines

                  1.

                  Consistent with other provisions of the WHO Framework Convention on Tobacco Control and the intentions of the Conference of the Parties, these guidelines are intended to assist Parties in meeting their obligations under Article 8 of the Convention. They draw on the best available evidence and the experience of Parties that have successfully implemented effective measures to reduce exposure to tobacco smoke.

                  2.

                  The guidelines contain agreed upon statements of principles and definitions of relevant terms, as well as agreed upon recommendations for the steps required to satisfy the obligations of the Convention. In addition, the guidelines identify the measures necessary to achieve effective protection from the hazards of second-hand tobacco smoke. Parties are encouraged to use these guidelines not only to fulfil their legal duties under the Convention, but also to follow best practices in protecting public health.

         Objectives of the guidelines

                  3.

                  These guidelines have two related objectives. The first is to assist Parties in meeting their obligations under Article 8 of the WHO Framework Convention, in a manner consistent with the scientific evidence regarding exposure to second-hand tobacco smoke and the best practice worldwide in the implementation of smoke-free measures, in order to establish a high standard of accountability for treaty compliance and to assist the Parties in promoting the highest attainable standard of health. The second objective is to identify the key elements of legislation necessary to effectively protect people from exposure to tobacco smoke, as required by Article 8.

         Underlying considerations

                  4.

                  The development of these guidelines has been influenced by the following fundamental considerations:

                              (a)

                              The duty to protect from tobacco smoke, embodied in the text of Article 8, is grounded in fundamental human rights and freedoms. Given the dangers of breathing second-hand tobacco smoke, the duty to protect from tobacco smoke is implicit in, inter alia, the right to life and the right to the highest attainable standard of health, as recognised in many international legal instruments (including the Constitution of the World Health Organisation, the Convention on the Rights of the Child, the Convention on the Elimination of all Forms of Discrimination against Women and the Covenant on Economic, Social and Cultural Rights), as formally incorporated into the preamble of the WHO Framework Convention and as recognised in the constitutions of many nations.

                              (b)

                              The duty to protect individuals from tobacco smoke corresponds to an obligation by governments to enact legislation to protect individuals against threats to their fundamental rights and freedoms. This obligation extends to all persons, and not merely to certain populations.

                              (c)

                              Several authoritative scientific bodies have determined that second-hand tobacco smoke is a carcinogen. Some Parties to the WHO Framework Convention (for example, Finland and Germany) have classified second-hand tobacco smoke as a carcinogen and included the prevention of exposure to it at work in their health and safety legislation. In addition to the requirements of Article 8, therefore, Parties may be obligated to address the hazard of exposure to tobacco smoke in accordance with their existing workplace laws or other laws governing exposure to harmful substances, including carcinogens.

         STATEMENT OF PRINCIPLES AND RELEVANT DEFINITIONS UNDERLYING PROTECTION FROM EXPOSURE TO TOBACCO SMOKE

         Principles

                  5.

                  As noted in Article 4 of the WHO Framework Convention, strong political commitment is necessary to take measures to protect all persons from exposure to tobacco smoke. The following agreed upon principles should guide the implementation of Article 8 of the Convention.

         Principle 1

                  6.

                  Effective measures to provide protection from exposure to tobacco smoke, as envisioned by Article 8 of the WHO Framework Convention, require the total elimination of smoking and tobacco smoke in a particular space or environment in order to create a 100 % smoke-free environment. There is no safe level of exposure to tobacco smoke, and notions such as a threshold value for toxicity from second-hand smoke should be rejected, as they are contradicted by scientific evidence. Approaches other than 100 % smoke-free environments, including ventilation, air filtration and the use of designated smoking areas (whether with separate ventilation systems or not), have repeatedly been shown to be ineffective and there is conclusive evidence, scientific and otherwise, that engineering approaches do not protect against exposure to tobacco smoke.

         Principle 2

                  7.

                  All people should be protected from exposure to tobacco smoke. All indoor workplaces and indoor public places should be smoke free.

         Principle 3

                  8.

                  Legislation is necessary to protect people from exposure to tobacco smoke. Voluntary smoke-free policies have repeatedly been shown to be ineffective and do not provide adequate protection. In order to be effective, legislation should be simple, clear and enforceable.

         Principle 4

                  9.

                  Good planning and adequate resources are essential for successful implementation and enforcement of smoke-free legislation.

         Principle 5

                  10.

                  Civil society has a central role in building support for and ensuring compliance with smoke-free measures, and should be included as an active partner in the process of developing, implementing and enforcing legislation.

         Principle 6

                  11.

                  The implementation of smoke-free legislation, its enforcement and its impact should all be monitored and evaluated. This should include monitoring and responding to tobacco industry activities that undermine the implementation and enforcement of the legislation, as specified in Article 20.4 of the WHO Framework Convention.

         Principle 7

                  12.

                  The protection of people from exposure to tobacco smoke should be strengthened and expanded, if necessary; such action may include new or amended legislation, improved enforcement and other measures to reflect new scientific evidence and case study experiences.

         Definitions

                  13.

                  In developing legislation, it is important to use care in defining key terms. Several recommendations as to appropriate definitions, based on experiences in many countries, are set out here. The definitions in this section supplement those already included in the WHO Framework Convention.

         ‘Second-hand tobacco smoke’ or ‘environmental tobacco smoke’

                  14.

                  Several alternative terms are commonly used to describe the type of smoke addressed by Article 8 of the WHO Framework Convention. These include ‘second-hand smoke’, ‘environmental tobacco smoke’, and ‘other people's smoke’. Terms such as ‘passive smoking’ and ‘involuntary exposure to tobacco smoke’ should be avoided, as experience in France and elsewhere suggests that the tobacco industry may use these terms to support a position that ‘voluntary’ exposure is acceptable. ‘Second-hand tobacco smoke’, sometimes abbreviated as ‘SHS’, and ‘environmental tobacco smoke’, sometimes abbreviated ‘ETS’, are the preferable terms; these guidelines use ‘second-hand tobacco smoke’.

                  15.

                  Second-hand tobacco smoke can be defined as ‘the smoke emitted from the burning end of a cigarette or from other tobacco products usually in combination with the smoke exhaled by the smoker’.

                  16.

                  ‘Smoke-free air’ is air that is 100 % smoke free. This definition includes, but is not limited to, air in which tobacco smoke cannot be seen, smelled, sensed or measured (1).

         ‘Smoking’

                  17.

                  This term should be defined to include being in possession or control of a lit tobacco product regardless of whether the smoke is being actively inhaled or exhaled.

         ‘Public places’

                  18.

                  While the precise definition of ‘public places’ will vary between jurisdictions, it is important that legislation define this term as broadly as possible. The definition used should cover all places accessible to the general public or places for collective use, regardless of ownership or right to access.

         ‘Indoor’ or ‘enclosed’

                  19.

                  Article 8 requires protection from tobacco smoke in ‘indoor’ workplaces and public places. Because there are potential pitfalls in defining ‘indoor’ areas, the experiences of various countries in defining this term should be specifically examined. The definition should be as inclusive and as clear as possible, and care should be taken in the definition to avoid creating lists that may be interpreted as excluding potentially relevant ‘indoor’ areas. It is recommended that ‘indoor’ (or enclosed) areas be defined to include any space covered by a roof or enclosed by one or more walls or sides, regardless of the type of material used for the roof, wall or sides, and regardless of whether the structure is permanent or temporary.

         ‘Workplace’

                  20.

                  A ‘workplace’ should be defined broadly as ‘any place used by people during their employment or work’. This should include not only work done for compensation, but also voluntary work, if it is of the type for which compensation is normally paid. In addition, ‘workplaces’ include not only those places at which work is performed, but also all attached or associated places commonly used by the workers in the course of their employment, including, for example, corridors, lifts, stairwells, lobbies, joint facilities, cafeterias, toilets, lounges, lunchrooms and also outbuildings such as sheds and huts. Vehicles used in the course of work are workplaces and should be specifically identified as such.

                  21.

                  Careful consideration should be given to workplaces that are also individuals' homes or dwelling places, for example, prisons, mental health institutions or nursing homes. These places also constitute workplaces for others, who should be protected from exposure to tobacco smoke.

         ‘Public transport’

                  22.

                  Public transport should be defined to include any vehicle used for the carriage of members of the public, usually for reward or commercial gain. This would include taxis.

         THE SCOPE OF EFFECTIVE LEGISLATION

                  23.

                  Article 8 requires the adoption of effective measures to protect people from exposure to tobacco smoke in (1) indoor workplaces, (2) indoor public places, (3) public transport, and (4) ‘as appropriate’ in ‘other public places’.

                  24.

                  This creates an obligation to provide universal protection by ensuring that all indoor public places, all indoor workplaces, all public transport and possibly other (outdoor or quasi-outdoor) public places are free from exposure to second-hand tobacco smoke. No exemptions are justified on the basis of health or law arguments. If exemptions must be considered on the basis of other arguments, these should be minimal. In addition, if a Party is unable to achieve universal coverage immediately, Article 8 creates a continuing obligation to move as quickly as possible to remove any exemptions and make the protection universal. Each Party should strive to provide universal protection within five years of the WHO Framework Convention's entry into force for that Party.

                  25.

                  No safe levels of exposure to second-hand smoke exist, and, as previously acknowledged by the Conference of the Parties in decision FCTC/COP1(15), engineering approaches, such as ventilation, air exchange and the use of designated smoking areas, do not protect against exposure to tobacco smoke.

                  26.

                  Protection should be provided in all indoor or enclosed workplaces, including motor vehicles used as places of work (for example, taxis, ambulances or delivery vehicles).

                  27.

                  The language of the treaty requires protective measures not only in all ‘indoor’ public places, but also in those ‘other’ (that is, outdoor or quasi-outdoor) public places where ‘appropriate’. In identifying those outdoor and quasi-outdoor public places where legislation is appropriate, Parties should consider the evidence as to the possible health hazards in various settings and should act to adopt the most effective protection against exposure wherever the evidence shows that a hazard exists.

         INFORM, CONSULT AND INVOLVE THE PUBLIC TO ENSURE SUPPORT AND SMOOTH IMPLEMENTATION

                  28.

                  Raising awareness among the public and opinion leaders about the risks of second-hand tobacco smoke exposure through ongoing information campaigns is an important role for government agencies, in partnership with civil society, to ensure that the public understands and supports legislative action. Key stakeholders include businesses, restaurant and hospitality associations, employer groups, trade unions, the media, health professionals, organisations representing children and young people, institutions of learning or faith, the research community and the general public. Awareness-raising efforts should include consultation with affected businesses and other organisations and institutions in the course of developing the legislation.

                  29.

                  Key messages should focus on the harm caused by second-hand tobacco smoke exposure, the fact that elimination of smoke indoors is the only science-based solution to ensure complete protection from exposure, the right of all workers to be equally protected by law and the fact that there is no trade-off between health and economics, because experience in an increasing number of jurisdictions shows that smoke-free environments benefit both. Public education campaigns should also target settings for which legislation may not be feasible or appropriate, such as private homes.

                  30.

                  Broad consultation with stakeholders is also essential to educate and mobilise the community and to facilitate support for legislation after its enactment. Once legislation is adopted, there should be an education campaign leading up to implementation of the law, the provision of information for business owners and building managers outlining the law and their responsibilities and the production of resources, such as signage. These measures will increase the likelihood of smooth implementation and high levels of voluntary compliance. Messages to empower non-smokers and to thank smokers for complying with the law will promote public involvement in enforcement and smooth implementation.

         ENFORCEMENT

         Duty of compliance

                  31.

                  Effective legislation should impose legal responsibilities for compliance on both affected business establishments and individual smokers, and should provide penalties for violations, which should apply to businesses and, possibly, smokers. Enforcement should ordinarily focus on business establishments. The legislation should place the responsibility for compliance on the owner, manager or other person in charge of the premises, and should clearly identify the actions he or she is required to take. These duties should include:

                              (a)

                              a duty to post clear signs at entrances and other appropriate locations indicating that smoking is not permitted. The format and content of these signs should be determined by health authorities or other agencies of the government and may identify a telephone number or other mechanisms for the public to report violations and the name of the person within the premises to whom complaints should be directed;

                              (b)

                              a duty to remove any ashtrays from the premises;

                              (c)

                              a duty to supervise the observance of rules;

                              (d)

                              a duty to take reasonable specified steps to discourage individuals from smoking on the premises. These steps could include asking the person not to smoke, discontinuing service, asking the person to leave the premises and contacting a law enforcement agency or other authority.

         Penalties

                  32.

                  The legislation should specify fines or other monetary penalties for violations. While the size of these penalties will necessarily reflect the specific practices and customs of each country, several principles should guide the decision. Most importantly, penalties should be sufficiently large to deter violations or else they may be ignored by violators or treated as mere costs of doing business. Larger penalties are required to deter business violators than to deter violations by individual smokers, who usually have fewer resources. Penalties should increase for repeated violations and should be consistent with a country's treatment of other, equally serious offences.

                  33.

                  In addition to monetary penalties, the legislation may also allow for administrative sanctions, such as the suspension of business licences, consistent with the country's practice and legal system. These ‘sanctions of last resort’ are rarely used, but are very important for enforcing the law against any businesses that choose to defy the law repeatedly.

                  34.

                  Criminal penalties for violations may be considered for inclusion, if appropriate within a country's legal and cultural context.

         Enforcement infrastructure

                  35.

                  Legislation should identify the authority or authorities responsible for enforcement, and should include a system both for monitoring compliance and for prosecuting violators.

                  36.

                  Monitoring should include a process for inspection of businesses for compliance. It is seldom necessary to create a new inspection system for enforcement of smoke-free legislation. Instead, compliance can ordinarily be monitored using one or more of the mechanisms already in place for inspecting business premises and workplaces. A variety of options usually exists for this purpose. In many countries, compliance inspections may be integrated into business licensing inspections, health and sanitation inspections, inspections for workplace health and safety, fire safety inspections or similar programmes. It may be valuable to use several such sources of information gathering simultaneously.

                  37.

                  Where possible, the use of inspectors or enforcement agents at the local level is recommended; this is likely to increase the enforcement resources available and the level of compliance. This approach requires the establishment of a national coordinating mechanism to ensure a consistent approach nationwide.

                  38.

                  Regardless of the mechanism used, monitoring should be based on an overall enforcement plan, and should include a process for effective training of inspectors. Effective monitoring may combine regular inspections with unscheduled, surprise inspections, as well as visits made in response to complaints. Such visits may well be educative in the early period after the law takes effect, as most breaches are likely to be inadvertent. The legislation should authorise inspectors to enter premises subject to the law and to collect samples and gather evidence, if these powers are not already established by existing law. Similarly, the legislation should prohibit businesses from obstructing the inspectors in their work.

                  39.

                  The cost of effective monitoring is not excessive. It is not necessary to hire large numbers of inspectors, because inspections can be accomplished using existing programmes and personnel, and because experience shows that smoke-free legislation quickly becomes self-enforcing (that is, predominantly enforced by the public). Only a few prosecutions may be necessary if the legislation is implemented carefully and active efforts are made to educate businesses and the public.

                  40.

                  Although these programmes are not expensive, resources are needed to educate businesses, train inspectors, coordinate the inspection process and compensate personnel for inspections of businesses outside of normal working hours. A funding mechanism should be identified for this purpose. Effective monitoring programmes have used a variety of funding sources, including dedicated tax revenues, business licensing fees and dedicated revenues from fines paid by violators.

         Enforcement strategies

                  41.

                  Strategic approaches to enforcement can maximise compliance, simplify the implementation of legislation and reduce the level of enforcement resources needed.

                  42.

                  In particular, enforcement activities in the period immediately following the law's entrance into force are critical to the law's success and to the success of future monitoring and enforcement. Many jurisdictions recommend an initial period of soft enforcement, during which violators are cautioned but not penalised. This approach should be combined with an active campaign to educate business owners about their responsibilities under the law, and businesses should understand that the initial grace period or phase-in period will be followed by more rigorous enforcement.

                  43.

                  When active enforcement begins, many jurisdictions recommend the use of high-profile prosecutions to enhance deterrence. By identifying prominent violators who have actively defied the law or who are well known in the community, by taking firm and swift action and by seeking maximum public awareness of these activities, authorities are able to demonstrate their resolve and the seriousness of the law. This increases voluntary compliance and reduces the resources needed for future monitoring and enforcement.

                  44.

                  While smoke-free laws quickly become self-enforcing, it is nevertheless essential that authorities be prepared to respond swiftly and decisively to any isolated instances of outright defiance. Particularly when a law first comes into force, there may be an occasional violator who makes a public display of contempt for the law. Strong responses in these cases set an expectation of compliance that will ease future efforts, while indecisiveness can rapidly lead to widespread violations.

         Mobilise and involve the community

                  45.

                  The effectiveness of a monitoring-and-enforcement programme is enhanced by involving the community in the programme. Engaging the support of the community and encouraging members of the community to monitor compliance and report violations greatly extends the reach of enforcement agencies and reduces the resources needed to achieve compliance. In fact, in many jurisdictions, community complaints are the primary means of ensuring compliance. For this reason, smoke-free legislation should specify that members of the public may initiate complaints and should authorise any person or non-governmental organisation to initiate action to compel compliance with measures regulating exposure to second-hand smoke. The enforcement programme should include a toll-free telephone complaint hotline or a similar system to encourage the public to report violations.

         MONITORING AND EVALUATION OF MEASURES

                  46.

                  Monitoring and evaluation of measures to reduce exposure to tobacco smoke are important for several reasons, for example:

                              (a)

                              to increase political and public support for strengthening and extending legislative provisions;

                              (b)

                              to document successes that will inform and assist the efforts of other countries;

                              (c)

                              to identify and publicise the efforts made by the tobacco industry to undermine the implementation measures.

                  47.

                  The extent and complexity of monitoring and evaluation will vary among jurisdictions, depending on available expertise and resources. However, it is important to evaluate the outcome of the measures implemented, in particular, on the key indicator of exposure to second-hand smoke in workplaces and public places. There may be cost-effective ways to achieve this, for example through the use of data or information collected through routine activities such as workplace inspections.

                  48.

                  There are eight key process and outcome indicators that should be considered: (2)

         Processes

                  (a)

                  Knowledge, attitudes and support for smoke-free policies among the general population and possibly specific groups, for example, bar workers;

                  (b)

                  enforcement of and compliance with smoke-free policies;

         Outcomes

                  (a)

                  reduction in exposure of employees to second-hand tobacco smoke in workplaces and public places;

                  (b)

                  reduction in content of second-hand tobacco smoke in the air in workplaces (particularly in restaurants) and public places;

                  (c)

                  reduction in mortality and morbidity from exposure to second-hand tobacco smoke;

                  (d)

                  reduction in exposure to second-hand tobacco smoke in private homes;

                  (e)

                  changes in smoking prevalence and smoking-related behaviours;

                  (f)

                  economic impacts.

         (1)  It is possible that constituent elements of tobacco smoke may exist in air in amounts too small to be measured. Attention should be given to the possibility that the tobacco industry or the hospitality sector may attempt to exploit the limitations of this definition.

         (2)  The publication ‘WHO policy recommendations: protection from exposure to second-hand tobacco smoke’ (Geneva, World Health Organisation, 2007) provides references and links to monitoring studies conducted elsewhere on all of these indicators.


   EN
EN    EN
 ---pagebreak---                      EUROPEAN COMMISSION
                                                     Brussels, 11.8.2010
                                                     SEC(2010) 972 final
          RECOMMENDATION FROM THE COMMISSION TO THE COUNCIL
       authorising the Commission to open negotiations with Turkmenistan to adapt the
      Partnership and Cooperation Agreement between the European Communities and its
   Member States, of the one part, and Turkmenistan, of the other part, to take into account
   of the accession of the Czech Republic, the Republic of Cyprus, the Republic of Estonia,
        the Republic of Hungary, the Republic of Latvia, the Republic of Lithuania, the
        Republic of Malta, the Republic of Poland, the Slovak Republic, the Republic of
                                Slovenia to the European Union
EN                                                                                EN
 ---pagebreak---           RECOMMENDATION FROM THE COMMISSION TO THE COUNCIL
       authorising the Commission to open negotiations with Turkmenistan to adapt the
      Partnership and Cooperation Agreement between the European Communities and its
   Member States, of the one part, and Turkmenistan, of the other part, to take into account
   of the accession of the Czech Republic, the Republic of Cyprus, the Republic of Estonia,
        the Republic of Hungary, the Republic of Latvia, the Republic of Lithuania, the
        Republic of Malta, the Republic of Poland, the Slovak Republic, the Republic of
                                  Slovenia to the European Union
   A.       EXPLANATORY MEMORANDUM
   1.       The Partnership and Cooperation Agreement (PCA) between the European
            Communities and its Member States, of the one part, and Turkmenistan, of the other
            part, signed in Brussels, on 25 May 1998, has not yet entered into force.
   2.       As it was signed before the enlargement of the European Union to include on 1 May
            2004 the Czech Republic, the Republic of Cyprus, the Republic of Estonia, the
            Republic of Hungary, the Republic of Latvia, the Republic of Lithuania, the Republic
            of Malta, the Republic of Poland, the Slovak Republic, the Republic of Slovenia and
            on 1 January 2007 the Republic of Bulgaria and Romania, a Protocol to the PCA
            needs to be drawn up to allow the 12 new Member States to accede to the Agreement
            when it will enter into force.
   3.       Under Article 6 of the Act concerning the conditions of accession of the Czech
            Republic, the Republic of Cyprus, the Republic of Estonia, the Republic of Hungary,
            the Republic of Latvia, the Republic of Lithuania, the Republic of Malta, the
            Republic of Poland, the Slovak Republic, the Republic of Slovenia to the European
            Union and the adjustment to the Treaties on which the European Union is founded
            (OJ:L:2003:236; hereinafter the 'Act of Accession'), the accession of the above-
            mentioned 10 new Member States to the PCA with Turkmenistan is to be agreed by
            the conclusion of a protocol to this Agreement. Article 6(2) of the Act of Accession
            provides for a simplified procedure, as this Protocol is to be concluded by the
            Council of the European Union, acting unanimously on behalf of the Member States,
            and the third country concerned.
   4.       As authorised by the Council on 23 October 2006, the Commission has negotiated,
            on behalf of the Community and its Member States, with Turkmenistan with a view
            to concluding a Protocol to the PCA to take into account the accession of the
            Republic of Bulgaria and Romania to the EU, which has not, however, yet been
            concluded.
   5        The Commission will negotiate a Protocol for accession, duly talking into account
            the Protocol for accession of the Republic of Bulgaria and Romania already
            negotiated, on behalf of the European Union on the basis of negotiating directives
            approved by the Council, acting by unanimity, and in consultation with a committee
            of the representatives of the Member States. It will submit a draft of the joint
            Protocol for conclusion to the Council.
EN                                                2                                              EN
 ---pagebreak---    6.       As regards the timetable, these negotiations should be concluded rapidly in order to
            allow for the Protocol adjusting the PCA to enter into force as soon as possible,
            before the completion of the ratification of the PCA.
   B.       RECOMMENDATION
   The Commission therefore recommends that the Council:
   – authorise the Commission to negotiate, on behalf of the European Union, with
      Turkmenistan, a protocol adapting the Partnership and Cooperation Agreement between
      the European Communities and its Member States, of the one part, and Turkmenistan, of
      the other part, signed in Brussels, on 25 May 1998, to take into account the accession of
      the Czech Republic, the Republic of Cyprus, the Republic of Estonia, the Republic of
      Hungary, the Republic of Latvia, the Republic of Lithuania, the Republic of Malta, the
      Republic of Poland, the Slovak Republic, the Republic of Slovenia to the European Union,
      on the basis of the annexed negotiating directives, taking due account of the Protocol for
      accession of the Republic of Bulgaria and Romania already negotiated;
   – appoint COEST as special committee, composed of the representatives of the Member
      States, to assist the Commission in its task; and
   – adopt the annexed negotiating directives.
EN                                                  3                                            EN
 ---pagebreak---                                                ANNEX
   Negotiating directives for the adaptation of the Partnership and Cooperation Agreement
        between the European Communities and its Member States, of the one part, and
        Turkmenistan, of the other part, to take into account the accession of the Czech
   Republic, the Republic of Cyprus, the Republic of Estonia, the Republic of Hungary, the
      Republic of Latvia, the Republic of Lithuania, the Republic of Malta, the Republic of
         Poland, the Slovak Republic, the Republic of Slovenia to the European Union
   1.       GENERAL OBJECTIVE
            Adaptation of the Partnership and Cooperation Agreement (PCA) with Turkmenistan
            to allow for the accession of the new Member States, which joined the EU on 1 May
            2004, to this Agreement.
   2.       CONTENT OF THE PROTOCOL
            The new Member States of the European Union, which joined on 1 May 2004, will
            accede to the PCA with Turkmenistan. The Protocol will provide for the necessary
            technical adaptation of the Agreement that will ensue from the accession of ten new
            contracting parties duly taking into account the Protocol for accession of the
            Republic of Bulgaria and Romania already negotiated.
   3.       TIMETABLE
            Negotiations should be concluded rapidly, allowing for adoption of the joint Protocol
            before the completion of ratification of the PCA with Turkmenistan.
EN                                                 4                                              EN


				|

		52014DC0404

			Recommendation for a COUNCIL RECOMMENDATION on the Czech Republic’s 2014 national reform programme and delivering a Council opinion on the Czech Republic’s 2014 convergence programme /* COM/2014/0404 final  - 2014/ () */

Recommendation for a
COUNCIL RECOMMENDATION
on the Czech Republic’s 2014 national
reform programme
and delivering a Council opinion on the Czech Republic’s 2014 convergence
programme
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[2],
Having regard to the resolutions of the
European Parliament[3],
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 26 March 2010, the European Council agreed to
the Commission’s proposal to launch a new strategy for growth and jobs, Europe
2020, based on enhanced coordination of economic policies, which will focus on
the key areas where action is needed to boost Europe’s potential for
sustainable growth and competitiveness.
(2)
On 13 July 2010, the Council, on the basis of
the Commission's proposals, adopted a recommendation on the broad guidelines
for the economic policies of the Member States and the Union (2010 to 2014)
and, on 21 October 2010, adopted a decision on guidelines for the employment
policies of the Member States, which together form the ‘integrated guidelines’.
Member States were invited to take the integrated guidelines into account in
their national economic and employment policies.
(3)
On 29 June 2012, the Heads of State or
Government decided on a Compact for Growth and Jobs, providing a coherent
framework for action at national, EU and euro area levels using all possible
levers, instruments and policies. They decided on action to be taken at the
level of the Member States, in particular expressing full commitment to achieving
the objectives of the Europe 2020 Strategy and to implementing the
country-specific recommendations.
(4)
On 9 July 2013, the Council adopted a
recommendation on the Czech Republic’s 2013 national reform programme and
delivered its opinion on the Czech Republic’s updated convergence programme for
2012-2016.
(5)
On 13 November 2013, the Commission adopted the
Annual Growth Survey[4],
marking the start of the 2014 European Semester of economic policy
coordination. On the same day on the basis of Regulation (EU) No 1176/2011, the
Commission adopted the Alert Mechanism Report[5],
in which it did not identify the Czech Republic as one of the Member States for
which an in-depth review would be carried out.
(6)
On 20 December 2013, the European Council
endorsed the priorities for ensuring financial stability, fiscal consolidation
and action to foster growth. It underscored the need to pursue differentiated,
growth-friendly fiscal consolidation, to restore normal lending conditions to
the economy, to promote growth and competitiveness, to tackle unemployment and
the social consequences of the crisis, and to modernise public administration.
(7)
On 16 April 2014, the Czech Republic submitted
its 2014 national reform programme and on 28 April 2014 its 2014 convergence
programme. In order to take account of their interlinkages, the two programmes
have been assessed at the same time.
(8)
The objective of the budgetary strategy outlined
in the 2014 Convergence Programme is to keep the general government deficit
below the 3% of GDP Treaty reference value over the programme period. The
programme mentions the medium-term objective of -1% of GDP, which reflects the
requirements of the Stability and Growth Pact. While the budgetary strategy is
in line with the Stability and Growth Pact in2014, the required adjustment in
structural terms is not expected to be met in 2015 as the recalculated
structural balance is projected to deteriorate by 0.6 pp. In addition,
government expenditure is expected to grow at a pace not consistent with the
expenditure benchmark. The recalculated structural balance is foreseen to
deviate from the required adjustment path also in 2016 and 2017 with the recalculated
structural balance projected at -1.6% and -1.9% of GDP respectively. Overall, a
risk of deviation from the adjustment path towards the medium-term objective is
to be expected as of 2015. According to the programme, the debt ratio, which is
below the 60% of GDP reference value, is projected to fall temporarily by 1.1
pp to 45% of GDP in 2014 and to increase to 46% of GDP in 2015. The
macroeconomic scenario underpinning the budgetary projections in the programme
is plausible. The Czech economy is expected to grow by 1.7% in 2014 and 2% in
2015 according to the programme compared to 2% and 2.4% envisaged by the
Commission 2014 spring forecast. The main risks to the budgetary outlook stem
from high uncertainty about the future development of public investment and
from a potential one-off expenditure related to the planned lease contract for
fighter jets with an expected deficit-increasing impact of 0.5% of GDP in 2015.
According to the Commission forecast there is a risk of significant deviation
from the medium-term objective in 2015. The difference with the programme
scenario lies in different assumptions on policies and discretionary measures
in 2015. Based on its assessment of the programme and the Commission forecast,
pursuant to Council Regulation (EC) No 1466/97, the Council is of the opinion
that the deficit has been sustainably brought below 3% of GDP in 2013, in line
with the Council recommendation, and that while the medium-term objective is
expected to be reached in 2014, there is a risk of significant deviation from
it as of 2015.
(9)
The Czech Republic has emerged from a two-year
long recession and is now faced with the challenge of achieving sustained
high-growth, in a context of rapid population ageing. Public investment has
been on a steep declining path in recent years and investment in infrastructure
has particularly suffered. The growth model of the Czech economy before the
crisis relied on large inflows of foreign capital and a strong export
orientation. As room for catching-up based on the accumulation of production
factors (including foreign capital) appears limited, redirecting the economy
towards domestic drivers of growth would open up new avenues to productivity
gains. Essential elements of this process include supporting education, training
and innovation and strengthening institutions.
(10)
The government has recently approved the Treaty on Stability, Coordination and Governance, although its ratification by Parliament is still pending. Work on a comprehensive reform of the fiscal
framework began in 2011 but its adoption and implementation is still uncertain.
The adoption of the relevant legislation ensuring compliance with Council
Directive 2011/85/EU on budgetary frameworks has also been delayed..
(11)
In the field of taxation, the key challenges for
the Czech Republic are to make revenue collection more efficient and achieve a
more growth-friendly tax structure. The Czech Republic took some
measures to improve tax compliance, in particular in the area of indirect
taxation, but the overall cost of compliance is still too high. In this
context, the tax bases (income taxes, health and security contributions) have
not yet been harmonised and the establishment of a single
collection point foreseen in 2015 was cancelled. The Czech government however
announced its intention to address the issue of the harmonisation of the tax
bases. The 2013 recommendations regarding the taxation structure have not been
followed up. Labour taxation remains high, especially for low-income earners,
including part-time workers, notably due to the elevated social security
contributions. Some potential exists for a shift away from labour taxation to
other areas, such as environmental and recurrent housing taxes, which are both
relatively low. Significant discrepancies remain in the
tax and social contributions treatment of employees and the self-employed,
which lead to the narrowing of the tax base and create incentives for bogus
self-employment with unfair consequences for those employed under a regular
employment contract.
(12)
The Czech Republic faces medium sustainability
risks in the long term largely due to projected increases in pensions and
healthcare expenditure. According to the current legislation, the statutory
retirement age is planned to increase over the long-run but too slowly in the
medium term. The government plans to introduce a revision mechanism aligning
the retirement age to changes in life expectancy but this is only a partial
response to the sustainability gap challenge. Furthermore, the temporarily lower
indexation of pensions will be terminated in 2015, a year earlier than planned,
and the standard pension indexation mechanism (prices plus a third of the rise
in real wages) has not been reviewed. Limited progress has been made in
promoting the employability of older workers. No progress has been made in
improving the cost-effectiveness of public spending on healthcare. The in-patient
sector shows excess capacity pointing to room for possible improvements in
cost-effectiveness and governance.
(13)
Some initial steps have been made to improve the
capacity and quality of the public employment service. These go in the right
direction but their impact needs to be evaluated. Active labour market policies
remain underfunded and do not effectively target women with young children, young
people and older workers. Despite the relatively high overall employment rate,
these groups remain under-represented in the labour market.  A limited access
to affordable childcare facilities and services and a comparatively low take-up
of part-time work hampers women's participation in the labour market. The
gender pay gap in 2012 was still one of the largest in
the EU.
(14)
The quality and labour market relevance of the
Czech education system are a cause for concern. Some measures were taken to
improve the evaluation framework in the compulsory education, but the follow up
with schools and pupils with weaker outcomes remains a challenge. The
attractiveness of the teaching professions is also an issue, which the
government intends to address. The low participation of Roma children in
mainstream inclusive early childhood education and in primary education remains
a challenge for their integration. The higher education reform has been delayed
and no progress has been made on enhancing accreditation and funding in higher
education. Only minor changes were introduced as regards the funding of
research institutions. It remains crucial to create the right incentives for
public researchers to strive for excellence, address societal challenges, and
cooperate with the business sector.
(15)
The process of
de-regulating the high number of regulated professions has started, but at a
slow pace not producing rapid benefits from increased competition
in the service sector. The Czech Republic has taken
some initial measures to increase energy efficiency, especially through public
funding incentives in support of the buildings sector. The potential for energy
savings remains substantial and more ambitious measures would also contribute
to reducing energy dependency.
(16)
The quality and efficiency of public
administration continue to represent a challenge with negative economic
repercussions. The long-awaited Civil Service Act has not been adopted yet; its
adoption is a key priority for the government. Progress in the fight against
corruption has been limited; major pieces of legislation from the 2013-14
anti-corruption strategy have not been adopted. A clear longer-term vision on
how to address in a durable way this issue of great importance for economic and
societal development has not yet been formulated. The implementation of public
tenders at local and regional level is marked by unnecessary delays. The new
public procurement rules step backward by removing some of the transparency
safeguards. Limited progress has been made on improving the implementation of
EU funds. Further effort is needed as shown by the high error rates reported by
the audit authority for several programmes at the end of 2013.
(17)
In the context of the European Semester, the
Commission has carried out a comprehensive analysis of the Czech Republic’s
economic policy. It has assessed the convergence programme and the national
reform programme. It has taken into account not only their relevance for
sustainable fiscal and socio-economic policy in the Czech Republic but also
their compliance with EU rules and guidance, given the need to reinforce the
overall economic governance of the European Union by providing EU-level input
into future national decisions. Its recommendations under the
European Semester are reflected in recommendations (1) to (7) below.
(18)
In the light of this assessment, the Council has
examined the Czech Republic’s convergence programme, and its opinion[6] is reflected in
particular in recommendation (1) below.
HEREBY RECOMMENDS that the Czech Republic
take action within the period 2014-2015 to:
1.
Following the correction of the excessive
deficit, preserve a sound fiscal position in 2014. Significantly strengthen the
budgetary strategy in 2015 to ensure that the medium-term objective is achieved
and remain at the medium-term objective thereafter. Prioritise growth-enhancing
expenditure to support the recovery and improve growth prospects. Adopt and
implement measures to strengthen the fiscal framework, and in particular
establish an independent fiscal institution to monitor fiscal policies,
introduce fiscal rules for local and regional governments and improve
co-ordination between all layers of government.
2.
Improve tax compliance with particular focus on
VAT and reduce the costs of collecting and paying taxes by simplifying the tax
system and harmonising the tax bases for personal income tax and social and
health contributions. Reduce the high level of taxation on labour, particularly
for low-income earners. Shift taxation to areas less detrimental to growth,
such as recurrent taxes on housing and environmental taxes. Further reduce
discrepancies in the tax treatment of employees and the self-employed.
3.
Ensure the long-term sustainability of the
public pension scheme, in particular by accelerating the increase of the
statutory retirement age and by linking it more clearly to changes in life
expectancy. Promote the employability of older workers and review the pension indexation
mechanism. Take measures to improve significantly the cost-effectiveness and governance
of the healthcare sector, in particular for hospital care.
4.
Strengthen the efficiency
and effectiveness of the public employment service, in particular by setting up a performance measurement system. Reach out to
non-registered youth and provide individualised services. Increase considerably the availability of affordable and
quality childcare facilities and services, with a focus on children up to three
years old.
5.
Ensure that the accreditation, governance and
financing of higher education contribute to improving its quality and labour
market relevance. Accelerate the development and introduction of a new
methodology for evaluating research and allocating funding in view of
increasing the share of performance-based funding of research institutions. In
compulsory education, make the teaching profession more attractive, implement a
comprehensive evaluation framework and support schools and pupils with poor
outcomes. Increase the inclusiveness of education, notably by promoting the
participation of socially disadvantaged and Roma children in particular in
early childhood education.
6.
Accelerate the reform of regulated professions,
focusing on the removal of unjustified and disproportionate requirements. Step
up the efforts to improve energy efficiency in the economy.
7.
In 2014 adopt and implement a Civil Service Act
that will ensure a stable, efficient and professional state administration
service. Speed up and substantially reinforce the fight against corruption by
implementing the remaining legislative measures provided for in the anti-corruption
strategy for 2013-2014 and by developing plans for the next period. Further
improve the management of EU funds by simplifying implementing structures,
improving capacity and tackling conflicts of interest. Increase
transparency of public procurement and improve the implementation of public
tenders by providing appropriate guidance and supervision.
Done at Brussels,
                                                                       For
the Council
                                                                       The
President
[1]               OJ L 209, 2.8.1997, p. 1.
[2]               COM(2014) 404 final.
[3]               P7_TA(2014)0128 and
P7_TA(2014)0129.
[4]               COM(2013) 800 final.
[5]               COM(2013) 790 final.
[6]               Under Article 9(2) of Council Regulation (EC) No
1466/97.


Avis juridique important

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31987H0598

87/598/EEC: Commission Recommendation of 8 December 1987 on a European Code of Conduct relating to electronic payment (Relations between financial institutions, traders and service establishments, and consumers)

Official Journal L 365 , 24/12/1987 P. 0072 - 0076

*****COMMISSION  RECOMMENDATION  of 8 December 1987  on a European Code of Conduct relating to electronic payment  (Relations between financial institutions, traders and service establishments, and consumers)  (87/598/EEC)  THE COMMISSION OF THE EUROPEAN COMMUNITIES,  Having regard to the Treaty establishing the European Economic Community, and in particular the second indent of Article 155 thereof,  Whereas in the White Paper on completing the internal market the Commission undertook to formulate proposals with a view to adapting innovations and laws relating to new means of payment to the dimensions of that market;  Whereas on 12 January 1987 the Commission sent to the Council the communication 'Europe could play an ace: the new payment cards' (1),  Whereas, since there is a close link between technological development and the unification of the internal market, electronic payment should contribute to the rapid modernization of banking services, distribution and the telecommunications and information industries;  Whereas consumers are entitled to except definite advantages from such a development;  Whereas Community action should add to this the benefit of a large market;  Whereas the development of new means of payment is to be seen in the context of the Community's financial and monetary integration and the extension of a people's Europe;  Whereas the free movement of goods and capital will be fully effective only if it enjoys the technological support provided by the new means of payment;  Whereas such means should be made available to economic partners in comparable circumstances in all Member States, although the Commission is aware that the development of payment cards (that is, payment cards incorporating a magnetic strip and/or a microcircuit) can vary in importance, depending on the Member State concerned, and that alternative forms of payment do exist;  Whereas it is necessary to cooperate in order to arrive at standards and implementing rules which will make it possible, in the interests of users in the Community, for payment systems to be compatible and complementary;  Whereas certain general principles should be established concerning fair practice in relations between financial institutions (i.e. banks and credit institutions), traders and service establishments, and card-holding consumers;  Whereas establishment of such principles will favour rapid and effective application of the new technology;  Whereas the heterogeneous, uncoordinated development of such technology should not diminish the opportunity which the technology itself affords of achieving the desired objective of compatible electronic payment systems within the Community;  Whereas compatible cards and interconnected Community networks are essential prerequisites for mutually accessible systems and harmonized rules of use;  Whereas, although it is for the banks and the other financial institutions concerned to decide to make systems compatible, the Commission is responsible for seeing that progress in this direction does not conflict with free competition within the Community market;  Whereas it is clear that to try now, at Community level, to produce a rigid, detailed definition of the operation of systems in the midst of change might result in the establishment of rules that would be rapidly overtaken by developments, even constituting obstacles to electronic development; whereas this in no way prejudices the benefits of laying down the basic principles of consumer protection in this area;  Whereas, nevertheless, it is appropriate that the Commission should see, at the present stage, that all changes in this sphere take place in accordance with the Treaty's rules and that it should seek, in the Community's interest, to establish and promote consensus as regards development of such systems;  Whereas the fact that this new technology is not being developed on a large scale in any of the Member States makes it impossible as yet to determine with any accuracy all the specific problems that are likely to arise in particular as networks are completed and arrangements for the use of the new means of payment are finalized;  Whereas, for these reasons, an instigative approach such as a code of conduct must be flexible so as to make it easier to adapt to changes in the new technology,  HEREBY RECOMMENDS  that all the economic partners concerned should comply with the provisions of the European Code of Conduct relating to electronic payment, as set out in the following.  (1) COM(86) 754 final.  EUROPEAN CODE OF CONDUCT RELATING TO ELECTRONIC PAYMENT  I. OBJECTIVE  1. The Code sets out the conditions which should be fulfilled if the new, electronic means of payment are to be developed for the benefit of all economic partners and are to afford:  - for consumers, security and convenience,  - for traders and issuers, greater security and productivity,  - for industry in the Community, a leading market.  2. The principles of fair practice must be observed by all those who bring card payment systems into operation or make use of them.  3. The technological development of electronic means of payment should have an eye to their European dimension: such means must be as widely interoperable as possible, to avoid having isolated systems and, hence, a partitioned market.  II. DEFINITIONS  For the purposes of this Code:  1. 'Electronic payment' means any payment transaction carried out by means of a card incorporating a magnetic strip or microcircuit used at an electronic payment terminal (EPT) or point-of-sale (POS) terminal.  The Code does not cover:  - 'company-specific' cards not covered by the above definition,  - cards serving purposes other than direct or deferred payment,  - payments by cheque with bank-card guarantee,  - payments by card using mechanical processes (invoice slips).  2. 'Issuer' means any banking or credit institution issuing a payment card for electronic use, plus any production or service undertaking which can also issue such a card.  3. 'Trader' means distributive trading or service establishment.  4. 'Consumer' means cardholder.  5. 'Interoperability' means a state of affairs whereby cards issued in one Member State and/or belonging to a given card system can be used in other Member States and/or in the networks installed by other systems. This requires that the cards and readers used in the various systems must be technologically compatible and that systems must be opened up by means of reciprocity agreements.  III. GENERAL PRINCIPLES  1. Contracts  (a) Contracts concluded by issuers, or their agents, with traders and consumers shall be in writing and must be the result of a prior application. They shall set out in detail the general and specific conditions of the agreement.  (b) They shall be drawn up in the official language(s) of the Member State in which the contract is concluded.  (c) Any scale of charges must be determined in a transparent manner, taking account of actual costs and risks and without involving any restriction of competition.  (d) All conditions, provided they are in conformity with the law, shall be freely negotiable and clearly stipulated in the contract.  (e) Conditions specific to termination of a contract must be stated and brought to the notice of the parties prior to such contract being concluded. 2. Interoperability  By a given date (1), interoperability, in the Comunity at any rate, should be full and complete, so that traders and consumers can join the network(s) or contract with the issuer(s) of their choice, with each terminal being able to process all cards.  3. Equipment  (a) Electronic payment terminals are required to register, control and transmit payments and may be integrated into a point-of-sale terminal.  (b) Traders must be able, if they wish, to install a single, multi-card-terminal.  (c) Traders must be free to choose which point-of-sale terminal they will install. They must be at liberty either to rent or purchase such equipment, provided only that it is certified as satisfying the requirements of the whole payment system and can be used on an interoperable basis.  4. Data protection and security  (a) Electronic payments are irreversible. An order given by means of a payment card shall be irrevocable and may not be countermanded.  (b) The information transmitted, at the time of payment, to the trader's bank and subsequently to the issuer must not in any circumstances prejudice the protection of privacy. It shall be strictly limited to that normally laid down for cheques and transfers.  (c) Any problems whatsoever that arise in connection with the protection of information or with security must be openly acknowledged and cleared up at whatever stage in the contract between the parties.  (d) Contracts must not restrict trader's freedom of operation or freedom to compete.  5. Fair access to the system  (a) Irrespective of their economic size, all service establishments concerned must be allowed fair access to the system of electronic payment. A trader may be refused access for a legitimate reason only.  (b) There must be no unwarranted difference in the remuneration for services concerning transactions within one Member State and the remuneration for the same services concerning transnational transactions with other Community countries, especially in border regions.  IV. SUPPLEMENTARY PROVISIONS  1. Relations between issuers and traders  (a) To promote mutual access among different card systems, contracts between card issuers and traders must contain no exclusive trading clause requiring the trader to operate only the system with which he has contracted an agreement.  (b) Contracts with traders must admit effective competition between the various issuers. Compulsory provisions must be limited strictly to technical requirements for ensuring that the system functions properly.  2. Relations between issuers and consumers  Cardholders shall take all reasonable precautions to ensure the safety of the card issued and shall observe the special conditions (loss or theft) in the contract which they have signed.  3. Relations between traders and consumers  Traders shall display, in a fully visible manner, the signs of the companies to which they are affiliated; they shall be obliged to accept such cards.  Done at Brussels, 8 December 1987.  For the Commission  COCKFIELD  Vice-President  (1) 31 December 1992, i.e. the date by which the internal market must be complete.