Select Committee on European Scrutiny Twenty-Fifth Report


9 European Foundation for the Improvement of Living and Working Conditions

(25610)

9031/04

COM(04) 57

Draft Council Regulation amending Regulation (EEC) No. 1365/75 on the creation of the European Foundation for the Improvement of Living and Working Conditions

Legal baseArticle 308 EC; consultation; unanimity
DepartmentWork and Pensions
Basis of considerationMinister's letter of 23 June 2004
Previous Committee ReportHC 43-xxii (2003-04), para 10 (9 June 2004)
To be discussed in CouncilNo date set
Committee's assessmentLegally important
Committee's decisionCleared

Background

9.1 The European Foundation for the Improvement of Living and Working Conditions was set up in 1975. It provides research-based information on living and working conditions and on industrial relations.

9.2 On 9 June, we considered a draft Regulation to reform the management of the Foundation. We concluded that the proposed changes to the management arrangements seem sensible. But we were concerned that Article 308 of the EC Treaty was cited as the legal base for the proposal. (The Article empowers the Council to take measures for which there is no other legal base in the Treaty and which are necessary to attain, in the course of the operation of the common market, one of the objectives of the Community). We accepted that Article 136 EC did not appear to provide the necessary power. But it appeared to us that Article 137(2)(a) might. The activities of the Foundation — including measures to make the performance of those activities more effective — seemed to us to come within the ambit of the Article.

9.3 Accordingly, we asked the Government for its views on the availability of an alternative to Article 308 as the legal base for the proposal.

The Minister's letter

9.4 The Parliamentary Under-Secretary of State at the Department of Work and Pensions (Mr Chris Pond) writes to tell us that:

"The opening words of [Article] 137(1) do refer to 'achieving the objectives in [Article] 136'[;] however, they go on to say that 'the Community shall support and complement the activities of Member States in the following fields' and then lists them. Article 137(2) then provides for Council to adopt measures to achieve those objectives listed.

"It is considered that the exercise of power under this Article is limited to the fields listed. However, we do not consider that these provide for the range of work of the Foundation. For example, working conditions, generally, are covered as is social exclusion but the Foundation's work in respect of living conditions is much broader and is not covered.

"I share the Committee's general concern regarding the inappropriate use of Article 308. However, in this circumstance, I consider that Article 137 EC vires is deficient and consequently Article 308 EC is the appropriate legal base for this regulation."

Conclusion

9.5 We are grateful to the Minister for his helpful explanation. We consider it arguable whether Article 137(2) is or is not available in this case. We accept, however, that the Minister's view is tenable and that he has considered the point carefully.

9.6 We have decided, therefore, not to pursue the point and we are now content to clear the document from scrutiny.





 
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