Time series of Staff PPPs

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1 Luxembourg, 28 August 2013 Unit C3 A64/13/12 Meeting of the Working Group on Article 64 of the Staff Regulations Luxembourg, 27 th September 2013 Bech Building Room "Ampère" 9.30 a.m. Time series of Staff PPPs Cumulative analysis of PPP, ER and CC. Supporting document for Agenda item 7(a) -1-

2 CONTENTS 1. Introduction Intra-EU CC publication history Time series of Intra-EU staff CC Decomposition of movement in Intra-EU staff CC... 8 Year-on-year movement July Year-on-year movement July and July Year-on-year movement July and July Year-on-year movement July and July Year-on-year movement July and July INTRODUCTION The Eurostat Annual Report for 2011 * contained a table with the correction coefficients applicable to staff salaries in duty stations outside Brussels as at July 2011, and another table showing the change in the economic parities for the period July 2010-July Two further tables in the Report show similar information for pensioners,**. Appendix 1 to the Eurostat Report contains another table which explains the principal components behind the change in the correction coefficients for staff for the period July 2010-July Document A64/11/09 presented tables with time series data for the period July 2003-July 2010 on an annual basis (PY=100) and a cumulative basis (2003=100) - showing the economic parities, the exchange rates and the correction coefficients for all Member States. In addition, tables are included showing the decomposition of the overall change in the correction coefficient for each year (impact of new price surveys; impact of consumer price indexation; impact of new rent surveys; impact of new expenditure weightings; impact of exchange rate movement). The tables clearly show how the change in purchasing power relative to Brussels has varied between countries over time, and how the changes have resulted in movement of the salaries of EU officials in duty stations outside Brussels. Similar, updated tables were included in the Eurostat Annual Report for 2012 as for 2011, and a new Appendix 3 was produced with time series data (doc.a64/13/07). The tables in this document are taken from that Appendix Time series of similar information for previous years Eurostat Annual Reports have been produced as follows after introduction of the 2004 Staff Regulations. Most are available on the EUR-LEX website archive : * EUR-LEX reference SEC(2011) Table #5, page 11 "Calculation of correction coefficients at 1 st July 2011 (for staff)". Table #4, page 9 "Changes in the economic parities in the twelve months to 1 st July 2011 (for staff)". Table #7, page 13 "Calculation of correction coefficients at 1 st July 2011 (for pensioners)". ** Table #6, page 12 "Changes in the economic parities in the twelve months to 1 st July 2011 (for pensioners)". Table #3.3, page 36 "Changes in the economic parities in the twelve months to 1 st July 2011: decomposition of the effects (for staff)". EUR-LEX reference SWD(2012)

3 Year Document EUR-LEX reference 2004 SEC(2004) SEC(2005) SEC(2006) a SEC(2007) b SEC(2008) SEC(2008) Not applicable: transmitted by DG HR to Council directly by 20/11/2009 in support of legislative proposal 2010 a SEC(2010) b SEC(2010) SEC(2011) SWD(2012) INTRA-EU CC PUBLICATION HISTORY CC Figures applicable since introduction of the 2004 Staff Regulations, have been adopted as shown in the table below. In the table, "+5" refers to the non capital city duty stations for which Intra-EU CC are produced: Varese, Bonn, Karlsruhe, Munich, Culham. CC January 2004 (EU15+5) * OJ L 327/3, dated : Regulation 2003/2182 CC May 2004 (NMS10) ** OJ L 161/11, dated : Regulation 2004/857 CC May 2004 Pensions ** OJ L 161/6, dated : Regulation 2004/856 CC July 2004 (EU25+5) OJ L.8/1, dated : Regulation 2005/31 CC January 2005 (n/a) n/a *** CC July 2005 (EU25+5) OJ L.337/7, dated : Regulation 2005/2104 CC January 2006 (LT) OJ L.194/3, dated : Regulation 2006/1067 CC July 2006 (EU25+5) OJ L.397/6 dated : Regulation 2006/1895 CC January 2007 (EE) OJ L.165/1, dated : Regulation 2007/723 CC July 2007 (EU27+5) OJ L.340/1, dated : Regulation 2007/1558 and OJ L.127/1, dated : Regulation 2008/420 **** CC January 2008 (BG EE LV LT RO) OJ L.189/1, dated : Regulation 2008/672 CC July 2008 (EU27+5) OJ L.345/10, dated : Regulation 2008/

4 CC January 2009 (n/a) n/a *** CC July 2009 (EU27+5) OJ L.348/10, dated : Regulation 2009/1296 and OJ L.333/1, dated : Regulation 2010/1190 ***** CC January 2010 (LV LT) OJ L.163/1, dated : Regulation 2010/564 CC July 2010 (EU27+5) OJ L.338/1, dated : Regulation 2010/1239 CC January 2011 (EE) OJ L.190/1, dated : Regulation 2011/699 CC July 2011 (EU27+5, HR) OJ L.341/54, dated : Decision 2011/866 ****** ( Proposal: COM (2011) 820 ) CC January 2012 (EE) OJ L.171/1, dated : Regulation 2012/577 CC July 2012 n/a ******* ( Proposal: COM (2012) 754 ) * Note: values calculated at July 2003; there was a political agreement to apply adjustment only with effect from January ** Note: values calculated at July 2003 *** Note: threshold for movement in implicit index was not breached for any location **** Note: revision of Italy salary data (CC values unchanged) ***** Note: revision of salary adjustment following ECJ decision (CC values unchanged) ****** Note: explicit decision to reject Commission proposal ******* Note: implicit Council decision to reject Commission proposal -4-

5 Following adoption, intra-eu correction coefficient figures at July are published on the Eurostat website ( where they can be found by clicking on : Database.. Economy and finance. Prices Correction coefficients Correction coefficients in the European Union (Capitals), total and total without rents - Brussels=100 (Data refer to 1st July) (prc_colc_tot) Correction coefficients in the European Union (Countries), from Belgium=100 (Data refer to 1st July) (prc_colc_nat) 3. TIME SERIES OF INTRA-EU STAFF CC The following table shows the correction coefficient values for staff which have been calculated by Eurostat and proposed/ adopted for use: Time series of Intra-EU correction coefficients for STAFF Data refer to 1st July BE Brussels BG Sofia : : : CZ Prague DK Copenhagen DE Berlin DE Bonn DE Karlsruhe DE Munich EE Tallinn EL Athens ES Madrid FR Paris IE Dublin IT Rome IT Varese CY Nicosia LV Riga LT Vilnius LU Luxembourg HU Budapest MT Valletta NL The Hague AT Vienna PL Warsaw PT Lisbon RO Bucharest : : : SI Ljubljana SK Bratislava FI Helsinki SE Stockholm UK London UK Culham Reference theme on Eurostat website [prc_colc_tot] Figures shown in red do not appear on Eurostat website - ie. data for Bonn/Karlsruhe/Munich/Varese/Culham (all years); data for year prior to EU admission; data for 2011 and 2012 (all locations). -5-

6 The following table summarises the change x in percentage terms to the correction coefficients for staff for the period: Change * Duty stations x < -10% 1 IE -10% x < -5% 7 BG, CZ, Ber, LT, MT, NL, PT -5% x < 0% 13 DK, Bon, Kar, Mun, EL, ES, FR, RO, Var, CY, HU, AT, SK 0% x < +5% 8 EE, LV, PL, SI, FI, Cul (including BE, LU) 5% x < +10% 2 RO, Lon x > +10% 1 SE Total 32 (including BE, LU) * Except BG, RO: change It is apparent that coefficients have decreased for 21 locations and were either unchanged or increased for 11 locations. Correction coefficients reflect both price movements and currency movements; some of the largest changes are apparent for locations outside the Eurozone. -6-

7 Graph of time series of Intra-EU correction coefficients for STAFF London Copenhagen Stockholm Helsinki Paris Culham Dublin Vienna Munich The Hague Rome Madrid Berlin Bonn Karlsruhe Varese Athens Ljubljana Lisbon Nicosia Valletta Prague Bratislava Budapest Tallinn Riga Warsaw Vilnius Bucharest 60.0 Sofia

8 4. DECOMPOSITION OF MOVEMENT IN INTRA-EU STAFF CC The following tables show the decomposition of the overall change in the correction coefficient for each year (impact of new price surveys; impact of consumer price indexation; impact of new rent surveys; impact of new expenditure weightings; impact of exchange rate movement). They clearly show how the change in purchasing power relative to Brussels has varied between countries over the period, and how the changes have resulted in movement of the salaries of EU officials in duty stations outside Brussels. -8-

9 DECOMPOSITION OF YEAR-ON-YEAR MOVEMENT IN INTRA-EU CORRECTION COEFFICIENT FOR STAFF, JULY Intra-EU duty station CC % change due to CC No Country City Jul-11 Surv1 Surv2 Surv3 HICP Rent Wgt B Wgt Tot Pr XR Total Jul-12 BE Belgium Brussels BG Bulgaria Sofia CZ Czech Republic Prague DK Denmark Copenhagen DE Germany Berlin Bonn Karlsruhe Munich EE Estonia Tallinn EL Greece Athens ES Spain Madrid FR France Paris IE Ireland Dublin IT Italy Rome Varese CY Cyprus Nicosia LV Latvia Riga LT Lithuania Vilnius LU Luxembourg Luxembourg HU Hungary Budapest MT Malta Valetta NL Netherlands The Hague AT Austria Vienna PL Poland Warsaw PT Portugal Lisbon RO Romania Bucharest SI Slovenia Ljubljana SK Slovakia Bratislava FI Finland Helsinki SE Sweden Stockholm UK United Kingdom London Culham

10 DECOMPOSITION OF YEAR-ON-YEAR MOVEMENT IN INTRA-EU CORRECTION COEFFICIENT FOR STAFF, JULY AND JULY Intra-EU duty station CC % change due to CC % change due to CC No Country City Jul-09 Surv1 Surv2 Surv3 HICP Rent Wgt B Wgt Tot Pr XR Total Jul-10 Surv1 Surv2 Surv3 HICP Rent Wgt B Wgt Tot Pr XR Total Jul-11 BE Belgium Brussels BG Bulgaria Sofia CZ Czech Republic Prague DK Denmark Copenhagen DE Germany Berlin Bonn Karlsruhe Munich EE Estonia Tallinn EL Greece Athens ES Spain Madrid FR France Paris IE Ireland Dublin IT Italy Rome Varese CY Cyprus Nicosia LV Latvia Riga LT Lithuania Vilnius LU Luxembourg Luxembourg HU Hungary Budapest MT Malta Valetta NL Netherlands The Hague AT Austria Vienna PL Poland Warsaw PT Portugal Lisbon RO Romania Bucharest SI Slovenia Ljubljana SK Slovakia Bratislava FI Finland Helsinki SE Sweden Stockholm UK United Kingdom London Culham

11 DECOMPOSITION OF YEAR-ON-YEAR MOVEMENT IN INTRA-EU CORRECTION COEFFICIENT FOR STAFF, JULY AND JULY Intra-EU duty station CC % change due to CC % change due to CC No Country City Jul-07 Surv1 Surv2 HICP Rent Wgt B Wgt Tot Pr XR Total Jul-08 Surv1 Surv2 HICP Rent Wgt B Wgt Tot Pr XR Total Jul-09 BE Belgium Brussels BG Bulgaria Sofia CZ Czech Republic Prague DK Denmark Copenhagen DE Germany Berlin Bonn Karlsruhe Munich EE Estonia Tallinn EL Greece Athens ES Spain Madrid FR France Paris IE Ireland Dublin IT Italy Rome Varese CY Cyprus Nicosia LV Latvia Riga LT Lithuania Vilnius LU Luxembourg Luxembourg HU Hungary Budapest MT Malta Valetta NL Netherlands The Hague AT Austria Vienna PL Poland Warsaw PT Portugal Lisbon RO Romania Bucharest SI Slovenia Ljubljana SK Slovakia Bratislava FI Finland Helsinki SE Sweden Stockholm UK United Kingdom London Culham

12 DECOMPOSITION OF YEAR-ON-YEAR MOVEMENT IN INTRA-EU CORRECTION COEFFICIENT FOR STAFF, JULY AND JULY Intra-EU duty station CC % change due to CC % change due to CC No Country City Jul-05 Surv1 Surv2 HICP Rent Wgt B Wgt Tot Pr XR Total Jul-06 Surv1 Surv2 HICP Rent Wgt B Wgt Tot Pr XR Total Jul-07 BE Belgium Brussels BG Bulgaria Sofia CZ Czech Republic Prague DK Denmark Copenhagen DE Germany Berlin Bonn Karlsruhe Munich EE Estonia Tallinn EL Greece Athens ES Spain Madrid FR France Paris IE Ireland Dublin IT Italy Rome Varese CY Cyprus Nicosia LV Latvia Riga LT Lithuania Vilnius LU Luxembourg Luxembourg HU Hungary Budapest MT Malta Valetta NL Netherlands The Hague AT Austria Vienna PL Poland Warsaw PT Portugal Lisbon RO Romania Bucharest SI Slovenia Ljubljana SK Slovakia Bratislava FI Finland Helsinki SE Sweden Stockholm UK United Kingdom London Culham Unpublished ESTAT estimates BG, RO:

13 DECOMPOSITION OF YEAR-ON-YEAR MOVEMENT IN INTRA-EU CORRECTION COEFFICIENT FOR STAFF, JULY AND JULY Intra-EU duty station CC % change due to CC % change due to CC No Country City Jul-03 Surv1 Surv2 HICP Rent BH Wgt Tot Pr XR Total Jul-04 Surv1 Surv2 Surv3 HICP Rent Wgt Tot Pr XR Total Jul-05 BE Belgium Brussels BG Bulgaria Sofia 2 CZ Czech Republic Prague DK Denmark Copenhagen DE Germany Berlin Bonn Karlsruhe Munich EE Estonia Tallinn EL Greece Athens ES Spain Madrid FR France Paris IE Ireland Dublin IT Italy Rome Varese CY Cyprus Nicosia LV Latvia Riga LT Lithuania Vilnius LU Luxembourg Luxembourg HU Hungary Budapest MT Malta Valetta NL Netherlands The Hague AT Austria Vienna PL Poland Warsaw PT Portugal Lisbon RO Romania Bucharest 25 SI Slovenia Ljubljana SK Slovakia Bratislava FI Finland Helsinki SE Sweden Stockholm UK United Kingdom London Culham Unpublished ESTAT estimates CZ, EE, CY, LV, LT, HU, MT, PL, SI, SK :

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