MINISTERS’ DEPUTIES

CM Documents

CM(2019)163

28 October 2019[1]

1361st (Budget) meeting, 19-21 November 2019 11 Programme, Budget and Administration   11.2 Co-ordinating Committee on Remuneration (CCR) – a. Annual adjustment of salaries for staff of the co-ordinated organisations at 1 January 2020 – 264th report Item to be considered by the GR-PBA at its meeting on 4 November 2019

 

1.         Introduction

The Annex to the 244^th Report by the Co-ordinating Committee on Remuneration [CCR/R(2016)7[2]] sets out the provisions for the annual adjustment of salaries of all categories of staff of the Co-ordinated Organisations at 1 January. The enclosed proposal by the Secretaries/Directors‑General for the adjustment, with effect at 1 January 2020 [cf. CCR/CRSG/CRP/WD(2019)19], has been drawn up in accordance with the procedure in force and in compliance with the Addendum to the 244^th Report.[3]

2.         Results of the application of the procedure

2.1       The application of the procedure, as proposed by the Secretaries/Directors-General, results in the salary adjustment indices presented in Annex 1, applicable at 1 January 2020 to salary scales in force at 31 December 2019.

2.2          Those Organisations having approved the 260^th Report by the CCR [CCR/R(2019)1[4]] concerning the exceptional adjustment calculated according to Article 7 of Annex 1 to the 244^th Report, applicable at 1 October 2018 in Turkey, shall take account of the deduction of the special adjustment, in order to arrive at the final annual adjustment for this duty country (see Annex 1a).

2.3       The Organisations may apply the affordability clause referred to in Article 6 of the Annex to the 244^th Report, in accordance with the text approved by their Governing body.

3.         Conclusions

3.1       Position of the CRSG

The CRSG welcomes the CCR recommendation that reflects the strict application of the remuneration adjustment method set out in the 244^th Report and its Addendum. 

3.2       Position of the CRP

The CRP takes note of the annual salary adjustment as of January 1, 2020.

4.         Recommendation

The Co-ordinating Committee on Remuneration recommends that Governing Bodies:

(a)    approve, subject to the provisions of Article 6 of the 244^th Report by the CCR, as adopted by each of the Co-ordinated Organisations, the salary scales at 1 January 2020 resulting from the application of the adjustment indices set out in Annex 1 (cf. salary scales per country are found in Appendix 1 to this report);

(b)   note that, in accordance with the interpretation given to paragraph 3 of the 34^th Report by the CCG [CCG(65)5] dated 25 October 1965, at its 77^th Session on 29 June 1966 [cf. CCG/M(66)6], the salary of auxiliary staff serving in the Co-ordinated Organisations will be adjusted in the same proportions as that of permanent staff, when applicable.

David Sydney Maddicott

Chairman

ANNEXES

Pages

Annex 1........ CO salary adjustment indices per duty country at 1 January 2020.............................   4

Annex 1a...... Effect of the deduction of special adjustments to the annual adjustment indices at 1 January 2020.........................................................................................................   5

Annex 2........ Reference index at 1 July 2019...............................................................................   6

Annex 2a...... Trend of net NCS remuneration in real terms for the period

.................... 1 July 2018 to 1 July 2019......................................................................................   7

Annex 3........ Purchasing power parities at 1 July 2019.................................................................   8

Annex 4........ Salary scales proposed at 1 January 2020..............................................................   9

ANNEX 1

CO-ORDINATED ORGANISATIONS

SALARY ADJUSTMENT INDICES PER DUTY COUNTRY AT 1 JANUARY 2020

NOTES:  ¹  Belgium index also applies to Luxembourg in accordance with the 244th Report. The application of the adjustment index for Luxembourg is subject to the adoption of the 259^th CCR Report by the CO councils.

                ²  Country concerned by a special adjustment to be deducted (see Annex 1a).

ANNEX 1a

EFFECT OF THE DEDUCTION OF SPECIAL ADJUSTMENTS

TO THE ANNUAL ADJUSTMENT INDICES AT 1 JANUARY 2020¹

(Articles 5 and 7 of the Annex to the 244^th CCR Report)

¹ Applicable in the Organisations which have approved the exceptional adjustment recommended by the CCR with effect for Turkey from 1 October 2018.

ANNEX 2

REFERENCE INDEX AT 1 JULY 2019

NOTES:

¹ Marital status: single staff

² The reference index is calculated as the moving average covering two reference periods, with a weight of two thirds for the reference period and a weight of one third for the preceding reference period, as defined in Article 4.1.3 to the 244^th Report.

³   The assessment of the non double-counting clause (see Appendix 6 of Annex to the 244^th Report) shows a negative impact on changes in social contributions of NCS remunerations (-0.19%) and a positive impact for the CO (+0.02%). As there is no common factor between the impact in NCS and that of the CO, no correction has to be made to the reference index under this clause for this year.

The overall final reference index is rounded to one decimal point.  

ANNEX 2a

TREND OF NET NATIONAL CIVIL SERVICE REMUNERATION IN REAL TERMS

FOR THE PERIOD 1 JULY 2018 TO 1 JULY 2019

(i.e. evolution of disposable income of NCS staff once the respective national inflation is removed)

NOTES:

¹ For Spain, the reference period means the calendar period 31 December to 31 December of the year preceding the end of the reference period in the other reference countries, as set out in the Annex to the 244^th Report [CCR/R(2016)7].

² Marital status: single staff.     

ANNEX 3

PURCHASING POWER PARITIES

1 JULY 2019

NOTES:     ¹ Exchange rates from local currencies to Euros              

                        ² Geographic index = PPP ÷ Exchange rate x 100

ANNEX 4

SALARY SCALES PROPOSED AT 1 JANUARY 2020

Australia ..............................................................................................  10

Austria

Belgium ...............................................................................................  11

Canada

Denmark  .............................................................................................  12

Finland

France .................................................................................................  13

Germany

Greece ................................................................................................  14

Hungary

Iceland ................................................................................................  15

Ireland

Italy .....................................................................................................  16

Japan

Korea  .................................................................................................  17

Luxembourg

Mexico ................................................................................................  18

Netherlands

New Zealand ........................................................................................  19

Norway

Poland ................................................................................................  20

Portugal

Spain ..................................................................................................  21

Sweden

Switzerland ..........................................................................................  22

Turkey

United Kingdom ...................................................................................  23

United States

Single salary spine for Belgium .............................................................  24

SINGLE SALARY SPINE FOR BELGIUM

The salary scale presented below is of relevance to those organisations implementing the single salary spine which will represent an identical pay structure in all countries based on the Belgian salary scale, adjusted by purchasing power parities so as to ensure equivalent purchasing power in each duty country.