On 3 March 2017 Katalin Novák, Minister of State for family, youth and international affairs and Péter Cseresnyés, Minister of State for labour market and training attended the Employment and Social Affairs (EPSCO) Council. The Council meeting was chaired by Minister Evarist Bartolo, Minister for Education and Employment, Minister Helena Dalli, Minister for Social Dialogue, Consumer Affairs and Civil Liberties and Minister Michael Farrugia, Minister for the Family and Social Solidarity, representing the current Maltese Presidency. The European Commission was represented by Marianne Thyssen, Commissioner for Employment, Social Affairs, Skills and Labour Mobility.
The revision of Regulation 883/2004/EC on the coordination of social security systems
As regards the draft regulation on the revision of Regulation 883/2004/EC on the coordination of social security systems, Katalin Novák underlined that Hungary attaches utmost importance to that Hungarian citizens can make full use of right to free movement and work, and Hungarians working in another Member States are not disfavoured. She also expressed her concerns that the discussion on the regulation is separated from the revision of the posting directive, while these two pieces of draft legislation equally affect migrant workers and their families.
The Secretary of State welcomed that in spite of the pressure from several Member States, the Commission rejects the possibility of indexation of family benefits and thereby does not wish to introduce serious inequalities.
On the other hand, there are grave misgivings concerning the proposed 12-month- period of work for entitlement to unemployment benefit in the last Member State of activity and 3-month-long prerequisite of aggregating entitlement periods. They are unnecessary and disproportionate measures and not justified by the impact assessment at all. These elements of the proposal put union employees contributing to the economic growth of the host country into a very indecent position.
It is also a very unfortunate that the proposal would make it possible for the member states to deny social security benefits for (the not clearly defined group of) economically inactive citizens, which represents a dangerous precedent of derogation from the principle of equal treatment.
Katalin Novák highlighted that the Commission’s impact assessment does not provide arguments why the status quo was not sustainable, and why any changes were foreseen while the supporters of maintaining the current rules had been in majority in the Administrative Commission. Nevertheless, she expressed her sincere hopes that the work in the Council would lead to such a result that the main achievements of the Regulations built upon the right to free movement are fully applied.
The revision of the 96/71/EC Posting of Workers Directive
The Ministers heard a short briefing from the Presidency on the state of play of the proposal concerning the posting of workers in the framework of the provision of services. The Maltese Presidency thrives for a possible general approach at the June EPSCO Council, although the Member States held a lively debate based mainly on the usual East-West division.
Hungarian Minister of State Péter Cseresnyés reaffirmed in his intervention the generally negative government position concerning the revision of the 96/71/EC Posting of Workers Directive. He emphasized the importance of small and medium sized enterprises in this respect and that all legislation adopted should support them and the EU’s competetiveness in general, avoiding the creation of excessive administrative burden. According to our position, instead of the revision of the rules on posting, we should focus rather on the fight against undeclared work which is the real underlying problem. Moreover, he reaffirmed the Hungarian position that the road transport sector does not fall under the scope of posting. Should this not be the case – based on many recent protectionist measures and the upcoming Road Package of the European Commission – it will cause the fragmentation of the Single Market and the loss of many European workplaces.
European Semester
The Ministers held a policy debate on the 2017 European Semester and adopted the Joint Employment Report. They also adopted Council Conclusions on the 2017 Annual Growth Survey and the Joint Employment Report, where the wording suggestion of Hungary was taken on board concerning the labour market integration of legally residing newly arrived third country nationals, to respect national competences properly. The European Commission briefly presented the 2017. country reports to the delegations.
Modernisation of the EU Occupational Safety and Health Legislation
The Commission presented its recent Communication on Safer and Healthier Work for All – Modernisation for the EU Occupational Safety and Health Legislation and Policy. A Ministerial lunch on Safer and Healthier work for all – modernization for the EU occupational, safety and health legislation and policy was also held.
Moreover, the Ministers adopted the Draft Council Conclusions on enhancing the skills of women and men in the EU labour market. The Presidency and the Commission also held a short presentation on the upcoming Tripartite Social Summit.
