Reform of the European Commission, November 2001

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Publication Date 11/11/2001
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Details of the latest steps in the process of reforming the Commission were unveiled on 30 October 2001. Announcing proposals for modernising the Commission's human resources policy, Neil Kinnock, Vice-President for Reform said: 'The adoption of these proposals on management, on appraisal and promotion, and on a new career system ... will help to bring out the very best in the highly able staff of the Institution by ensuring that their qualities are properly encouraged, assessed and recognised. That will benefit them as career professionals and it will further strengthen the Commission's performance in the Service of the Union'.

Background

The previous Commission, headed by Jacques Santer, resigned on 15 March 1999, following a critical report by a Committee of Independent Experts set up by the European Parliament: First report on allegations regarding fraud, mismanagement and nepotism in the European Commission. The investigation was organised by Parliament in response to allegations by a Commission official, Paul van Buitenen. On 10 September 1999 the Committee issued a second report: Analysis of current practice and proposals for tackling mismanagement, irregularities and fraud.

The Prodi Commission formally took office on 14 September 1999, following ratification of its 20 members by the European Parliament. However, prior to formal approval being granted, Mr Prodi and the Commissioners-designate were at pains to portray themselves as an open and transparent administration-in-waiting. A Code of Conduct for Commissioners [pdf] was published, and information about personalities, policies and processes was made available on the Europa website (see for example, the collection of press releases on Commissioners-designate and speeches made by the President-designate).

Once in office, President Prodi restructured the Commission to improve its effectiveness in key areas, and a number of new Directorates-General were created, including External Relations, Justice and Home Affairs, Health and Consumer Protection, and Enterprise. A premium was placed on personal responsibility, with each member of the Commission required to give an undertaking that he/she will resign if asked to do so by the President.

Progress towards reform

On 18 January 2000, Neil Kinnock, Commission Vice-President for Administrative Reform, published a consultative document 'Reforming the Commission' (PDF), which set out an Action Plan of 84 measures to be implemented over the following two and a half years.

Although the paper acknowledged the 'valuable guidance' provided by the Committee of Independent Experts' two reports, it also highlighted initiatives taken by the Commission itself to address some of the issues concerned. In October 1997, the Commission launched a 'Review of the Commission's Organisation and Operation' which aimed to provide an up-to-date analysis of all activities carried out by the Commission, as well as the resources and working methods used. The review, which became known as "Dessiner la Commission de Demain" (DECODE) or the "screening exercise", was conducted from November 1997 to May 1999. It was published in July 1999 as 'Designing Tomorrow's Commission: A review of the Commission's Organisation and Operation'.

Other initiatives mentioned by Vice-President Kinnock were the Williamson Report on the Statut du Personnel; SEM 2000 (Sound and Efficient Financial Management), and MAP 2000 (Modernisation of Administration and Personnel).

'Reforming the Commission' sought to answer two questions:

  • what are the tasks and functions of the Commission in the years to come?
  • what sort of organisation must the Commission be in order to fulfil those tasks and functions?

It set out a modernisation programme with defined objectives, actions required to fulfil them and dates for implementation. The objective was to create a Commission based on:

  • efficiency
  • accountability
  • transparency
  • responsibility
  • service

Three elements ('pillars') were identified in the reform process:

  • radical reform of the way in which political priorities are set and resources allocated
  • important changes to human resources policy
  • far-reaching reforms of financial management

It was acknowledged that, although some of the measures proposed in the 84-point Action Plan could be implemented very quickly, others would require operational details to be set out in separate Communications, or would necessitate existing legal texts to be modified. The paper proposed establishing a number of new units (Strategic Planning and Programming, Internal Audit Service, Audit Progress Board, Inter-institutional Committee on Standards in Public Life) and abolishing existing ones (Financial Control DG, Inspectorate General of Services). The internet was identified as the prime means of direct communication between the Commission and citizens, and the paper suggested that an appropriate level of resources should be sought to properly fund the Commission's electronic information services.

The reform White Paper - referred to by Commission President Romano Prodi as a 'revolution' - was approved by the Commission on 1 March 2000. It incorporated what Budget Commissioner Michaele Schreyer called 'a large number of valuable refinements on the basis of the comments received.'

One of the criticisms of the Commission concerned its inability to effectively manage its workload. In February, it was decided to establish a 'Peer Group', chaired by Romano Prodi, to assess the Commission's role and the human resources necessary to carry out the tasks required. In July 2000 the Commission published a Communication: Matching the Commission's activities with its human resources - The means to achieve our objectives. The measures set out in the Communication were 'those which the Commission considers to be absolutely necessary if the Institution is to carry out the bulk of its current activities and policy priorities in a satisfactory way.' It was made clear that 'any new tasks that the Commission may take on presuppose the allocation of the corresponding resources.'

In September 2000, the Commission adopted a legally-binding Code of Good Behaviour for relations with the public, which entered into force on 1 November 2000.

At the end of October 2000, the Commission adopted a 'Roadmap' which identified four 'packages' of reforms based on the White Paper which would be introduced over the following three months. Focusing very much on human resources issues, the packages were:

  • internal auditing and financial control
  • discipline, whistleblowing, equal opportunities, senior appointments, 'externalisation' (outsourcing) of selected Commission activities
  • recruitment, training, evaluation, mobility
  • career structure, pay, pensions

A month later, at the end of November 2000, the Commission proposed three measures 'aimed at maintaining the highest standards of integrity and public service in the Commission and the other European Institutions'. They concerned establishing an Advisory Group on Standards in Public Life, 'whistleblowing', and discipline.

Shortly after, on 14 December, the Commission approved a proposal for a Regulation to set up 'Executive Agencies' - external organisations which would implement Community programmes.

On 22 December 2000 the Commission decided to establish a new system for promotion and appraisal of senior staff.

Taking the adoption of the March 2000 White Paper as its starting point, the Commission published a review of progress towards reform on 28 February 2001: Reforming the Commission: One Year On.

The proposals on personnel policy published at the end of October 2001 were therefore the latest in a series of developments based on the March 2000 White Paper. Details were published as A global package for the reform of personnel policy (summarised in Commission finalises its reform proposals for staff policy and career structure).

The proposals address performance appraisal and seek to introduce a closer link between annual assessment and promotions; career and salary advancement will be based on ability and performance.

The current four categories of staff will be reduced to two - 'Assistants' and 'Administrators'; improved training and qualification opportunities and an end to 'glass ceilings' will help promotion from one category to the other. Additional measures address management, flexible working and parental leave, and under-performance.

Although some measures do not require changes in the Staff Regulations, others will require the Regulations to be amended. The Commission will now present formal proposals for legislation to the Inter-institutional Staff Regulations Committee, after which they will be submitted to the European Council. The Commission wants to see changes introduced in 2003.

Further information within European Sources Online:

European Sources Online: European Voice:
08.7.99: Wisemen focus on key reforms
29.7.99: Key proposals for cleaning up shamed institution
29.7.99: Prodi snubs informants' charter
02.9.99: A new culture club for the Commission
16.9.99: Prodi moves to lift EU's veil of secrecy
30.9.99: Prodi poised to shame 'rogue' Commissioners
18.11.99: Auditors underline need for 'deep-seated' reforms
18.11.99: Kinnock plans shake-up of financial controls
25.11.99: Key test looms for Kinnock's reform plans
16.12.99: Kinnock unveils raft of internal reform plans
20.01.00: Bold step in the right direction
20.01.00: Commission enters a 'brave new world'
20.01.00: Key planks of Kinnock's reform strategy
20.01.00: Kinnock reforms to trigger battle over officials' perks
03.02.00: Staff unions hit out at reform plan
10.02.00: Governments split over Kinnock's reforms
24.02.00: Champion of reform sticks to his guns
24.02.00: Kinnock rebuffs criticism of reform plan
02.03.00: Kinnock fine tunes his blueprint for internal reform
02.03.00: Reform vital to smash Commission's glass ceiling
02.03.00: Reforming staff policy
09.03.00: Commission audit chief to be an outsider
06.04.00: Review to identify Commission's core tasks
15.06.00: Discipline shake-up sparks union anger
07.09.00: Mixed results in first year of drive to reform Commission
21.09.00: Prodi set to win his battle for more staff
26.10.00: Kinnock forced to delay staff reform proposals
02.11.00: Kinnock plans new deal for parents
09.11.00: Kinnock wins backing for pay 'roll-over'
30.11.00: Kinnock urged to go further with reforms
14.12.00: Kinnock moves to address fears over outsourcing
11.01.01: MEPs pull their punches in reform probe
18.01.01: Too early to draw swords in reform battle
18.01.01: Unions hit Kinnock with ultimatum over job cuts
15.02.01: Union chief steps up pressure on Kinnock
22.02.01: Kinnock to unveil long-awaited staff reform proposals
08.03.01: Strike first, reform later?
15.03.01: Commission unions call off staff strike
14.06.01: Belgian presidency 'may set back Prodi financial reforms'
14.06.01: 'One-off' early retirement plan wins approval
28.06.01: Kinnock breakthrough as unions back reforms
19.07.01: Fontaine warning provokes war of words over reforms
18.10.01: Kinnock could 'paralyse' EU if he gets his way over reforms
 
European Sources Online: Financial Times
26.02.01: Brussels faces staff protest
28.02.01: Personnel policy shift
 
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Further earlier links within European Sources Online can be found by carrying out a search and inserting the phrase 'Reform of the European Commission' in the 'Easy Search' field.
 
Further information can be seen in these external links:
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European Commission: DG Press and Communication: Press Releases
14.12.99: Neil Kinnock Vice-President for Administrative Reform Neil Kinnock announces the next steps in the Commission's Reform Process Strasbourg, 14 December 1999
01.03.00: The Commission approves its Reform Strategy
12.05.00: Commission adopts goals for recruiting and promoting women in 2000
18.07.00: Neil Kinnock Vice-President for Administrative Reform Update on administrative reform Press conference on administrative reform Brussels, 18 July 2000
26.07.00: Communication from the Commission: Matching the Commission's activities with its human resources- The means to achieve our objectives
26.07.00: Matching the Commission's activities with its human resources - The means to achieve our objectives. Memorandum to the Members of the Commission from President Prodi, in agreement with Mr Kinnock, Mr Fischler, Mr Lamy and Mrs Schreyer
26.07.00: The Commission will close the gap between its tasks and resources
13.09.00: Commission approves Code of Good Behaviour for relations with the public
31.10.00: Commission Sets Out Schedule For Next Series Of Reform Proposals Human Resources Reform 'Packages'
29.11.00: Setting the highest standards: The Commission proposes an Advisory Group on Standards in Public Life, an improved disciplinary system and a Whistleblowers' Charter
14.12.00: Executive Agencies: a new administrative body for the implementation of Community programmes
22.12.00: Commission introduces performance appraisal for its top staff and measures to further professionalise its appointment procedures
28.02.01: Reforming the Commission: One Year On
01.03.01: Neil Kinnock Vice-President for Administrative Reform Address to European Parliament on Reform of the Commission European Parliament Brussels, 1 March 2000
04.07.01: Commission Staff Policy reform: Staff Unions and Administration report on results of discussions
04.09.01: Neil Kinnock Vice-President for Administrative Reform State of play on Administrative Reform Plenary Session of European Parliament Strasbourg, 3 September 2001
29.10.01: A global package for the reform of personnel policy
30.10.01: Commission finalises its reform proposals for staff policy and career structure
 
European Parliament
Homepage
Committee of Independent Experts
Confirmation hearings of nominee Commissioners
 
BBC News
29.03.99: The EU's dark hour: Special report
19.10.99: Kinnock takes on Euro unions
19.01.00: Analysis: Kinnock's reform package
19.01.00: Kinnock unveils EC reforms
01.03.00: Brussels adopts sweeping reforms
28.02.01: Brussels tackles pay and perks

Eric Davies
KnowEurope Researcher
Compiled: 23 January 2000; revised 11 November 2001

Overview of reforms to the European Commission proposed by Vice President of the European Commission, Neil Kinnock, on 30 October 2001.

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