EU Presidency: Provisional Agreement on European Labor Authority

Romanian EU Council Presidency and European Parliament have reached a provisional agreement on a Regulation establishing a European Labor Authority (ELA). Aim of this new body is to support Member States in implementing EU legal acts in areas of labor mobility across the EU and social security coordination. It will also provide information to employees and employers on complex aspects of cross-border labor mobility. Agreement will now be submitted to Member States representatives in the Council, for endorsement.

Romanian Minister of Labor and Social Justice, Marius-Constantin Budăi: This agreement is another important step to ensure a well-functioning EU labor market. ELA will provide crucial assistance to national administrations in implementation of relevant EU legislation. At the same time, Member States will only take part in ELA’s activities on a voluntary basis.

When adopted, regulation will provide for the following main activities of the new body:

 facilitating access to information on rights and obligations in cases of cross-border mobility for employees, employers and national administrations;

 supporting coordination between Member States in cross-border enforcement of relevant EU law, including facilitating concerted and joint inspections;

 supporting cooperation between Member States in tackling undeclared work;

 supporting Member States authorities in resolving cross-border disputes.

Future regulation provides for a two-step mediation process: first stage will involve a mediator from ELA and representatives of Member States concerned and might end with issuance of a non-binding opinion. If no solution is found, Member States involved can agree to a second stage of mediation, inspired by Conciliation board of Administrative Commission for coordination of social security systems. When a dispute relates to social security coordination, any Member State concerned may request that case is referred to Administrative Commission. This Administrative Commission, in agreement with Member States concerned, may present the same request.

ELA will also bring together technical and operational tasks of several existing EU bodies (EURES European Coordination Office, Technical Committee on the Free Movement of Workers, Committee of Experts on Posting of Workers and the European Platform on Tackling Undeclared Work). Aim is to establish a permanent structure, which ensures a quick responsiveness and continuity. It shall achieve improved and more efficient results on the basis of a strengthened cooperation.

Seat of ELA will be decided after adoption of legislative act.

Background and next steps

Commission presented its proposal on 13 March 2018. On 6 December 2018, Council adopted its position which formed the basis for negotiations with the European Parliament. Provisional agreement will now be examined by Council’s Permanent Representatives Committee that needs to endorse it. Formal vote in both Council and the European Parliament will follow at a later stage.

Source:EU Council, Romania2019.eu