CM(2010)135 12 October 20101
1099 Meeting, 23-25 November 2010
11 Administration and Logistics
11.1 Adjustments to the 2011 Draft Budgets
Memorandum from the Secretary General
Item to be prepared by the GR-PBA at its meeting on 21 October 2010
Salary adjustment for 2011
1. In its report on the “Annual adjustment of remuneration of the staff of the Co-ordinated Organisations”, the Co-ordinating Committee on Remuneration (CCR) recommended an adjustment of
- 0.2% to be applied on 1 January 2011 for the staff of the Co-ordinated Organisations working in France (cf. CM(2010)128).
2. The amounts recommended by the CCR in respect of other countries where the Council of Europe has staff members are as follows: Austria (-0.4%), Belgium (0.00%), Hungary (+0.5% (A Grade) + 2.7% (B Grade)), Portugal (-3.2%).
3. In the light of the provisions of the CCR’s 171st report, as amended by the Deputies at their 983rd meeting (CM/Del/Dec(2006)983 item 11.2, Part 1), the Secretary General proposes that the CCR recommendations be implemented.
4. The amount included in the draft budget for 2011 in respect of the 2011 salary adjustments was
+ 0.2% for staff working in France. The total amount in respect of a salary provision for 2011 in the draft budget is € 349 600. The effect of the CCR recommendations above would lead to an overall saving of
€ 279 4002 for 2011 on total staff costs in comparison with the 2010 budget. The overall effect therefore of the recommendation would lead to savings of € 629 000 in comparison with the current draft budget and programme proposals for 2011.
5. In its decision of 30 June 2010, the Committee of Ministers invited the Secretary General to make proposals to reduce the negative reserve. In preparing the draft Programme and Budget, the Secretary General was able to propose a reduction from € 1.9M to € 1.2M. The Secretary General now proposes that the €629 000 available following the CCR recommendations is used to further reduce the negative reserve within the Ordinary budget to € 571 000. This is of the utmost importance given the increasing difficulty in managing the Ordinary budget with the existance of a negative reserve, following targeted budgetary reductions in recent years.
Pension reserve fund
6. The effect of the proposed salary adjustment on the total contributions of member states to the Pension Reserve Fund is an overall reduction of €163 400. It is proposed that member States contributions to the Pension reserve fund are reduced by this amount.
7. The effect of the revised rates on the budgets of the Partial Agreements are not significant, (ranging from - € 1600 to - €7 800) apart from for the EDQM (- €64 200) and the North South Centre
( -€16 700).
8. A revised budget for the North South Centre, prepared following the withdrawal of two member states, will be presented to the meeting of states Parties on 8 October 2010; this revised budget will take into account the reduction in staff costs.
9. As the EDQM budget for 2011 already foresees contributions at a fixed rate with a corresponding reimbursement of contributions from EDQM reserves, it is proposed that the saving of €64 200 be transferred to the reserve for future expenditure within the budget.
10. For the other partial agreements, given that the amounts are insignificant it is proposed that the total of member states’ contributions remains at the same level as already indicated in the draft programme and budget document.
Note 1 This document has been classified “restricted” until the date of its adoption by the Committee of Ministers.
Note 2 The saving is not equal to €349 600 as the Ordinary Budget also includes appropriations for staff in Brussels, Budapest and within field presence.