24.8.2018 EN Official Journal of the European Union L 216/4 STRATEGIC PARTNERSHIP AGREEMENT between the European Union and its Member States, of the one part, and Japan, of the other part THE EUROPEAN UNION, hereinafter referred to as ‘the Union’, and THE KINGDOM OF BELGIUM, THE REPUBLIC OF BULGARIA, THE CZECH REPUBLIC, THE KINGDOM OF DENMARK, THE FEDERAL REPUBLIC OF GERMANY, THE REPUBLIC OF ESTONIA, IRELAND, THE HELLENIC REPUBLIC, THE KINGDOM OF SPAIN, THE FRENCH REPUBLIC, THE REPUBLIC OF CROATIA, THE ITALIAN REPUBLIC, THE REPUBLIC OF CYPRUS, THE REPUBLIC OF LATVIA, THE REPUBLIC OF LITHUANIA, THE GRAND DUCHY OF LUXEMBOURG, HUNGARY, THE REPUBLIC OF MALTA, THE KINGDOM OF THE NETHERLANDS, THE REPUBLIC OF AUSTRIA, THE REPUBLIC OF POLAND, THE PORTUGUESE REPUBLIC, ROMANIA, THE REPUBLIC OF SLOVENIA, THE SLOVAK REPUBLIC, THE REPUBLIC OF FINLAND, THE KINGDOM OF SWEDEN, and THE UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND, Contracting Parties to the Treaty on European Union and the Treaty on the Functioning of the European Union, hereinafter referred to as ‘the Member States’, hereinafter referred to as ‘the Union Party’, of the one part, and JAPAN, of the other part, hereinafter jointly referred to as ‘the Parties’, REAFFIRMING their commitment to the common values and principles, in particular democracy, the rule of law, human rights and fundamental freedoms, which constitute the basis for their deep and long-lasting cooperation as strategic partners; RECALLING the increasingly close ties forged between them since the issuance of the Joint Declaration on Relations between the European Community and its Member States and Japan in 1991; WISHING to build on and to enhance the valuable contribution to their relations made by the existing agreements between them in various fields; RECOGNISING that the increasing worldwide interdependence has led to the need for deepened international cooperation; CONSCIOUS, in this regard, as like-minded global partners, of their shared responsibility and commitment to setting up a just and stable international order in accordance with the principles and purposes of the Charter of the United Nations, and to achieve peace, stability and prosperity of the world as well as human security; RESOLVED, in this regard, to work closely to address major global challenges that the international community has to face, such as proliferation of weapons of mass destruction, terrorism, climate change, poverty and infectious diseases, and threats to common interest in the maritime domain, cyberspace and outer space; RESOLVED also, in this regard, that the most serious crimes of concern to the international community as a whole must not go unpunished; DETERMINED, in this regard, to strengthen their overall partnership in a comprehensive manner by expanding political, economic and cultural ties and by agreements; DETERMINED also, in this regard, to enhance their cooperation and to maintain the overall coherence of the cooperation, including by strengthening consultations at all levels and by taking joint actions on all issues of common interest; NOTING that in case the Parties decided, within the scope of this Agreement, to enter into specific agreements in the area of freedom, security and justice which were to be concluded by the Union pursuant to Title V of Part Three of the Treaty on the Functioning of the European Union, the provisions of such future specific agreements would not bind the United Kingdom of Great Britain and Northern Ireland and/or Ireland unless the Union, simultaneously with the United Kingdom of Great Britain and Northern Ireland and/or Ireland as regards their respective previous bilateral relations, notifies Japan that the United Kingdom of Great Britain and Northern Ireland and/or Ireland has/have become bound by such future specific agreements as part of the Union in accordance with Protocol (No 21) on the position of the United Kingdom and Ireland in respect of the area of freedom, security and justice, annexed to the Treaty on European Union and to the Treaty on the Functioning of the European Union; noting that any subsequent Union internal measures which were to be adopted pursuant to Title V of Part Three of the Treaty on the Functioning of the European Union to implement this Agreement would not bind the United Kingdom of Great Britain and Northern Ireland and/or Ireland unless they have notified their wish to take part in or accept such measures in accordance with Protocol (No 21); and also noting that such future specific agreements or such subsequent Union internal measures would fall within Protocol (No 22) on the position of Denmark, annexed to the Treaty on European Union and to the Treaty on the Functioning of the European Union, HAVE AGREED AS FOLLOWS: Article 1 Purpose and general principles 1. The purpose of this Agreement is for the Parties to: (a) strengthen the overall partnership between the Parties by furthering political and sectoral cooperation and joint actions on issues of common interest, including regional and global challenges; (b) provide a long-lasting legal foundation for enhancing bilateral cooperation as well as cooperation in international and regional organisations and fora; (c) contribute jointly to international peace and stability through the promotion of peaceful settlement of disputes in conformity with the principles of justice and international law; and (d) contribute jointly to the promotion of shared values and principles, in particular democracy, the rule of law, human rights and fundamental freedoms. 2. In pursuance of the purpose set out in paragraph 1, the Parties shall implement this Agreement based on the principles of mutual respect, equal partnership and respect for international law. 3. The Parties shall strengthen their partnership through dialogue and cooperation on matters of mutual interest in the areas of political issues, foreign and security policies and other sectoral cooperation. To this end, the Parties shall hold meetings at all levels, including those of leaders, ministers and senior officials, and promote wider exchanges between their peoples as well as parliamentary exchanges. Article 2 Democracy, the rule of law, human rights and fundamental freedoms 1. The Parties shall continue to uphold the shared values and principles of democracy, the rule of law, human rights and fundamental freedoms which underpin the domestic and international policies of the Parties. In this regard, the Parties reaffirm the respect for the Universal Declaration of Human Rights and the relevant international human rights treaties to which they are parties. 2. The Parties shall promote such shared values and principles in international fora. The Parties shall cooperate and coordinate, where appropriate, in promoting and realising those values and principles, including with or in third countries. Article 3 Promotion of peace and security 1. The Parties shall work together to promote international and regional peace and security. 2. The Parties shall jointly promote the peaceful settlement of disputes, including in their respective regions, and encourage the international community to settle any dispute by peaceful means in accordance with international law. Article 4 Crisis management The Parties shall enhance the exchange of views and endeavour to act jointly on issues of common concern in the area of crisis management and peace-building, including by promoting common positions, cooperating with regard to resolutions and decisions in international organisations and fora, supporting national efforts of countries emerging from conflict to achieve sustainable peace and cooperating on crisis management operations and other relevant programmes and projects. Article 5 Weapons of mass destruction 1. The Parties shall cooperate in strengthening the non-proliferation and disarmament regime to prevent the proliferation of weapons of mass destruction and their means of delivery through full compliance with and implementation of their obligations under international law, including relevant international agreements and other international obligations, as applicable to the Parties. 2. The Parties shall promote the Treaty on the Non-Proliferation of Nuclear Weapons, done at the cities of London, Moscow and Washington on 1 July 1968 (hereinafter referred to as ‘the Non-Proliferation Treaty’) which is the essential foundation for the pursuit of nuclear disarmament, the cornerstone of the global nuclear non-proliferation regime, and the basis for the promotion of the peaceful uses of nuclear energy. The Parties shall also pursue policies and continue to contribute actively to global efforts with a view to seeking a safer world for all, underlining the importance of addressing all challenges to the non-proliferation and disarmament regime and the need to uphold and strengthen the Non-Proliferation Treaty, and to create the conditions for a world without nuclear weapons, in accordance with the goals of the Non-Proliferation Treaty in a way that promotes international stability, and based on the principle of undiminished security for all. 3. The Parties shall continue to counter the proliferation of weapons of mass destruction and their means of delivery, notably by developing and maintaining an effective system of export controls of dual-use and weapons-of-mass-destruction-related goods and technologies, including end-use control and effective sanctions for breaches of export controls. 4. The Parties shall maintain and enhance their dialogue in this area to consolidate the Parties' undertakings as set out in this Article. Article 6 Conventional arms, including small arms and light weapons 1. The Parties shall cooperate and coordinate in the area of transfer control of conventional weapons as well as dual-use goods and technologies, at the global, regional, sub-regional and domestic levels with a view to preventing their diversion, to contributing to peace, security and stability, as well as to reducing human suffering at each of those levels. The Parties shall develop and implement their transfer control policies in a responsible manner, inter alia, with due consideration to each other's security concerns at the global level and relating to their respective regions as well as other regions. 2. The Parties, reaffirming their respective commitments to the frameworks of relevant international instruments, such as the Arms Trade Treaty, done at New York on 2 April 2013, the United Nations Programme of Action to Prevent, Combat and Eradicate the Illicit Trade in Small Arms and Light Weapons in All Its Aspects and relevant resolutions of the United Nations, shall cooperate and, where appropriate, coordinate under those instruments to regulate international trade and to prevent and eradicate illicit trade in and diversion of conventional arms, including small arms and light weapons, as well as ammunitions. The cooperation in accordance with this paragraph shall, where appropriate, include promoting the universalisation, and supporting the full implementation of those frameworks in third countries. 3. The Parties shall maintain and enhance dialogue that will accompany and consolidate their undertakings in accordance with this Article. Article 7 Serious crimes of international concern and the International Criminal Court 1. The Parties shall cooperate to promote the investigation and prosecution of serious crimes of international concern, including through the International Criminal Court and, where appropriate, tribunals established in accordance with the relevant resolutions of the United Nations. 2. The Parties shall cooperate in promoting the objectives of the Rome Statute of the International Criminal Court, done at Rome on 17 July 1998 (hereinafter referred to as ‘the Statute’). To this end they shall: (a) continue to promote the universality of the Statute, including, where appropriate, by sharing experiences in the adoption of measures required for its conclusion and implementation; (b) safeguard the integrity of the Statute by protecting its core principles; and (c) work together to further enhance the effectiveness of the International Criminal Court. Article 8 Counter-terrorism 1. The Parties shall work together at the bilateral, regional and international levels to prevent and combat acts of terrorism in all its forms and manifestations in accordance with applicable international law, including international counter-terrorism-related agreements, international humanitarian law and international human rights law, as applicable to the Parties, and the principles of the Charter of the United Nations. 2. The Parties shall enhance cooperation taking into account the United Nations Global Counter-Terrorism Strategy and relevant resolutions of the United Nations Security Council. 3. The Parties shall promote dialogue and exchange of information and views as regards all acts of terrorism, and methods and practices thereof, while respecting the protection of privacy and personal data in accordance with international law and their respective laws and regulations. Article 9 Chemical, biological, radiological and nuclear risk mitigation 1. The Parties shall enhance cooperation in the prevention of, reduction of, control of and response to chemical, biological, radiological and nuclear risks. 2. The Parties shall enhance cooperation with a view to strengthening institutional capacities in third countries to manage chemical, biological, radiological and nuclear risks. Article 10 International and regional cooperation and reform of the United Nations 1. The Parties shall endeavour, in support of their commitment to effective multilateralism, to exchange views and enhance cooperation and, where appropriate, to coordinate their positions in the frameworks of the United Nations and of other international and regional organisations and fora. 2. The Parties shall cooperate to promote the reform of the United Nations in order to strengthen the efficiency, effectiveness, transparency, accountability, capacity and representativeness of the whole United Nations system, including the Security Council. Article 11 Development policy 1. The Parties shall enhance the exchange of views on development policies, including through regular dialogue, and, where appropriate, coordinate their specific policies on sustainable development and poverty eradication at the global level. 2. The Parties shall, where appropriate, coordinate their positions on development issues in international and regional fora. 3. The Parties shall endeavour to further encourage the exchange of information and cooperation between their respective development agencies and departments and, where appropriate, coordination of in-country activities. 4. The Parties shall also endeavour, in the area of development assistance, to exchange information, best practices and experiences and to cooperate with a view to curbing illicit financial flows as well as preventing and combating irregularities, fraud, corruption and other illegal activities affecting their and recipient countries' financial interests at all levels. Article 12 Disaster management and humanitarian action 1. The Parties shall enhance cooperation and, where appropriate, promote coordination at the bilateral, regional and international levels in the prevention of, mitigation of, preparedness for, response to and recovery from disasters in order to reduce the risk of disasters and to increase resilience in this field. 2. The Parties shall endeavour to cooperate in humanitarian actions, including emergency relief operations, with a view to providing effective coordinated responses. Article 13 Economic and financial policy 1. The Parties shall enhance the exchange of information and experiences with a view to promoting close bilateral and multilateral policy coordination to support their shared objectives of sustainable and balanced growth, fostering job creation, countering excessive macroeconomic imbalances and combating all forms of protectionism. 2. The Parties shall enhance the exchange of information on their financial policies and regulations, with a view to strengthening cooperation to ensure financial stability and fiscal sustainability, including by improving regulatory and supervisory regimes for accounting, auditing, banking, insurance, financial markets and other parts of the financial sector, in support of the work currently undertaken in relevant international organisations and fora. Article 14 Science, technology and innovation Based on the Agreement between the European Community and the Government of Japan on Cooperation in Science and Technology, done at Brussels on 30 November 2009, as may be amended, the Parties shall enhance cooperation in the area of science, technology and innovation with special emphasis on priorities of mutual interest. Article 15 Transport 1. The Parties shall seek cooperation by enhancing the exchange of information and dialogue on transport policies, practices and other areas of mutual interest in all modes of transport and coordinate, where appropriate, their positions in international transport fora. 2. The areas of cooperation referred to in paragraph 1 shall include: (a) the aviation sector, such as aviation safety, aviation security, air traffic management and other relevant regulations with the objective to facilitate broader and mutually beneficial air transport relations, including, where appropriate, by pursuing technical and regulatory cooperation and further agreements based on mutual interest and consent; (b) the maritime transport sector; and (c) the railway sector. Article 16 Outer space 1. The Parties shall enhance the exchange of views and information on their respective space policies and activities. 2. The Parties shall endeavour to cooperate, where appropriate, including through regular dialogue, in the exploration and peaceful uses of outer space, including in the mutual compatibility of their navigation satellite systems, earth observation and monitoring, climate change, space science and technologies, security aspects of space activities and other areas of mutual interest. Article 17 Industrial cooperation 1. The Parties shall promote industrial cooperation to improve the competitiveness of their enterprises. To this end, they shall enhance the exchange of views and best practices on their respective industrial policies in areas such as innovation, climate change, energy efficiency, standardisation, corporate social responsibility, and the improvement of the competitiveness of and support for the internationalisation of small- and medium-sized enterprises. 2. The Parties shall facilitate cooperation activities established by their public and private sectors with a view to improving the competitiveness and cooperation of their respective enterprises, including through dialogue between them. Article 18 Customs The Parties shall enhance cooperation in the area of customs, including facilitation of legitimate trade, while ensuring effective customs control and compliance with customs laws and regulations, as based on the Agreement between the European Community and the Government of Japan on Cooperation and Mutual Administrative Assistance in Customs Matters, done at Brussels on 30 January 2008, as may be amended. They shall also exchange views and cooperate in relevant international frameworks. Article 19 Taxation With a view to promoting good governance in tax matters, the Parties shall endeavour to enhance cooperation in line with internationally established tax standards, in particular by encouraging third countries to enhance transparency, ensure exchange of information and eliminate harmful tax practices. Article 20 Tourism The Parties shall enhance cooperation regarding sustainable development of tourism and enhancement of competitiveness of tourism industries, which can contribute to economic growth, cultural exchange and people-to-people exchange. Article 21 Information society The Parties shall exchange views on their respective policies and regulations in the area of information and communications technologies to enhance cooperation on key issues, including: (a) electronic communications, including internet governance and online safety and security; (b) interconnection of research network, including in a regional context; (c) promotion of research and innovation activities; and (d) standardisation and dissemination of new technologies. Article 22 Consumer policy The Parties shall promote dialogue and exchange of views on policies and laws and regulations aiming at a high level of consumer protection and enhance cooperation in key areas, including product safety, enforcement of consumer laws and regulations, and consumer education, empowerment and redress. Article 23 Environment 1. The Parties shall enhance the exchange of views, information and best practices, on environmental policies and regulations, and enhance cooperation in areas such as: (a) efficient use of resources; (b) biological diversity; (c) sustainable consumption and production; (d) technologies, goods and services that support environmental protection; (e) conservation and sustainable management of forests, including, where appropriate, illegal logging; and (f) other areas decided under the relevant policy dialogue. 2. The Parties shall endeavour to enhance cooperation in the frameworks of relevant international agreements and instruments, as applicable to the Parties, as well as in international fora. Article 24 Climate change 1. The Parties, recognising the need for an urgent, deep and sustained reduction in global emissions of greenhouse gases so as to hold the increase in global average temperature to well below 2 °C above pre-industrial levels and to pursue efforts to limit the temperature increase to 1,5 °C above pre-industrial levels, will take the lead in combating climate change and the adverse effects thereof, including through domestic and international actions to reduce anthropogenic greenhouse gas emissions. The Parties shall cooperate, where appropriate, under the United Nations Framework Convention on Climate Change, done at New York on 9 May 1992 to achieve the objective of that Convention, in implementing the Paris Agreement, done at Paris on 12 December 2015, and to strengthen the multilateral legal frameworks. They shall also seek to enhance cooperation in other relevant international fora. 2. The Parties shall, with a view to promoting sustainable development, also seek cooperation by enhancing the exchange of information and best practices and, where appropriate, promoting coordination of policies, on issues of mutual interest in the area of climate change, including issues such as: (a) mitigation of climate change through various measures such as research and development of low-carbon technology, market-based mechanisms and reduction of short-lived climate pollutants; (b) adaptation to the adverse effects of climate change; and (c) assistance to third countries. Article 25 Urban policy The Parties shall enhance the exchange of experiences and good practices in the area of urban policies, in particular to address common challenges in this area, including those arising from demographic dynamics and climate change. The Parties shall also encourage, where appropriate, such exchange of experiences and good practices among their local governments or city authorities. Article 26 Energy The Parties shall endeavour to enhance cooperation and, where appropriate, close coordination in international organisations and fora, in the area of energy, including energy security, global energy trade and investment, the functioning of global energy markets, energy efficiency and energy-related technologies. Article 27 Agriculture 1. The Parties shall enhance cooperation on policies on agriculture, rural development and forest management, including sustainable agriculture, food security, integration of environmental requirements into agricultural policies, development policies for rural areas, promotion and quality policies for agricultural food products, including geographical indications, organic production, international agricultural outlook, sustainable forest management and links between policies on sustainable agriculture, rural development and forestry, and policies on environment and climate change. 2. The Parties shall enhance cooperation on research and innovation in the area of agriculture and forest management. Article 28 Fisheries 1. The Parties shall promote dialogue and enhance cooperation on fisheries policies in accordance with the precautionary and ecosystem approaches, with a view to promoting long-term conservation, effective management and sustainable use of fishery resources based on the best scientific information available. 2. The Parties shall enhance the exchange of views and information and promote international cooperation to prevent, deter and eliminate illegal, unreported and unregulated fishing. 3. The Parties shall strengthen cooperation within the relevant regional fisheries management organisations. Article 29 Maritime affairs In accordance with international law, as reflected in the United Nations Convention on the Law of the Sea, done at Montego Bay on 10 December 1982 (hereinafter referred to as ‘UNCLOS’), the Parties shall promote dialogue, enhance mutual understanding on maritime affairs and work together to promote: (a) the rule of law in this area, including freedoms of navigation and overflight and the other freedoms of the high seas as reflected in Article 87 of UNCLOS; and (b) long-term conservation, sustainable management and better knowledge of ecosystems and non-living resources of the seas and oceans in accordance with applicable international law. Article 30 Employment and social affairs 1. The Parties shall enhance cooperation in the area of employment, social affairs and decent work, such as employment policies and social security systems in the context of the social dimension of globalisation and demographic changes, through the exchange of views and experiences and, where appropriate, cooperation activities on issues of common interest. 2. The Parties shall endeavour to respect, promote and realise internationally recognised labour and social standards and promote decent work on the basis of their respective commitments to relevant international instruments, such as the International Labour Organization Declaration on Fundamental Principles and Rights at Work, adopted on 18 June 1998, and the International Labour Organization Declaration on Social Justice for a Fair Globalization, adopted on 10 June 2008. Article 31 Health The Parties shall enhance the exchange of views, information and experiences in the area of health to effectively address cross-border health problems, in particular by cooperating in the prevention and control of communicable and non-communicable diseases, including by promoting, where appropriate, international health agreements. Article 32 Judicial cooperation 1. The Parties shall enhance judicial cooperation on civil and commercial matters, in particular as regards the promotion and effectiveness of conventions on civil judicial cooperation. 2. The Parties shall enhance judicial cooperation on criminal matters based on the Agreement between the European Union and Japan on Mutual Legal Assistance in Criminal Matters, signed at Brussels on 30 November 2009 and at Tokyo on 15 December 2009, as may be amended. Article 33 Combating corruption and organised crime The Parties shall enhance cooperation in preventing and combating corruption and transnational organised crime, including trafficking in firearms and economic and financial crime, including through, where appropriate, promoting relevant international agreements. Article 34 Combating money laundering and financing of terrorism The Parties shall enhance cooperation, including through the exchange of information, in preventing their respective financial systems from being used for laundering of proceeds of crime and for the financing of terrorism, taking into account universally recognised standards under relevant international bodies, such as the Financial Action Task Force. Article 35 Combating illicit drugs The Parties shall enhance cooperation in preventing and combating illicit drugs with a view to: (a) reducing the supply of, trafficking in and demand for illicit drugs; (b) preventing the diversion of precursors used for the purpose of illicit manufacture of narcotic drugs or psychotropic substances; (c) protecting public health and welfare; and (d) dismantling the transnational criminal networks involved in drug trafficking, in particular to prevent their penetration of legitimate commercial and financial business, inter alia, through the exchange of information, and best practices. Article 36 Cooperation on cyber issues 1. The Parties shall enhance the exchange of views and information on their respective policies and activities on cyber issues, and shall encourage such exchange of views and information in international and regional fora. 2. The Parties shall enhance cooperation in order to promote and protect human rights and free flow of information to the maximum extent possible in cyberspace. For this purpose, and based on the understanding that international law applies in cyberspace, they shall cooperate, where appropriate, in establishing and developing international norms and promoting confidence building in cyberspace. 3. The Parties shall cooperate, where appropriate, to enhance the ability of third countries to strengthen their cybersecurity and to fight against cybercrime. 4. The Parties shall enhance cooperation in preventing and combating cybercrime, including the distribution of illegal content via the internet. Article 37 Passenger name records The Parties shall endeavour to use, to the extent consistent with their respective laws and regulations, available tools, such as passenger name records, to prevent and combat acts of terrorism and serious crimes, while respecting the right to privacy and the protection of personal data. Article 38 Migration 1. The Parties shall promote dialogue on the policies in the area of migration, such as legal migration, irregular immigration, trafficking in persons, asylum and border management, including visas and travel document security, taking into account the socioeconomic realities of migration. 2. The Parties shall enhance cooperation in order to prevent and control irregular immigration, including by ensuring the readmission of their nationals without undue delay and providing them with appropriate travel documents. Article 39 Personal data protection The Parties shall enhance cooperation with a view to ensuring a high level of protection of personal data. Article 40 Education, youth and sport 1. The Parties shall enhance the exchange of views and information on their policies in the areas of education, youth and sport. 2. The Parties shall encourage, where appropriate, cooperative activities in the areas of education, youth and sport, such as joint programmes, exchanges of persons, and exchange of knowledge and experiences. Article 41 Culture 1. The Parties shall endeavour to enhance the exchange of persons engaging in cultural activities and of works of art and to carry out, where appropriate, joint initiatives in various cultural areas, including audiovisual works such as films. 2. The Parties shall encourage dialogue and cooperation between their respective civil societies and institutions in cultural sectors to enhance mutual awareness and understanding. 3. The Parties shall endeavour to cooperate on issues of mutual interest in relevant international fora, in particular the United Nations Educational, Scientific and Cultural Organization, in order to pursue common objectives and to promote cultural diversity and the protection of cultural heritage. Article 42 Joint Committee 1. A Joint Committee made up of representatives of the Parties is hereby established. The Joint Committee shall be co-chaired by the representatives of the Parties. 2. The Joint Committee shall: (a) coordinate the overall partnership which is built upon this Agreement; (b) request, where appropriate, information from committees or other bodies established under other agreements or arrangements between the Parties and exchange views on issues of common interest; (c) decide on additional areas of cooperation that are not listed in this Agreement provided that they are consistent with the aims of this Agreement; (d) ensure the proper functioning and the effective implementation of this Agreement; (e) endeavour to resolve any dispute arising from the interpretation, application or implementation of this Agreement; (f) be a forum to explain any relevant modification of policies, programmes or competences relevant to this Agreement; and (g) make recommendations and adopt decisions, where appropriate, and facilitate specific aspects of cooperation based on this Agreement. 3. The Joint Committee shall take decisions by consensus. 4. The Joint Committee shall normally meet once a year in Tokyo and Brussels alternately. It shall also meet at the request of either Party. 5. The Joint Committee shall adopt its rules of procedure. Article 43 Dispute settlement 1. The Parties shall take any general or specific actions required to fulfil their obligations under this Agreement, based on the principles of mutual respect, equal partnership and respect for international law. 2. If any dispute arises concerning the interpretation, application or implementation of this Agreement, the Parties shall strengthen their efforts to consult and cooperate with each other to resolve the dispute in a timely and amicable manner. 3. If a dispute cannot be resolved in accordance with paragraph 2, either Party may request that the dispute be referred to the Joint Committee for further discussion and study. 4. The Parties consider that a particularly serious and substantial violation of the obligations described in paragraph 1 of Article 2 and paragraph 1 of Article 5, which respectively constitutes an essential element of the basis of the cooperation under this Agreement, with its gravity and nature being of an exceptional sort that threatens peace and security and has international repercussion, may be addressed as a case of special urgency. 5. In the unlikely and unexpected event that a case of special urgency as referred to in paragraph 4 occurs within the territory of either Party, the Joint Committee shall hold an urgent consultation within 15 days upon the request of the other Party. In case the Joint Committee is unable to reach a mutually acceptable solution, it shall convene urgently at ministerial level on that matter. 6. In a case of special urgency where no mutually acceptable solution has been found at ministerial level, the Party which made the request referred to in paragraph 5 may decide to suspend the provisions of this Agreement in accordance with international law. In addition, the Parties note that the Party which made the request referred to in paragraph 5 may take other appropriate measures outside the framework of this Agreement, in accordance with international law. The Party shall immediately notify the other Party, in writing, of its decision and shall apply that decision for the minimum period of time necessary to resolve the issue in a manner acceptable to the Parties. 7. The Parties shall keep under constant review the development of the case of special urgency which has prompted the decision to suspend the provisions of this Agreement. The Party invoking the suspension of the provisions of this Agreement shall withdraw it as soon as warranted, and in any case as soon as a case of special urgency no longer exists. 8. This Agreement shall not affect or prejudice the interpretation or application of other agreements between the Parties. In particular, the dispute settlement provisions of this Agreement shall not replace or affect in any way the dispute settlement provisions of other agreements between the Parties. Article 44 Miscellaneous Cooperation and actions under this Agreement shall be implemented in accordance with the respective laws and regulations of the Parties. Article 45 Definition of the Parties For the purposes of this Agreement, the term ‘the Parties’ means the Union or its Member States, or the Union and its Member States, in accordance with their respective competences, on the one hand, and Japan, on the other. Article 46 Disclosure of information Nothing in this Agreement shall be construed as requiring either Party to provide information, the disclosure of which it considers contrary to its essential security interests. Article 47 Entry into force and application pending entry into force 1. This Agreement shall be ratified by Japan and approved or ratified by the Union Party, in accordance with their respective applicable legal procedures. The instrument of ratification by Japan and the instrument confirming the completion of approval and ratification by the Union Party shall be exchanged at Tokyo. This Agreement shall enter into force on the first day of the second month following the date of exchange of the instruments. 2. Notwithstanding paragraph 1, the Union and Japan shall apply the provisions of Articles 1, 2, 3 and 4, paragraph 1 of Article 5, Articles 11, 12, 13, 14, 15 (with the exception of paragraph 2(b)), 16, 17, 18, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31 and 37, paragraph 1 of Article 38, Articles 39, 40, 41, 42 (with the exception of paragraph 2(c)), 43, 44, 45, 46 and 47, paragraph 3 of Article 48, and Articles 49, 50 and 51 of this Agreement pending its entry into force. Such application shall commence on the first day of the second month following the date on which Japan has notified the Union of the completion of ratification by Japan, or the date on which the Union has notified Japan of the completion of the applicable legal procedure necessary for that purpose, whichever is later. The notifications shall be made by diplomatic notes. 3. The provisions of this Agreement that are to be applied pending the entry into force of this Agreement in accordance with paragraph 2 shall have the same legal effect as if this Agreement were in force between the Parties. Article 48 Termination 1. This Agreement shall remain in force unless terminated pursuant to paragraph 2. 2. Either Party may notify, in writing, the other Party of its intention to terminate this Agreement. The termination shall take effect six months after the date of receipt of that notification by the other Party. 3. Either Party may notify, in writing, the other Party of its intention to terminate the application pending entry into force provided for in paragraph 2 of Article 47. The termination shall take effect six months after the date of receipt of that notification by the other Party. Article 49 Future accessions to the Union 1. The Union shall inform Japan of any request for accession of a third country to the Union. 2. The Parties shall discuss, including through the framework of the Joint Committee, any implications that the accession of the third country to the Union may have for this Agreement. 3. The Union shall inform Japan of the signing and entry into force of a treaty concerning the accession of a third country to the Union. Article 50 Territorial application This Agreement shall apply, on the one hand, to the territories in which the Treaty on European Union and the Treaty on the Functioning of the European Union are applied under the conditions laid down in those Treaties and, on the other hand, to the territory of Japan. Article 51 Authentic texts This Agreement is drawn up in duplicate in the Bulgarian, Croatian, Czech, Danish, Dutch, English, Estonian, Finnish, French, German, Greek, Hungarian, Italian, Latvian, Lithuanian, Maltese, Polish, Portuguese, Romanian, Slovak, Slovenian, Spanish, Swedish and Japanese languages, each text being equally authentic. In case of divergence between the texts of this Agreement, the Parties shall refer the matter to the Joint Committee. IN WITNESS WHEREOF, the undersigned, duly authorised to this effect, have signed this Agreement. Съставено в Токио на седемнадесети юли две хиляди и осемнадесета година. Hecho en Tokio, el diecisiete de julio de dos mil dieciocho. V Tokiu dne sedmnáctého července dva tisíce osmnáct. Udfærdiget i Tokyo den syttende juli to tusind og atten. Geschehen zu Tokyo am siebzehnten Juli zweitausendachtzehn. Kahe tuhande kaheksateistkümnenda aasta juulikuu seitsmeteistkümnendal päeval Tōkyōs. Έγινε στο Τόκιο, στις δεκαεπτά Ιουλίου δύο χιλιάδες δεκαοκτώ. Done at Tokyo on the seventeenth day of July in the year two thousand and eighteen. Fait à Tokyo, le dix-sept juillet deux mille dix-huit. Sastavljeno u Tokiju sedamnaestog srpnja godine dvije tisuće osamnaeste. Fatto a Tokyo, addì diciassette luglio duemiladiciotto. Tokijā, divtūkstoš astoņpadsmitā gada septiņpadsmitajā jūlijā. Priimta du tūkstančiai aštuonioliktų metų liepos septynioliktą dieną Tokijuje. Kelt Tokióban, a kétezer-tizennyolcadik év július havának tizenhetedik napján. Magħmul f'Tokyo fis-sbatax-il jum ta' Lulju fis-sena elfejn u tmintax. Gedaan te Tokio, zeventien juli tweeduizend achttien. Sporządzono w Tokio dnia siedemnastego lipca roku dwa tysiące osiemnastego. Feito em Tóquio aos dezassete dias do mês de julho de dois mil e dezoito. Întocmit la Tokyo la șaptesprezece iulie două mii optsprezece. V Tokiu sedemnásteho júla dvetisícosemnásť. V Tokiu, sedemnajstega julija leta dva tisoč osemnajst. Tehty Tokiossa seitsemäntenätoista päivänä heinäkuuta vuonna kaksituhattakahdeksantoista. Som skedde i Tokyo den sjuttonde juli år tjugohundraarton. Voor het Koninkrijk België Pour le Royaume de Belgique Für das Königreich Belgien Deze handtekening verbindt eveneens de Vlaamse Gemeenschap, de Franse Gemeenschap, de Duitstalige Gemeenschap, het Vlaamse Gewest, het Waalse Gewest en het Brussels Hoofdstedelijk Gewest. Cette signature engage également la Communauté française, la Communauté flamande, la Communauté germanophone, la Région wallonne, la Région flamande et la Région de Bruxelles-Capitale. Diese Unterschrift bindet zugleich die Deutschsprachige Gemeinschaft, die Flämische Gemeinschaft, die Französische Gemeinschaft, die Wallonische Region, die Flämische Region und die Region Brüssel-Hauptstadt. За Република България Za Českou republiku For Kongeriget Danmark Für die Bundesrepublik Deutschland Eesti Vabariigi nimel Thar cheann Na hÉireann For Ireland Για την Ελληνική Δημοκρατία Por el Reino de España Pour la République française Za Republiku Hrvatsku Per la Repubblica italiana Για την Κυπριακή Δημοκρατία Latvijas Republikas vārdā – Lietuvos Respublikos vardu Pour le Grand-Duché de Luxembourg Magyarország részéről Għar-Repubblika ta' Malta Voor het Koninkrijk der Nederlanden Für die Republik Österreich W imieniu Rzeczypospolitej Polskiej Pela República Portuguesa Pentru România Za Republiko Slovenijo Za Slovenskú republiku Suomen tasavallan puolesta För Republiken Finland För Konungariket Sverige For the United Kingdom of Great Britain and Northern Ireland За Европейския съюз Рог la Unión Europea Za Evropskou unii For Den Europæiske Union Für die Europäische Union Euroopa Liidu nimel Για την Ευρωπαϊκή Ένωση For the European Union Pour l'Union européenne Za Europsku uniju Per l'Unione europea Eiropas Savienības vārdā – Europos Sąjungos vardu Az Európai Unió részéről Għall-Unjoni Ewropea Voor de Europese Unie W imieniu Unii Europejskiej Pela União Europeia Pentru Uniunea Europeană Za Európsku úniu Za Evropsko unijo Euroopan unionin puolesta För Europeiska unionen

Summary: EU-Japan Strategic Partnership Agreement EU-Japan Strategic Partnership Agreement SUMMARY OF: Decision (EU) 2018/1197 on the signing, on behalf of the EU, and provisional application of the Strategic Partnership Agreement between the EU and the EU countries and Japan Strategic Partnership Agreement between the EU and the EU countries, on the one hand, and Japan, of the other WHAT IS THE AIM OF THE DECISION AND OF THE STRATEGIC PARTNERSHIP AGREEMENT (SPA)? The SPA is the first-ever bilateral framework agreement between the EU and Japan. It aims to ensure closer political and economic cooperation on a whole host of bilateral, regional and multilateral issues. Alongside specific policy areas, the SPA confirms the partners’ commitment to preserve international peace and security, and promote shared democratic values and principles. The decision enables the signing of the SPA on behalf of the EU. KEY POINTS The wide-ranging SPA covers cooperation on: promoting peace and security, democracy, rule of law, human rights, fundamental freedoms, regional and interregional cooperation and reform of the United Nations; tackling: weapons of mass destruction,serious international crimes,terrorism (including its financing),chemical, biological, radiological and nuclear risks,illegal trade in small arms,corruption and organised crime,money laundering,illicit drugs, andcybercrime; supporting crisis and disaster management, humanitarian activities, sustainable development and poverty eradication; cooperating in a number of domestic policy areas such as economic, financial and judicial affairsscience, technology and innovationcustoms, taxation, energy, agriculture and employment; exchanging views, information and best practice on issues ranging from climate change and outer space to the information society and the environment. The SPA provides for: a joint committee to coordinate the overall partnership; a dispute settlement procedure. FROM WHEN DOES THE SPA APPLY? Given the importance of implementing the SPA as soon as possible, the EU and Japan agreed to apply a number of the SPA’s articles provisionally pending its entry into force. These articles cover: areas including promotion of peace and security; policies such as transport, tourism and the environment; and the creation of a joint committee. The SPA will enter into force after ratification procedures by EU countries are completed and the European Parliament has given its consent. BACKGROUND In parallel to the negotiations on the SPA, the EU and its EU countries opened negotiations for an economic partnership agreement with Japan on 29 November 2012. These began in April 2013 and the contents of the first-ever bilateral framework agreement between the EU and Japan were finalised in April 2018. On 26 June 2018, the Council of the EU authorised the signing of the strategic partnership agreement on behalf of the EU. The SPA was signed by the EU and Japan at the 25th EU-Japan summit in Tokyo on 17 July 2018. The EU-Japan Economic Partnership Agreement was also signed in Tokyo on 17 July 2018. For more information, see: EU and Japan conclude negotiations for Strategic Partnership Agreement (European External Action Service) EU-Japan Strategic Partnership Agreement — factsheet (European External Action Service). MAIN DOCUMENTS Council Decision (EU) 2018/1197 of 26 June 2018 on the signing, on behalf of the European Union, and provisional application of the Strategic Partnership Agreement between the European Union and its Member States, of the one part, and Japan, of the other part (OJ L 216, 24.8.2018, pp. 1-3) Strategic Partnership Agreement between the European Union and its Member States, of the one part, and Japan, of the other part (OJ L 216, 24.8.2018, pp. 4-22) RELATED DOCUMENTS Council Decision (EU) 2018/966 of 6 July 2018 on the signing, on behalf of the European Union, of the Agreement between the European Union and Japan for an Economic Partnership (OJ L 174, 10.7.2018, p. 1) Consolidated version of the Treaty on European Union — Title V — General provisions on the Union’s external action and specific provisions on the common foreign and security policy — Chapter 2 — Specific provisions on the common foreign and security policy — Section 1 — Common provisions — Article 37 (ex Article 24 TEU) (OJ C 202, 7.6.2016, p. 36) Consolidated version of the Treaty on the Functioning of the European Union — Part Five — The Union’s external action — Title III — Cooperation with third countries and humanitarian aid — Chapter 2 — Economic, financial and technical cooperation with third countries — Article 212 (ex Article 181a TEC) (OJ C 202, 7.6.2016, p. 142) last update 14.12.2018


19.10.2020 EN Official Journal of the European Union L 344/22 COUNCIL DECISION (EU) 2020/1512 of 13 October 2020 on guidelines for the employment policies of the Member States THE COUNCIL OF THE EUROPEAN UNION, Having regard to the Treaty on the Functioning of the European Union, and in particular Article 148(2) thereof, Having regard to the proposal from the European Commission, Having regard to the opinion of the European Parliament (1), Having regard to the opinion of the European Economic and Social Committee (2), After consulting the Committee of the Regions, Having regard to the opinion of the Employment Committee (3), Whereas: (1) Member States and the Union are to work towards developing a coordinated strategy for employment and particularly for promoting a skilled, trained and adaptable workforce, as well as labour markets that are future-oriented and responsive to economic change, with a view to achieving the objectives of full employment and social progress, balanced growth, a high level of protection and improvement of the quality of the environment laid down in Article 3 of the Treaty on European Union. Member States are to regard promoting employment as a matter of common concern and are to coordinate their action in this respect within the Council, taking into account national practices related to the responsibilities of management and labour. (2) The Union is to combat social exclusion and discrimination and promote social justice and protection, as well as equality between women and men, solidarity between generations and the protection of the rights of the child. In defining and implementing its policies and activities, the Union is to take into account requirements linked to the promotion of a high level of employment, the guarantee of adequate social protection, the fight against poverty and social exclusion, a high level of education and training and protection of human health as laid down in Article 9 of the Treaty on the Functioning of the European Union (TFEU). (3) In accordance with the TFEU, the Union has developed and implemented policy coordination instruments for economic and employment policies. As part of these instruments, the Guidelines for the Employment Policies of the Member States (the ‘Guidelines’) set out in the Annex to this Decision, together with the Broad Guidelines for the Economic Policies of the Member States and of the Union set out in Council Recommendation (EU) 2015/1184 (4), form the Integrated Guidelines. They are to guide policy implementation in the Member States and in the Union, reflecting the interdependence between the Member States. The resulting set of coordinated European and national policies and reforms are to constitute an appropriate overall sustainable economic and employment policy mix, which should achieve positive spill-over effects. (4) The Guidelines are consistent with the Stability and Growth Pact, existing Union legislation and various Union initiatives, including Council Recommendation of 22 April 2013 (5) (the ‘Youth Guarantee’),Council Recommendation of 15 February 2016 (6),Council Recommendation of 19 December 2016 (7),Council Recommendation of 15 March 2018 (8),Council Recommendation of 22 May 2018 on Key Competences and Lifelong Learning (9),Council Recommendation of 22 May 2019 (10),Council Recommendation of 8 November 2019 (11) and Council Recommendation of 10 March 2014 (12). (5) The European Semester combines the different instruments in an overarching framework for integrated multilateral coordination and surveillance of economic and employment policies. While pursuing environmental sustainability, productivity, fairness and stability, the European Semester integrates the principles of the European Pillar of Social Rights, including strong engagement with social partners, civil society and other stakeholders. It supports the delivery of the Sustainable Development Goals. The Union’s and Member States’ employment and economic policies should go hand in hand with Europe’s transition to a climate neutral, environmentally sustainable and digital economy, improving competitiveness, fostering innovation, promoting social justice and equal opportunities, as well as tackling inequalities and regional disparities. (6) Climate change and environmental related challenges, globalisation, digitalisation and demographic change will transform European economies and societies. The Union and its Member States should work together to effectively address these structural factors and adapt existing systems as needed, recognising the close interdependence of the Member States’ economies and labour markets, and related policies. This requires a coordinated, ambitious and effective policy action at both Union and national levels, in accordance with the TFEU and the Union’s provisions on economic governance. Such policy action should encompass a boost in sustainable investment, a renewed commitment to appropriately sequenced structural reforms that improve productivity, economic growth, social and territorial cohesion, upward convergence, resilience and the exercise of fiscal responsibility. It should combine supply- and demand-side measures, while taking into account their environmental, employment and social impact. (7) The European Parliament, the Council and the Commission proclaimed the European Pillar of Social Rights (13) (the ‘Pillar’). The Pillar sets out twenty principles and rights to support well-functioning and fair labour markets and welfare systems, structured around three categories: equal opportunities and access to the labour market, fair working conditions, and social protection and inclusion. The principles and rights give direction to the Union’s strategy, making sure that the transitions to climate-neutrality and environmental sustainability, digitalisation and demographic change are socially fair and just. The Pillar constitutes a reference framework to monitor the employment and social performance of Member States, to drive reforms at national, regional and local level and to reconcile the ‘social’ and the ‘market’ in today’s modern economy, including by promoting the social economy. (8) Reforms to the labour market, including the national wage-setting mechanisms, should follow national practices of social dialogue and allow the necessary opportunity for a broad consideration of socioeconomic issues, including improvements in sustainability, competitiveness, innovation, job creation, lifelong learning and training policies, working conditions, education and skills, public health and inclusion and real incomes. (9) Member States and the Union should ensure that the social, employment and economic impact of the COVID-19 crisis is mitigated and that the transformations are fair and socially just, strengthening recovery and the drive towards an inclusive and resilient society in which people are protected and empowered to anticipate and manage change, and in which they can actively participate in society and the economy. Discrimination in all its forms should be tackled. Access and opportunities for all should be ensured and poverty and social exclusion, including that of children, should be reduced, in particular by ensuring an effective functioning of labour markets and of social protection systems, and by removing barriers to education, training and labour-market participation, including through investments in early childhood education and care and in digital skills. Timely and equal access to affordable long-term care and healthcare services, including prevention and healthcare promotion, are particularly relevant, in light of the COVID-19 crisis and in a context of ageing societies. The potential of people with disabilities to contribute to economic growth and social development should be further realised. As new economic and business models take hold in Union workplaces, employment relationships are also changing. Member States should ensure that employment relationships stemming from new forms of work maintain and strengthen Europe’s social model. (10) The Integrated Guidelines should form the basis for country-specific recommendations that the Council may address to the Member States. Member States should make full use of the European Social Fund Plus and other Union funds, including the Just Transition Fund and InvestEU, to foster employment, social investments, social inclusion, accessibility, promote upskilling and reskilling opportunities of the workforce, lifelong learning and high quality education and training for all, including digital literacy and skills. While the Integrated Guidelines are addressed to Member States and the Union, they should be implemented in partnership with all national, regional and local authorities, closely involving parliaments, as well as the social partners and representatives of civil society. (11) The Employment Committee and the Social Protection Committee should monitor how the relevant policies are implemented in light of the guidelines for employment policies, in line with their respective Treaty-based mandates. Those committees and other Council preparatory bodies involved in the coordination of economic and social policies should work closely together. Policy dialogue between the European Parliament, the Council and the Commission should be maintained, in particular as regards the guidelines for the employment policies of the Member States. (12) The Social Protection Committee was consulted, HAS ADOPTED THIS DECISION: Article 1 The Guidelines for the Employment Policies of the Member States (the ‘Guidelines’), as set out in the Annex, are hereby adopted. The Guidelines shall form part of the Integrated Guidelines. Article 2 The Member States shall take the Guidelines into account in their employment policies and reform programmes, which shall be reported in accordance with Article 148(3) TFEU. Article 3 This Decision is addressed to the Member States. Done at Luxembourg, 13 October 2020. For the Council The President M. ROTH (1) Opinion of 10 July 2020 (not yet published in the Official Journal). (2) OJ C 232, 14.7.2020, p. 18. (3) Opinion of 18 September 2020 (not yet published in the Official Journal). (4) Council Recommendation (EU) 2015/1184 of 14 July 2015 on broad guidelines for the economic policies of the Member States and of the European Union (OJ L 192, 18.7.2015, p. 27). (5) Council Recommendation of 22 April 2013 on establishing a Youth Guarantee (OJ C 120, 26.4.2013, p. 1). (6) Council Recommendation of 15 February 2016 on the integration of the long-term unemployed into the labour market (OJ C 67, 20.2.2016, p. 1). (7) Council Recommendation of 19 December 2016 on Upskilling Pathways (OJ C 484, 24.12.2016, p. 1). (8) Council Recommendation of 15 March 2018 on a European Framework for Quality and Effective Apprenticeships (OJ C 153, 2.5.2018, p. 1). (9) Council Recommendation of 22 May 2018 on Key Competences and Lifelong Learning (OJ C 189, 4.6.2018, p. 1). (10) Council Recommendation of 22 May 2019 on High Quality Early Childhood Education and Care System (OJ C 189, 5.6.2019, p. 4). (11) Council Recommendation of 8 November 2019 on Access to Social Protection (OJ C 387, 15.11.2019, p. 1). (12) Council Recommendation of 10 March 2014 on a Quality Framework for Traineeships (OJ C 88, 27.3.2014, p. 1). (13) Interinstitutional Proclamation on the European Pillar of Social Rights (OJ C 428, 13.12.2017, p. 10). ANNEX Guideline 5: Boosting the demand for labour Member States should actively promote a sustainable social market economy and facilitate and support investment in the creation of quality jobs. To that end, they should reduce the barriers that businesses face in hiring people, foster responsible entrepreneurship and genuine self-employment and, in particular, support the creation and growth of micro-, small and medium-sized enterprises, including through access to finance. Member States should actively promote the development of the social economy, foster social innovation and social enterprises, and encourage those innovative forms of work, creating quality job opportunities and generating social benefits at local level. In light of the serious economic and social consequences triggered by the COVID-19 pandemic, well-designed short-time work schemes and similar arrangements should be available to preserve employment, contain job losses and prevent long-term negative effects on the economy, companies and human capital. Well-designed hiring incentives and reskilling measures should be considered in order to support job creation during the recovery. Taxation should be shifted away from labour to other sources more supportive of employment and inclusive growth and in line with climate and environmental objectives, taking account of the redistributive effect of the tax system, while protecting revenue for adequate social protection and growth-enhancing expenditure. Member States, including those having in place national mechanisms for the setting of statutory minimum wages, should ensure an effective involvement of social partners in a transparent and predictable manner, allowing for an adequate responsiveness of wages to productivity developments and providing for fair wages that enable a decent standard of living, while paying particular attention to lower and middle income groups with a view to upward convergence. Wage-setting mechanisms should take into account economic performance across regions and sectors. Member States should promote social dialogue and collective bargaining with a view to wage setting. Respecting national practices and the autonomy of the social partners, Member States and social partners should ensure that all workers have adequate and fair wages by benefitting, directly or indirectly, from collective agreements or adequate statutory minimum wages, taking into account their impact on competitiveness, job creation and in-work poverty. Guideline 6: Enhancing labour supply and improving access to employment, skills and competences In the context of technological and environmental transitions, as well as demographic change, Member States should promote sustainability, productivity, employability and human capital, fostering relevant knowledge, skills and competences throughout people’s lives and responding to current and future labour-market needs. Member States should also adapt and invest in their education and training systems to provide high quality and inclusive education, including vocational education and training, and access to digital learning. Member States should work together with the social partners, education and training providers, enterprises and other stakeholders to address structural weaknesses in education and training systems and improve their quality and labour-market relevance, also with a view to enabling the environmental and digital transitions. Particular attention should be paid to challenges faced by the teaching profession, including by investing in teachers’ digital competences. Education and training systems should equip all learners with key competences, including basic and digital skills as well as transversal competences, to lay the foundations for adaptability and resilience throughout life. Member States should seek to strengthen the provisions on individual training entitlements and ensure their transferability during professional transitions, including, where appropriate, through individual learning accounts. They should enable everyone to anticipate and better adapt to labour-market needs, in particular through continuous upskilling and reskilling and the provision of integrated guidance and counselling, with a view to supporting fair and just transitions for all, strengthening social outcomes, addressing labour-market shortages, improving the overall resilience of the economy to shocks and easing adjustments needed after the COVID-19 crisis. Member States should foster equal opportunities for all by addressing inequalities in education and training systems, including by providing access to good quality early childhood education. They should raise overall education levels, reduce the number of young people leaving school early, increase access to and completion of vocational education and training (VET) and tertiary education as well as increase adult participation in continuing learning, particularly among learners from disadvantaged backgrounds and the least qualified. Taking into account the new requirements of digital, green and ageing societies, Member States should strengthen work-based learning in their VET systems, including through quality, effective apprenticeships, and increase the number of science, technology, engineering and mathematics (STEM) graduates both in VET and in tertiary education, especially women. Furthermore, Member States should: enhance the labour-market relevance of tertiary education and, where appropriate, research; improve skills monitoring and forecasting; make skills more visible and qualifications comparable, including those acquired abroad; and increase opportunities for recognising and validating skills and competences acquired outside formal education and training. They should upgrade and increase the supply and uptake of flexible continuing VET. Member States should also support low-skilled adults to maintain or develop their long-term employability by boosting access to and uptake of quality learning opportunities, through the implementation of Upskilling Pathways, including a skills assessment, an offer of education and training matching labour-market opportunities, and the validation and recognition of the skills acquired. Member States should provide unemployed and inactive people with effective, timely, coordinated and tailor-made assistance based on support for job searches, training, requalification and access to other enabling services, paying particular attention to vulnerable groups and people particularly affected by the green and digital transitions and the COVID-19 crisis. Comprehensive strategies that include in-depth individual assessments of unemployed people should be pursued as soon as possible, at the latest after 18 months of unemployment, with a view to significantly reducing and preventing long-term and structural unemployment. Youth unemployment and the issue of young people not in employment, education or training (NEETs) should continue to be addressed through prevention of early school leaving and structural improvement of the school-to-work transition, including through the full implementation of the Youth Guarantee. Member States should aim to remove barriers and disincentives to, and provide incentives for, participation in the labour market, in particular for low-income earners, second earners and those furthest away from the labour market. Member States should support an adapted work environment for people with disabilities, including through targeted financial support and services that enable them to participate in the labour market and in society. The gender employment and pay gaps should be tackled. Member States should ensure gender equality and increased labour-market participation of women, including through ensuring equal opportunities and career progression and eliminating barriers to participation in leadership at all levels of decision making. Equal pay for equal work, or work of equal value, and pay transparency should be ensured. The reconciliation of work, family and private life for both women and men should be promoted, in particular through access to affordable, quality long-term care and early childhood education and care services. Member States should ensure that parents and other people with caring responsibilities have access to suitable family leave and flexible working arrangements in order to balance work, family and private life, and promote a balanced use of those entitlements between women and men. Guideline 7: Enhancing the functioning of labour markets and the effectiveness of social dialogue In order to benefit from a dynamic and productive workforce and new work patterns and business models, Member States should work together with the social partners on fair, transparent and predictable working conditions, balancing rights and obligations. They should reduce and prevent segmentation within labour markets, fight undeclared work and bogus self-employment, and foster the transition towards open-ended forms of employment. Employment protection rules, labour law and institutions should all provide both a suitable environment for recruitment and the necessary flexibility for employers to adapt swiftly to changes in the economic context, while protecting labour rights and ensuring social protection, an appropriate level of security and healthy, safe and well-adapted working environments for workers, including in light of the risks posed by the COVID-19 crisis. Promoting the use of flexible working arrangements such as teleworking is important to preserve jobs and production in the context of the COVID-19 crisis. Employment relationships that lead to precarious working conditions should be prevented, including in the case of platform workers and by fighting abuse of atypical contracts. Access to effective, impartial dispute resolution and a right to redress, including adequate compensation, should be ensured in cases of unfair dismissal. Policies should aim to improve and support labour-market participation, matching and transitions, including in disadvantaged regions. Member States should effectively activate and enable those who can participate in the labour market. Member States should strengthen the effectiveness of active labour-market policies by increasing their targeting, outreach and coverage and by better linking them with social services and income support for the unemployed, whilst they are seeking work and based on their rights and responsibilities. Member States should aim for more effective and efficient public employment services by ensuring timely and tailor-made assistance to support jobseekers, supporting current and future labour-market needs and implementing performance-based management. Member States should provide the unemployed with adequate unemployment benefits of reasonable duration, in line with their contributions and national eligibility rules. While a temporary relaxation of eligibility requirements and an extension of benefit duration should be considered to mitigate the impact of COVID-19, unemployment benefits should not disincentivise a prompt return to employment and should be accompanied by active labour-market policies The mobility of learners and workers should be adequately supported with the aim of enhancing skills and employability and exploiting the full potential of the European labour market, while also ensuring fair conditions for all those pursuing a cross-border activity and stepping up administrative cooperation between national administrations with regard to mobile workers, benefitting from the assistance of the newly established European Labour Authority. The mobility of workers in critical occupations and of cross-border, seasonal and posted workers should be supported in cases of temporary border closures triggered by the COVID-19 pandemic, subject to public health considerations. Barriers to mobility in education and training, in occupational and personal pensions and in the recognition of qualifications should be removed and recognition of qualifications made easier. Member States should take action to ensure that administrative procedures are not an unnecessary obstacle to workers from other Member States taking up employment, including for cross-border workers. Member States should also prevent abuse of the existing rules and address underlying causes of ‘brain drain’ from certain regions including through appropriate regional development measures. Building on existing national practices, and in order to achieve more effective social dialogue and better socioeconomic outcomes, Member States should ensure the timely and meaningful involvement of the social partners in the design and implementation of employment, social and, where relevant, economic reforms and policies, including by supporting increased capacity of the social partners. Member States should foster social dialogue and collective bargaining. The social partners should be encouraged to negotiate and conclude collective agreements in matters relevant to them, fully respecting their autonomy and the right to collective action. Where relevant, and building on existing national practices, Member States should take into account relevant civil society organisations’ experience of employment and social issues. Guideline 8: Promoting equal opportunities for all, fostering social inclusion and fighting poverty Member States should promote inclusive labour markets, open to all, by putting in place effective measures to fight all forms of discrimination and promote equal opportunities for all, and in particular for groups that are under-represented in the labour market, with due attention to the regional and territorial dimension. They should ensure equal treatment regarding employment, social protection, health and long-term care, education and access to goods and services, regardless of gender, racial or ethnic origin, religion or belief, disability, age or sexual orientation. Member States should modernise social protection systems to provide adequate, effective, efficient and sustainable social protection for all, throughout all stages of life, fostering social inclusion and upward social mobility, incentivising labour-market participation, supporting social investment, fighting poverty and addressing inequalities, including through the design of their tax and benefit systems and by assessing the distributional impact of policies. Complementing universal approaches with selective ones will improve the effectiveness of social protection systems. The modernisation of social protection systems should also aim to improve their resilience to multi-faceted challenges, such as those posed by the COVID-19 outbreak. Member States should develop and integrate the three strands of active inclusion: adequate income support, inclusive labour markets and access to quality enabling services, to meet individual needs. Social protection systems should ensure adequate minimum income benefits for everyone lacking sufficient resources and promote social inclusion by encouraging people to actively participate in the labour market and society, including through targeted provision of social services. The availability of affordable, accessible and quality services such as early childhood education and care, out-of-school care, education, training, housing, and health and long-term care is a necessary condition for ensuring equal opportunities. Particular attention should be given to fighting poverty and social exclusion, including in-work and child poverty, including in relation to the impact of the COVID-19 crisis. Member States should ensure that everyone, including children, has access to essential services. For those in need or in a vulnerable situation, Member States should ensure access to adequate social housing or housing assistance and address energy poverty. The specific needs of people with disabilities, including accessibility, should be taken into account in relation to those services. Homelessness should be tackled specifically. Member States should ensure timely access to affordable preventive and curative health care and long-term care of good quality, while safeguarding sustainability in the long term. In a context of increasing longevity and demographic change, Member States should secure the adequacy and sustainability of pension systems for workers and the self-employed, providing equal opportunities for women and men to acquire pension rights, including through supplementary schemes to ensure an adequate income in old age. Pension reforms should be supported by policies that aim to reduce the gender pension gap and measures that extend working lives, such as by raising the effective retirement age, and should be framed within active ageing strategies. Member States should establish a constructive dialogue with social partners and other relevant stakeholders, and allow an appropriate phasing in of the reforms.

Summary: Guidelines on employment policies Guidelines on employment policies SUMMARY OF: Decision (EU) 2020/1512 on guidelines for the employment policies of the EU countries WHAT IS THE AIM OF THE GUIDELINES? They provide guidance for European Union (EU) countries when drafting their employment policies and setting national targets, to ensure coordinated EU policies. KEY POINTS The four employment guidelines (prescribed in Article 148 of the Treaty on the Functioning of the EU (TFEU)) form part of the 10 integrated guidelines, which also feature six broad economic policy guidelines (Article 121 of the TFEU). Whilst the broad economic policy guidelines remain valid for any duration of time, the employment guidelines need to be drawn up each year. The latter were first adopted together (‘integrated package’) in 2010, underpinning the Europe 2020 strategy. The employment guidelines are aligned with the European Pillar of Social Rights, integrate the four dimensions of the annual sustainable growth strategy and, in particular, for the first time, integrate the environmental sustainability dimension, reflecting the ‘strong social Europe for just transitions’ narrative. They also integrate the UN sustainable development goals (SDGs) and address the consequences of the COVID-19 pandemic. The 2020 guidelines focus on the following. Boosting the demand for labour EU countries should take a number of steps, including: actively promoting a sustainable social market economy and facilitating and supporting investment in the creation of quality jobs; shifting taxation away from labour to other sources that are more supportive of employment and inclusive growth and are in line with climate and environmental objectives; ensuring that all workers have adequate and fair wages by benefiting, directly or indirectly, from collective agreements or adequate statutory minimum wages. Enhancing labour supply and improving access to employment, skills and competences EU countries should: promote sustainability, productivity, employability and human capital, fostering relevant knowledge, skills and competences throughout people’s lives and responding to current and future labour-market needs; foster equal opportunities for all by addressing inequalities in education and training systems; provide unemployed and inactive people with effective, timely, coordinated and tailor-made assistance; support an adapted work environment for people with disabilities; tackle the gender employment and pay gaps. Enhancing the functioning of labour markets and the effectiveness of social dialogue EU countries should: work with the social partners on fair, transparent and predictable working conditions, balancing rights and obligation; effectively activate and enable those who can participate in the labour market; provide adequate unemployment benefits of reasonable duration, in line with their contributions and national eligibility rules; adequately support the mobility of learners and workers with the aim of enhancing skills and employability and exploiting the full potential of the European labour market; ensure the timely and meaningful involvement of social partners in the design and implementation of employment, social and, where relevant, economic reforms and policies. Promoting equal opportunities for all, fostering social inclusion and fighting poverty EU countries should: promote inclusive labour markets, open to all, by putting in place effective measures to fight all forms of discrimination and promote equal opportunities for all; ensure equal treatment for under-represented groups regarding: employmentsocial protectionhealth and long-term careeducation andaccess to goods and services; modernise social protection systems; develop and integrate the three strands of active inclusion, which are: adequate income supportinclusive labour markets and access to quality enabling services andmeeting individual needs; ensure that everyone, including children, has access to essential services; secure the adequacy and sustainability of pension systems for workers and the self-employed. FROM WHEN DOES THE DECISION APPLY? It has applied since 20 October 2020. BACKGROUND The guidelines are consistent with the Stability and Growth Pact and other EU laws and initiatives, including those on: Youth Guarantee; reintegration of the long-term unemployed into the labour market; upskilling pathways. These initiatives are combined in the European semester, which implements the European employment strategy and which supports the delivery of the SDGs. MAIN DOCUMENT Council Decision (EU) 2020/1512 of 13 October 2020 on guidelines for the employment policies of the Member States (OJ L 344, 19.10.2020, pp. 22-28) RELATED DOCUMENTS Interinstitutional Proclamation on the European Pillar of Social Rights (OJ C 428, 13.12.2017, pp. 10-15) Consolidated version of the Treaty on the Functioning of the European Union — Part Three — Union policies and internal actions — Title VIII — Economic and monetary policy — Chapter 1 — Economic policy — Article 121 (ex Article 99 TEC) (OJ C 202, 7.6.2016, pp. 97-98) Consolidated version of the Treaty on the Functioning of the European Union — Part Three — Union policies and internal actions — Title IX — Employment — Article 148 (ex Article 128 TEC) (OJ C 202, 7.6.2016, pp. 112-113) Council Recommendation (EU) 2015/1184 of 14 July 2015 on broad guidelines for the economic policies of the Member States and of the European Union (OJ L 192, 18.7.2015, pp. 27-31) Council Decision 2010/707/EU of 21 October 2010 on guidelines for the employment policies of the Member States (OJ L 308, 24.11.2010, pp. 46-51) last update 12.02.2021