JUDGMENT OF THE COURT (Sixth Chamber)
17 December 1998 (1)
(Regulation (EEC) No 1408/71 - Old-age benefits - Articles 45 and 49 - Calculation of benefits where the person concerned does not simultaneously fulfil the conditions laid down by all the legislations under which periods of insurance or residence were completed)
In Case C-244/97,
REFERENCE to the Court under Article 177 of the EC Treaty by the Hof van Cassatie (Belgium) for a preliminary ruling in the proceedings pending before that court between
Rijksdienst voor Pensioenen
and
Gerdina Lustig
on the interpretation of Articles 45 and 49 of Council Regulation (EEC) No 1408/71 of 14 June 1971 on the application of social security schemes to employed persons, to self-employed persons and to members of their families moving within the Community, in the version amended and updated by Council Regulation (EEC) No 2001/83 of 2 June 1983 (OJ 1983 L 230, p. 6), as amended by Council Regulation (EEC) No 1248/92 of 30 April 1992 (OJ 1992 L 136, p. 7) and Council Regulation (EC) No 3096/95 of 22 December 1995 (OJ 1995 L 335, p. 10),
THE COURT (Sixth Chamber),
composed of: P.J.G. Kapteyn, President of the Chamber, G. Hirsch, G.F. Mancini, H. Ragnemalm and R. Schintgen (Rapporteur), Judges,
Advocate General: N. Fennelly,
Registrar: H.A. Rühl, Principal Administrator,
after considering the written observations submitted on behalf of:
- the Rijksdienst voor Pensioenen, by G. Perl, General Administrator,
- the Belgian Government, by J. Devadder, General Adviser in the Ministry of Foreign Affairs, Trade and Cooperation with Developing Countries, acting as Agent,
- the Commission of the European Communities, by P.J. Kuijper and P. Hillenkamp, Legal Advisers, acting as Agents,
having regard to the Report for the Hearing,
after hearing the oral observations of Rijksdienst voor Pensioenen, represented by J.C.A. De Clerck, Legal Adviser, the United Kingdom Government, represented by J.E. Collins, Assistant Treasury Solicitor, acting as Agent, assisted by S. Moore, Barrister, and of the Commission, represented by P. van Nuffel, of its Legal Service, acting as Agent, at the hearing on 9 July 1998,
after hearing the Opinion of the Advocate General at the sitting on 17 September 1998,
gives the following
Regulation (EEC) No 1248/92 of 30 April 1992 (OJ 1992 L 136, p. 7) and Council Regulation (EC) No 3096/95 of 22 December 1995 (OJ 1995 L 335, p. 10).
The national legislation
'Retirement pension payable by the employees' pension scheme in respect of a complete employment record may not be lower than a guaranteed minimum of ... per annum ...
The King shall determine:
(1) what is meant by a complete employment record and the rules whereby its attainment is to be calculated;
...'
'For persons who have completed at least two thirds of a complete career in employment in Belgium, the amount of retirement pension granted under the retirement and survival pension regime for employees shall not be less than a fraction of the basic rates determined by Article 152 of the Law of 8 August 1980 concerning the 1979-1980 budget.
That fraction shall be equivalent to that used for calculating a pension under the retirement regime for employed persons.
The King shall determine:
(1) what is meant by two thirds of a complete career and the rules whereby the attainment of a complete career is to be calculated;
...'
The Community legislation
'The competent institution of a Member State whose legislation makes the acquisition, retention or recovery of the right to benefits conditional upon the completion of periods of insurance or residence shall take into account, to the extent necessary, periods of insurance or residence completed under the legislation of any Member State as if they were periods completed under the legislation which it administers.'
'Where the legislation of a Member State makes the acquisition, retention or recovery of the right to benefits, under a scheme which is not a special scheme within the meaning of paragraphs 2 or 3, subject to the completion of periods of insurance or of residence, the competent institution of that Member State shall take account, where necessary, of the periods of insurance or of residence completed under the legislation of any other Member State, be it under a general scheme or under a special scheme and either as an employed person or as a self-employed person. For that purpose, it shall take account of these periods as if they had been completed under its own legislation.'
- The competent institution first calculates the so-called 'independent' amount under the first subparagraph of Article 46(1) [now Article 46(1)(a)(i)] of Regulation No 1408/71. For that purpose, it determines in
accordance with its own legislation the amount of the benefit to which the worker would be entitled under that legislation, taking into account only periods of insurance or residence completed under that legislation.
- The first sentence of the second subparagraph of Article 46(1) [now Article 46(1)(a)(ii)] of Regulation No 1408/71 provides that the competent authority is then to calculate, secondly, the pro rata amount of the benefit in accordance with Article 46(2). For that purpose, it begins by determining under Article 46(2)(a) of Regulation No 1408/71 the so-called 'theoretical' amount of the benefit which the worker would be entitled to claim if all his periods of insurance or residence in various Member States had been completed in the Member State in question and under the legislation applied by the institution at the date of calculation of the benefit. The competent institution is then to calculate the actual amount of the benefit, in accordance with Article 46(2)(b) of Regulation No 1408/71, on the basis of the theoretical amount and in accordance with the ratio which the duration of the periods of insurance completed before the materialisation of the risk under the legislation which it administers bears to the total duration of the periods of insurance completed before the materialisation of the risk under the legislations of all the Member States concerned.
- Finally, in accordance with the second sentence of the second subparagraph of Article 46(1) (which has now become the first subparagraph of Article 46(3)) of Regulation No 1408/71, the institution making the calculation is to compare the independent amount and the pro rata amount and award the higher of the two.
'If, at a given time, the person concerned does not satisfy the conditions laid down for the provision of benefits by all the legislations of the Member States to which he has been subject, taking into account where appropriate the provisions of Article 45, but satisfies the conditions of one or more of them only, the following provisions shall apply:
(a) each of the competent institutions administering a legislation whose conditions are satisfied shall calculate the amount of the benefit due, in accordance with the provisions of Article 46;
(b) however:
(i) if the person concerned satisfies the conditions of at least two legislations without having recourse to insurance periods completed under the legislations whose conditions are not satisfied, these periods shall not be taken into account for the purposes of Article 46(2);
(ii) if the person concerned satisfies the conditions of one legislation only without having recourse to insurance periods completed under the legislations whose conditions are not satisfied, the amount of the benefit due shall be calculated only in accordance with the provisions of the legislation whose conditions are satisfied, taking account of the periods completed under that legislation only.'
'If, at a given time, the person concerned does not satisfy the conditions laid down for the provision of benefits by all the legislations of the Member States to which he has been subject, taking into account where appropriate Article 45 and/or Article 40(3), but satisfies the conditions of one or more of them only, the following provisions shall apply:
(a) each of the competent institutions administering a legislation whose conditions are satisfied shall calculate the amount of the benefit due, in accordance with Article 46;
(b) however:
(i) if the person concerned satisfies the conditions of at least two legislations without having recourse to periods of insurance or residence completed under the legislations whose conditions are not satisfied, these periods shall not be taken into account for the purposes of the provisions of Article 46(2) unless taking account of the said periods makes it possible to determine a higher amount of benefit;
(ii) if the person concerned satisfies the conditions of one legislation only without having recourse to periods of insurance or residence
completed under the legislations whose conditions are not satisfied, the amount of the benefit due shall, in accordance with Article 46(1)(a)(i), be calculated only in accordance with the provisions of the legislation whose conditions are satisfied, taking account of the periods completed under that legislation only, unless taking account of the periods completed under the legislations whose conditions are not satisfied makes it possible, in accordance with Article 46(1)(a)(ii), to determine a higher amount of benefit.
The provisions of this paragraph shall apply mutatis mutandis where the person concerned has expressly requested the postponement of the award of old-age benefits, in accordance with the second sentence of Article 44(2).'
The dispute in the main proceedings
only as from the time when her entitlement to pension in the Netherlands actually came into being, that is to say 1 January 1994.
'Is Article 49(1)(b)(ii) of Regulation No 1408/71 in conjunction with Article 45 of that regulation to be interpreted as meaning that, where the person concerned fulfils the conditions laid down by one legislation for entitlement to an old-age pension, albeit a limited one, without having recourse to periods of insurance completed under another legislation whose conditions of pension entitlement are not satisfied, the competent national authority is nevertheless obliged to take into account periods completed under the latter legislation where that could result in the award of a greater old-age pension up until such time as the conditions laid down under the latter legislation are fulfilled?'
The question referred to the Court
Cases C-90/91 and C-91/91 Office National des Pensions v Di Crescenzo and Casagrande [1992] ECR I-3851, paragraph 16).
under the legislation whose conditions were not yet fulfilled taken into account solely for the purposes of applying the Belgian legislation concerning the guaranteed minimum and not for the purposes of the calculation properly so-called, on the basis of the total duration of the periods completed in the two Member States and in proportion to the periods completed under the Belgian legislation, of the amount of the retirement pension to which she is entitled under that legislation, taking account of the application of the said legislation in relation to the guaranteed minimum. Unlike Mr McLachlan, therefore, Mrs Lustig is not asking that the actual amount of the pension to which she is entitled under the legislation whose conditions are fulfilled be calculated so as to take account of periods completed under the legislation of the Member State whose conditions are not yet fulfilled as if they had been completed under the legislation of the first State.
Costs
42. The costs incurred by the Belgian and United Kingdom Governments and by the Commission, which have submitted observations to the Court, are not recoverable. Since these proceedings are, for the parties to the main proceedings, a step in the proceedings pending before the national court, the decision on costs is a matter for that court.
On those grounds,
THE COURT (Sixth Chamber),
in answer to the question referred to it by the Hof van Cassatie (Belgium) by judgment of 30 June 1997, hereby rules:
Article 49(1)(b)(ii) of Council Regulation (EEC) No 1408/71 of 14 June 1971 on the application of social security schemes to employed persons, to self-employed
persons and to members of their families moving within the Community, in the version amended and updated by Council Regulation (EEC) No 2001/83 of 2 June 1983 and Article 49(1)(b)(ii) of Regulation No 1408/71, in the version resulting from Regulation No 2001/83, as amended by Council Regulation (EEC) No 1248/92 of 30 April 1992 and Regulation (EC) No 3096/95 of 22 December 1995, must be interpreted as requiring the competent institution, where the person concerned fulfils the conditions laid down by one legislation for payment of an old-age pension, albeit a limited one, without recourse being necessary to periods of insurance or residence completed under another legislation whose conditions are not fulfilled, nevertheless to take into account, in accordance with Article 46 of the same regulation, periods completed under the latter legislation where, as a result, an old-age benefit of a higher amount may be awarded up until such time as the conditions laid down under the latter legislation are also fulfilled.
Kapteyn
RagnemalmSchintgen
|
Delivered in open court in Luxembourg on 17 December 1998.
R. Grass P.J.G. Kapteyn
Registrar President of the Sixth Chamber
1: Language of the case: Dutch.