Grant Support of Education in the Czech Republic and the Social cohesion policy of the EU

Petra Adámková

 

Introduction

The Czech Republic realizes the importance of supporting the development of human potential, which is one of the fundamental factors for sustainable economic growth. In this context, the educational system must be perceived as one of the main pillars of future economic success and social cohesion. Upon accession to the European Union, the Czech Republic has been given the opportunity to use the support provided within the scope of economic and social cohesion policy, the current form of which places a large emphasis on strengthening the competitiveness of the European Union countries and close interconnection with the Lisbon strategy objectives. The aim of the presented study is to approximate the basic structure of Social cohesion policy of the European Union and its reflection into the education system of the Czech Republic (the Member State of the European Union) with the accent on the possibility of funding Czech education system from EU`s sources.

 

Social cohesion policy of the EU

The European Union associates states of different economic potential. This different comes to the fore in context of its additional broadening. Realization of the basic aims of the EU is bound up with reduction of disparities between the levels of development of the various regions. The Social policy of the EU is a modern phenomenon. It has been evolving in sequence because the Member States have for a relatively long time an exclusive power over the territory to decide on its Social policy without dependence on the EU.

The Social law of the EU includes rules which determinate, execute and guarantee social rights and duties of each individual.

Enactment of social rules is limited by the principle of subsidiarity[1] but in the context of increasing globalization is more important to make decision on Community scale. At this time, the EU prefers to unify legal regulations of the Member States through the Open Method of co-ordination.  

 

The Social cohesion policy and Education

The main role of the EU in Education is established in primary law of the EU – in the Treaty on European Union (1997), especially Article 149[2] and Article 140, [3] and in The Charter of Fundamental Rights of the European Union (2000), Article 14[4], which proclaims generally rights to education and each gratuitousness. The EU on purpose is encouraging multinational education and student exchanges, innovative projects of education, platforms for dialog and consultation. Within the framework of the Social policy, especially education, the EU does not tend to an unified policy for each Member States (the EU fully respecting the responsibility of the Member States for the content of teaching and the organization of education system) but prefers mutual cooperation between Member States, supports and supplements their action if necessary. The EU for many years has financed different programs that with the European Social Fund help to advance education and improvement of intelligence of others states.  The activities of the Community shall include a contribution to education and training of quality and to the flowering of the cultures of the Member States.

Measures and Instruments encouragement for the establishment and development of education conform to importance of this area.  In order to contribute to the achievement of the objectives referred, the Council acting in accordance with the procedure referred to in Article 251, after consulting the Economic and Social Commitee and the Commitee of the Regions, shall adopt incentive measures, excluding any harmonisation of the laws and regulations of the Member States, and acting by a qualified majority on proposal from the Commition, shall adopt recommendations.  

The aims of encouragement and development are described in the Green Paper (COM (2007(161).[5] The conclusions of the Council about the White Paper (UL C 195/1) are also very important, that accept the White Paper as a starting point for next discusion about general and vocational education. The Community shall implement a vocational training policy which shall support and supplement the action of the Member States while fully respecting the responsibility of the Member States for the content and organisation of vacctional training. Community action shall aim to improve initial and continuing vocational training in order to facilitate vocational integration and reintegration into the labor market, to simulate cooperation on treaining between educational or training establishments and firms, to develop exchanges of information and experience on issues common to the training systems of the Member States (Article 150 Treaty).

Likewise in the high education, that fall within the authority of vocational  education, are realizing an importance of initiatives like programmes ERASMUS, TEMPUS, LINGUA, TEMPUS II, SOCRATES, EUROTECNET, FORCE, LEONARDO DA VINCI atc.

 

Economic and Social cohesion policy and Structural Funds   

The origins of economic and social cohesion go back to the Treaty of Rome where a reference was made in the preamble to reduce disparities in development between the regions. However, it was not until the seventies that Community action was taken to coordinate the national instruments and provide additional financial resources. Subsequently these measures proved inadequate given the situation in the Community where the establishment of the internal market, contrary to forecasts, had failed to even out the differences between regions. With the adoption of the Single European Act in 1986, economic and social cohesion proper was made an objective, as well as the single market. In the preparation of economic and monetary union, this provided a legal basis from 1988 onwards for Community action to become the central pillar of a comprehensive development policy. The Maastricht Treaty finally incorporated the policy into the Treaty establishing the European Community (Articles 130a to 130e, now renumbered 158 to 162). It is an expression of solidarity between the Member States and regions of the European Union. This means balanced and sustainable development, reducing structural disparities between regions and countries and promoting equal opportunities for all individuals. In practical terms it is achieved by means of a variety of financing operations, principally through the Structural Funds.[6]
The future of economic and social cohesion was one of the major issues discussed in the Commission's Agenda 2000 communication (presented on 15 July 1997) and the EU´s priority objectives for some years now are resulted in the Third Cohesion report from February 2004. By promoting cohesion, the
Union is encouraging harmonious, balanced and sustainable economic development, creating employment and contributing towards environmental protection and the elimination of inequality between men and women. Realization of economic and social cohesion dependents on each Member State, the coordination and harmonization are upon the supranational force. In order to implement the drive for economic and social cohesion, the European Commission has created financial instruments: the Structural Funds and the Cohesion Fund. These funds part-finance regional and horizontal operations in the Member States.

The principles underpinning of grant-in-aid is that Communisty assistance to be additional to national funding and not to replace it. Each Member States must maintain their own public expenditure at least at the level at it was in the preceding period.

 

Structural Funds

Structural Funds play an important role in economic policy of the Community Framework programmes of the EU. The Structural Funds represent basic financial instruments of the support that main function is to guarantee progress of education, research and development and that way assist with the economic, social and cultural developement of the EU. 

Four types of Structural Funds have been introduced over the years, as the process of building Europe has progressed[7] :

- The European Regional Development Fund (ERDF) contributes mainly to assisting the regions which development is lagging behind and those undergoing economic conversion or experiencing structural difficulties;

- The European Social Fund (ESF) mainly provides assistance under the European employment strategy ;

- The European Agricultural Guidance and Guarantee Fund.(EAGGF) Guidance Section helps in both the development and the structural adjustment of rural areas that development is lagging behind by improving the efficiency of their structures for producing, processing and marketing agricultural and forest products ;

- The Financial Instrument for Fisheries Guidance (FIFG) supports restructuring in the fisheries sector.

 

The Structural Funds are conceived as a out of budget funds which consist of confirmed income of each Member State. The Member States apply for grant allocation from the Structural Funds and the Commission makes an indicative allocation from the Funds to each form of assistance for each Member State. The principles underpinning the operation of the Structural Funds have been strengthened or specified in greater detail: a) assistance must be part of a programme; b) as many parties as possible must be involved; c) Community assistance may not replace national funds; d) spending by the Funds must be properly managed, monitored and evaluated; there must be proper controls on payments. 

 

Policy of economic and social cohesion in the European Union is guarantee by a quite number of legal acts. Measures concerning implementation of structural assistance are laying down in Council regulation. Regulations are the strongest form of Community legislation. They have general application, are binding in their entirety and are directly applicable in all Member States Council regulation obligate each Member State and also their national subjects of law.[8] Implementation of this Council regulation into the Czech legal system are insured through government decree.

 

Transformation of financial recourses of the European Union

The financial perspective EU for years 2007-2013 was approved on summit of European Council from 16 December 2005. The Union will manage with 862,4 mld.Euro ( 25 bilions of Czech crowns), which is 1,045 per cent of the GDP.[9]

Transformation of financial recourses of the European Union to municipal territory is being realized with some problems through the way according the chapters of the state budget and state funds. Not really satisfactory evidence while realizing relatively small amount of financial resources in proceeding years led to searching new ways that would help to use more grant through to National Strategic Reference Framework 2007-2013.[10] The National Strategic Reference Framework (NSRF) represents the basic programme document of the Czech Republic for using European Union Funds in 2007 – 2013, specifying priority axes and specific objectives. Additional underlying documents included the National Lisbon Programme 2005-2008, the National Reform Programme of the Czech Republic(NRP), the National Development Plan 2007-2013 (NDP) and Economic Growth Strategy 2005-2013 (EGS).

In framework policy is important Community Support Framework (CSF), document approved by the Commission in agreement with the Member State concerned, which contains both the Member State's and the Funds' strategy and priorities for action, their specific objectives, the contribution from the Funds and the other financial resources according to National Development Plan. CSF supports coordination of all contribution from the Funds. Community Support Frameworks (CSFs) are translated into Ooperational Programmes (Ops) and Single Programming Documents ( SPDs). On this basic may the CR use about 1,454 mld. Euro for supporting all-around development of  regions.  

The National Co - ordination Authority is the Ministry for Regional Development of the CR which ensures negotiation between the European Commission and is fully responsible for the proper and effective management of the programme and implementation of aid in accordance with European Union regulations and national standards, for efficiency, accuracy proceedings, operations of regulation and accuracy coordination of contribution in frame of policy of economic and social cohesion. The individual authorities of the Operational Programmes implementation structure are set forth below. The settings are performed in a spirit of simplicity, transparency and direct legal ties. The principle of separation of activities among authorities was respected in accordance with Articles 59 to 63 of Council Regulation (EC)No 1083/2006 In accordance with Czech Republic Government Resolution No 198/2006, the Ministry of Regional Development has been authorized to act as the coordination and methodological body of the Cohesion Policy National Framework, the Ministry of Finance has been authorized to act as a sole Payment Authority and Certifying Authority for implementation of the aid from structural funds and the Cohesion Fund. The Ministry of Education, Youth and Sports has been in accordance with Article 59 §1a of Council Regulation (EC)No 1083/2006 and Czech Republic Government Resolution No 175/2006, authorized to act as the Managing Authority of the Education for Competitiveness OP[11].

 

Financial support in education

The support of the EU in education is realized mainly through European social fund (ESF) which became the main source of financial support upon accession the Czech Republic to the EU. European social fund explores possibilities of support which has been realized in the Czech Republic (programme Phare). The full responsibility managing authority is the Ministry of Labour and Social Affairs. The another partners are the Ministry of Education, Youth and Sports, the Ministry for Regional Development, the Ministry of the Environment, the Ministry of Industry and Trade, CzechInvest, Municipal authority of Prague, Employment offices and local authorities.

The resources provided by the European Commission to finance the European Social Fund programmes are administered by the Ministry of Finance. The European Commission shall send these resources to the account of the Payment Authority and Certifying Authority. Financial flows shall be ensured via the national budget of the Czech Republic. The resources shall be pre-financed to beneficiaries, based on their submitted applications, from national budget, and a non returnable financial subsidy will be provided to them. Payments to beneficiaries shall be made in form of ax-post payments or in form of ex-ante payments.

 

Operational Programme “Education for Competitiveness”

In relation to strategic objectives of the NSRF and with regard to the high degree of complexity of the issue of education, the Czech Republic has prepared a separate “Education for Competitiveness” (EC OP), Operational Programme for the programme period 2007-2013. The EC OP is based on the National Lisbon Programme 2005-2013, on the National Reform Programme of the Czech Republic, on the Economic Growth Strategy, and on the National Innovation Policy. EC supports the main lines of the National Education Development Programme[12] in the Czech Republic (the White Paper) and areas defined in the Long-term development Plan for Education[13] and the Educational System 2002, and particularly 2005. EC OP reflects the conclusions and recommendations of strategic documents laying down the policy in the area of human resource development, which include the Human Resources Strategy for the Czech Republic 2003 and the associated HRD Strategy Implementation Programme from 2005. EC OP respects the Cohesion Policy, Community Strategic Cohesion Guidelines and Regulation on the European Social Fund.

This Operational Programme focuses on support in areas that will contribute to developing the potential of the Czech Republic´s population and to the creation of suitable conditions for education and learning. EC OP defines the focus and depth of interventions in the area of human resource development by means of education in all of its various forms with an emphasis on a comprehensive system of lifelong learning, on forming a suitable environment for research, development and innovation activities and on the stimulation of co-operation between educational institutions and the research and production spheres.

In terms of initial education, this programme will support activities focused on the improvement of quality in education, in terms of tertiary education, research and development, the programme will support activities focused on the modernization and greater appeal of tertiary professional education and higher education, raising the profile and improving conditions for research and development staff, establishing mutual relationship between the respective entities – educational and research and development institutions, public and private sector, ect.[14]  The Education for Competitiveness OP has been prepared in accordance with Council Regulation (EC) No 1083/2006 and Council Regulation (EC) No 1081/2006, and is full compliance with Czech Republic Government Resolution No 175/2006 of 22 February 2006.

EC OP financial plan shall be based on the financial plan of allocation for the Czech Republic under the Covergence and regional Competitiveness and Employment Objectives in the 2007-2013 programming period, and reflect the financial framework of NSRF, which determines the distribution of resources from structural Funds and the Cohesion Fund to individual Operational Programmes. Within the framework of the general financial plan, 7% of resources for the Convergence Objective from EU Structural Funds, i.e. E 1.8118 billion have been allocated to the EC OP.  The co-financing rate from ESF will reach up to 85% of the total eligible public expenditure, the remaining 15% of the financial resources will be paid from national resources.

 

EC OP is an Operational Programme directly dealing with the issues relating to development education. Settlement of issue shall be supported by additional Operational Programmes as well, particularly Human Resources and Employment OP, which is funded from ESF,  and Research and Development for Innovation OP[15] and Enterprise and Innovation OP, supported from ERDF.

In the end it is important to make reference about the 7th Framework Programme, which is primarily focused on human resource development with a European and worldwide scope.   

In 2005 the  Ministry of Education, Youth and Sports, the Managing Authority, realized and coordinated 156 projects that have been authorized for financial support from ESF.

 

Conclusion

The total amount of educational expenses are different according to each country and its economic, culture, historic and social development. Quality of any education system dependences on sufficiency public investment. It is essential for the Czech Republic to systematically develop a qualified, adaptable and mobile labour force. The level of education will increase through setting up a modern, high-quality and flexible education and vocational training system, which is a necessary pre-condition for further growth In terms of expenditure on education, the Czech Republic still lags behind the European level. [16] Consequently the Czech Republic has to increase the other ways of financing. Upon accession to the European Union, the Czech Republic has been given the opportunity to use the financial support from Structural Funds as instruments of economic and social cohesion. At the present time, the Czech Republic has (as the another Member State) the new 7 years budget period. For this period EU appropriates exceedingly extensive financial support, that means over 700 mld. Crowns, that amounts 130 mld. Crowns for Czech education. The Czech Republic, through the Government, the managing authorities, local authorities and the other commissioned subjects has to ensure active approach of all participate subjects because the financial support from ESF is mainly target the education of people, students, new methods of teaching for all types of school as to improve the whole educational system. In fine, we can submit that the Membership of the EU is benefit for quality and modernizing of the education.

 

Literature

Tomeš, I., Koldinská, K.: Sociální právo Evropské unie, 1.vydání,Praha, C.H.Beck, 2003, ISBN 80-7179-831-2

Tichý, L., aj.:Evropské právo, 1.vydání, Praha, C.H.Beck, 1999, ISBN 80-7179-113-X

MŠMT ČR, editor ÚIV: S novým školským zákonem, Díl.I.: Vzdělání v roce 2005 v datech, MŠMT Praha 2006, ISBN 80-211-0518-6

Národní lisabonský program 2005-2008, Národní program reforem ČR

Charta základních práv EU 2000

Smlouva ES z roku 1997

Evropský sociální fond, zdroj internetové stránky www.esfr.cz

MŠMT Operační program Vzdělání pro konkurenceschopnost, zdroj  www.msmt.cz

Ústav pro informace ve vzdělání, zdroj www.uiv.cz

General provosions on the Structural Funds, zdroj: http:// europa.eu/scadplus/leg/en/lub/htm

 

 

 

 



[1] The subsidiarity principle is intended to ensure that decisions are taken as closely as possible to the citizen and that constant checks are made as to whether action at Community level is justified in the light of the possibilities available at national, regional or local level. Specifically, it is the principle whereby the Union does not take action (except in the areas which fall within its exclusive competence) unless it is more effective than action taken at national, regional or local level. It is closely bound up with the principles of proportionality and necessity, which require that any action by the Union should not go beyond what is necessary to achieve the objectives of the Treaty

[2] Article 149 Treaty of Nice

1.        The Community shall contribute to the development of quality education by encouraging cooperation beetween Member States and, if necessary, by supporting and supplementing their action, while rully respecting the responsibility of Member states for the content of teaching and the organisation system and their cultural and linguistic diversity.

2.        Comuuunity action shall be aimed at:

-          developing the European dimension in education, particulary trhough the teaching and dissemination og the languages of the member States;

-          encouraging mobility of students and teachers, inter alia by encouraging the academic recognition of diplomas and periods study;

-          promoting cooperation between educational establichments;

-          developing exchanges of information and experience on issues common to the education system of the Member States;

-          encouraging the development of youth exchanges and of exchanges of socioeducational instructors;

-          encouraging the development of distance education

3.        The Community and the Member States shall foster cooperation with third countries and the competent international organisations in the field of education, in particular the Council of Europe.

4.        In order to contribute to the achievement of the objectives referred to in this Article, the Council:

-          acting in accordance with the procedure referred to in  Article 251, after consulting the Economic and Cocial Commitee and the Commitee of the Regions, ahall adopt incentive measures, excludind any harmonisation of the laws and regulations of the Member States;

-          acting by a qualified majority on proposal from the Commition, ahall adopt recommendations.    

                 

[3] The Treaty of Nice, Article 140

With a view to achieving the objectives of Article 136 and without prejudice to the other provisions of this Treaty, the Commission shall encourage cooperation between the Member States and facilitate the coordination of their action in all social policy field under this chapter, particularly in matters relating to:

-          employment;

-          labour law and working conditions;

-          basic and advanced vocational training;

-          social security;

-          prevention of occupational accidents and diseases;

-          occupational hygiene;

-          the right of association and collective bargaining between employers and workers.

To this and, the Commission shall act in close contact with Member States by making studies, delivering opinions and arranging consultations both on problems arising at national level and on those of concern to international organizations. Before delivering the opinions provided for in this Article, the Commission shall consult the Economic and Social Committee.r

[4] Charter of Fundamentals Rights of the European Union, Artikle 14 Right to education

1.        Everyone has the right to education and to have access to vocational and continuing training.

2.        This right includes the possibility to receive free compulsory education.

3.        The freedom to found educational establishments with due respect for democratic principles and the right of parents to ensure the education and teaching of their children in conformity with their religious, philosophical and pedagogical convictions shall be respected, in accordance with the national laws governing the exercise of such freedom and right.

   

[5] Tichý, L. .aj. Evropské právo, 1. vydání, Praha, C.H. BECK 1999, 915 s., ISBN 80-7179-113-X

[6] General provosions on the Structural Funds : http:// europa.eu/scadplus/leg/en/lub/htm

[7] General provosions on the Structural Funds : http:// europa.eu/scadplus/leg/en/lub/htm

[8] Commission Regulation (EC) No 438/2001 of March 2001 laying down detailed rules for the implementation of Council regulation (EC) No 1260/1999 which laying down general provision on the Structural Funds

[9] In case of the Czech Republic i tis 3,43 % GDP

[10] The maxima measure of cofinancing is for the CR in case Structural Funds 85 % from European Funds and 15 % from national resources

[11] Operational Programme Education for Competitiveness, September 2007

 

[12] The National Education Development Programme formulates thought bases, general intentions and development programmes that should be authoritative for the developmennt of educational systém in the CR

[13] The 2005 Long term Development Plan formuled by the Ministry of Education, Youth and Sport sis targeted at progress and development in specific components of individul areas

[14] Operational Programme Education for Competitiveness, September 2007

[15] Priority axis focused on promoting the research and development capacities, pole sof excellence and supporting in non-industrial branches.

[16] The average of the EU 15 is approx. 5,4 % of GDP, whilw the proportion of resources spěny in the Czech Republic is equivalent to 4,4% of GDP- http: www.tc.cas.cz