Tools - Civil servants remuneration

Tools

A64 calculator tools (personalised indices)

This page introduces a set of innovative, simple tools designed by the Eurostat Remuneration Team to present A64 salary adjustment information in a different, more accessible and individualised manner. The objective is to help improve understanding of the calculations performed by Eurostat on your behalf.

The tools have been developed by the Eurostat Remuneration Team in response to user demand, to complement information communicated via official reports, data tables, and explanatory webpages.

Three tools are currently available

     (a) Intra-EU correction coefficients (“Intra-EU CC”);

     (b) Extra-EU correction coefficients (“Extra-EU CC”);

     (c) Joint Belgium-Luxembourg temporal index (“JBLI”)

In each of these tools, the user is invited to select options from drop-down menus, and to enter estimates of consumption expenditure for standard (“COICOP”) main categories as a percentage of their total spending.

For the Intra-EU and Extra-EU CC tools, that information is then combined with detailed values underlying published price level data (see Eurostat Annual Remuneration Reports and Free Data Tables prc_colc_tot and prc_colc_ext), to produce new overall estimates (a personalised index). The new estimates can then be compared to the official published estimates, via quick visual displays.

For the JBLI tool, that information is then combined with detailed values underlying published price evolution data (see Eurostat Annual Remuneration Reports and Free Data Table  prc_rem_idx), to produce new overall estimates (a personalised index). The new estimates can then be compared to the official published estimates, via quick visual displays, including time series graphs.

1. Accessing the tools

The tools have been created using Microsoft Excel (version 2016) with Visual Basic macros. The tools may not work properly on devices running earlier versions of Excel. The worksheets are protected, to prevent inadvertent overwriting of key calculation elements. Currently, the tools are only available in English language version.

(a) The Intra-EU CC calculator can be accessed here

(b) The Extra-EU CC calculator can be accessed here

(c) The JBLI calculator can be accessed here

2. How to use the tools

Depending on the security protocols in place on your computer device, you may need to download and save the software tool in order to run it. When opening the file, you will need to allow macros.

Each of the tools is slightly different: specific user instructions are included in each tool. The concept is broadly similar: select data from drop-down menus in relevant cells, or enter data directly in the appropriate cells; then click on the activity button to produce the desired results.

  • Appendix one presents screenshots of the opening menus for each of the tools.
  • Appendix two  presents screenshots of the example outputs from each of the tools.

3. Interpreting the results

Please note that the personalised indices produced by the tool are estimates, reflecting individual user selections and circumstances. The results should give greater insight into the work done to establish the official indices. Whilst the methodology employed in the tool is very similar to the one used for official calculations by Eurostat, there are some small unavoidable differences. In consequence, the results may not be directly comparable to the official published EU results or any other statistics. The tools are provided for information purposes only. Only the official EU calculation is used for adjustment of salaries.

Official consumption expenditure patterns are an average of the responses provided by staff during the most recent family budget survey in each duty station. These surveys are conducted on a rolling cycle. The most recent round of surveys in Intra-EU duty stations began in 2016; the last survey in Brussels was done in 2018. The most recent set of Extra-EU weights was established in 2018 using data from surveys amongst UN personnel. Expenditure weights remain in force until the next survey of the same type.

For calculation purposes, in these tools, the expenditure data entered for the 12 main COICOP expenditure categories is broken down to the level of 80 basic headings using official consumption structures. For this reason, differences in PPP and CC are only visible at global aggregate level.

Everyone has their own individual tastes and preferences, which may be influenced by nationality, gender, education or other factors; they will have specific needs according to their dwelling circumstances and household composition; their income levels can vary widely; they may choose to spend money in different geographical locations; the availability and price of goods and services can change from one day to the next. It is for these sorts of reasons that the maximum participation in family budget surveys is encouraged, in order to capture the most representative set of data possible for each duty station. This can also mean that the consumption pattern of an individual household will not necessarily match the average consumption pattern. Of course, if the information you select and enter in the tool is similar to the average situation established and used by Eurostat, you may not see much difference from the official published figures.

4. Methodology

For the Intra-EU and Extra-EU CC tools, the global estimates are calculated using a Fisher-type index formula in a similar manner to the official calculation method, which is described in published procedural manuals:

The components of the index are :

  • A set of price ratios between Brussels and each duty station, relating to the agreed 80 basic headings classification.

     o   The average prices for a list of c.3,000 items are identified simultaneously in Brussels and each Intra-EU duty station, by periodic surveys conducted within the European Comparison Programme coordinated by Eurostat. The price ratio for each basic heading is established as the geometric mean of items associated with that heading which are found in both places.

     o   The average prices for a list of c.300 items in Extra-EU duty stations are identified by periodic surveys conducted by the United Nations International Civil Service Commission and provided to Eurostat: the item definitions are harmonised to maximum extent possible with the European Comparison Programme. The price ratio for each basic heading is established as the geometric mean of items associated with that heading which are found in both places.

  • A set of consumption expenditure weights for Brussels relating to the agreed 80 basic headings classification. These are identified by periodic family budget surveys amongst staff.
  • A set of consumption expenditure weights for each duty station outside Brussels relating to the agreed 80 basic headings classification. These are identified by periodic family budget surveys amongst staff. As populations are small, they are established regionally rather than for individual duty stations.

A first (Laspeyres-type) aggregation of the basic parities can be obtained using the Brussels pattern of consumption. A second (Paasche-type) aggregation of the basic parities can be obtained using the duty station pattern of consumption. The geometric mean of the two aggregated indices gives a Fisher-type overall parity.

 

For the JBLI tool, the global estimates are calculated using a Laspeyres-type index formula in similar manner to the official calculation method which is described in published procedural manuals:  Calculation of the Joint Index in accordance with the EU Staff Regulations (Version: March 2020).

The components of the index are :

  • HICP for Belgium, as established by national authority and published on Eurostat website (sub-indices at maximum level of detail, with conversion table to the agreed 80 basic headings classification);
  • CPI for Luxembourg, as established and published on website of national statistical office (sub-indices at maximum level of detail, with conversion table to the agreed 80 basic headings classification);

Total staff numbers in Brussels, as provided by Commission internal services;

  • Total staff numbers in Luxembourg, as provided by Commission internal services;
  • A set of consumption expenditure weights for Belgium and Luxembourg relating to the agreed 80 basic headings classification.

The detailed indices for Belgium and Luxembourg are combined (arithmetic weighted average, using staff numbers in Brussels and Luxembourg as weights). A (Laspeyres-type) aggregation of the detailed indices can then be obtained using the Brussels pattern of consumption.

Appendix One: screenshots of opening menus

(a) Intra-EU CC tool (personalised index)

Screenshots of opening menus: Intra-EU CC tool (personalised index)

 

(b) Extra-EU CC tool (personalised index)

Screenshots of opening menus: Extra-EU CC tool (personalised index)
 

(c) JBLI tool (personalised index)

Screenshots of opening menus: JBLI tool (personalised index)

 

Screenshots of opening menus: selection of historical series
 

Appendix Two: screenshots of example outputs

(a) Intra-EU CC tool (personalised index)

Screenshots of example outputs: Intra-EU CC tool (personalised index)
 

 

(b) Extra-EU CC tool (personalised index)

Screenshots of example outputs: Extra-EU CC tool (personalised index)
 

(c) JBLI tool

Option 1: personalised index

Screenshots of example outputs: JBLI tool
 

 

Option 2: historical series

Screenshots of example outputs: Historical series