CONSOLIDATED VERSION

                              OF THE TREATY ON THE FUNCTIONING OF THE

                                          EUROPEAN UNION


                                       (Selected provisions)


                          FREE MOVEMENT OF PERSONS, SERVICES AND CAPITAL


                                             CHAPTER 1


                                              WORKERS




                                            Article 45

                                        (ex Article 39 TEC)

1. Freedom of movement for workers shall be secured within the Union.

2. Such freedom of movement shall entail the abolition of any discrimination based on nationality
between workers of the Member States as regards employment, remuneration and other conditions of
work and employment.

3. It shall entail the right, subject to limitations justified on grounds of public policy, public
security or public health:

(a) to accept offers of employment actually made;

(b) to move freely within the territory of Member States for this purpose;

(c) to stay in a Member State for the purpose of employment in accordance with the provisions
governing the employment of nationals of that State laid down by law, regulation or administrative
action;

(d) to remain in the territory of a Member State after having been employed in that State, subject
to conditions which shall be embodied in regulations to be drawn up by the Commission.

4. The provisions of this Article shall not apply to employment in the public service.



                                            Article 46

                                        (ex Article 40 TEC)

The European Parliament and the Council shall, acting in accordance with the ordinary legislative
procedure and after consulting the Economic and Social Committee, issue directives or make
regulations setting out the measures required to bring about freedom of movement for workers, as
defined in Article 45, in particular:

(a) by ensuring close cooperation between national employment services;

(b) by abolishing those administrative procedures and practices and those qualifying periods in
respect of eligibility for available employment, whether resulting from national legislation or
from agreements previously concluded between Member States, the maintenance of which would form an
obstacle to liberalisation of the movement of workers;

(c) by abolishing all such qualifying periods and other restrictions provided for either under
national legislation or under agreements previously concluded between Member States as imposed on
workers of other Member States conditions regarding the free choice of employment other than those
imposed on workers of the State concerned;

(d) by setting up appropriate machinery to bring offers of employment into touch with applications
for employment and to facilitate the achievement of a balance between supply and demand in the
employment market in such a way as to avoid serious threats to the standard of living and level of
employment in the various regions and industries.



                                            Article 47

                                        (ex Article 41 TEC)

Member States shall, within the framework of a joint programme, encourage the exchange of young
workers.



                                            Article 48

                                        (ex Article 42 TEC)

The European Parliament and the Council shall, acting in accordance with the ordinary legislative

procedure, adopt such measures in the field of social security as are necessary to provide freedom
of movement for workers; to this end, they shall make arrangements to secure for employed and
selfemployed migrant workers and their dependants:

(a) aggregation, for the purpose of acquiring and retaining the right to benefit and of calculating
the amount of benefit, of all periods taken into account under the laws of the several countries;

(b) payment of benefits to persons resident in the territories of Member States.

Where a member of the Council declares that a draft legislative act referred to in the first
subparagraph would affect important aspects of its social security system, including its scope,
cost or financial structure, or would affect the financial balance of that system, it may request
that the matter be referred to the European Council. In that case, the ordinary legislative
procedure shall be suspended. After discussion, the European Council shall, within four months of
this suspension, either:

(a) refer the draft back to the Council, which shall terminate the suspension of the ordinary
legislative procedure; or

(b) take no action or request the Commission to submit a new proposal; in that case, the act
originally proposed shall be deemed not to have been adopted.