Amsterdam Treaty

Definition and subject matter of the Treaty of Amsterdam

Der Treaty of Amsterdam is a reform of the European Union signed on 2 October 1997 and entered into force on 1 May 1999. It amended the Treaty on European Union (TEU), the Treaties establishing the European Communities (EC Treaty, EAEC Treaty), the Protocol, as well as the relevant annexes and protocols. Its aim was to prepare the European Union for the upcoming enlargement and to further integrate and develop common policies among the Member States.

Creation and objectives

The Treaty of Amsterdam was negotiated at an intergovernmental conference convened after the Maastricht Treaty entered into force. The impetus was the need to reform existing institutional structures, strengthen fundamental rights and freedoms, as well as deepen Union citizenship and cooperation in the areas of internal and justice policy. The fifteen Member States at the time signed the treaty on 2 October 1997, which became effective on 1 May 1999 after ratification by national parliaments.

Core substantive points and legal amendments

Changes to institutional provisions

The Treaty of Amsterdam regulated essential issues concerning decision-making in the European Union. These included:

• Reform of voting procedures in the Council, including expanding cases of qualified majority voting.
• Strengthening of the European Parliament by extending the co-decision procedure to additional legal areas.
• Extension of the Commission’s right of initiative thus improving the efficiency of legislative processes.
• Change in the composition of the Commission as well as the weighting of votes in the Council as a preparatory step for future enlargements.

Fundamental rights and Union citizenship

The Treaty of Amsterdam expanded the legal status of Union citizens:

• Insertion of a clause for the protection of fundamental rights (Articles 6 and 7 TEU), in particular regarding the respect for fundamental rights, democracy, and rule of law within Member States.
• Introduction of a procedure to ascertain a serious and persistent breach of Union principles by a Member State (Article 7 TEU).
• Strengthening of Union citizenship particularly in the area of consular and passport protection as well as the right to petition the European Parliament.

Schengen Acquis and the Area of Freedom, Security and Justice

The Treaty of Amsterdam incorporated the so-called Schengen Acquis into the legal framework of the European Union, thereby contractually enshrining free movement of persons across the Union and the removal of internal border controls. At the same time, the treaty established new policy areas:

• Area of freedom, security and justice: Judicial and police cooperation in civil and criminal matters was deepened and incorporated into Community law.
• Transfer of competences in asylum, visa, and immigration law to the supranational level as well as harmonization of asylum procedures.

Employment policy and social rights

With the treaty, employment promotion was declared an official objective of the European Union:

• Establishment of employment policy as a common goal in Articles 2 and 3 EC Treaty.
• Obligation of Member States to coordinate their employment policies within the European Employment Strategy.
• Strengthening social policy, inter alia through new measures to promote equal opportunities and non-discrimination.

Common Foreign and Security Policy (CFSP)

Provisions on the Common Foreign and Security Policy (CFSP) were clarified and significantly expanded:

• Creation of the office of the High Representative for the CFSP, to increase the coherence of European foreign policy.
• Introduction of the possibility for enhanced cooperation between certain Member States in specific areas of foreign and security policy.

Impact on the treaty structure of the European Union

The Treaty of Amsterdam reorganized the Community treaties and led to a clearer distinction between the first three pillars of the European Union:

1. European Communities,
2. Common Foreign and Security Policy (CFSP),
3. Police and judicial cooperation in criminal matters.

The competences and responsibilities of the respective bodies were adjusted, for example, the role of the European Parliament and the decision-making mechanisms in the Council for legal acts.

Significance for the legal framework of the European Union

The Treaty of Amsterdam laid the foundation for numerous reforms and initiatives that were to shape subsequent changes to the primary law of the EU (notably the Treaties of Nice and Lisbon). The integration of the Schengen rules and the improvement of fundamental rights and Union citizenship had a lasting impact on the legal status of EU citizens as well as on judicial cooperation and legal harmonization among the Member States.

Legal effects and implementation

The provisions of the Treaty of Amsterdam entered into force directly by amending primary law and take precedence over conflicting national regulations, insofar as they derive from the Community treaties. This applies in particular to the areas of free movement, fundamental rights, employment policy, and the area of freedom, security and justice.

In order to implement the new provisions of the Treaty in practice, numerous implementing acts and adjustments in secondary Union legislation were necessary, such as directives and regulations in the fields of asylum and immigration or in data protection law.

Conclusion and outlook

The Treaty of Amsterdam is a milestone in the development of Union law. It prepared the European Union for the eastern enlargement, established binding regulations in the areas of fundamental rights and Union citizenship, and promoted greater integration in the policy areas of justice and home affairs. The structural and political framework thus established remains effective today in the legal structure of the European Union and continues to shape its further development.

Further reading and official documents on the Treaty of Amsterdam:

• Treaty of Amsterdam amending the Treaty on European Union, the Treaties establishing the European Communities and certain related acts (OJ C 340 of 10.11.1997)
• Collection of relevant judgments of the Court of Justice of the European Union and consolidated version of the TEU and EC Treaty after Amsterdam

Related terms: Treaty of Maastricht, Treaty of Nice, Treaty of Lisbon, Schengen Acquis, free movement, CFSP, Community law.

This article provides a comprehensive legal presentation and classification of the term Amsterdam (Treaty of) for a legal lexicon and illuminates all relevant legal aspects of this fundamental treaty of the European Union.

Frequently asked questions

Which new competences were transferred to the European Union by the Treaty of Amsterdam?

The Treaty of Amsterdam brought a significant expansion of the European Union’s competences. In particular, aspects of the so-called “third pillar” were brought closer to Community law. In the area of justice and home affairs, the Union was for the first time given powers under the new Titles IV and VI EC Treaty regarding asylum, immigration, and judicial cooperation in civil matters. In addition, the Schengen Agreement was integrated into the EU legal framework, thereby placing cross-border cooperation, external border security, and visa policy under Community responsibility. The Common Foreign and Security Policy (CFSP) was also strengthened, especially through the establishment of the office of a High Representative for the CFSP. At the same time, the co-decision procedure (now known as the ordinary legislative procedure) was extended and the rights of the European Parliament strengthened, thereby further developing the EU’s democratic legitimacy.

How was the institutional structure changed by the Treaty of Amsterdam?

The Treaty of Amsterdam introduced several institutional changes. On the one hand, the European Parliament received significantly enhanced co-decision powers, particularly in the context of legislation. The European Council could henceforth decide by qualified majority in additional areas. Moreover, the office of High Representative for the Common Foreign and Security Policy was established to strengthen the coherence and visibility of the EU’s foreign policy. The Council of Ministers was given the possibility to subject certain matters of lawmaking to the co-decision procedure between Council and Parliament. Additionally, the possibility of enhanced cooperation was introduced, allowing individual Member States to advance deeper integration in specific policy areas if not all Member States wished or were able to participate.

What significance did the Treaty of Amsterdam have for the protection of human rights and fundamental freedoms?

The Treaty of Amsterdam significantly strengthened the protection of human rights and fundamental freedoms under Union law. Article 6 of the EU Treaty was revised: For the first time, it was explicitly stated that the Union is founded on the principles of liberty, democracy, respect for human rights and fundamental freedoms, and the rule of law. Moreover, sanctions mechanisms were introduced enabling action against Member States in the event of a serious and persistent breach of these principles. This was a key step in safeguarding the Union’s values and preventing violations of the rule of law by individual Member States.

How did the Treaty of Amsterdam affect the co-decision procedure between the Council and the European Parliament?

The Treaty of Amsterdam significantly expanded the co-decision procedure, which later became the ‘ordinary legislative procedure’ and the central method of lawmaking in the Union. Before Amsterdam, many policy areas remained reserved to the Council alone or only provided for a consultation process. The treaty brought numerous new policy fields – particularly within the internal market as well as in social policy, research, and environmental protection – under the co-decision procedure. This gave the European Parliament a veto right and enabled it to jointly adopt or reject legislation with the Council, thereby greatly strengthening the democratic oversight and legitimacy of EU legislation.

What regulations were established for a future enlargement of the European Union?

The Treaty of Amsterdam laid the groundwork for subsequent large-scale enlargement, although many institutional questions were postponed due to lack of agreement (‘Amsterdam left-overs’). Nevertheless, procedures and principles were put in place to structure the accession of further Member States – such as strengthening the emphasis on the ‘Copenhagen Criteria’, which require rule of law, democracy, the protection of human rights, and a functioning market economy as prerequisites for accession. With respect to institutional adaptation, especially voting modalities and the composition of Parliament, a further intergovernmental conference was announced, which ultimately led to the Treaty of Nice.

In what way was the Schengen Agreement legally incorporated into the EU framework by the Treaty of Amsterdam?

The Treaty of Amsterdam regulated the integration of the Schengen Agreement and its related provisions (the so-called ‘Schengen Acquis’) into the legal framework of the European Union. The previously separate Schengen rules were adopted as an integral part of EU directives and regulations. However, a special protocol allowed individual Member States – the United Kingdom and Ireland – to claim opt-outs regarding certain Schengen provisions. This changed the legal nature of the Schengen area: from intergovernmental cooperation to supranational cooperation, affecting competences, the jurisdiction of the CJEU, and democratic oversight.

What new possibilities for closer cooperation between Member States were introduced?

With the Treaty of Amsterdam, for the first time the mechanism of ‘enhanced cooperation’ (Art. 43 et seq. TEU, now Art. 20 TEU) was introduced. This enables groups of at least eight Member States to pursue closer integration in specific policy areas without requiring all Member States to participate. Conditions include that the cooperation serves the objectives of the treaty, maintains the single market and coherence of the Union, and is open to all other Member States once they meet the requirements. This was intended to enable more flexible integration, provide spaces for innovation, and remove blockages, particularly in the context of the upcoming eastern enlargement.