MEPs are set to delay approval of the budget for a key EU institution following allegations of psychological harassment, bullying and serious misconduct by a senior official.

The EU's anti-fraud office (OLAF) in January concluded an investigation into Jacek Krawczyk, one of three senior presidents at the European Economic and Social Committee, which brings together employers, workers and civil organizations and could play a key role in shaping the Conference on the Future of Europe, according to plans discussed by EU ambassadors last week.

Its confidential report lists 13 cases of alleged misbehavior by Krawczyk — a lead candidate to become the EESC's overarching president in October — according to five lawmakers from the European Parliament's budgetary control committee. It is looking into the case as part of its annual budget oversight for EU institutions.

On Thursday, the committee is expected to postpone its budget approval for the EESC from this month to September, saying it wants the body to first follow up on disciplinary recommendations made by OLAF and "to rectify the wrongdoings.”

Amendments filed by Spanish MEP Isabel García Muñoz say the committee “deplores the findings of OLAF as regards psychological harassment, grave misconduct and inappropriate behaviour by the president of the Group 1 toward his subordinates in 2018."

"He can be extremely bullying in his behavior toward people" — Henri Malosse, former president of the EESC

According to MEPs, two of the 13 cases found by OLAF are particularly sensitive because they describe alleged psychological harassment of subordinates by Krawczyk, which can be prosecuted as an offense under Belgian law. These two cases have been sent by OLAF to Belgian authorities for potential legal proceedings, the five MEPs said.

OLAF said in a statement it had "concluded an investigation into alleged psychological harassment and inappropriate behavior" by an EESC member and "issued judicial and disciplinary recommendations." The Belgian federal prosecutor's office declined to comment.

Krawczyk replied to questions by POLITICO via a letter from his lawyers, who said their client "formally contests the accusations of harassment," and stressed that they would take "all necessary measures to guarantee the presumption of innocence and the right of our client to a fair process."

Serious misconduct

Bullying allegations against Krawczyk date back to 2013, when he first took up a leadership role in the EESC as president of the employers' group, one of the three groups that make up the institution.

The allegations formed part of an EU court case in 2016, in which a staffer complained that he had repeatedly asked her to work while she was on maternity leave in 2013 and, after her return, dismissed her to a lower rank without cause. The court ruled the demotion should be annulled and the plaintiff should receive €2,000 in damages.

In 2018, POLITICO reported about complaints of former or current EESC employees who claimed that Krawczyk had bullied them by yelling, criticizing their work and insulting them in front of others.

The same year, OLAF launched its investigation after several people at the EESC complained to the anti-fraud office about alleged psychological harassment. OLAF said in a statement that its mandate "does not only cover fraud with EU funds, but also allegations of serious misconduct of EU staff and members."

Four current or former EESC officials told POLITICO about a case they perceived as particularly serious: In 2018, Krawczyk allegedly pressured a head of unit to fire specific staffers without providing sufficient reasons. When the head of unit refused to obey the order, saying this was against the rules, the group president reacted by allegedly isolating that person at work.

"He took tasks away [from the head of unit] and no longer passed on certain information but gave it to other persons instead," said Henri Malosse, a former president of the EESC from 2013 to 2015, who still serves as member of the EESC's employers group that is presided by Krawczyk.

"He can be extremely bullying in his behavior toward people," Malosse added.

Four MEPs said that the alleged isolation was one of the two cases described as psychological harassment in the OLAF report.

Madi Sharma, a British national who served on the EESC's employment group until the U.K.'s exit from the EU at the end of last month, said "members were aware of the harassment and isolation of certain staff."

Besides the two cases of alleged psychological harassment, the OLAF report also names two different cases of alleged serious misconduct and nine cases of alleged inappropriate behavior, MEPs said. Besides repeatedly shouting at staffers, Krawczyk allegedly ordered subordinates to run errands for him, such as accompanying his wife to visit apartments, MEPs said.

OLAF declined to comment on the specific findings of its investigation because of "the requirements of investigative and potentially judicial secrecy in such matters."

'Indisputable shortcomings'

In response to previous bullying complaints, the EESC last year adopted a new code of conduct including sanctions for misbehavior, but critics say these sanctions are not tough enough and haven't been applied properly.

MEP García Muñoz, in her amendments, expressed regret "that such sanctions are not significantly severe" and urged the EESC "to add sanctions that may be more effective and dissuasive."

Renew & Démocratie, a workers' union for EU staffers, criticized "indisputable shortcomings of the internal procedures, which allowed the very serious facts found by OLAF to continue for years without the EESC administration being able firstly to avoid them, and then to punish them."

The EESC said in a statement that it takes the allegations against Krawczyk "extremely seriously and deals with it with the utmost seriousness in the interests of finding the most appropriate solution within the existing administrative and legal framework."

The institution also said it would "fully comply" with recommendations that OLAF had issued as part of its report.

"The EU must have an interest in getting clean people of integrity to head its institutions" — Viola von Cramon-Taubadel, Green MEP

However, fresh criticism is mounting because only a few days after OLAF concluded its investigation in January, the EESC's employers group elected Krawczyk as their candidate for the organization's overarching presidency in October. He is set to run against candidates from the two other groups representing workers and civil organizations.

Malosse said that ahead of his election, Krawczyk had portrayed the allegations by OLAF as a political conspiracy against him and the employers’ group.

"Of course the presumption of innocence applies," said Green MEP Viola von Cramon-Taubadel. "But the fact that this person has nevertheless been nominated as a candidate for the presidency is for me a complete failure of all checks and balances."

She said the fact that the allegations date back years was particularly concerning. "The EU must have an interest in getting clean people of integrity to head its institutions," von Cramon-Taubadel said.

Krawczyk's lawyers said in their letter that that their client "benefits from an important support of the group of employers," with about 70 percent of favorable votes, "for maintaining his candidature for the presidency of the EESC for the next mandate."