DIGIT TM III | Further Clarity on Indexation

Following the DIGIT TM III kick-off, we now have greater clarity on how indexation and daily rate adjustments will operate under the Framework Contract.

As transparency is a fundamental part of the way DUKAT works with its consultants, we want to share this additional clarification with all the professionals with whom we have discussed DIGIT TM III over the past months.

Importantly, this additional clarity does not represent any change in DUKAT’s approach or policy regarding indexation.

DUKAT had already anticipated and addressed indexation in the contracts signed with our consultants, ensuring that this aspect was contemplated in their contractual conditions.

“DUKAT also commits to applying any indexation of our rates applied by the European Commission at the same month / period to your daily rate or salary. This same principle applies to any other rate increase that DUKAT may obtain from the European Commission for the delivery of your services." 

What the kick-off has provided is a clearer and more complete understanding of how the mechanisms foreseen under DIGIT TM III will operate at Specific Contract level.

Two separate mechanisms may affect the evolution of the daily rate

It is important to distinguish between them:

1.

5% daily rate increase after 440 working days

If the same service provider delivers at least 440 working days under the respective Specific Contract, an increase of the daily rate by 5% may be considered.

The decision to apply this increase remains at the discretion of the customer and can only be envisaged if the conditions established in Section 4.2.1 of the SR&SLA are met.

2.

Indexation linked to inflation

DIGIT TM III also provides for a separate indexation mechanism, designed to reflect changes in the relevant price index.

This indexation operates at Specific Contract level, rather than at Framework Contract level. DIGIT TM III provides for an annual adjustment of eligible contract prices based on a Eurostat inflation index for the euro area, but It is managed by the respective DG or Agency, rather than centrally by DIGIT.

Rules:

  • Indexation is triggered only when the index has increased or decreased by at least 2% compared with the previous year.

  • Only 80% of the contractual rate is indexed. The remaining 20% stays unchanged. A 5% increase in the index therefore produces an increase of approximately 4% in the contractual rate.

  • Any applicable adjustment takes effect on 1 September.

  • For Specific Contracts entering into force between 1 September 2026 and 30 August 2027, the first indexation may be applied from 1 September 2028 onwards.

These rules concern the prices between the European Commission and the framework contractor. They do not automatically entitle individual freelancers to an equivalent adjustment of their daily rates.

What does this mean for DUKAT consultants?

The clarification provided during the DIGIT TM III kick-off gives us greater visibility on how indexation will operate within the Framework Contract and at Specific Contract level.

It does not change DUKAT’s existing policy or the principles we had already established regarding indexation in the contracts signed with our consultants.

As we obtain further operational clarity on DIGIT TM III, we will continue sharing relevant information with our consultants openly and transparently.

Follow our news closely as very son we will announce measures to ease the pain produced by partial or non-existing indexations.

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