EU Policy Update October 2017

1. 6a EU Policy Update October 2017 Sian Jones Policy Coordinator European Anti Poverty Network Eapn.eu www.eapn.eu

2. 6a Outline • The context – The EU growing in confidence? • State of the Union Address • Social Pillar update and coming up • Future of Europe • What action and next steps?

3. 6a The Context: Growing EU confidence but conflicting directions... • MIXED ELECTION RESULTS: Netherlands, France, UK, Germany and nowAustria – insecure base for clear message on stronger or social Europe • BREXIT: Article 50 triggered, but insufficientprogress made on ‘divorce’ bill, sodelays on trade deal. Growing EU consensus v divisions in UK. • GREXIT: EU agrees new bailout, including minimum income, but austeritycutsalready made, pressure on privatisation and debt control. • MIGRATION: June Council focus on prevention and returns: Malta Summit Action Plan, 200 million EU extra, increased Border Agency; expansion of Turkey deal, Libya, Reform of Common Asylum System. Voluntary quotas. • SECURITY & TERRORISM:Increasingprioritywithwidespreadattacksacross EU. EU cooperation: External border controls and on-line data. • CETA: came into force on 21 Sept 2017, but national/regionalgovernments have to ratify. EgBelgiumalready to ECJ. No timeline...

4. 6a 2017 State of the Union Address ‘Wind in our Sails!” • Europe on the right track - 13 Sept, President Juncker’s optimistic discourse highlighting progress on growth and unemployment, no mention of poverty. • Need to ‘hold course’ and build a more united, stronger and more democratic Europe based on the EU 27 • Talks of own “6th scenario”: A Union of values: more than the Single Market – freedom, equality and rule of law. • Equality – between Member States, no 2nd class citizens, workers or consumers. • Rule of Law – importance of the European Court of Justice as primary court. • Need to avoid social fragmentation and social dumping – MS should agree the EPSR by social summit, and a European Social Standards Union. • Big on the big and small on the small – Task force on subsidiarity and proportionality. • Deepening Economic and Monetary Union: Common Minister for Economy and Finance / qualified majority voting eg on EU harmonized tax reform.

5. 6a State of the Union Address Reactions? • Overly positive with no mention of poverty, social exclusion and inequality • Primary focus is growth and jobs, with disappointing lack of overarching references to a more social approach to economy, based on social rights • 6th Scenario not on social and sustainable development / Agenda 2030 and the SDGs. • Focus on equality but not insisting on a level playing field for obligatory social rights. • Reference to EPSR, but not mainstreamed throughout the address or approach (and not mentioned in original German version..) • Concern that EU will stick to narrow economic vision – emphasizing subsidiarity and national competences with no discussion about real implementation on social rights.. • Little support for Common Minister for Economy and Financeor qualified majority voting eg on EU harmonized tax reform so far – divisions with the EU widening..

6. 6a European Pillar on Social Rights – Update and what’s coming up • Inter-institutional Proclamation progressing – detailed negotiations between Council, Commission and European Parliament, but the Council holds the power. • European Parliament support, following EP opinion authored byMaria João Rodrigues, with 2 EMPL Committee coordinators, but likely to rubber stamp. • Council discussions hitting obstacles: Council legal opinion highlighted there was no legal obligation or financial requirement. Amendments on principles proposed by Hungary, Spain and Denmark, and a large number on preamble, aiming to weaken impact. • Some rumours that no agreement will be reached by EPSCO meeting. Key Upcoming Dates: Provisional Timeline • 23 October EPSCO Council: agree mandate for adoption of Proclamation at Social Summit. • End of October: Publication of consultation on access to social protection. • 17 November Social Summit: Adoption of inter-institutional proclamation. • 14-15 December: European Council: Final ratification. • January 2018 – proposals for implementation in EC work programme? .

7. 6a EAPN Position on EPSR: Making Social rights the beating heart of Europe EAPN welcomes • Need for social progress and upward convergence on social rights and standards • Improvements in draft on 20 principles, including children’s right to protection from poverty, social protection for all workers, right to adequate unemployment benefits, access to social housing. • Explicit right to minimum income to ensure a life in dignity. What’s missing • Obligatory rights rather than a framework of voluntary principles. • Unclear mechanisms for implementation • Uncertain impact for people in poverty.

8. 6a EAPN Position on EPSR: Making Social rights the beating heart of Europe 5 KEY STEPS • Clarify interpretation of key social standards related to Active Inclusion: EAPN priority areas: • Ensure policy coherence in the European Semester and roadmap for implementation • Make the Social Scoreboard effective • Propose ambitious legislation to guarantee rights to social protection and minimum income • Prioritize good governance and participation for people experiencing poverty

9. 6a EAPN Position on EPSR: Making Social rights the beating heart of Europe EAPN’s 5 PRIORITY PRINCIPLES • Minimum Income: underline need for integrated active inclusion to empower beneficiaries and to ensure access to quality social protection and services for those who cannot work. • Social Protection: should apply to all workers, and for those who cannot work or access decent jobs – include right to minimum income, access to social housing, affordable health, education. • Access to Services: right to equal access to affordable services egall public services (water, energy, transport, digital inclusion.) • Fair Wages: adequate minimum wages set in a positive hierarchy to adequate minimum income (ie higher) with integrated support. • Right to quality education, training and lifelong learning: equal right to ensure skills and to participate fully in society. 2nd chance opportunities must be accessible, with income support with discrimination combatted.

10. 6a EAPN Actions on Pillar of Social RightsJune - November • Draft / Finalisation of EAPN position: Make social rights the beating heart of Europe (September 2017) • Agreement of Action Plan with members • Inputs to hearings / meetings with EESC, CoR, EP (Sept/Oct) • Meetings with Commission and Indicators Sub-group of SPC on social scoreboard (Sept/Oct) • Meeting with head of Thyssens Cabinet (4 Oct) – letter to MS asking for support to EAPN as key partner in deliver on EPSR? • Template letter to members to lobby Social Ministers in support of Proclamation (October 16) • Participation in Social Summit (Social Platform delegation)

11. 6a Progress on Minimum Income Benchmarking and Social Scoreboard • Scoreboard has one indicator on adequacy - impact of social transfers on poverty. Developing coverage indicators, but not used this year – led by SPC Indicators SG. • Benchmarking Task Force on Minimum Income: indicators agreed at three levels: high level – AROPE; intermediate – adequacy of benefits, coverage, reduction of poverty rate after transfers, 3rd level-policy levers: minimum income as % of poverty threshold, % of 50 and 60% of average wage. Want to include something on benchmarking in the Joint Employment Report. Methodology has to be agreed at the SPC. Issues around impact of in-kind benefits. EP Report: Minimum Income policies as a tool for fighting poverty: • Rapporteur: Laura Agea, EFDD, good step forward on EAPN and EMIN work. • Agreed in EMPL Committee with amendments: 2 key one p.21 tacit support for a European Directive on Minimum Income, and p 3. Setting up appropriate European Fund. • To be voted in plenary on 24-26 October. • Supported by S+D, Greens/EFA, GUE/NGL and EFDD. Not: EPP, ALDE and ECR. • Ask EMIN coordinators/networks to lobby friendly EPP, ALDE, ECR.

12. 6a Future of Europe: Update 2017: Launch of “Future of Europe’ debates across EU March: European Council and EU27 Summit – Rome Declaration 26 April : Reflection Paper (RP) on social dimension of Europe 10 May: Reflection on harnessing globalisation 31 May: Deepening of the EMU 7 June: Future of European Defence 28 June: Future of EU finances Dec 15/16: European Council: 1st Conclusions June 2019: European Parliament Elections

13. 6a EAPN Action • EXCO - Future of Europe follow up. • EU ISG Action Plan on Social Pillar • What national engagement so far? • Follow up engaging with MS on implementation – (support of Commission) – 5 key areas. • Communication / Advocacy – Social Summit • Consultation on access to social protection for all • Monitoring through the Semester • Scoreboard – WG?

14. 6a Thank you for your attention! For more information, please contact Sian Jones EAPN Policy Coordinator sian.jones@eapn.eu