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EU Policy Update: Crisis Continues, Social Governance Key

This policy update highlights the ongoing crisis in the EU and the main developments in employment and social issues. It focuses on the European Fund for Strategic Investments and the progress on the social triple A. It also discusses the common social values in the EU and the recommendations made by the European Anti-Poverty Network. The update concludes with the recent Employment updates and concerns regarding the Employment Package.

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EU Policy Update: Crisis Continues, Social Governance Key

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  1. 2a EU Policy Update October 2015 October 10 2015 Sian Jones, Policy Coordinator and Amana Ferro, Senior Policy Officer European Anti Poverty Network

  2. Outline • The Context – The EU in crisis • Main developments – Employment and Social • Developments on Europe 2020 and the Semester • EAPN ACTION

  3. The Context: EU Crisis continues • GREXIT: Syriza won referendum on austerity deal, thenre-elected but withreducedmajority. Littlesympathyfrom EU leaders. • MIGRATION: 85% increase in asylum/2,500 deaths at sea (2015). European Council enforcesquotas – 160.000 with 120.000 relocatedfromItaly/Greece, rebellionfromEasternEuropean MS. • BREXIT: New Conservative Governmentwithabsolutemajority in UK elections, referendum couldbedelayed to 2017. • CLOSER ECONOMIC UNION FOR THE EURO ZONE: 5 Presidents report, move to joint economicdecision-making - Social Triple A • JUNCKER STATE OF THE UNION SPEECH: ‘there is not enough Europe in this Union. And there is not enough Union in this Union’ • ESIF APPROVED, BUT NOT SOCIAL: Main focus is infrastructure/innovation.

  4. EU Investment Package: Update • European Fund for Strategic Investments (EFSI) • Sets framework and money for 1 and 2 and provides guarantee of 16 bn to support the 315 bn fund – mainly private leverage. • Main projects funded: infrastructure, transport, energy, digital, with some investment in education, health, research and development • Main Developments • Political agreement – 28 May with EP vote on Regulation – 24 June. • Operational since September with project pre-financed by EIB • Road show around EU – focussing on major private companies/investors. • « Pro-business’ and ‘pro-investment’ – priority to infrastructure, innovation, energy eg wind farms in Denmark, but little signs of social infrastructure/education etc.

  5. Progress on Social Triple A? • June 9: Commissioners Social Orientation Debate - Economic policy on a par with social, social convergence with EU Minimum standards…. • 16-17 July: Luxembourg: Informal Council Meeting of M of Employment, Social Affairs– social governance/Common Social values. • Sept-Oct: 2nd Commissioner’s debate delayed because of refugee crisis and subsumed in general session (Oct 6).. • Stakeholder Meeting with NGOs/Thyssen – good rhetoric but no concrete proposals.. • Commission Communication on social floor/social agenda? =? benchmarking social standards on minimum income/minimum wage/access to health

  6. Common Social Values in the EU • Paper prepared by Fran Bennett and Sandy Coxton for Lux Presidency Informal Council. • Underlined common social objectives with Treaty base (Art 3/9) and common values of social model. • Key role of Social OMC, as well as Europe 2020 impacting on European Semester. • Social Protection systems not reduced to safety nets, with key role to social investment • Priority areas: integrated active inclusion – emphasizing MI and Services pillars, investing in children, tackling homelessness, health

  7. Common Social Values in EU (cont.) Recommendations reflect many EAPN demands: • Balanced Agenda –social objectives in economic • Key use of social and economic indicators and social impact assessment • Enlarged role of SPC with EMCO in EPSCO. • Priority to prevention as well as investment, adequacy/effectiveness of social protection • Commonly agreed social standards. • Mainstreaming Gender equality. • Guidelines for Stakeholders engagement

  8. EPSCO Council – 5 October • Social Governance and key messages on social policy reforms • “As we emerge from the crisis, social issues and employment need to be at the heart of our policies, hence the need to strengthen social governance” • Deepen social dimension to ensure upward social convergence – but ref to ‘necessary reforms to social protection. • Social Dimension in EMU build on existing instruments – indicators/social and employment scoreboard. • Approach to social policy reforms with emphasis on adequacy of income support and coverage linked to activation/integrated active inclusion – investment in key services – education/housing/health and early learning. • Discussion on social standards but no comments..

  9. Employment Updates • Employability Package announced early 2015, then reduced to a single proposal for Recommendation on Long-Term Unemployment • Builds on a public consultation to which EAPN responded in May, together with members • Welcome elements: stepped-up registration of the unemployed to ensure better coverage, personalised approaches and tailor-made inclusion plans, single point of contact, close involvement of employers. • Concerns: missing references to adequate income support; no safeguards against negative activation and conditionality, no quality work; no explicit role / involvement for NGOs; no extra funding. • European Parliament already adopted their resolution through the fast track procedure; • EMCO (and SPC?) discussing it, EPSCO 7 December to endorse it; • CoR consultation for upcoming Opinion – EAPN invited

  10. Europe 2020 – European Semester – changes • EU Stage: November to February: Focus on Euro area • Annual Growth Survey sets key priorities • Alert Mechanisms Report • Joint Social and Employment Report • Recommendations for Action in Euro Area • National Stage: March to July: Broader EU • Country Reports reviewing progress • CSRs proposed and discussed/agreed by July Council • Role of NRPs?

  11. EAPN Semester/Europe 2020 Action • Assessment of CSRs • Letter to EPSCO and Council - June • NRP/ Semester Assessment – July-Oct • Letter to Juncker – Key Messages to AGS • Semester Alliance Letter – Get the Semester back on track – focus on Europe 2020 objectives • Input to EP EMPL report on European Semester and new report on poverty target and household disposable income. • Participation in OSE/LUX research on socialization of the Semester

  12. Alliances – other actions • Follow up on EMIN – new funding proposals/ ETUC support action plan > MI directive. • Energy Poverty – vulnerable consumers’ group’ EPSU joint meeting/letter-Energy Commissioner • Roma Inclusion – participation in civil society ad-hoc coalition and EC meetings • Investing in Children Alliance/Eurochild: EP Declaration signed by 376 MEPs by 7 Dec • 2030 SDG goals – CSO open letter to Timmermans on 2030 Agenda – coalition. • Migration: #weapologize– SP campaign on asylum seekers. • Social Platform task forces – on EU Governance, EU Social Standards, Services and the TTIP / TISA • European Youth Forum project on youth inclusion - input

  13. Thank you for your attention! For more information contact Sian Jones, EAPN Policy Coordinator sian.jones@eapn.eu Amana Ferro, Senior Policy Officer amana.ferro@eapn.eu

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