Transcript Slide 1
The social dimension of Europe 2020 and social investment for growth and cohesion Dr Lieve Fransen Director Europe 2020: Social Policies DG Employment, Social Affairs and Inclusion Social Europe The impact of the crisis is widely felt • Economic recovery has come to a standstill: GDP likely to stagnate (0.6% for 2012). • Unemployment expected to remain high (10% in 2012) - 8 respondents out of 10 think that poverty has increased in the last 12 months (Eurobarometer) Social Europe People at risk of poverty or exclusion 35 30 DE 25 ES FR % 20 IE 15 UK 10 EU27 5 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Source: Eurostat, EU Statistics on Income and Living Conditions Social Europe 2012 AGS: Tackling the social consequences of the crisis Policy priorities within this area: - improving the effectiveness of social protection systems - implementing active inclusion policies: labour market activation measures, quality social services and adequate income support Social Europe Addressing taxes and transfers more effectively • Correlation between social protection expenditure and redistributive effect of taxes and transfers Social protection expenditure (without old age benefits, % of GDP) 25 20 BE DEDK SE AT UK LU FR EL ES 15 IT 10 BG RO LV LT CY PL EE PT FI IE SI MT SK HU CZ 5 0 0% 5% 10% 15% 20% 25% Reduction in income inequality (Gini, %) Source: Calculations based on EU SILC 2009 and ESSPROSS Social Europe 30% 35% • Similar expenditure can go with big differences in inequality reduction 2012 European Semester results • Annual Growth Survey priorities, including tackling unemployment and the social consequences of the crisis endorsed by European Council • Most National Reform Programmes lacking comphrehensive strategy to address poverty Social Europe Country Specific Recommendations targeting poverty and inclusion • 2011: Poverty recommendations given to Bulgaria, Cyprus, Estonia • 2012: Tackling poverty, Roma, improved family benefits and pensions • Social dimension better integrated in the outcome of this European Semester Social Europe EU action to tackle the crisis • Youth Opportunities Initiative • Proposal to allocate 20% of the European Social Fund 2014-2020 budget on promoting social inclusion and combating poverty Social Europe Social investments for growth and social cohesion • Investing in human capital leads to economic and social returns in the short and long term • It prevents much larger economic and social costs from arising in the future • • • • How: - Improve policy framework based on evidence - innovate and proof it - streamline governance better Social Europe Thank you Social Europe