Affording old age: the EU pensions debate - Generation M(obility) Buying social: building the social into public procurement
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ISSN: 1682-7783
ISSUE N° 25 • November 2010
Affording old age:
the EU pensions debate
Generation M(obility)
Buying social: building the social
into public procurement
The European Commission’s magazine on employment and social affairs
EDITOrial
E
urope’s population will age dramatically over the next European pension systems seeks to obtain their views
50 years. The latest demographic projections reveal on the key challenges facing pension systems and on
that a further rise of about seven years in life expect- how the EU can support member States efforts to deliver
ancy could materialise by 2060. We should celebrate adequate and sustainable pensions. In this edition’s
the fact that people are living longer. It is a great human “Special feature”, which begins on page 15, we take a
achievement – especially as we are fitter for longer. The closer look at the unfolding of the EU pension debate and
problem is that behind the baby boom there is a baby we examine current trends in pension reform.
bust. Europe is facing the dual challenge of an ageing
population with an increasing number of pensioners, and From those nearing retirement to those who are about
a shrinking workforce. Recent forecasts have predicted to enter the labour market: the lead article on page 7 is
that the European workforce will shrink significantly from devoted to the most recent EU initiative to enable young
as early as 2012. And as the baby-boomers (people people to find employment. Youth on the Move sets out a
born between 1946 and 1964) retire over the next two series of actions to help young people gain the qualifica-
decades, the burden on the state will rise sharply. The tions they need to succeed in the jobs market. With youth
looming pension crisis has proven an effective catalyst unemployment currently standing at nearly 21 percent
for reform across the European Union. Over the last as a result of the crisis, co-ordinated action at EU level is
15 years consecutive necessary to help ensure
waves of member State Europe’s future prosperity.
reforms in response to the “Europe is facing the dual challenge
challenge of ageing have The challenge of reducing
markedly altered pension
of an ageing population with youth unemployment in
systems and pension an increasing number of pensioners the EU and the action
scheme designs across the necessary to respond to
Union. Now, as the Lisbon
and a shrinking workforce.” it are also addressed in
process is being replaced our regular interview, this
by the Europe 2020 strategy, it is time to take stock of the time with Xavier Prats Monné, Director responsible for
progress made. With the financial crisis and the economic employment at DG Employment, social affairs and equal
downturn, member States need to revisit achievements opportunities. And in our “Other voices” section on page
and re-assess core responses in the light of the short- 26, OECD pension expert Edward Whitehouse discusses
and longer-term impacts on the various elements in their some of the key issues national governments will need to
pension systems. To support them in their endeavours, the tackle in order to ensure that their national security systems
European Commission has launched a European debate stay strong and affordable.
based on extensive consultation of all stakeholders. The
green paper Towards adequate, sustainable and safe Robert Verrue
Focus On:
Van Parys Media
© Getty Images
© Getty Images
© iStock
©
Affording old age: Generation M(obility) Buying social: building the
the EU pensions debate By helping young Europeans to work social into public procurement
As Europe braces itself for the “sil- and study abroad, the European Seventeen per cent of the European
ver tsunami”, the search is on for Commission hopes to provide them Union’s GDP is represented by pub-
the best ways to ensure adequate with the knowledge, skills and expe- lic procurement contracts. It is time to
and sustainable pensions for its rience they need to make their first make sure that certain social stand-
citizens. p.15 job a reality. p. 7 ards are included in them. p. 21
2 Social Agenda – November 2010
Contents
E M PLOYM ENT
Generation M(obility) 7
D ISABILIT Y
European award for accessible cities 11
GEN D ER EQ UALIT Y
© Getty Images
European Commission unveils new strategy for gender equality 13
SPECIAL FE ATU RE
Affording old age – the EU pensions debate 15
Common challenges require shared solutions 16
What future for pensions? 18
© Getty Images
Main trends in European pension reforms 19
CO RPO RATE SO CIAL RESPO NSIBILIT Y
Buying social: building the social into public procurement 21
HE ALTH AN D SAFE T Y AT WO RK
Less dangerous, more stressful 23
© Getty Images
OTH ER VO ICES
Comparable and easily accessible data 26
ITE M S
News in brief 4
Interview with Xavier Prats Monné, Director responsible
27
for employment at DG Employment, social affairs and equal opportunities
© European Union
Recent publications 28
Useful websites 28
A magazine providing information on European employment and social policies, Social Agenda is published in English, French and German by the European Commission’s
Directorate-General for Employment, Social Affairs and Equal Opportunities.
Editor in chief: Robert Verrue, Director-General, DG Employment, Social Affairs and Equal Opportunities – European Commission, B-1049 Brussels
65,000 copies of this issue were published. Subscription is free on request – please contact: European Commission, Employment, Social Affairs and Equal Opportunities DG – InfoCentre,
B-1049 Brussels, Fax.: (32-2) 296 23 93; http://ec.europa.eu/social/contact
Notice: Neither the European Commission, nor any person acting on its behalf, may be held responsible for the use to which information contained in this publication may be
put, or for any errors which, despite careful preparation and checking, may appear. • © European Union, 2010
Non-commercial reproduction authorised, subject to acknowledgement of the source.
For any use or reproduction of photos which are not under European Union copyright, permission must be sought directly from the copyright holder(s).
© Cover photo: Getty Images
NEWS IN BRIEF
GENERAL
Three Europeans in four think that stronger coordi-
nation of economic and financial policies
among European countries would be effective in fighting
the economic crisis, according to the Spring 2010
Eurobarometer, the bi-annual opinion poll organised by
the EU. The survey was conducted in May – at the height
of the European debt crisis – and published last august.
Seventy-two percent of Europeans support a stronger
supervision by the EU of the activities of the most
important international financial groups, an increase of
© Belga Picture
four percentage points from the last Eurobarometer in
autumn 2009. Europeans’ main areas of concern in the
crisis were the current economic situation, unemployment
and rising prices. ❙■
EMPLOYMENT AND EUROPEAN SOCIAL FUND
The EU labour market is continuing to stabilise encouraging more of them to take advantage of EU grants
following several months of only relatively moderate to study or train in another country. It is hoped that this
deterioration and is now showing the first signs of will increase young people’s employability and access to
recovery – according to the latest Monthly Labour Market the labour market (see related article on p. 7).
Monitor by the European Commission.
The EU adopted new measures aimed at simplifying
For the first time in nearly two years, employment management rules for the structural and
remained unchanged in the second quarter, while cohesion funds, which include the European Social
unemployment has been falling since May. Overall, the Fund. The changes should help to facilitate access to the
EU labour market may perform somewhat better this funds and accelerate flows of investment at a time when
year than previously expected, driven by a faster than public budgets are under pressure. As part of the measures
envisaged economic recovery, although conditions are still to counter the economic crisis, additional advance payments
set to remain weak for some time. totalling € 775 million will be paid out to some member
countries to tackle immediate cash flow problems. ❙■
The flagship event for the European Job Days took
place at the European Commission headquarters in Brussels
on 2 October. It attracted around 10,000 jobseekers and
40 employers. During September and October similar
events took place all over Europe, giving jobseekers and
employers the possibility of visiting events ranging from
recruitment fairs to seminars and lectures on job mobility.
On 15 September the European Commission launched
Youth on the Move, an initiative aimed at helping
© European Union
young people to gain the knowledge, skills and experi-
ence they need to secure their first job. Youth on the Move
proposes 28 key actions aimed at making education
and training more relevant to young people’s needs and
4 Social Agenda – November 2010
WORK ORGANISATION, WORKING CONDITIONS AND SOCIAL DIALOGUE
The third annual report on the activities of the European Globali-
sation Fund (EGF) showed a six-fold increase in applications from
member States for funding to support workers dismissed as a result Europe
an G
of globalisation and the economic crisis. In 2009, 13 member States Adjustm lobalisation
ent Fun
d
submitted 30 applications requesting a total of over 165 million euro
from the EGF in order to help almost 30 000 workers made redundant
in 17 industrial sectors – a 700% increase on 2008.
On 30 September EU-level employers’ and trade unions’ organisa-
tions in the healthcare, education, local and regional government,
commerce and private security sectors signed guidelines to help
tackle violence and harassment at work. The guidelines
aim to cut prevent, reduce and mitigate violence by increasing
awareness and understanding of the issue, properly assessing the
risks posed by third party violence in different workplaces and job Lost yo
ur job? T
he EGF
functions; training managers and workers in how to prevent or, if may be
able to
help yo
-125-EN-P
u
necessary, manage the problem, and setting up policies and systems
KE-31-09
http://ec
for monitoring, reporting and investigating incidents and providing .europa.
Directorat
e-Genera
l for Emp
loyment,
Social Affai
eu/egf
rs and Equa
l Opportu
support to victims. ❙■
nities —
European
Commiss
ion
GENDER EQUALITY
On 21 September the strategy aims to make better use of women’s potential, thereby
European Commis- contributing to the EU’s overall economic and social goals.
sion adopted a It translates the principles set out in the European Commis-
five-year strategy sion’s Women’s Charter into specific measures, ranging from
for promoting getting more women into company boardrooms to tackling
equality between gender-based violence. Meanwhile, a new Eurobarometer
© Getty Images
women and men survey shows 87% of Europeans support EU action to tackle
in Europe (see related domestic violence. One out of four knows someone who has
article on p. 11). The been a victim of such violence. ❙■
MOBILITY
In July the European Commission adopted a report setting
out in a consolidated way the rights of Europeans
to live and work in another EU country. The
report also provides an update on legal developments
in the past decade. Currently, only 2.3% of people in
the EU reside in a member States other than their own.
However, a new Eurobarometer survey found that 17%
of Europeans envisage working abroad in the future and
© 123RF
48% would consider looking for work in another country
or region if they were to lose their job. ❙■
Social Agenda – November 2010 5
PROMOTING AN INCLUSIVE SOCIETY
During October the European Commission organized The Roma task force, which will include senior officials
a series of high level events in Romania, focusing on the from all relevant Commission departments, will assess
contribution of EU funds to the integration of member States’ use of EU funds for Roma integration and
Roma. A national event took place on 12 and 13 October identify ways to improve the funds’ effectiveness. The task
in Bucharest followed by two regional events in Cluj on force’s first findings will be submitted to the Commission by
14 October and Iaşi on 20 October. These events aimed the end of the year.
at raising awareness about the opportunities offered by
EU funds, promoting their use and improving the impact The European Commission has launched a Europe-wide
of projects supported by them. They are also part of a public debate on how to ensure adequate,
process towards a better involvement of the Roma in the sustainable and safe pensions and how the EU can
implementation of the EU funds operational programmes. best support the national efforts. Ageing populations in all
member States have put existing retirement systems under
massive strain and the financial and economic crisis has
only increased this pressure. The consultation document,
a Green paper, poses a series of questions inviting all
interested parties to contribute views, opinions and ideas
on confronting the pension challenge - one of the biggest
facing Europe and most parts of the world today – and
how the EU can contribute to the solutions (see related
article on p. 16)
© Getty Images
One European in six reports a constant struggle to pay
household bills and three quarters believe that poverty has
increased in their country over the past year, according
to a Eurobarometer survey on the social impact
The European Commission has established a Roma task of the crisis published in June. The report marks the
force to assess member States’ use of European halfway mark of the 2010 European Year against poverty
Union funds. The proposal was part of an analysis and comes after EU leaders agreed to reduce the number
on the situation of Roma in France and in Europe by EU of Europeans at risk of poverty and social exclusion
Justice Commissioner Viviane Reding, EU Commissioner by at least 20 million over the next ten years as part of
for Employment, Social Affairs and Inclusion László Andor the Europe 2020 economic growth strategy for the next
and EU Home Affairs Commissioner Cecilia Malmströ. decade. ❙■
INTERNATIONAL EMPLOYMENT ISSUES
The European Commission has published a study assessing
the challenges that Ukraine faces in the areas
of poverty, social exclusion, pensions and
health/long-term care. On the basis of this research
and two previously published studies on social protection
and social inclusion in Belarus and Moldova, a synthesis
report for the three countries will complete this first cycle of
the studies on social protection and social Iiclusion in the
European Neighbourhood Policy (ENP). Continuing this
series the Southern Caucasus region studies for Armenia,
© 123RF
Azerbaijan and Georgia, together with a Synthesis Report,
are expected to be published in early 2011. ❙■
6 Social Agenda – November 2010
Youth on
the move
Generation M(obility)
© Getty Images
New European initiative to fight young people. The initiative sets out
a series of actions to help youngsters
gain the qualifications and skills
youth unemployment encourages to succeed in the jobs market.
The measures proposed by the
working and studying abroad European Commission focus on three
areas: modernising education and
training so that it is more relevant
F
or millions of young Europeans EU’s new Europe 2020 strategy for to the needs of young people and
finding a job looks like an growth, Youth on the Move proposes employers; supporting learning and
increasingly remote possibility. a series of actions aimed at making job mobility; providing a new EU
The economic and financial crisis has education and training more framework for youth employment.
made it harder for young people to relevant to young people’s needs
enter the labour market. The number and encouraging more of them to Europe’s future prosperity depends
of young people looking for a job has take advantage of EU grants to study on its young people. They represent
increased from 4 to 5 million since or train in another country. This will a fifth of the EU population and their
the onset of the financial turmoil, increase young people’s employ- skills and abilities will be decisive
with youth unemployment now at ability and access to the labour in achieving the Europe 2020 goal
nearly 21% in the European Union market. Youth on the Move brings of smart, sustainable and inclusive
(EU). In a bid to help improving the together new and existing measures growth. European education and
situation the European Commission at EU level and in the member States training systems differ from country
has launched Youth on the Move, to create a more effective package of to country, but they are all facing
an initiative aimed at helping young support for young people. According similar problems. At present, too
people to gain the knowledge, skills to the EU this is the first single many young people fail to reach
and experience they need to make EU-level strategy embracing both their full potential in education and
their first job a reality. Part of the education and employment targeting training – which then makes it harder
Social Agenda – November 2010 7
mobility” – studying or training
abroad to gain new skills and experi-
ence, and “employment mobility” –
moving abroad for work, on a short
or longer-term basis.
The European Commission has a
long history of providing financial
support for learning mobility through
programmes such as Erasmus,
Erasmus Mundus and Marie Curie in
higher education, Leonardo da Vinci
in vocational education and Comenius
in school education. Youth on the
Move aims to raise wider awareness
© Belga Picture
of the grants available through these
programmes.
The freedom to work in another
member States is a right guaran-
for them to find a job. The crisis has young people (95% of funding under teed for all EU citizens. Youth on the
led to a dramatic increase in youth the Lifelong Learning Programme Move will introduce new measures
unemployment. Access to the job goes to young people, teachers to support job mobility in the EU.
market is tough, even for those with and trainers), this is the first single The Commission will, through “Your
good qualifications. These challenges EU-level strategy embracing both first EURES Job”, provide assistance
call for co-ordinated action at EU education and employment. A lot of on the ground, including financial
level, to improve the quality of emphasis is placed on mobility, as in support, to help young people to
education and training so that young moving to another country to study, find job opportunities abroad. Today
people are better equipped for the train or work. Youth on the Move there are still shortages in some
labour market. Youth on the Move makes a distinction between “learning countries or sectors and in other
will encourage countries to learn from
each other about which policies work
and which do not. Some Youth on EURES: the European employment service
the Move actions will start very soon.
Others involve a longer-term perspec- Helping to match people with jobs is an essential part of the role played
tive. For example, preparation is by EURES – the European employment service, which brings together job
now starting for the new generation services across the EU. It provides information, advice and help in finding
of post-2013 EU programmes in a job in 27 EU countries, plus Norway, Iceland, Liechtenstein and Switzer-
support of education, training and land. EURES also has a network of more than 850 specialised advisers
employment. who can offer personalised help and advice on the practical, legal and
administrative aspects of moving between countries.
Working and studying The EURES portal (www.eures.europa.eu) offers a database with direct
abroad - an investment access to around half a million job vacancies and allows you to register
for the future your CV online.
Youth on the Move brings together The proof of the success of EURES lies in the statistics: more and more
new and existing measures at EU employers and employees are using the service. In the past three years,
level and in the member States to the number of vacancies on the EURES portal has grown by 18%, the
create a more effective package of number of employee CVs by 12%, and - most importantly - the number of
support for young people. Although employers by 129%. Every month 700,000 people visit the EURES portal,
existing EU programmes in education making it one of the busiest EU internet sites.
and training overwhelmingly target
8 Social Agenda – November 2010
regions unemployment is very high.
The Commission will encourage
small and medium enterprises
(SMEs), the largest group of
employers in the EU, to offer young
people work. In a European single
market, the a vailability of highly
qualified individuals with experi-
ence of living in different member
States is vital for smart and sustain-
able growth. Experience gained in
another country allows people to
improve their language skills and
develop other capacities, such as
dealing with other cultures. These
abilities are valuable for their own
personal development and future
employability. Moreover, a job in
another European country can help
young workers gain a foothold in the
labour market by finding a job more
easily, while improving their skills,
employability and future employment
horizons. At a more general level,
© Getty Images
job mobility also helps make labour
markets in Europe more adaptable,
creating more job opportunities and
Work or study experience abroad is increasingly valued by employers.
better matching people with jobs.
Independent studies have shown that Getting that elusive first job actions directly accessible to young
having studied or worked abroad people: “Your first EURES job” will
does enhance people’s employ- Putting policies and measures in be launched next year as a pilot
ment prospects. More than 40% of place to tackle youth unemploy- action to help young people seize the
employers attach importance to ment is first and foremost a national opportunities in the wider EU labour
the experience gained from study responsibility, but all member States market, and to help companies
and work abroad and consider face common challenges. To improve finding qualified workers, while the
that internationally experienced the situation of young people, the new “European Progress Microfi-
graduates are likely to take up European commission feels that we nance facility” will make it easier for
jobs with high professional respon- need policies that cover the steps young entrepreneurs to access credit.
sibilities. This is the key finding of young people have to make in the This is important since obtaining a
a 2006 study on the professional transition from education to work, loan has become more difficult after
value of the Erasmus scheme by and that provide support to those the financial crisis, especially for the
the International Centre for Higher who have difficulties in making younger generation. “Finding a job
Education Research and the Univer- these steps. Youth on the Move is what millions of young Europeans
sity of Kassel, Germany. A 2007 aims to focus policies in a strategic are most concerned about, said
study on the impact of Leonardo manner to help young people to get László Andor, the European Commis-
da Vinci programme for vocational the first job and then to progress in sioner for Employment, Social Affairs
education by Wir tschafts- und their career. The Commission will and Inclusion. Youth on the Move will
Sozialforschung (Kerpen, Germany) work closely together with member create new momentum at EU and
found that 58% of unemployed States to identify policy actions and national level to improve support for
people obtained a job after their measures that work to inspire the young people so that they can find a
training abroad and 34% got jobs shaping of policies. There will also job, make a living and pursue their
with greater responsibility. be new money available for two own plans.”
Social Agenda – November 2010 9
ESF in Portugal –
© European Union
Eastern promise
P
orto in Portugal has been as part of the ‘Network Contacto’ Trading EuroPacific was established
a centre of inter national training programme co-funded by in January 2008.
commerce for centuries and the European Union through the
Bruno Texeira is continuing his European Social Fund. The only major problem he has had
hometown’s tradition. The young so far is his age. “When people think
entrepreneur set up a consultancy of a consultant for big companies
business called Trading EuroPacific Gaining experience they are not expecting a young
in early 2008 to help Portuguese and The programme, provided by the person to come and give them
Asian companies work together. Portuguese Institute for Foreign Trade advice,” he says. “It takes a while
(ICEP), consisted of three months of to convince them. After I show my
He helps firms to find in Asia the initial training in the Department of knowledge and connections they are
distributors, suppliers and agents that Commerce in Portugal, followed by impressed, but in the beginning it’s
they need to access these new markets six months in Indonesia. During his difficult.”
and reduce their costs. “The cultural time there, Bruno prepared a report
differences between the EU and Asia on the Indonesian market and helped He now counts several large
make it difficult for companies to get Portuguese companies penetrate the companies as clients and has
access to each others’ markets,” says market there. a network of partners in Asian
the 29-year-old. “I decided to set up a countries.
business to bridge both continents.” The experience has proved vital to
Bruno in the work he now does.
His company, Trading Europe “The placement was very good for Planning ahead
Pacific (TEP consulting) works with contacts,” he says. “I met decision- For the future, he aims to expand
Portuguese companies that want to makers and influential people. I his operations to other European
sell to Asian markets and vice-versa, found out more about the region and countries. “I’d like to open an office
or else find manufacturers and the opportunities in the Indonesian in Barcelona. Spain would be the
control quality of production. He market for European companies. first step.”
works with a network across seven
Asian countries – Indonesia, China, After returning from his stint in He is also trying to enter India and
Vi e t n a m , M a l a y s i a , T h a i l a n d , Indonesia, he worked in the marketing has had enquiries from Brazilian and
Singapore and the Philippines: “We department of a telecommunications Mexican companies wanting to do
cover 50% of the world population.” company. However, he had always business in Asia. However, he wants
wanted to run his own company and, to get the business firmly established
He spotted the niche for his together with a partner he had met in before expansion. “We want to
business in 2006 whilst doing a Indonesia, he began to plan how to wait until we’re stronger in Portugal
work placement in the Portuguese use their knowledge of Asian markets before we move to other countries.
Embassy in Jakarta in Indonesia and local contacts to start a business. It’s a step-by-step process.”
10 Social Agenda – November 2010Disability
European award
© Getty Images
for accessible cities
The Access City Award celebrates European cities
that promote accessibility for all their citizens
F
or a society based on equal Accessibility is
rights, a barrier-free environment a cornerstone of inclusion EU policy on accessibility
is a key to provide its citizens
with autonomy, freedom of choice In a society where many aspects of The general policy is outlined
and the means to pursue an active daily life depend increasingly on in the EU Disability Strategy
social and economic life. For people technology-based products - ranging 2010-2020. Specific provisions
with disabilities, elderly people, and from emails and the Internet to digital on accessibility are contained
those with reduced mobility or other television and e-Government – new in EU sectoral legislation such
types of temporar y impairments, technologies can open real opportuni- as for transport and electronic
environmental barriers result in a high ties for integration and empowerment, communication services. The EU
risk of marginalization, exclusion and but also, if accessibility is not ensured, makes also use of a variety of
discrimination. cause even more marginalization. instruments beyond legislation
and policy, such as research and
Accessibility is therefore essential Accessibility is one of the pillars of the standardization, to optimize the
to exercise their fundamental rights EU’s disability policy, which aims at the accessibility of the built environ-
and to fully participate in society. The active inclusion of people with disabili- ment, ICT, transport, and other
right to education or to engage in ties. Since 2003, as part of the Disability areas, and to foster an EU-wide
work, citizens rights related to voting, Action plan 2003-2010, actions have market for accessible products and
access to documents, and freedom of been undertaken in the areas of the services. Furthermore the EU aims
movement, the access to leisure and built environment, transport, services, to improve the functioning of the
cultural facilities like libraries, theatres, information and communication assistive technology market for the
hotels and restaurants can only be including new technologies (ICT) and benefit of persons with disabilities.
enjoyed by persons with disabilities if the Internet. The European Disability The Commission promotes also the
their environment - with its buildings Strategy 2010-2020 will pursue use of a “Design for all” approach
and public spaces, transport vehicles these efforts to prevent and eliminate that benefits a wider part of the
and infrastructures, services and obstacles and barriers for persons with population like elderly people and
sources of information - is accessible disabilities and to ensure access on those with reduced mobility.
to them. equal basis with others.
Social Agenda – November 2010 11A new initiative of the European more, improved accessibility makes
Commission shows its commitment in the urban environment more livable
the field of accessibility. The Access City and enhances the quality of life for
Award will reward a city’s commitment everybody at all levels of ability and
to ensure accessibility in fundamental mobility, leading to durable benefits
aspects of city living and to guarantee for the cities themselves.
equal access to rights for everybody,
regardless of age or ability. The aim Four European cities will be selected
is to recognize cities’ commitment for as finalists for the Access City
accessibility demonstrated through Award, and the overall winner will
results that are not only tangible, but age population, and about 70% of them be announced this year for the first
also sustainable, and through concrete are 60 years or older. In the context of time at the award ceremony on 2
plans for future action. a diverse and aging population, and December, on the eve of the European
given the strong correlation between Day of People with Disabilities.
The Access City Award aims to disability and ageing, accessibility is
encourage cities to inspire one another becoming increasingly important for In 2010 the competition was opened
to innovate and share best practices. the social and economic sustainability in July and it closed on 23 September.
Many solutions for improving accessi- of our society. Applications could be submitted by a
bility can be seen in those forward government authority of a city of over
thinking cities that are demonstrating 50,000 inhabitants in a EU country.
commitment and innovation in making Making the most of our cities In each of these countries, national
the urban environment accessible for With four out of five Europeans living juries made up of representatives of
all. By means of a friendly competition, in towns and cities, Europe is now national Disability Councils, national
cities across the European Union can an essentially urban society and authorities and accessibility experts
become role models for one another many of the accessibility challenges selected from their national applicants
and stimulate a positive expansion of have to be dealt with in urban up to three cities as their National
accessibility initiatives. areas. Our cities need to provide Nominees. Thereafter a European
inclusive environments that enable jury selected the final four nominees,
Persons with disabilities represent all citizens to enjoy full participation one of which would go on to among
approximately 16% of Europe’s working and to live independently. What is win the award.
As accessibility is only obtained if
Criteria for the assessment implemented in a coherent manner
of Access City Award applications: in goods, services and infrastruc-
tures, applicants were expected to
• Scope: applications should demonstrate a global approach and an present initiatives and activities that
ambitious vision for the future in tackling accessibility in the city in all four cover four key areas of accessibility
award areas. in cities, in a holistic and system-
• Ownership and level of commitment: rather than just ad-hoc projects, atic approach: the built environment
actions and initiatives are expected to be part of a global strategy or and public spaces; transportation
policy framework, with appropriate resources being allocated for their and related infrastructures; informa-
implementation. tion and communication, including
• Impact: the city’s policies and initiatives should have a demonstrable Information and Communication
impact on the everyday life of the city and people with disabilities, and Technologies (ICT); public facilities
claims of success should be supported by qualitative and quantitative and services.
data.
• The quality and sustainability of the results achieved are to be shown In parallel, a second Award - the
through sound monitoring mechanisms. European Champion for Accessible
Cities Award - will be given to a
• Active involvement of persons with disabilities, their representative organi-
network of cities or an organization
zations, and accessibility experts should be ensured in both the planning,
that has shown outstanding spirit in
implementation and maintenance of the city’s accessibility measures.
championing city accessibility during
2010.
12 Social Agenda – November 2010gender equality
European Commission
unveils new strategy
for gender equality
© Getty Images
Closing the gender pay gap and The Strategy for equality
tackling gender-based violence among between women
and men 2010-2015:
EU priorities for the next five years • Highlights the contribution of
gender equality to economic
T
he European Commission than there were in 1998, and young growth and sustainable develop-
has adopted a new five-year women aged 20 to 24 represent 59% ment, supports the implementation
strategy to make further of university graduates in the EU. of the gender equality dimension
advances in equality between women However, despite these achievements, in the Europe 2020 Strategy and
and men. The strategy sets out a gender gaps remain. In the economy, continues to promote reconcilia-
series of actions based around five women are still not reaching the top tion of work and private life and
priorities: the economy and labour positions. Female entrepreneurs make the sharing of responsibilities
market, equal pay, equality in senior up only 33.2% of the self-employed between women and men.
positions, tackling gender violence, and women are still over-represented
and promoting equality beyond the in lower paid sectors. What’s more, • Mobilises all legislative and
EU. The strategy translates the princi- the pay gap between women and men non-legislative instruments
ples set out in the European Commis- shows no sign of closing: on average available to reduce the gender
sion’s Women’s Charter into specific and across the whole economy, women pay gap, and launches new
measures, ranging from getting more in the EU earn 17.6% less per hour actions to encourage women to
women into company boardrooms to than men. Much remains to be done enter non-traditional professions.
tackling gender-based violence. The outside the workplace too. Parenthood
strategy for the period 2010-2015 affects women’s employment chances • Foresees progress with the partic-
builds on past experience. It provides and women continue to work more ipation of women in decision-
a coordinated framework for the main unpaid hours than men at home. The making positions.
instruments needed to support gender frequency and intensity of violence
equality in Community policies, against women remains alarming. A • Announces a comprehensive
including legislation, policy coordina- new Eurobarometer survey has shown European strategy to tackle
tion, financial programmes, partner- that in Europe an estimated one fifth to violence against women and
ship and social and civil dialogue. one quarter of all women have experi- proposes an integrated package
It promotes gender equality in all EU enced physical violence at least once of actions, including in the field
policies as an overarching political during their adult lives and that one in of female genital mutilation.
goal. It provides a framework of four Europeans knows someone who
reference for European governments has been a victim of such violence. • Strengthens the gender
and other stakeholders by defining dimension of external relations
policy priorities. Finally, rigid gender roles continue to and development policies.
influence crucial individual decisions:
Previous work by the EU in the area on education, on career paths, on
of equality has helped to level the working arrangements, on family and interest that gender equality in the 21st
professional playing field between on fertility. These decisions in turn century should offer genuine choices
men and women. There are 8% more have an impact on the economy and for both women and men throughout
women in the labour market today society. It is therefore in everybody’s the different stages of their lives.
Social Agenda – November 2010 13ESF in the Netherlands –
© European Union
Knowledge is empowerment
A
s a young girl, Khadija my language skills,” she explains. VONK staff actually accompanied
Majdoubi dreamed of nothing “That was so important, and it helped Khadija on her job searches, and
more than owning her own me to feel better about myself.” with support and encouragement
hairdresser’s salon. She realised from friends and family, she finally
that dream for a while in her native VONK is a work and education got a job at a local hairdresser’s.
Morocco, but when she moved to centre for women living in the “The people I saw about a job were
the Netherlands, tragedy struck and Zeeburg district of Amsterdam. The reluctant at first,” she explains. “I
her world was turned upside-down. programme helps women irrespec- am not from here and I don’t look
Khadija lost her husband when she tive of their level of education, like everyone else, and I was not
was pregnant with twins. The shock experience or origin. It provides able to express myself the way I
was tremendous and her babies were information and recommenda- would have wanted. The people at
born prematurely. She spent the next tions and helps them with finding VONK helped me to get my foot in
few years as a full-time mother, and a job, training and obtaining the door.”
looking after her friends’ children. social benefits. More generally, it
provides support for integration and “I never thought I would be able to
With a family to care for and still well-being. VONK also cooperates do this”
adjusting to life in a new country, with other Dutch and local agencies,
Khadija had to rely on state aid. with women’s organisations and Once back at work, Khadija
With only a basic knowledge of the social service institutions. managed to put some money aside.
Dutch language, she had a hard time Indeed, she managed to put enough
finding even a simple job, much less money aside to realise her childhood
starting a new business. Feeling good about yourself dream. In April 2009 she opened
One of the most difficult obstacles her own hairdresser’s boutique not
faced by women after long periods far from her home in Amsterdam.
The road to recovery of unemployment is a lack of “I was a hairdresser before,” she
“It isn’t easy raising children on confidence. The training course explains, “when I lived in Morocco.
your own,” says Khadija. “It seemed therefore included sessions specifi- It’s what I love doing and I’m good
like everyday was so full, I had no cally aimed at building self-esteem at it. But I never thought I would be
time for anything else. To start with, and assertiveness. able to do this here, to open my own
finding a job was a big problem.” place.”
“I learned to communicate better,”
At her local social services office, says Khadija, “and I understood Khadija says the ESF-funded VONK
Khadija found out about a free better how things work when you training course and individual assist-
training course for unemployed are opening a business. The first ance helped her to find herself, and
women, co-funded by the European thing I had to do was find a job. I it’s changed her and her children’s
Union through the European Social had become dependant on other lives for the better. “I’m really glad
Fund. “The course helped me realise people. I needed to to get back on I did the course,” she says. “It’s the
my dream, starting with improving my feet.” reason I’m here today.”
14 Social Agenda – November 2010SPECIAL FEATURE
© Getty Images
Affording
old age
Europeans live longer
and have fewer children –
who will pay their pensions?
T
he world is getting older. In for our pensions, not to mention ageing population, sustainability
most countries, the popula- our children’s? The answer lies in of public finances, adequacy and
tion is ageing. This inevitably pension reform, in itself a particularly modernization of pension systems.
has dramatic consequences for prickly subject, as recently witnessed This is why, in September 2009, José
pensions and other arrangements by the wave of protests in France Manuel Barroso identified pensions
for supporting older people. There over government plans to raise as one of the strategic issues for his
are two factors behind the trend. the pension age as part of a wider second mandate as President of the
The first is clearly, in itself, good pension reform. Still, if we want to European Commission. The articles
news. People are living longer. At the ensure decent standards of living to that follow examine the actions taken
same time, people are having fewer our future pensioners, something has by the Commission to open a debate
children. That, too, is arguably good got to give. The European Commis- on this issue in view of developing
news. It should lead to the global sion is well aware of the need for a common solutions, starting with the
population stabilising, although at considered reflection on the future publication of a Green paper on
a substantially higher level than it is of pensions. The Treaty on European the future of pensions. We also look
now. Desirable though both trends Union clearly states that pensions fall at reforms underway in the member
are in themselves, they create a new within the competence of the member States and at how the exchange of
problem. There are fewer people of States. Nonetheless, in this policy experience and best practice can
working age for every older person. domain, European countries share help European countries to shape
In other words, who is going to pay common concerns and challenges: future policy in this area.
Social Agenda – November 2010 15© iStock
Common challenges
require shared solutions
European Commission Green paper
launches debate on the future of pensions
T
he worst economic crisis in sustainable and safe European decades? How will our systems stand
decades has aggravated the pension systems” published in July up to any future crisis, financial or
long-term challenges facing 2010 sets out to do. Representing both other? The organisation of national
European pension systems, stemming a means for a decent life in old age pension systems is a national respon-
from a rapid ageing of the population and the reward for a lifetime of work, sibility and the Green paper fully
potentially putting long term growth pension systems must deliver both of respects this. But EU countries do face
prospects at risk. These twin challenges these elements to all EU citizens. common challenges. Different countries
have serious implications for the can learn from one another’s experi-
adequacy and sustainability of our The Green paper has opened a debate ence and share solutions, something
pensions. It has long been clear that on both the short-term budgetary and the EU seeks to facilitate.
a considered reflection is needed on longer term structural challenges,
pensions in the European Union (EU): asking for views from everyone with The Green Paper underlines that
on how pension policy can support a stake in these issues. What will adequacy and sustainability are two
Europe’s twin goals of economic people’s pensions look like in the sides of the same coin. If pensions
growth and social cohesion. This is future, given the new economic context are at risk of being inadequate, there
what the European Commission’s and the impacts of the many changes may be pressure for ad hoc increases
Green paper “Towards adequate, made to pension systems over the past in pensions or higher demand for
16 Social Agenda – November 2010other benefits, jeopardising sustain- poverty reduction target - because the investment, inflation and longevity
ability. Equally, if a pension system adequate and sustainable pensions risk onto the individual. The implica-
is unsustainable it will prove to be and our employment and poverty tions of this shift are important and
inadequate in the long run when targets are mutually reinforcing. need to be well understood: what
sudden corrections are needed. information does the individual need
in order to make the right decision?
The wide impact Could regulation or default positions
Getting real of changing labour markets help? How should the pay-out phase
about living longer be designed?
Considering both the opportunities
The Green Paper also underlines and constraints of labour markets is We must of course remember that
that we must be realistic about the vital when reflecting on how to extend investment risk cannot be reduced
future retirement age. Old age is “contributory” working lives. But it without a potential cost: there is
no longer synonymous with poverty is also crucial to acknowledge that always a trade-off. But one other risk
and this is certainly one of the great changing labour markets can affect is that of under-saving for retirement
successes of Europe’s social model. pension adequacy. More individuals – when saving becomes a voluntary
But if we want to continue to deliver are faced with broken careers, moving matter, it is important that individuals
on this promise, we must recognise in and out of full-time work and often understand that they need to take
that as we live longer and longer, starting with short-term contracts. The responsibility and do so early.
we face trade-offs: pensioners who impact on pension entitlements for
are poorer relative to earnings, such individuals must be considered.
higher contributions or more people The case for good regulation
working more and longer. The Green A further change in the labour market Good regulation makes a differ-
Paper discusses statutory pensionable is the move towards more flexibility ence as it supports economic activity
ages and effective labour market exit and in particular higher mobility along a stable growth path. Poorly-
ages. But achieving the sustainable across sectors and between countries. designed regulation would place an
balance between time spent in work Increased free movement is a solid unjustified burden on pension funds
and in retirement is not only about achievement of the European project, and employers, thereby undermining
increasing the time spent at work but the reality is that there are still economic efficiency. We need to
at the end of the career. It is also barriers. One such barrier lies in ensure that funded pensions stand
important that workers spend more pensions. up to major financial crises and that
time in jobs with wages and working regulation does not push employers
hours entitling them to future pension Social security pensions are into insolvency or into abandoning
rights. There is a clear link here to co-ordinated by EU regulations to help pension schemes.
the EU’s Europe 2020 strategy which make sure that people moving between
emphasises higher and better quality EU countries are not disadvantaged. There are still considerable barriers
employment and positive transitions: But supplementar y pensions are to cross-border activity in the field
both are decisive for all workers to only covered by separate and rather of pensions and the Green paper
accrue pension rights. Of course, minimal rules, meaning that people highlights that the Directive on Institu-
higher employment rates must be can still lose out. The Commission tions for Occupational Retirement
facilitated. Health and safety at hopes the consultation will provide Provision (IORP) might therefore need
work must continue to be improved. new impetus to find a more compre- to be reviewed. Furthermore, some
Flexibility, training opportunities for hensive solution. funded pension schemes are covered
older workers and addressing age by EU regulation, while others are
discrimination are also key – and The Green Paper recognises the not. Similar schemes can be covered
are already being supported by the increasing reliance on both supple- by different EU rules and the bounda-
EU through the European Social mentary and funded pensions, and ries can be unclear. Just as individ-
Fund. Successful pension reforms in particular the move towards more uals would like to have clarity about
will contribute towards reaching the coverage by defined contribution what their future retirement will look
Europe 2020 goals for employment, (DC) schemes. Defined benefit and like, pension providers also need to
higher growth and long-term sustain- defined contribution schemes both plan for the long term with as much
ability of public finances, as well as have their advantages and disadvan- certainty as possible, therefore these
addressing adequacy gaps, thereby tages. A move towards more DC regulator y gaps will need to be
helping to achieve the Europe 2020 provision also entails shifting much of looked into.
Social Agenda – November 2010 17What future for pensions?
© iStock
Ministers and experts discuss Assuring adequate
systems of social protection
developments across the EU The event’s second day was presided
by Ms. Laurette Onkelinx, the
T
he future of pensions systems was also presented: the Economic Belgian deputy Prime minister and
and social protection systems in Policy Committee/Social Protection minister for Public health and social
Europe was discussed in-depth Committee Joint Review on Pensions affairs. It focused on the role of
by policy experts and European and the European Commission’s green adequate social protection systems
ministers in September in the Belgian paper on pensions. The conference and their central role in relation
city of Liège. The occasion was the thus also served for a post-holiday to poverty prevention and poverty
conference “Assuring adequate relaunch of the green paper consul- alleviation, thus connecting to both
pensions and social benefits for all tation before an audience of pension the European Year 2010 against
European citizens”, organized by the policy makers from across the Union. poverty and social exclusion and
Belgian EU presidency together with to the challenges of developing
the European Commission’s Directo- Throughout the debates insistence on the social dimension in the Europe
rate-General for Employment, social subsidiarity advised the Commission 2020 strategy for the relaunch of
affairs and inclusion. This timely to concentrate on common princi- the European economy. Presenta-
event zoomed in on core issues for ples while leaving the details and all tions from researchers showed the
the development of the European and implementation of pension reform to need to preser ve, innovate and
member States’ agenda on pensions member States. Nevertheless it was widen the role of social protec-
and social benefits within the context also acknowledged that several issues tion in the European model as part
of an ageing population and in the do require a European approach, of strategies to exit the crisis and
light of crisis setbacks. such as cross-border workers, lay the ground for renewed growth
occupational pensions and informa- through well-targeted investments
tion provision for future pensioners. in human capital. A demonstration
Assuring adequate Furthermore, to guarantee sustain- of the importance of social protec-
and sustainable pensions able pension systems, an integrated tion as an automatic stabiliser that
socio-economic approach with mitigating the depth and impact of
The conference was opened by Michel economic, social and financial the crisis also served as a warning
Daerden, the incumbent Belgian measures seems required. against destroying these through
minister for pensions. The first full hasty attempts at budgetary consoli-
conference day focused on presenta- Pension presentations also brought dation. The European Commissioner
tions by ministers and State secretaries an interesting insight into the debates for employment, social affairs and
of how pension reforms in several following the Belgian government’s inclusion, László Andor gave the
countries have sought to assure publication of its own green paper closing speech, where he highlighted
the sustainability and adequacy of on pensions last Februar y. The the common denominators of the two
pensions. As part of this the current follow-up to this initiative is awaiting themes of the conference, pensions
work on pensions at an EU level the formation of a new government. and social benefits.
18 Social Agenda – November 2010Main trends in European
pension reforms
© Getty Images
Securing adequate and visible trend. In most, but not all,
member States the share of public
sustainable pensions requires
PAYG pensions in total provision of
pensions will be lower in the future.
It will be accompanied by growing
major adaptations in virtually role of supplementary, prefunded
private schemes, where the value of
all European Union countries future pension entitlements will be
less predictable for members of these
schemes (so-called defined-contribu-
I
n the coming decades, Europe’s We could observe a few key trends tion (DC) pensions).
population will undergo dramatic of reforms. Encouraging more people
demographic changes due to to work more and longer was the first Even though the share will reduce,
decreased fertility rates, continuous trend. In particular member States the bulk of pension income in most
increases in life expectancy and the tried to increase pensionable ages and member States will continue to be
retirement of the baby-boom genera- to reward later and penalise earlier provided by public PAYG schemes.
tion. Ageing populations will pose retirement. Another solution was to In addition, reforms brought a whole
major economic, budgetar y and base pension benefits on working range of innovations that in many
societal challenges. It is expected to career average earnings instead of constructive ways blurred the old
have a significant impact on economic entitlement based on earnings in best dividing lines between PAYG/funded,
growth and lead to strong pressures to years. Closing or restricting early exit public/private and voluntary/obliga-
increase public spending. pathways and measures to encourage tory schemes by combining elements
and enable older workers to stay in the from both. As private prefunded
Pension systems in member States labour market have been also popular. pensions have been given a larger role
differ markedly. Over the last 15 years In general, entitlements in both public in overall provision they have become
a majority of them have been adapted pay-as-you-go (PAYG) and private subject to far more public scrutiny and
in response to the challenge of ageing. funded schemes have been ever closer regulation.
Member Statess have attempted to put linked to the length and the value of
them on a more sustainable footing, contributory records. Establishment of automatic adjust-
but also to protect adequacy and to ments in the pension systems was
respond better to changes in labour The move from largely single to the third trend. These self-balancing
markets and gender roles. multi-tiered systems was the second mechanisms create links between
Social Agenda – November 2010 19You can also read
