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ISSN: 1682-7783
ISSUE N° 26 • March 2011
Towards full employment:
the EU contribution
A lasting legacy in the fight against poverty and exclusion
Microfinance for European entrepreneurs
The European Commission’s magazine on employment and social affairs
EDITOrial
2
011 sees the opening of a new phase for the Elsewhere in the magazine we examine the progress
European Union. Spurred on by the adoption achieved in the fight against poverty and social exclusion.
of the Europe 2020 strategy, Europe has The momentum generated by the 2010 European Year
slowly started to emerge from the crisis and to lay the against poverty and social exclusion has helped putting
foundations for a return to growth and prosperity. The the issue firmly at the top of the political agenda. This
shockwaves generated is reflected in the Europe
by the economic and 2020 objective of reducing
financial crisis have “Europe has slowly started the number of people at
prompted a bold rethink to emerge from the crisis and to lay risk of poverty in the EU by
of EU political priori- 20 million within the next
ties. The Europe 2020 the foundations for a return decade. To put this figure
strategy revolves around to growth and prosperity” into context it is worth
three key features that remembering that more
will be decisive in determining Europe’s future success: than 80 million people in the EU live at risk of poverty, a
growth must be “smart”, developing an economy quarter of them children, and that 8% of Europeans have
based on knowledge and innovation, it must be such limited resources that they cannot afford the basics.
“sustainable”, promoting a more efficient, greener
and more competitive economy, and it must be Going back to our main topic, in the “Other Voices” section
“inclusive”, fostering high employment and delivering on page 26 you will find an expert’s view on flexicurity
territorial and social cohesion. The role of employment and the new skills for new jobs initiative by professor Ton
and social affairs policy within this vision for Europe Wilthagen of Tilburg University in the Netherlands.
cannot be overstated. Amongst the “flagship” initia-
tives contained in the strategy, three deal with employ- And finally, a word about the new set-up of our
ment and inclusion: Youth on the Move, the Agenda Directorate-General. The new political priorities that the EU
for new skills and jobs, and the European platform has set itself required a reorganisation of its departments,
against poverty and social exclusion. In our special in order to better adjust their policies and actions to serving
feature starting on page 15 we take an in-depth look the EU’s overarching goals. As of 1January therefore, our
at the new skills and jobs initiative, reporting on the Directorate-General’s activities concentrate on employment,
thinking behind it as well as on the concrete instru- social affairs and inclusion. The department dealing with
ments being put in place to anticipate and monitor the gender equality and antidiscrimination has been transferred
requirements of the labour market and to accurately to another Directorate-General, and this will naturally reflect
and effectively match the demand and supply of skills on the topics covered by Social Agenda magazine.
across Europe.
Koos Richelle
Focus On:
© Belga Picture
© Belga Picture
© iStock
A lasting legacy in the field Towards full employment: Microfinance
against poverty and exclusion the EU contribution for European entrepreneurs
The European Year against Poverty A range of initiatives and instru- A tool to support employment,
and Social Exclusion put the fight ments will help Europe to achieve its business development and social
against poverty firmly on the political employment targets in the run up inclusion. p. 21
agenda. p. 7 to 2020. p. 15
2 Social Agenda – March 2011
Contents
IN CLUSIO N
A lasting legacy in the fight against poverty 7
D E MO G RAPHY
Older and more diverse 11
Active ageing to be the focus of the 2012 European Year 14
© Getty Images
SPECIAL FE ATU RE
Towards full employment: the EU contribution 15
An agenda for new skills and jobs 16
A new momentum for flexicurity 18
Closing the skills gap 19
© Getty Images
E M PLOYM ENT
Microfinance for European entrepreneurs 21
FREE MOVE M ENT
Social security coordination: you have rights 23
OTH ER VO ICES
© Getty Images
Europe on right track with New Skills and Flexicurity Agenda 26
ITE M S
News in brief 4
Interview with Koos Richelle, Director-General of DG Employment,
27
G. Isaac © European Union
Social affairs and Inclusion
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 Inclusion.
Editor in chief: Koos Richelle, Director-General, DG Employment, Social Affairs and Inclusion – 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 Inclusion 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, 2011
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: 123RF
NEWS IN BRIEF
GENERAL
On 1 January 2011 Hungary followed on from Spain
and Belgium to become head of the Council of the
European Union (EU). It is the first time that Hungary takes
on the presidency of the Council of the European Union
since it joined the EU in 2004. Its priorities include stabil-
ising the European economy, EU expansion, energy and
the integration of Roma people.
With the adoption of the annual growth survey
© European Union
on 12 January, the European Commission launched the
first step in a new system to help national governments
to coordinate more closely their responses to the EU’s
main economic challenges. The survey is part of the new
‘European semester’, an annual six-month cycle during
which governments benefit from the input of their peers at boost the economy and raise employment in line with the
EU-level as they formulate their budgetary and economic EU’s stability and growth pact and its new strategy for
policies. Working together on economic policy from the growth and jobs, Europe 2020. These include getting the
get-go will make it easier for EU countries to pursue unemployed back into work, reforming pension systems,
shared targets and address common concerns. The survey reigning in public debt and promoting the full use of
identifies 10 priorities EU countries should focus on to Europe’s integrated economy. ❙■
EMPLOYMENT AND EUROPEAN SOCIAL FUND
Although most EU Member States are facing similar countries; it traces existing bottlenecks and shows a glimpse
problems when it comes to fighting youth unemploy- of Member States future priorities for further reforms. The
ment, there are large differences between the individual Ad Hoc Group Report also sheds some light on the identity
national situations. A report released on 13 January and involvement of stakeholders, the role of ESF and the
by EMCO examines how Member States’ labour market promotion of good practices in this policy area.
policies seek to foster youth employment, concentrating
in particular on anti-crisis measures. This thematic review The Employment in Europe 2010 report was
focuses on a number of criteria considered to represent presented on 25 November. It underlines how young people
potential difficulties for young people in the future: transi- have borne the brunt of the crisis, with unemployment
tions from school to work, education attainment level, early disproportionately hitting 15-24 year olds and reaching
school leavers, skills matching etc. The report also illustrates over 30% in some countries. Although there are consistent
practices and instruments put into effect in different signs of the EU labour market stabilising, with indications
of the beginnings of an upturn in some Member States,
the crisis has had a profound effect on employment and
the overall recovery of the EU economy remains fragile.
The rise in unemployment combined with limited opportu-
nities to re-enter work has aggravated the risk of a surge
in long-term unemployment or people leaving the labour
market altogether. The report stresses that it might be some
time before we see a clear upswing for jobs. “European
labour markets will emerge from the crisis profoundly
© Belga Picture
changed. That’s why workers and employers must be ready
with the right skills and incentives to adapt to the changing
realities” said László Andor, EU Commissioner for Employ-
ment, Social Affairs and Inclusion.❙■
4 Social Agenda – March 2011
WORK ORGANISATION, WORKING CONDITIONS AND SOCIAL DIALOGUE
According to the latest issue of Eurofound’s European implementation of the current Directive in the Member
Restructuring Monitor quarterly, published on 24 January, States, as well as the first findings of independent studies
restructuring measures appear increasingly on the economic and social impact of working time rules
to be affecting public sector employment as and of research on relevant changes in working patterns.
a result of widespread public spending restrictions and
cuts. Over the last quarter (1 October to 31 December
2010), the European Restructuring Monitor (ERM) reported
304 cases of restructuring of which 172 involved job losses.
Total announced job losses were approximately 88,000 in
the quarter as against announced job creation of just over
47,000. The public administration sector reported by
far the largest number of announced job losses (23,000)
followed by health and social work (6,126), construc-
tion (6,045) auto manufacturing (6,018) and financial
intermediation (5,282 jobs). The report also contains an
in-depth analysis of the European postal sector, which
has undergone considerable restructuring in recent years,
driven by EU directives fixing deadlines to remove legal
monopolies on all postal services.
© 123RF
On 21 December as part of its review of the EU working
time Directive, the Commission has launched the mandatory
second stage of consultation with workers’ and employers’
representatives at EU level. The second stage consultation On 25 November the European Union’s Occupational
paper asks social partners for their views on two alternative Safety and Health Agency (OSHA) and the Belgian EU
approaches based on either a narrower or a broader scope Presidency organised a one-day conference called “Mainte-
for the review. It seeks opinions on detailed options that nance: Do It Safely” in Brussels. The conference focused
cover key themes such as on-call time, timing of minimum on how safe maintenance can save lives and coincided
rest periods, tackling excessive working hours, and better with the release of EU-OSHA’s report Safe Maintenance
reconciliation of work and family life. At the same time, in Practice, outlining the key strategies businesses should
the Commission has presented a detailed Report on the adopt to prevent maintenance risks. ❙■
© 123RF
Social Agenda – March 2011 5
PROMOTING AN INCLUSIVE
SOCIETY
On 15 November 2010 the European Commission adopted
a new European Disability Strategy covering the
period 2010-2020. The strategy focuses on eliminating
barriers across eight main areas: accessibility, partici-
pation, equality, employment, education and training,
© European Union
social protection, health, and external action. It includes a
list of concrete actions and a timetable. The Commission
will regularly report on the strategy’s achievements and
progress complying with its obligations under the United
Nations Convention on the Rights of People with Disabili-
ties which it has signed. The Spanish city of Avila, won the first-ever
European award for improving access for
people with disabilities. The annual honour aims
to award efforts to improve accessibility in the urban
environment and to foster equal participation of people
with disabilities. The Commission praised Avila’s plan,
developed since 2002, to improve accessibility to public
buildings and to give incentives for private initiatives. It has
also developed accessible tourism facilities and improved
job opportunities for people with disabilities – working
directly with disabled and elderly people’s organisa-
© Getty Images
tions. The European jury selected Avila because of its
comprehensive plan, the high level of political commitment,
the progress achieved so far, and the effective involvement
of people with disabilities in the process. ❙■
ISSN: 1831-922X
November 2010
MOBILITY
The first issue of FMW, the online Journal on free No 1
movement of workers within the European Online Journal on free movement
of workers within the European Union
Union, is available on DG Employment, Social affairs
and Inclusion’s website. FMW is a twice-yearly publication
coordinated by the network of experts on free movement
of workers, through a Board of Advisors, under the
supervision of the European Commission. Its aim is to
develop academic interest and stimulate debate on this
fundamental area of European law. In this first issue,
lawyer and author Esther Weizsäcker contributes to the
debate on possible changes in the regulatory framework
for the recognition of professional qualifications. Professor
Kees Groenendijk addresses the issue of equal treatment
of workers and the remedies available to enforce their
rights. Finally, Professor Catherine Barnard discusses the Download it from our e-library:
consequences of the Commission v Luxembourg case on http://ec.europa.eu/social/main.jsp?catId=738&langId=
the posting of workers in the UK. en&pubId=596&type=2&furtherPubs=no ❙■
6 Social Agenda – March 2011
Inclusion
A lasting legacy in
the fight against
poverty and exclusion
© Belga Picture
The European Year against the European Commission, EU leaders
set a concrete target to reduce poverty
Poverty and Social Exclusion put and social exclusion by at least
20 million by 2020 as part of the
Europe 2020 strategy adopted last
the fight against poverty firmly year. And last December, again in
the context of Europe 2020, the
on the political agenda Commission adopted a communica-
tion establishing a European Platform
against Poverty and Social Exclusion.
T
he European Year (EY) against its contribution to building an early The document sets out ways to help
Poverty and Social Exclusion, political momentum and influencing the Member States move up a gear in
which officially drew to a attitude of political leaders regarding fighting social exclusion. Countries
close last December, will certainly the place of the fight against poverty will have to set their own national
be remembered for the thousands and social exclusion on the political targets and report on their progress
of events and initiatives organised agenda. While over 80 million yearly. The Commission will support
across Europe, mobilising institu- people in the EU, a quarter of them these efforts through its policies
tions, civil society organisations, children, are still at risk of poverty, in areas like social protection,
media, artists, schools, politicians, the European Union is determined to employment and education, and by
exper ts and ordinar y citizens. use the momentum generated by the providing EU funding.
More than 700 hundred projects European Year to step up its efforts to
have been co-financed across fight poverty in the next decade. The Speaking to journalists at the launch
29 countries. But perhaps the first results can already be seen. For of the new anti-poverty initiative,
Year’s most lasting legacy will be the first time ever, at the initiative of László Andor, EU Commissioner
Social Agenda – March 2011 7
for Employment, Social Affairs and 2000, the EU has helped Member States available for activities aiming at
Inclusion said “Combating poverty is learn from each other and improve preventing and combating poverty
both a moral duty and an economic their policies in crucial fields like child and social exclusion, for example
necessity. With millions still living on poverty or homelessness, through the under the European Social Fund
the margins of society we are wasting Social Open Method of Coordination. (which represents 10% of the EU’s
our human resources. Children, young Many other policies and programmes annual budget) and PROGRESS
people, migrants, the elderly and other also contribute. For example the EU programme (which has a budget of
vulnerable groups need particular provides direct support to those at risk around €100 million per year). The
attention.” He added “I am confident through financial programmes, and European Commission also organises
that the Platform flagship initiative has promoted better working conditions regular pan-European meetings
will contribute to meeting the EU level or combated discrimination through to pool ideas and share successful
target by acting as a springboard for legislation. Such cooperation is all policy approaches, for example
innovative and cost-effective solutions the more important as Member States through the annual roundtable on
in the fight against social exclusion”. face common challenges, such as child poverty and meetings of people
poverty, labour market segmentation, experiencing poverty.
efficiency of social protection systems in
A dynamic framework a context of strained public budgets. In ter ms of finances, various
for action programmes already contribute
As one of the seven flagship initiatives to the poverty-reduction objective,
of the EU’s Europe 2020 strategy, the European added value either through direct support to those
European Platform against Poverty and Overall, the added value of action concerned or by building knowledge
Social Exclusion communication sets out at EU level is in developing common and co-operation to develop better
actions to bolster work at all levels to EU-wide objectives and approaches policies. The European Social Fund
reach the EU headline poverty reduction that Member States implement by (ESF) co-funds projects tailored to
target. It is complementary and strongly means of national action plans. help people who are most vulnerable
linked to the other initiatives which focus Meanwhile, EU funding is made to poverty, unemployment and social
on raising employment and improving
education and skills. The Commission
paper considers both the challenges
The European Platform against poverty
Europe currently faces in combating
poverty and social exclusion, as well as and social exclusion: Key actions:
the changing nature of poverty. It also
• Promoting innovation in social policy. Encouraging innovation to find
identifies the overall need to deliver
smart solutions in post-crisis Europe, especially in terms of more effective
anti-poverty actions across the entire
and efficient social support. This means promoting evidence-based
policy spectrum, such as preventing the
innovation in social policy, where the use of evidence-based methods tests
transmission of poverty through genera-
and assesses policy change. For example, testing different ways of distrib-
tions and tackling child poverty; using
uting or managing existing benefits on specific groups.
employment as a route out of poverty
through active inclusion strategies; and • At EU level: making the best use of all EU Funds, in particular the European
stepping up efforts to integrate minority Social Fund, to support social inclusion objectives and proposing social
groups like the Roma people socially policy as a priority for future EU funding. The new Microfinance Facility
and economically. will be up and running in early 2011 and aims to help vulnerable groups
access loans to set up their own business.
Combating poverty and social exclusion • Making social protection and services more effective and responsive to
is primarily a responsibility for Member new social needs. The Commission will publish a White Paper in 2011 to
States. They will have to take the lead address the safety, adequacy and sustainability of pensions. Actions linked
in fighting against social exclusion and to the quality of social services, health inequalities and housing exclusion
poverty, and present their initiatives are also planned and 2012 will be the European Year of Active Ageing.
in the National Reform Programmes • Bringing on board a much wider range of partners to fight exclusion. The
linked to the Europe 2020 strategy. The Commission will set out voluntary guidelines on stakeholders’ involvement
Commission will evaluate these actions in defining, shaping and carrying out poverty reduction actions to take on
and identify best practice examples. at national, regional and local level.
EU action in the field is not new: since
8 Social Agenda – March 2011
exclusion, enabling them to acquire or for the most deprived persons The new Platform against Poverty
adapt their skills. Every year, 5 million (reaching out to 13 million European and Social exclusion will provide a
unemployed and 1 million people from citizens each year), the European coherent EU framework for action to
vulnerable groups benefit from the ESF Regional Development Fund and the ensure social and territorial cohesion
intervention. European Agricultural Fund for Rural thus contributing to Europe’s overall
Development, as well as the Lifelong objective of smart, sustainable and
Overall, the ESF has nearly €76 billion Learning Programme. inclusive growth.
to invest between 2007 and 2013 in
programmes that could have a direct
or indirect impact on reducing poverty
and child poverty. More specifically,
out of the €76 billion amount to invest,
about one-sixth goes to promoting
social inclusion. Active labour
market policies and the provision of
key services such as childcare are
still the main instruments. Education
also plays a decisive role in giving
young people equal opportunities
and breaking the intergenerational
transmission of poverty.
Some 18% of the ESF’s budget of
more than €10 billion a year is
earmarked for projects that directly
combat social exclusion: helping
migrants into the workforce,
integrating disadvantaged people
and improving equal access to
employment. Ever y year, some
1 million people from vulner-
able groups – including migrants,
members of ethnic minorities, and
disabled people – benefit.
The ESF funding indeed plays an
important role in supporting people
to get back on track – for example,
by helping them to integrate into
the labour market. This can involve
outreach, guidance, counselling,
training, employment support and
personalised services, as well as
incentives for direct job creation and
support for business start-ups.
Many other programmes provide
direct support to vulnerable groups
or communities, such as the European
Microfinance Facility (put in place to
provide up to 45,000 micro-loans to
© 123RF
unemployed and small entrepreneurs),
the EU Food distribution programme
Social Agenda – March 2011 9
ESF in Italy -
© European Union
From the streets to the catwalk
F
iorella, 50, lived on the kept my dignity and my values. In fire’ because of my pale eyes. I have
streets of Bologna, Italy, for essence, I’m a worker.” seen too many things, so before
two years before starting a being attacked, I attack myself. I’m
vocational training course designed hard, but I’m also passionate.”
for homeless people. Since she ran Help where it is needed
away from home as a teenager, Fiorella’s first contact with Piazza
Fiorella has had a tough and Grande was in 2002. Originally The essential value of work
eventful existence. She spent several launched to publish a newspaper Piazza Grande offered the hope
years in prison, followed by a long to raise funds for homeless people, she needed. After several months
period of depression and drug the organisation now involves social in hospital with serious liver and
addiction. For two years she lived workers and ‘street lawyers’ (avvocati kidney damage that could have
rough, sleeping in parks and station di strada) who go out into the city been fatal, she was finally able to
waiting rooms. Now, at the age of to provide practical help (food, get accommodation of her own. In
50, her life has finally settled down. clothing and blankets) and advice. It 2004, she took the course in basic
She shares a flat of her own with also employs some 20 people in its dressmaking, and a second training
her placid mongrel Alsatian dog, cleaning and decorating coopera- in 2006 taught her to identify
Alba, and has a stable relationship. tive (Fare Mondi), bicycle workshop, vintage garments and transform
She also manages an elegantly and the clothing warehouse, which them into fashion wear. Finally, in
decorated vintage clothes shop – Il collects donations and distributes November 2007, Il Vestito opened
Vestito – in the centre of the city, them to people in need. It runs a its doors. Fiorella and her assistant
where residents and tourists stroll theatre group, and has expanded to Micaela Ugolini are responsible
through Bologna’s famous arcades. organise training activities, offering for the financial management of
The shop belongs to Piazza Grande, more job oppor tunities to the the business, selecting items for
a local organisation set up in 1993 poorest and most excluded people in sale from the clothing donations,
to support homeless people. With Bologna, many of them immigrants and running the shop, with the
support from the European Union, and Roma “The aim is that everyone assistance of a small team of
through the European Social develops and does what they can,” trained dressmakers who carry out
Fund, Piazza Grande arranged say organisers. “Piazza Grande a lterations.
the dressmaking training that led workers found me in the park,”
Fiorella into work and restored remembers Fiorella. “I’m not really “I am happy with what I do now.
her self-respect. “Piazza Grande a street person, so I had decided to Piazza Grande has invested in me
accepted me and gave me the come off drugs. I did it alone, by and I can only thank them,” reflects
space and time to recover, and myself. I learned to fight for myself Fiorella. Some time ago, she was also
I took all the opportunities they when I was in my mother’s womb, reunited with her brothers and sisters,
offered me,” she says. “I have had and I have a strong character – in nephews and nieces, after a long
lots of problems, but I have always prison they used to call me ‘ice and period of isolation.
10 Social Agenda – March 2011demography
Older and
more diverse
© iStock
The third demography forum discusses the
changing face of Europe
T
he third European Demography An ageing population finding ways for distributing work
Forum took place in Brussels last The Forum was opened by European better over the life course, notably
November. Many things have Employment, Social affairs and by developing part time working.
changed since the previous edition, Inclusion Commissioner László Andor. Chantal Cases, director of the French
which was held in 2008. The worst He recalled that the EU population has demography institute INED, showed
recession in decades has deeply passed the 500 million mark in 2009 how the EU population has become
affected European economies, labour and is becoming more and more more diverse as a result of intra EU
markets and public finances. diverse and ageing fast. The future mobility and immigration from third
shrinking of the working-age popula- countries. Sarah Harper, director of
Against this background, the third tion, as the baby-boomers start to the Oxford Institute of Ageing, drew
Demography Forum sought to retire, implies that a much better use attention to the fact that fertility rates
explore how best to promote active of remaining demographic potentials are ever ywhere dropping below
ageing, examine how families can has to be made. The success of the two children per woman, with the
be best supported and debate how Europe2020 strategy will depend exception of sub-Saharan Africa, so
to tackle the crisis and consolidate to a large extent our ability to tackle that the whole world will be ageing
public finances without jeopardizing demographic challenges. fast. Atsushi Seike, president of Keio
investment in Europe’s demographic University, Tokyo, explained that
future. The Forum attracted about A f t e r C o m m i s s i o n e r A n d o r ’s even in Japan, the most aged country
350 participants mainly from the speech, four lectures were given of the world, mandatory retirement
European Union, but there was by well-known academics. James is still practiced. Japanese workers
also a delegation from AARP, the Vaupel (Max-Planck Institute for have a ver y strong motivation to
American association of people demography, Rostock) showed how work longer and this will allow for
over the age of 50, as well as small fast life expectancy continues to a further increase in the Japanese
Japanese and Korean delegations. increase and argued that this requires retirement age.
Social Agenda – March 2011 11© Getty Images
Empowering older people Hostasch on family support and EU and the Member State govern-
The afternoon session was devoted the role past and future role of the ments would continue to respond to
to active ageing. In three workshops, European Alliance for Families. There the crisis in the current piecemeal
one for each strand of active ageing was consensus that support for families tinkering way then very soon all
(employment, volunteering and was not just important so that couples room for manoeuvre could have
informal work, autonomous living) can decide to have the number of disappeared in a similar way as is
stakeholders presented interesting children they want, but also to make currently already the case in Greece
examples of their activities to promote sure that all children in our societies and Ireland.
active ageing. The three rappor- have equal opportunities to prepare
teurs (Rainer Muenz, Alan Walker themselves for life. There is not one The Forum was closed by the
and Bernard Casey) presented some type of family support policy that is Hungarian Minister for National
of the most striking examples in the clearly superior to others; an eclectic Resources, Miklos Rethelyi. He
concluding panel debate. André approach based on evaluation is presented the activities of the
Schroeder, secretary of state in the the best way forward. The European c o m i n g H u n g a r i a n p r e s i d e n c y.
German Land of Saxony-Anhalt, Alliance for Families has proved to Hungar y is ver y committed to
stressed in his intervention the need for be very useful but it deserves better the topic of demographic change
a bottom-up approach when making visibility and its activities need to be and intends to organise a full
adaptations the local built environ- further strengthened. demography week at the end of
ment. Anne-Sophie Parent from the March 2011. In this week, there
European older people’s platform Former DG Employment Director- will be a presidency conference on
AGE said that working longer is not General Klaus van der Pas moderated family policies, a meeting of the
enough. She argued that we need to the concluding policy debate. Among demography expert group and an
empower older people to participate the panellist was the Polish Under- informal Employment and Social
and contribute to their communities so Secretary of State for Labour and policy council meeting in Budapest.
that they can remain autonomous as Social Policy Radoslaw Mleczko. He The next Forum is scheduled to
long as possible. This requires a more presented latest changes in policy take place in 2012 - during the
age-friendly and inclusive society. The regarding retirement and family European Year for Active Ageing.
afternoon was closed by a speech for his country. The main danger
from State Secretary Herman Kues resulting from the recession is now Demographic trends, and in particular
of the Federal German ministry for the public finance crisis which may the imminent shrinking of the working-
families. He announced among other jeopardise our ability to invest in our age population will make it more
things a new family care scheme for demographic future. The contribution difficult to achieve high growth rates in
Germany which would allow a person of Fabian Zuleeg, chief economist of the future. But there are huge untapped
to take up two years of part time paid European Policy Centre, was particu- potentials in Europe’s ageing and more
care leave. larly impressive in this respect. He diverse population. Unleashing these
first showed the gravity of the current potentials by creating better opportu-
The Second day of the Forum was economic and financial crisis and nities for all Europeans must be the
opened by a debate led by Lore then issued a stark warning. If the priority for the years to come.
12 Social Agenda – March 2011ESF in Lithuania -
New skills and a sense
© European Union
of community
B
orn in a small village near helping a range of clients to succeed A unique programme of IT training
Vilnius in the 1930s, Aldona during tough financial times. for older people, organised by the
Mikalauskiene has witnessed senior citizens’ group ‘LPS Bociai’
first-hand some of Europe’s greatest “I have spent the major part of my and co-funded by the EU through the
upheavals, from the atrocities of the career working with upcoming profes- European Social Fund, helped Aldonis
Second World War to difficulties and sionals,” she says. “I provide appren- make fuller use of modern IT technolo-
conflict under Soviet rule, to eventual ticeships and have trained numerous gies for her business, improving her
independence for her small nation successful accountants. skills and bringing her up to speed
of Lithuania. Through it all she has on the latest computer equipment,
maintained a strong character and a Her clients are many and varied, programmes and networking services.
sense of duty to her fellow citizens. from Chinese restaurants and
car mechanics to women’s and ‘I spend a good part of my day out
“Today we have many new freedoms,” children’s organisations, to big and about,” she says, “meeting clients,
she says. “Freedom to run businesses companies and manufacturers. “I collecting and delivering documents
and to improve ourselves, to criticise enjoy my job and I find it partic- and presentations and selling our
and speak freely about our govern- ularly satisfying to see my group services to prospective customers.”
ment, but we also have an obligation helping others to succeed,” she Then it’s back to the office where she
to use our freedoms and our talents says, “whether small businesses, collates and analyses results and
to help each other. We are all one ser vice providers or corporations figures.
people, one society.” making money for our economy.
“When I started out, we used those
“And why should I stop now? I have old-time adding machines, you know,
From humble beginnings…
been around for a while, but I lead with that big lever that swings down
A farmer’s daughter from rural an active life and I think I still have and goes ‘cha-ching’. We thought
Ukmergė, Aldonis went to school, was something to contribute.” they were quite handy. My, how things
married and widowed, and then took have changed! There are so many
up her studies again, distinguishing new tools and technologies that can
herself as an older student at univer- Still in good form be extremely useful in accountancy.“
sity. Now a qualified accountant, “The work of accountancy always The computer courses allowed me to
she heads her own accountancy firm comes back to numbers,” Aldonis develop new skills and ultimately to do
in the Lithuanian capital, training explains, “and that means specialised my work more efficiently,” she says.
and employing young people, and knowledge and the right tools.” “The lessons were a real help.”
Social Agenda – March 2011 13Active ageing to be the focus of the
© Getty Images
2012 European Year
EU highlights the importance of promoting
a healthy and active ageing population to help
achieve higher employment and social inclusion
T
he European Commission increase pressure on public budgets ments need to remove the obstacles that
has proposed that 2012 be and pension systems, as well as on prevent people from fully using their
designated as the “European the staffing of social and care services potential as they grow older.
Year for Active Ageing”. The Year for older people. Old age is still often
for Active Ageing will serve as a associated with illness and depend-
framework for raising awareness, for ency, and older people can feel Why a European year?
identifying and disseminating good excluded from employment as well as The Commission highlighted in its
practice and, more importantly, from family and community life. There Communication on “Europe 2020 –
encouraging policymakers and is a fear that the older generations A strategy for smart, sustainable and
stakeholders at all levels to facilitate might become too heavy a burden on inclusive growth” the importance
active ageing. The aim is to invite younger, working-age people and that of promoting a healthy and active
these players to commit to specific this could result in tensions between ageing population to help, among
action and goals in the run-up year generations. other things, achieve high-employ-
2011 so that tangible achieve- ment, invest in skills and reduce
ments can be presented during the poverty. Active ageing needs to
European Year itself in 2012. Untapped potential be supported by a wide range of
This view neglects, however, the signifi- policies at all levels of governance.
cant actual and potential contribu- The EU plays its part in such policy
An ageing population tion that older people — and the areas as employment, public health,
The number of people aged sixty and baby-boom cohorts in particular — can information society, transport and
over is now increasing by around two make to society. We need to enable social protection, but in the main
million individuals a year - twice as older people to make their contribution policy responses on active ageing
fast as in previous years. In addition, to society, to rely more on themselves generally fall within the responsibility
in the next few years, the number of and to depend less on others and for of the Member States, which are
people of working age will start to this we need to create conditions that stepping up their efforts to mobilise
decline. The fact that our societies allow people to stay active as they grow the potential of older people. Through
will age considerably over the coming older. “Active Ageing” promises to be the European year, the EU will be
decades has been known for many such an approach because it seeks to able to support their endeavours by
years but the first signs are becoming help older people to: remain longer in creating a more supportive environ-
only visible now as we are reaching the labour market; contribute to society ment, with increased awareness
the stage where the large cohorts as volunteers and carers; remain as among policy makers and the
born after the Second World War are autonomous as possible for longer. general public, helping to mobilise
approaching the end of their working life. Older people are a huge source of policy makers and stakeholders at
potential – indeed, the baby-boomers all levels, supporting mutual learning
Population ageing presents both now reaching their sixties are full of across Europe and helping to define
challenges and opportunities. It may resources and talent but for this govern- common objectives and targets.
14 Social Agenda – March 2011SPECIAL FEATURE
© iStock
Towards full
employment:
the EU contribution
R
aising the employment rate develop a competitive, sustainable and The main responsibility and instru-
for women and men aged innovative economy in line with Europe ments in the area of employment
between 20 and 64 to 75 per 2020 goals. In times of budgetary policy lie of course with the Member
cent by 2020. This is the ambitious constraints and unprecedented global States. However, the 75 per cent
target that the European Union (EU) competitive pressures, EU employ- EU employment rate target will only
has set itself as part of its Europe ment and skills policies that help shape be achieved by pooling all efforts
2020 strategy to exit the crisis and the transition to a green, smart and and instruments. While the flagship
return to growth and prosperity. innovative economy must be a matter initiative sets out mainly the EU-level
Getting there will be no easy task. of priority. actions required to reach the employ-
The crisis has pushed the employ- ment target, many of the proposed
ment rate down to 69 per cent, To achieve these objectives, the actions will involve Member States
and the unemployment rate up to Commission is proposing actions as well as social partners. Implemen-
10 per cent: assuming that the labour across four main areas: make Europe’s tation will be based on a mix of EU
market stabilises in 2010-2011, labour markets function better, policy instruments, including legisla-
achieving an employment rate of equip people with the right skills for tion, policy coordination, social
75 per cent by 2020 will require employment, improve job quality and dialogue, funding and strategic
an average employment growth working conditions, and create jobs. partnerships. The articles that follow
slightly above one percent per year. The proposals are part of the newly- examine the proposals contained in
With declining fertility rates, the launched “Agenda for New Sills and the new initiative, and look at some
EU working age population (those Jobs”, one of the flagship initiatives of the instruments that the European
aged between 15 and 64) will start spearheading the implementation of Commission is busy developing and
shrinking as early as 2012, even with the Europe 2020 strategy. They consti- putting in place to help the EU reach
continuing immigrant flows. A skilled tute the EU contribution towards full its ambitious target of reaching full
workforce is an essential asset to employment. employment by 2020.
Social Agenda – March 2011 15An agenda
for new
skills and
© Getty Images
jobs
New Commission initiative sets out concrete actions
to boost employment in the European Union
E
urope needs more people in Earlier this year the EU has set itself rather than just reacting to outside
work. Over 23 million people are new ambitious targets to achieve by developments. To do this, the flagship
currently unemployed, 10% of the 2020. The Europe 2020 strategy proposes a number of concrete actions
working population. The economic and aims to achieve smart, sustainable that should enable the EU to boost
financial crisis has led to 5.6 million and inclusive growth. For the area of employment.
jobs being lost across the EU since it employment this means to reach an
first hit labour markets in 2008. employment rate of 75% by 2020, And there are jobs to be filled. Even
for women and men aged 20-64. On during the crisis, some employers have
Without enough people in employment, 23 November the Commission been reporting difficulties in recruiting,
the sustainability of Europe’s welfare adopted the Europe 2020 flagship especially for vacancies requiring
systems is at risk. Europe’s demographic initiative ‘An agenda for new skills and high-skills. In the future, there are
challenges are well-known, and very jobs’, setting out the contribution that likely to be many more jobs that
soon, in 2012, Europe’s working age the EU can make to boosting employ- require higher skills. Estimates already
population will start to shrink. ment. Employment policy is largely show that by 2015, there could be a
the responsibility of Member States, shortage of 700,000 ICT specialists.
The EU has already in the past however to reach the employment The health sector could see 1 million
decade attempted to meet this as well rate target, efforts are also needed at unfilled vacancies and by 2025 the
as other challenges, mainly related EU level, based on close cooperation EU may need an extra 1 million
to the competitiveness of the EU in between the Commission, Member researchers.
an international context. The Lisbon States and social partners.
Strategy provided the framework The ‘Agenda for new skills and jobs’
within which Member States and the The main message the flagship sends sets out the priorities for action in the
Commission undertook major reforms, out is that the EU should be proactive coming years in four areas central to
including on labour markets. to reach the employment rate target employment.
16 Social Agenda – March 2011First of all, labour markets must be cooperation is already showing its still face too many obstacles. There
made to function better: Based on benefits in concrete initiatives such as is a need to improve the framework
a new momentum for flexicurity, the ESCO that are undertaken jointly. conditions for job creation, especially
initiative puts forward a number of in fast-moving and R&D-intensive
proposals to reform labour markets. A third crucial element is the quality sectors, with less administrative
These concern work contracts, of work and working conditions. burden, lower taxes on labour and
unemployment benefits, individual There is a substantial body of employ- more and better support for (potential)
support to those who need it most and ment legislation at EU level affecting entrepreneurs. Reinforcing the move
opportunities for lifelong learning. One the conditions for job creation, more from informal or undeclared work to
proposal is to address the problems particularly quality of work and regular employment will also create
associated with temporar y and working conditions. In the flagship jobs in the formal economy.
permanent contracts by introducing the Commission proposes to review
more open-ended contractual arrange- parts of the body of legislation to The ‘Agenda for new skills and jobs’
ments. These could help overcome the make it work better, and be easier has set priorities for action up until
divide between people with different to understand and apply for both 2014 when the Commission will adapt
contracts working side by side. They employees and businesses. One its priorities to the new Multiannual
would give everybody the chance to simple reason for the need for such Financial Framework. Between now
gradually increase employment protec- a review is that working patterns and and 2014 the Commission will report
tion rights while also giving employers technology change over time and on progress in the Annual Growth
clear prospects on the conditions for legislation needs to keep up with these Surveys that form part of the Europe
employing people. developments. In practical terms the 2020 Strategy.
Commission will, among other things,
Secondly, people need to be equipped propose amendments to the working
with the right skills for employment. time directive and make a legisla- More information on the ‘Agenda
There is still potential for education tive proposal aiming at improving for new skills and jobs’ can be
and training systems to better prepare the implementation of the posting of found on the following webpage:
people to meet the demands of the workers directive. http://ec.europa.eu/social/main.
labour market. The initiative sets out jsp?langId=en&catId=958
actions for everybody to have the And, last but not least, job creation.
opportunity to acquire the knowledge The EU won’t be in a position to reach More information on the Europe
and skills that are needed in the labour an employment rate of 75% and 2020 Strategy can be found
market. One example for concrete achieve sustainable growth without here: http://ec.europa.eu/
action the Commission is taking is the creating new jobs. Yet currently people europe2020/index_en.htm
setting up of an ‘EU skills panorama’ who have the potential to create jobs
which would help forecast better the
skills that will be required in future
and ensure people have the right mix
of skills – for example, ICT, entrepre-
neurship and languages – to enhance
their adaptability and employability.
Another important initiative is ESCO,
the European Taxonomy of Skills,
Competencies and Occupations.
ESCO has the potential to bring much
more closely together the worlds of
education and training on the one
hand, and work on the other hand,
therefore contributing to a better
match between skills demand and
supply. It is also a good example of the
need for close cooperation between
© Getty Images
actors from the area of employment,
and stakeholders from education
and training. At European level, this
Social Agenda – March 2011 17A new
momentum
for flexicurity
A valid policy framework
needs to be adapted to
changes in EU labour
© Getty Images
markets
F
lexicurity, an integrated strategy policy priorities to reinforce the four half of 2011 on strengthening the
to enhance both flexibility and components of flexicurity, in partner- four components of flexicurity along
security within the labour market, ship with Member States and social the priorities listed above, in the
was developed as a comprehen- partners. These include a strenght- framework of a special stakeholder
sive response to the challenges faced ened focus on reducing segmentation, conference.
by European labour markets and greater weight on internal flexibility,
societies in the context of globalisation improving the access to and targeting Improved coordination of policies
and technological and demographic of lifelong learning, adapting the mix and the involvement of social partners
change. The EU Common Principles of of active labour market policies and and other relevant stakeholders are
flexicurity including its four components their institutional setting to reduce crucial for a successful implementa-
were adopted in December 2007 by the risk of long-term unemployment tion. To enhance the social partners’
the Council as a means of modernising and reforming unemployment benefit participation and ownership of the
labour markets and promoting work systems, including the extension of New Skills and Jobs Agenda at EU
through new forms of flexibility and their coverage. level, the Commission proposes to
security. In order to increase adapta- hold, starting in 2011, a Tripar-
bility, employment and social cohesion, A new momentum for flexicurity must tite Social Forum to discuss the
Member States were called upon to be the result of a common approach implementation of the Agenda and
develop their own national flexicurity by EU institutions, Member States flexicurity policies in particular,
arrangements and to devise strategies and social partners. In this spirit, ahead of the Tripartite Social Summit
to reform their labour markets together the Commission proposes to hold that precedes the Spring Council
with social partners. a comprehensive debate in the first within the European Semester.
While flexicurity policies have helped
weather the crisis, the urgent need to
The four components of flexicurity
pursue labour market reforms in order to
reduce segmentation and support transi- • Flexible and reliable contractual arrangements (from the perspective of the
tions in the labour market has become employer and the employee, of ‘’insiders’’ and ‘’outsiders’’) through modern
apparent. The EU Common Principles for labour laws, collective agreements and work organisation;
flexicurity, are widely considered to be • Comprehensive lifelong learning (LLL) strategies to ensure the continual adaptability
well-balanced and comprehensive, and and employability of workers, particularly the most vulnerable;
remain valid as a policy framework; but • Effective active labour market policies (ALMP) that help people cope with rapid
the four components of flexicurity need change, reduce unemployment spells and ease transitions to new jobs;
to be strengthened and adapted to the • Modern social security systems that provide adequate income support,
new socio-economic context. encourage employment and facilitate labour market mobility. This includes
broad coverage of social protection provisions (unemployment benefits,
In its Agenda for New Skills and Jobs, pensions and healthcare) that help people combine work with private and
the Commission proposes a set of key family responsibilities such as childcare.
18 Social Agenda – March 2011Closing the skills gap
© Getty Images
New online tools to facilitate job matching
throughout Europe
T
o help European citizens New challenges which will necessitate education
enhance their skills and meet on the labour market and training for new professions. A
the demands of tomorrow’s skilled and adaptable workforce not
labour market, the European commis- The European labour market will only benefits both employers and
sion has developed two new online face a number of challenges in the workers, but can boost the competi-
tools. ESCO is the European multilin- coming years. New technologies are tiveness of the European economy.
gual classification, or taxonomy, of improving the effectiveness of produc- Possessing the necessary skills and
skills competences, qualifications tion and changing the way employees having the ability to move between
and occupations; Match & Map work. Companies are now operating jobs is therefore becoming more
provides the automatic matching and across a wider geographical area and more important. In creating an
geographic mapping of job offers and there is a greater emphasis open, flexible, and adaptable labour
and jobseeker profiles. Created with on, for example, multitasking and market, several factors are vital: the
the aim of improving and facili- teamwork, thereby increasing the need demand and supply of skills need to
tating skills matching, these tools can for higher-skilled workers. Europe’s be accurately matched, the require-
increase the efficiency with which population is ageing, which will have ments of the labour market must
jobseekers will find vacancies and a considerable effect on the supply be monitored and anticipated; the
employers will find candidates. They of labour and skills, and certain skill sets required to enhance the
will be These tools will be supported sectors, such as health and social long-term employment prospects
by the improved EURES portal, care, are increasingly demanding of jobseekers need to be identified,
the EU platform for the exchange more workers than others. Also, and last but not least, education
of vacancies, CVs, and learning there is an undeniable and ongoing and training must be relevant and
opportunities. shift to a low-carbon economy responsive.
Social Agenda – March 2011 19Speaking the same
language
Efficient matching between skills,
jobs, and learning opportunities on
the European labour market can only
be achieved if there is a common
multilingual classification of skills,
© 123RF
competences, qualifications and
occupations. The European Commis-
sion is coordinating, in collabora-
tion with stakeholders, a multilin- and efficiently: ‘Where are the jobs classifications, but if not all actors use
gual classification, or taxonomy, of and where are the workers?’ Match them the quality of the information
skills, competences, and occupations & Map, to be implemented in several provided is affected. Match & Map
called ESCO. It is the only European steps from 2011 onwards, goes a long is therefore developed with the use
multilingual taxonomy linking skills way towards limiting skills mismatches, of ESCO to ensure a high quality of
and competences to occupations and while ensuring a widespread and information. Match & Map automati-
it will be available free of charge to all efficient job-matching and support cally matches information provided
labour market and education institu- service for all European citizens. It in a jobseeker’s online CV with the
tions, and other interested parties in is a user-friendly, transparent online available job vacancies. It evaluates
30 European Economic Area countries. service, providing comprehensive and the jobseeker’s profile, profes-
All interested parties are encour- accessible information on occupa- sional and educational background,
aged to actively contribute throughout tions, skills, and learning and training skills, interests, qualifications, and
its development. The first version of opportunities across the EU. Match & desired occupation. The result? A
ESCO, introduced in the course of Map requires interoperability between graphical map of Europe, showing
2010, contains 6 000 skills and 5 000 many different operators and systems. the jobseeker where they can find
occupations. Over time, this collec- This can only be achieved successfully the opportunities they are looking
tion will be enriched to include new if information is standardised, and at for, and the employer where they
occupations and skills, including ‘soft a high quality. The standards already can find the available jobseekers
skills’ and competences such as team exist, from Europass CVs to country and skills they need.
work, communication, and interper-
sonal skills. ESCO will continually EURES: The European jobs network
evolve, in order to remain up-to-date
with current labour market situations. The EURES Job Mobility Portal is built on a platform for the exchange of
Jobseekers can use it to describe their vacancies, CVs, learning opportunities, and information on European
skill set when developing a CV that labour mobility. The portal contains more than one-third of all vacancies
can then be easily used for various on the European labour market. At the end of 2010, the portal hosted
automatic matching purposes, while over one million job vacancies, 500 000 CVs and over 20 000 registered
employers can use it to define a set of employers. It is a central information point for both jobseekers and
skills and competences required when employers, and members of the EURES network.
they are developing a job description In addition to hosting countless jobseeker CVs and job vacancies, the
to be advertised with public or other EURES portal provides a platform for syntactic interoperability. This means
employment services. that vacancy information can be exchanged between Public Employment
Services in a standardised way; ensuring that clear material is presented to
A good match jobseekers and thereby eliminating skills mismatches. Additionally, the use
of a common set of documents including a European CV format, provided
Closely related to ESCO, the creation by Europass, allow the skills and qualifications of a jobseeker to be clearly
of Match & Map on the existing EURES and easily understood throughout Europe. In combination with the use of
portal is a vital step towards the the ESCO taxonomy in the development of vacancies and CVs, the EURES
realisation of better matching between portal therefore has the potential to be the sharing point for all European
skills and labour market needs. It vacancy information. Jobseekers’ qualifications can be widely recognised
answers the question all jobseekers and identified, and posted vacancies understood and answered.
and employers are asking simply
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