Newsflash - 13 October 2023

SGI Europe at the first consultation meeting of the EU social partners on the Commission Work Programme

On Tuesday 10 October, SGI Europe and the EU cross-industry social partners met with Valdis Dombrovskis, European Commission Executive Vice-President, and Nicolas Schmit, Commissioner for Jobs and Social Rights. The meeting focused on the preparation of the Commission Work Programme 2024 and the expectations of social partners regarding the EU priorities for next year.

During the meeting, SGI Europe and the representatives of employers’ organisations welcomed the focus put by European Commission President von der Leyen on labour and skills shortages during her latest State of the EU address. Valeria Ronzitti, SGI Europe General Secretary, highlight that labour and skills shortages are already threatening the development and incorporation by SGIs of new technologies to address the impacts of the climate and digital transition. She encouraged the Commission to present a new EU action plan on labour shortages to better coordinate the skills dimension of the EU employment, Single Market and migration policies. She also called on the Commission, as part of the implementation of the communication on strengthening EU social dialogue, to facilitate the launch of a tripartite dialogue, including the Member States, to facilitate this process.

Mrs Ronzitti also welcomed the call from President von der Leyen to organise a “Val Duchesse 2” summit to be held during the Belgian Presidency in the first half of 2024. For SGI Europe, such a Summit is a significant signal of trust from the European Commission in what Social Partners can achieve. The first Val Duchesse summit, held in 1985, started a process that established the foundation of the EU social dialogue. More than a summit, we call for Val Duchesse 2 to be processed and should be a co-creation of the Commission together with social partners.

Contact: Guillaume Afellat

SGI Europe signed an open letter on a Social Investment Framework

On Thursday 12 October, SGI Europe co-signed, together with actors interested in the financing of social progress, an open letter highlighting pathways for setting up a Social Investment Framework.

Amongst other points, SGI Europe and the co-signatories point out the EU Sustainable Finance framework fails to address the social dimension of sustainability. By focusing on avoiding negative social impacts without giving any guidance on how sustainable investments could positively contribute to social goals, the Sustainable Finance framework misses the opportunity to tap into the transformative potential of socially minded investors and, thus, among other things, ensure a fair and transition towards climate neutrality.

We call for grabbing the opportunity to learn and craft a more suitable framework that addresses the needs of investors and the financial sector and proposes building the framework for social investment around the following pillars:

• The definition of “services of general economic interest (SGEI)”, as provided by the EU treaties;
• The European Voluntary Quality Framework for Social Services of General Interest (EVQF SSGI), which defines quality criteria for these products and services;
• The upcoming Corporate Sustainability Due Diligence (CSDDD) directive;
• The “Corporate Sustainable Reporting Directive” (CSRD);
• The regulation establishing the InvestEU Programme;
• The regulation establishing the European Social Fund Plus (ESF+).

Through, amongst others, its activities in the Platform for Sustainable Finance, SGI Europe will continue supporting Social Taxonomy's developments.

Contact: Henriette Gleau

Presentation of the Commission communication 'Demographic change in Europe: a toolbox for action'

On Wednesday, the Commission presented a communication, “Demographic change in Europe: a toolbox for action”, presenting a set of policy tools for managing demographic change and its impacts on the EU's society and economy, including its global competitiveness. The communication outlines the wide range of devices which can be combined with national and regional policies to face demographic change.

The demography toolbox sets out a comprehensive approach to demographic change structured around four pillars:       

• support parents by better reconciling family aspirations and paid work, notably by ensuring access to quality childcare and good work-life balance;
• supporting and empowering younger generations to thrive, develop their skills, and facilitate their access to the labour market and affordable housing;
• empowering older generations and sustaining their welfare through reforms combined with appropriate labour market and workplace policies;
• where necessary, addressing labour shortages through managed legal migration, in full complementarity to harnessing talents from within the EU.

The toolbox recognises the need to take on board the territorial dimension of demographic shifts, specifically in regions that experience the phenomenon of population decline and the significant outward mobility of young workers (‘brain drain').

In addition to regulatory instruments and policy frameworks, the communication recalls that a number of financing instruments are available at the EU level to support Member States, such as the Recovery and Resilience Facility and the European Social Fund+ (ESF+).

The Commission also commits to reinforcing the data and evidence base, notably by further developing the Atlas of Demography, by supporting Member States in enhancing their population and housing statistics by supporting relevant analytical activities and research and supporting the development of demography-related policies at all levels, notably by making use of the Technical Support Instrument and by mainstreaming, where appropriate, demographic concerns in relevant policy proposals at EU level.

SGI Europe recognises demographic change as a significant mega-trend transforming European societies, with its impacts on active ageing, care and pensions, including the sustainability of public budgets.

Contact: Maxime Staelens

HOSPEEM addresses the Eurofound/ILO high-level event “How to ensure decent work and job quality for essential workers”

On the occasion of the publication of the Eurofound policy brief on essential workers, HOSPEEM Secretary General Marta Branca participated in the social partner panel hosted by Eurofound and the ILO on 10 October 2023.

On this occasion, Mrs Branca emphasised the importance of developing Social Dialogue to address issues such as staff shortages, mental health and the attractiveness of jobs in the healthcare sector.  Opening the event, Nicolas Schmit, EU Commissioner for Jobs and Social Rights, underlined the pivotal role key workers play. “Without key workers, our societies cannot function. Yet, most key workers are paid at the minimum wage or receive a low wage. There is also a lack of societal recognition for workers who provide essential goods and services. This is a fundamental contradiction in our societies,” he said.

Contact: Leonie Martin, Policy Officer, HOSPEEM

Outcomes of the meeting of the EPSCO Council of 9 October 2023

On 9 October 2023, during the EPSCO Council (Employment, Social Policy, Health and Consumer Affairs Council configuration), EU ministers for employment and social affairs gathered in Luxembourg and debated several key issues for SGI Europe and social dialogue.

Amongst other vital topics, EPSCO ministers discussed the 2023 European Semester and the impact of new technologies on labour. They stressed the need to balance opportunities with risks, such as the deepening of the digital divide, the need for skills and life-long learning and the importance of labour and social rights. Most importantly for SGI Europe, they reflected on how the European Semester can help Member States take appropriate action towards a fair digital transition, highlighting explicitly the role of social partners and social dialogue.

Ministers also reached a political agreement on a recommendation for developing framework conditions for the social economy. In the first-ever recommendation on this topic, a broad set of measures is addressed, including access to funding, public procurement, visibility and recognition of the social economy. It calls on the member states to strengthen their support for the social economy entities – defined as “a set of private law entities, providing goods and services to their members or society, encompassing organisational forms such as cooperatives, mutual societies, associations (including charities), foundations or social enterprises, as well as other legal forms” – and acknowledge the added value of the social economy in labour and social inclusion, skills development and social innovation.

Contact: Benoit Cassorla

Granada Declaration and the preparation of the 2024-2029 EU Strategic Agenda

On 5 and 6 October 2023, the heads of state and government of the EU-27 gathered in Granada for an informal meeting of the European Council, where they laid the strategic foundations for the future of the EU, including a focus on future enlargement.

On this occasion, on 6 October, the EU leaders adopted the Granada Declaration, setting out the basis for the strategic reflections on the future of the EU and committing to making progress on enlargement to achieve a stronger and more prosperous EU. The Granada Declaration marks the beginning of defining the orientations and priorities of the 2024-2029 Strategic Agenda.

A particular focus of the discussions was the need for the EU to boost its Open Strategic Autonomy (OSA) and move towards a more competitive and resilient EU. It builds upon the Resilient EU2030 report, the comprehensive Foresight report prepared by the Spanish presidency in cooperation with more than 250 experts from 80 ministries from the 27.

Ahead of the informal meeting of the Council, the third gathering of the European Political Community took place, with the Heads of State or Government from around 50 European countries sending a message of unity against Russia and support for Ukraine.

Contact: Maxime Staelens