Commission issues Communication on Social Action Programme 1998-2000

In April 1998, the European Commission adopted a Communication on its Social Action Programme 1998-2000, which sets out the next steps for the future development of European social policy. This feature outlines the central themes of the Commission's proposed approach and examines what the Action Programme will bring to the social policy field.

On 29 April 1998, the European Commission adopted a Communication (Com (98) 259) outlining the Social Action Programme 1998-2000. The Action Programme complements and builds upon the previous medium-term Social Action Programme 1995-7. It aims to further the future development of European social policy by seizing upon the impetus given to the social arena by the inclusion of the "employment title" and the incorporation of the Agreement on Social Policy in the Amsterdam Treaty (EU9707135F), and also the 1998 Guidelines for Member States' employment policies, which have entailed the development of an integrated employment strategy. Speaking in Brussels on 29 April, the Commissioner responsible for employment and social affairs, Pádraig Flynn, said: "The new Social Action Programme 1998-2000 is designed to provide a strategic overview of the future agenda for social policy."

Background - a solid foundation to build upon

In recent years, the EU social policy field has developed significantly. In 1993, the Commission launched a wide-ranging consultation on the future of European social policy. This process was driven forward by the Green and White Papers on social policy, in 1993 and 1994 respectively, which sought to develop a renewed outlook and approach towards social policy. This renewed outlook was reinforced with the medium-term Social Action Programme 1995-7, which aimed to set out a more broadly-based, innovative and forward-looking approach to social policy.

In addition to the Social Action Programme, and partly resulting from it, there have been a number of developments in the social policy field over recent years. Employment policy has moved to the centre of the European agenda and received considerable impetus with the inclusion of the employment title in the Treaty of Amsterdam. This was compounded with the adoption of the 1998 employment guidelines, which required the submission of National Action Plans on employment, leading to the development of an integrated employment strategy.

The arena of social policy has been broadened and deepened to areas of mutual concern such as demographic trends, modernising social protection and the fight against racism. This has partly been facilitated by the greater involvement of the social partners through the Agreement on Social Policy annexed to the Maastricht Treaty. The social dialogue has proven to be an effective mechanism to advance developments in the field - for example, framework agreements on both parental leave (TN9801201S) and part-time work (EU9706131F) have been reached and implemented through Directives. The success of social dialogue is recognised in the new programme, as it includes a plan to present a Communication on adapting and promoting social dialogue at Community level in mid-1998.

Lastly, the linkages between social policy and other Community policies have been strengthened. The Commission argues in the new Communication that "economic and social progress go hand in hand," thus reflecting its concern that social progress must be promoted across the board. Examples of this cited by the Commission are the commitment in the programme to "mainstreaming" equality of opportunity between men and women, and the 1997 Communication on environment and employment. Moreover, the integration of social policy has become increasingly important with the advent of Economic and Monetary Union (EMU), as strong linkages between a single market and employment and social policy are seen as being needed to achieve macroeconomic stability and sustainable growth.

Challenges faced by the Action Programme

Although it regards the above achievements as "a solid foundation on which to build", the Commission recognises that the European Union still faces considerable social challenges. The main challenges are as follows:

• the persistence of high structural unemployment among young people, women, and long-term unemployed people;

• rapid changes in the world of work, bringing transformations in working patterns, work organisation and the type of skills required. With these changes, an effective balance or compromise is required between the needs for flexibility of enterprises, and the needs for security of employees, in order for the full potential of new forms of work organisation to be realised, without substituting or diluting fair and safe working conditions for inferior ones; and

• the continued existence of poverty and social exclusion, thus indicating that there is still a considerable imbalance within the system. Substantial reform and modernisation of social protection systems is envisaged in order to tackle these persistent problems.

These three central challenges are addressed by the Action Programme under three main headings: "jobs, skills and mobility"; "the changing world of work"; and "an inclusive society".

The main points of the Social Action Programme 1998-2000

The programme lays down the framework for the future social policy agenda and highlights the main priorities in the European social field. As mentioned above, the programme is based upon the central principle that social and economic progress go hand in hand, therefore reinforcing the view that economic developments cannot be achieved without accompanying social mechanisms. The Communication states that "social policy should promote a decent quality of life and standard of living for all in an active, inclusive and healthy society that encourages access to employment, good working conditions, and equality of opportunity." The programme sees employment as central to achieving this vision, as the Communication expresses the view that the values of the "European social model" are sustainable only with a Europe at work.

In pursuing its agenda, the Commission plans to use a variety of policy instruments. These range from using the political and social dialogue to build cooperation and to set frameworks for reaching common objectives, to utilising financial instruments such as the European Social Fund (ESF) to invest in people and to promote social progress. The Communication points out that in the proposed reform of the ESF, particular emphasis has been placed upon supporting the adaptation and modernisation of policies and systems of education, training and employment. In addition, legislation will be used to encourage fair social and working conditions in areas where new or updated rules are required, as well as enforcing minimum standards across the Union.

The three key areas of action with which the programme aims to engage are set out below.

Jobs, skills and mobility

Measures under this heading include ensuring the full implementation of the EU employment strategy as agreed at 1997's Amsterdam (EU9706133N) and Luxembourg (EU9711168F) European Council summits. The Commission will also endeavor to ensure that the EU Employment Guidelines and Broad Economic Guidelines are mutually reinforcing and promote a consistent economic strategy for growth, stability and employment. Building upon its recent Communication, it aims to raise a debate in 1998 on how to tackle the problem of undeclared work (EU9804197F). With regard to "employability" and equal opportunities, the programme's measures include continuing to promote the development of innovative forms of job creation through local development measures, including "territorial employment pacts" under the Structural Funds.

With reference to skills development, the programme's proposals include a commitment to present proposals in 1998 for new education and training programmes to replace LEONARDO DA VINCI and SOCRATES, in order to meet new needs in these areas. In addition, the Commission aims to encourage the social partners at varying levels to conclude agreements that increase the possibilities for training, work experience and other employability measures. The programme will also ensure that equality of opportunity is "mainstreamed" within the Employment Guidelines. With respect to mobility, the Commission will push forward with the implementation of its 1997 action plan for the free movement of workers (EU9711165N).

The changing world of work

Continuing on from the Commission's 1997 Green Paper on Partnership for a new organisation of work (EU9707134F), the programme will continue to promote a new framework for the modernisation of work organisation and a better balance between work and family life. In particular, it will present a Communication on work organisation and adaptability at the end of 1998. This framework will complement implementation of the "adaptability" pillar of the Employment Guidelines by consulting social partners on a possible framework agreement on all elements of work organisation.

Among other proposals, the Commission plans to:

• present proposals in mid-1998 to protect workers currently excluded from the 1993 Directive on certain aspects of the organisation of working time (EU9804102N);

• consult the social partners in 1998 on the need for Community action on the protection of teleworkers;

• launch an initiative to encourage greater employee financial participation by highlighting good practice and identifying obstacles, building on the 1992 Council Recommendation;

• follow up the recommendations from the high-level group on industrial change (EU9801178N) in developing future policies in this area;

• pursue the adoption of minimum standards for national employee information and consultation (EU9803192N);

• present a report in 1999 on the operation of the European Works Council Directive; and

• update and develop new health and safety legislation, recognising that standards need to be adapted to new working practices.

An inclusive society

Action in this area is focused largely on modernising social protection systems in order to respond to new needs - for example, making social protection more employment-friendly or adapting systems to the consequences of an ageing population. Specific measures include: presenting a proposal in 1999 to update and complete the legislative framework for equal treatment in social security schemes between women and men, taking into account the case law of the European Court of Justice; and a follow-up the 1997 Green Paper on supplementary pensions.

Greater efforts will be made under the programme to move from passive to active policies and to develop a preventive approach to social exclusion. The Commission will present a Communication on social inclusion during 1998 and will examine the possibility of a proposal to promote the integration of those excluded from the labour market. Other measures include a report, during 1998, on the implementation of the 1992 Recommendation on minimum income, and a Communication on issues affecting older people.

In the area of combating discrimination, the Commission will ensure that equal opportunities for women and men is "mainstreamed" into all relevant Community policies and a central concern of the EU employment strategy. Other measures in the area of sex equality include actions to combat sexual harassment at the workplace. Once the Amsterdam Treaty is ratified, there will be a a proposal for legislation to combat racial discrimination and a broad debate on the use of Article 13 (which enables the Community to take specific measures to combat discrimination on the grounds of sex, race, ethnic origin, religion or belief, disability, age and sexual orientation), including the possibility of a framework programme to combat all forms of discrimination. Building on the success of the 1997 European Year Against Racism, the Commission will implement an action plan against racism in 1998. The Commission will also pursue the strategy set out in its 1996Communication on equality of opportunity for people with disabilities and implement the commitment in the Declaration annexed to the Treaty of Amsterdam to take account of the needs of people with disabilities.

In addition to the above three key areas of action, the programme recognises that there is an external dimension of European social policy in respect of the accession states of Central and Eastern Europe. The programme aims to ensure the gradual involvement of accession countries in social policy programmes.

Commentary

Although the programme does not outline an entirely new legislative agenda, it goes a considerable way towards consolidating and strengthening many of the initiatives associated with the previous Social Action Programme, the Amsterdam Treaty and the Luxembourg Employment Summit (EU9711168F) - for example, the commitment to ensure the full implementation of the employment strategy. Moreover, the programme affirms the necessity to further both social and economic progress at the same speed, as it recognises that one cannot advance successfully without the other. It is also a pragmatic programme, as it recognises that reform, renewal and modernisation is necessary to meet changing needs across all its action areas, thus providing a framework for social policy renewal and revitalisation.

Additionally, the programme contains a few ambitious proposals, such as the idea of a framework agreement between the social partners to help implement the adaptability pillar of the Employment Guidelines, and the possibility of a proposal to promote the integration of those excluded from the labour market. In line with the Treaty of Amsterdam, which incorporated the Agreement on Social Policy, the programme envisages an inclusive approach, as social partners and actors at the local level are encouraged to participate through existing structures such as the European Social Policy Forum. Thus the programme appears to enhance the contribution and role of the social partners in furthering developments in the social policy field. At the time of writing, the European Trade Union Confederation (ETUC) and the Union of Industrial and Employers' Confederations of Europe (UNICE) are formulating their responses. (Peter Foster, ECOTEC Research & Consulting)