Welcome to the 4th conference of Alliances to fight poverty

All documents you will find on

alliancestofightpoverty.wordpress.com

Welcome by

Joyce Loughnan Focus Irelandand

Ann Demeulemeester ACW

The state of play of the European socio-economic and poverty police

byHugh Frazer

Maynooth, National University of Ireland

A torn Europe? Europe on two tracks

The state of play of the European socio- economic and poverty

policy

HUGH FRAZERNational University of Ireland (Maynooth)

EU Network of Independent Experts on Social Inclusion

Declaration by delegates to the 11th EU Meeting of People Experiencing Poverty

Brussels - today “But this year, more than ever before, we feel abandoned

by those who declare they stand at our side, working for us and with us.

Ever greater numbers of people are homeless and living in precarious conditions, ever greater numbers are losing their home because they can’t afford to pay their rent or their mortgage, ever greater numbers are without a home because they are discriminated against.

Everywhere unemployment is mounting, workers are increasingly insecure, young people cannot imagine a future. As a 17- year-old girl has said, “Right now I have no dreams”. Can there be anything worse than not having a dream when you are 17 years old?”

European Commission viewAnnual Growth Survey 2012

“In addition to economic realities, the social tissue of the EU is being put to the test. The crisis has disproportionately hit those who were already vulnerable and has created new categories of people at risk of poverty. There are also clear signs of increases in the number of people at risk of income poverty, notably child poverty, and social exclusion, with acute health problems and homelessness in the most extreme cases. People with no or limited links to the labour market – such as pensioners or vulnerable people dependent on social benefits, for instance single parents – are also exposed to changes affecting the calculation and eligibility of their source of income.”

Lisbon Treaty and Europe 2020What is meant to happen?

• Put poverty reduction at heart of EU policy agenda

• Better integrate and mainstream social objectives at heart of EU policy making

• More systematic reporting & monitoring

• Better governance

• More funds for social inclusion

What has happened?

• Implementation inadequate and often very limited?

• Impact on poverty and social exclusion negligible so far

• Overall situation of poverty and social exclusion is getting worse

Put poverty reduction at heart of EU policy agenda

• Europe 2020 - 5 headline targets – to be translated into national targets (to be reached by 2020)

– The targets “constitute shared objectives guiding the action of Member States and the Union” (European Council Conclusions):

• Employment: 75% of men/women 20-64 to be employed• R&D/innovation: 3% of EU's GDP• Climate change/ energy (20/20/20): 20% lower than 1990 for

greenhouse gas emissions (30% if…), 20% of energy from renewables, 20% increase in energy efficiency

• Education: Reduce school drop-out below 10% & Ensure that at least 40% of 30-34s complete third level education

• Social inclusion: reduce by 20 million the number of people in EU “at risk of poverty or social exclusion”

Poverty targets inadequate• Most countries have set targets but targets insufficient

– School drop-out• EU target under 10% • MS commitment (2011 NRPs) 11.3%

– Social inclusion and fight against poverty • EU target 20 million people out of poverty• MS commitment (2011 NRPs) 12-15 M

• EU Network of Independent Experts 2011 assessment– lack of sub-targets for groups at high risk or for specific policy domains not

already covered by the employment and education targets– some targets too ambitious; others lack sufficient ambition– link between national indicator & achievement of the overall EU target not clear– lack of any justification or clarity about the criteria underpinning choice of target– lack of detail in many NRPs on how the targets are to be met– risk of focussing on just one aspect of poverty and– social exclusion– danger of not focussing sufficiently on those in severe poverty & social exclusion

• EU 2012 – initial assessment of NRPs– little change in targets set

Poverty getting worse Rising Unemployment

• EU Network of Independent Experts – January 2012 (+ 2012 NRPs) & Eurostat May 2012

– rise in unemployment • 10.2% in March 2012 from 9.4% in March 2011

– fell in 8 Member States; increased in 19 – less than 6% (AT, NL, LU, DE) to more than 21% (EL, ES)

– rise in young unemployed• 22.6% in March 2012 from 21% in March 2011

– growing proportion of long-term unemployed• 4.3% (last qtr 2011)• in 2011 43% of total unemployment against 40% in 2010

– growing labour market inequality• increase in insecure and part-time work • low skilled most at risk

– increasing discrimination & rising risk for immigrants/ethnic minorities– rise in jobless households particularly hitting families with children

High unemployment (Nov. 2011)

High unemployment: in particular for youth

17

Jobless households on the rise• Greatest impact of

the crisis on jobless households in the Baltic States, Spain and Ireland.

• Some population subgroups more severely hit, even in MS apparently less impacted (children, lone parents…).

Increase in total population (0-59) living in jobless households

Population aged 0-18

0

5

10

15

20

25

EU27 ES LT EE GR SE DK SK LV FI PT IT FR BE DE BG HU UK IE*

% o

f chi

ldre

n in

jobl

ess

hous

ehol

ds

2008

2010

Population aged 0-60

0

5

10

15

20

EU27 LV LT SK EE SE ES PT FI EL BG DK FR IT UK DE BE HU IE*

% o

f 0-6

0 in

jobl

ess

hous

ehol

ds

2008

2010

Source: Eurostat SILC

IE= data for 2008 and 2009

Increase in children (0-17) living in jobless households

Poverty getting worseDepth and intensity increasing

• Lack of up-to-date data– situation probably a lot worse

• Misleading data– in some MS downward trend result from fall in

median income but severity gets worse• Alternative data

– Increasing number of recipients of social assistance benefits

– growing demands on frontline services & NGOs

Europe 2020 poverty & social exclusion indicators

Indicator 2009

%

2010

%

Range 2010

%

At risk of poverty or social exclusion

23.1 23.5 15-42

People living in household with very low work intensity

9 10 4-23

People at risk of poverty after social transfers

16.3 16.4 9-21

Severely materially deprived 8.1 8.1 1-35

Poverty getting worseIncome poverty and deprivation

Bad in 2011 and getting worse in 2012(Evidence from EU Network of Independent Experts on Social Inclusion)

• Increasing depth and intensity – but v. wide variation across MS• Increasing difficulty in paying bills & rise in indebtedness (esp. re housing loans)

– fall in wages + rising cost of living (esp. energy, housing and food) + cut backs & increased conditionality in income support systems

• Rise in inequality (even in MS which are doing better)• Increasing geographic disparities• Rise in in-work poverty• Increasing material deprivation• Rise in child poverty• Compounded by cut backs in key services

– Rise in housing exclusion & homelessness• impact of increasing costs: housing, water, electricity, gas and other fuels is the single most important

item in household's expenditure corresponding to 27.7% of household consumption

• Some groups especially hard hit – immigrants & people from a migrant background, some ethnic minorities [esp. Roma],

people with a disability– in some MS older people, homeless and higher risk for women

• Rising trend likely to continue

Better integrate and mainstream social objectives in EU policy

making• Lisbon Treaty - Horizontal Social Clause

– It shall combat social exclusion and discrimination, and shall promote social justice and protection, equality between women and men, solidarity between generations and protection of the rights of the child. (Article 3)

– The clause provides a more solid basis for requiring both COM and EU countries to mainstream EU social objectives more systematically and thus to carry out social impact assessments

• over time, it might also be taken into account in decisions of the ECJ leading to a stronger social dimension to the Court’s decisions

• Europe 2020 objectives– smart growth

• “strengthening knowledge and innovation as drivers of our future growth”

– sustainable growth• “promoting a more resource efficient, greener and more competitive

economy”– inclusive growth

• “fostering a high-employment economy delivering social and territorial cohesion”

– Hope that this would lead to:

• more balanced approach that better integrate economic & social policy so that mutually reinforcing

• mainstream social policies at heart of EU policy making

Is more mainstreaming happening?

So far not to any great extent• National Reform Programmes & Commission

assessment largely dominated by economic issues and austerity measures – still are

• Political debate dominated by financial crisis and financial consolidation– Unbalanced Stability Treaty (Treaty on Stability, Coordination

and Governance in the Economic and Monetary Union)• No social impact assessments of measures in:

– NRPs– financial consolidation packages– bail out packages (EL, IE, PT, RO)– Contrary to spirit (& law?) of Lisbon Treaty

NRPs – not mainstreaming poverty and social exclusion

• National Reform Programmes (NRPs) – means by which MS translate Europe 2020 objectives into national policies

• Dominant theme in many 2011 NRPs was to diminish public finance deficit and support economic growth– social inclusion a very subsidiary or minor role

• Narrow approach– Labour market inclusion and addressing educational disadvantage– Very limited efforts to address income adequacy (esp. adequacy of social benefits and low

wage and insecure employment)• “key role played by social protection systems (and particularly the level of minimum payments) in

reducing poverty and social exclusion goes largely unaddressed”– Very limited attention to access to high quality services: health, social services, housing and

environment– Lack of a comprehensive & active inclusion approach

• Stability and Convergence Programmes (set out medium term budgetary plans) get greater attention than NRPs

2012 NRPs• MS asked to make “Tackling unemployment and the social

consequences of the crisis” one of 5 priorities– mobilising labour for growth & supporting employment (esp.young)– further improving effectiveness of social protection systems– implementation of active inclusion strategies– ensuring access to services supporting integration in the labour market

and in society (incl. access to affordable housing)

• 2012 NRPs continue same pattern (initial impression)– too much focus on financial consolidation and competitiveness to the

detriment of tackling (increasing) poverty and social exclusion – More focus on tackling unemployment than social consequences

• narrow labour market approach to inclusion• labour market measures often not sufficiently multi-dimensional• Social protection and access to services largely ignored (often worse)

– very limited attention to those in most extreme situations

More systematic reporting & monitoring

• European semester– Annual growth survey (AGS) (Nov/Dec)

• a review/forecast (macroeconomic/thematic/fiscal surveillance) ↓

– Spring European Council• takes stock: (overall macroeconomic situation; progress towards 5

EU targets & flagships)• agrees policy orientations↓

– Stability and Convergence Programmes & National Reform Programmes

↓– Commission assessment

↓– Country Specific Recommendations

What has happened?• Social inclusion still fairly peripheral

– Slightly more in 2012 Semester– Some recognition in 2012 AGS and Council Conclusions

• Few Country Specific Recommendations – 2: poverty/social exclusion (BG and EE)– 7: integration of vulnerable people into the labour market (BE,

CY, DE, DK, FR, MT and PL)– 2012???

• Data limitations for poverty and social exclusion limits monitoring

Better governance• European Platform Against Poverty and Social Exclusion

– one of 7 Europe 2020 flagship initiatives– set out actions to reach the EU social inclusion target. but– Still VERY vague

• Involvement of actors– in preparing their NRPs (and NSRs) Member States have been urged to

involve concerned parties: • “Social partners and representatives of civil society shall also be consulted

in the preparation of the NRPs and involved in the follow up, as relevant and in line with national practices”.

but– disappointing – less than with previous NRSPSI

• Stronger links across policy areas– Starting to happen (Roma – educational disadvantage – health - employment)– Long way to go

• Enhanced exchange and innovation– continuing exchange (Peer Reviews, Networks, Reports)– initiative on social experimentation (but rather unclear)

More funds for social inclusion

• Commission’s draft legislative package for the EU Cohesion Policy 2014-2020– increased ESF role in reducing poverty and social

exclusion through an increased budget and a ring-fenced allocation of 20% to poverty and social exclusion reduction

– promotion of a more bottom-up approach in the delivery of the Structural Funds, through community-led initiatives and simplified and more NGO-friendly delivery mechanisms

but– opposed by many Member States

Some positive developments• Reinvigorated Social OMC and reaffirming common objectives on social

protection & social inclusion (EPSCO – June 2011)

• National Strategy Reports to underpin NRPs

• Increased effort by Commission (DG EMPL) & SPC to use new social inclusion tools– closer monitoring of social dimension of NRPs

• Joint Assessment Framework for monitoring the Employment guidelines under Europe 2020

– SPC February Opinion on 2012 Annual Growth Survey & key messages to February EPSCO Council

• Improved resilience of social protection systems needed to withstand prolonged economic shocks

• Maintaining income support at adequate level is effective in offsetting worst effects of the crisis and in spurring aggregate demand

• Fighting unemployment through activation measures challenged by low job creation and insufficient implementation of active inclusion measures

– proposal for Social Performance Monitor (to parallel Employment Performance Monitor)

Some positive developments (cont)

• National Roma Integration Strategies

• EU Agenda for the Rights of the Child

• Evaluation of Active Inclusion in 2012

• Recommendation on child poverty & well-being in 2012

• Call for tender on Minimum Income

• Continuation of peer reviews, support for networks & thematic approach (incl. homelessness)– Stakeholders group (EU Networks, Civil Society)

• European Commission’s Conference on Inequalities in Europe and the Future of the Welfare State (December 2011)

Conclusions• Economic crisis and financial consolidation (austerity) is increasing poverty,

increasing racism and extremism, destroying people’s lives and destroying social Europe

• Social dimension of Europe 2020 still to be fully implemented and integrated into EU policy making– has potential but needs active implementation

but• Social dimension of Europe 2020 although useful is insufficient

– EU economic policy needs to be balanced by a real EU social policy– a guaranteed European minimum income for all– economic policy must take on goals of equality and social inclusion– fiscal consolidation without protection of the vulnerable, without protection of

social infrastructure and without parallel investment in (environmentally sustainable) jobs is counter productive

thus• Activate horizontal social clause to mainstream social inclusion objectives &

insist on social impact assessments for all policies• Put equality (tackling inequality and fostering redistribution) and solidarity at

heart of European political debate• Democratise EU policy making through increased openness, accountability

and participation

As a 17- year-old girl has said, “Right now I have no dreams”.

Give her back the right to dream

The consequences of the EU and national economic and social policy

IrelandMike AllenFocus Ireland

The consequences of the EU and national economic and social policy

ItalyNicoletta Teodosi

CILAP

The consequences of the EU and Italian economic and social policy

ByNicoletta TeodosiCilap Eapn Italy

Dublin, 10° may 2012

Welfare is essential for the democracy

Assuring social security and freedom of choice to citizens

Pushing for a development Pushing for the economic growth (but

what?) It is a social investment, not a

burden It is a cultural evolution

37

Who would benefit from the welfare

Market at large Public and private sector, profit and

non-profit organization People of all ages, status, cultural

origins without any difference

38

Something’s not working We have European chart of

fundamental rights We have Lisbon Treaty We have European strategies (both

political and economic policy)Why they are not working Inequalities are growing between

classes and between the haves and the have not

39

Life as it is now Less consumism (we have need to rethink

about) Increasing discomfort Tragic consequences: over 30 suicides to

date from small medium entrepreneurs Impoverishment of middle class Employees and jobless alike under growing

instability Unemployment is 9,8% up 1,7% (2011) of

which > 35% of active youth between the age of 15 – 24 (40% in the South of Italy)

40

The national situation in Italy 2008-2011

Denial of the crisis by former Government (as of first half of 2011)

Second half of 2011 two laws (Financial stability I july 2011 n. 111 –and Financial stability II sept. 2011 n 148) + Stability law for 2012 for a balanced budget in 2013 (December 2011)

Fiscal compact march 201241

National reform program 2012regarding combating poverty 1/3

Europe 2020: 20 million of people less at risk of poverty or of social exclusion (115 million in 2010)

Italy 2020: 2,2 million less poor (material deprivation or living in lower job family), were 14.742.000 (2010) = 12.9% respect to EU rate

42

National reform program 2012regarding combating poverty 2/3 3 european indicators:

1 = % of people at poverty risk (- 60% lower than median income) after the social transfer = 18,2% (I), 16.1% (EU)

2 = % of people in severe material deprivation = 7% (I), 8,1% (EU)

3 = % of people living in lower job family = 10,2% (I), 10% (EU)

43

National reform program 2012regarding combating poverty 3/3 2012 objectives = people in severe material

deprivation (2) and people living in lower occupational family (3)

How to reach this target will be reconsidered during the mid term Europe Strategy 2020

Before that, Italy will need to build a national data system to monitor and plan the social actions to cross social data bases, fiscal, and social security

And so on44

Where to find the resources Tax and welfare reform (pension and

labour market) Tax evasion House (IMU) Free market Taxes at local level And so on

45

European level Economic Stability Fiscal compact

46

The consequences Reducing role of European Parliament Reducing role of National Parliaments

= Less participation of citizens and

reduced capacity of intervention by elective Istitutions

=LESS DEMOCRACY

47

What’s happening in Italy Let’s push “declare illegal poverty”

Campaign Welfare grows, Italy grows (network) ECI on European minimum income

48

Thanks for your attention

Merçì à touteset à tous

The consequences of the EU and national economic and social policy

Italy

Mauro GiacosaCNCA

“ALLIANCES TO FIGHT POVERTY” Dublin, 10th and 11th of May 2012

“Rights raise their voice” – Promoting commitee

AntigoneArciArciragazziAssociazione Città VisibileAssociazione Familiari Alzheimer

Pordenone OnlusAssociazione WelcomeAuserCentro Iniziative e Ricerche

Euromediterraneo (Cirem) – NapoliCittadinanzattivaComunità SamanCoordinamento Nazionale Comunità di

Accoglienza (Cnca)CSA – Coordinamento Sanità e Assistenza

fra i movimenti di baseEmmaus Italia

Erit ItaliaEurocare ItaliaFederazione Internazionale “Città sociale” –

CampaniaFederazione Italiana Organismi per le

Persone senza Dimora (fio.PSD)Federazione Italiana per il Superamento

dell’Handicap (FISH)Federazione Scs/Cnos – Salesiani per il

SocialeForum DrogheIres CampaniaJesuit Social Network (Jsn) ItaliaLunariaMoviMovimento Rinnovamento Democratico

New poverty

“Standard” families who benefit of decent wealth conditions, happen to cross, through their lives, existential events that drive them down to the poorness threshold

This demonstrates that the measures we create in help of poverty can be efficient if they work in synergy with politics. We need to give birth to politics to support vulnerability for income, employment, housing, social services.

“ALLIANCES TO FIGHT POVERTY” Dublin, 10th and 11th of May 2012

UE and Italy

“ALLIANCES TO FIGHT POVERTY” Dublin, 10th and 11th of May 2012

If we only consider the general situation of the Italian welfare, our expenses are aligned to the other European countries, although…

Item % UE % Italia Difference

Pensioni 16,1 11,7 38% Health 7,7 7,0 -10% Lack of self-sufficiency2,1 1,6 -31% Family and maternity 2,1 1,3 -61%

Poverty 0,4 0,1 -75%

Italian welfare

“ALLIANCES TO FIGHT POVERTY” Dublin, 10th and 11th of May 2012

2008 2009 2010 2011 2012 2013

Social policy 697 578 435 218 70 45

Family 276 187 185 51 53 31

Equal opportunities 50 30 3 17 17 17

Youth 142 85 84 13 13 11

Immigrants 100 - - - - -

Nurcery 170 - - - -

Lack of self-sufficiency 300 400 400 - - -

Childhood and adolescence 44 44 40 39 40 40

Other - - 120 - - -

TOTAL 1779 1324 1267 338 193 144

The state expenses for local or social welfare

Present situation

“ALLIANCES TO FIGHT POVERTY” Dublin, 10th and 11th of May 2012

Fiscal and welfare law (July 2011, Berlusconi Government):savings of around 20 billion of Euro in 2013.

Welfare like charity,not like right of citizenship

No contrast to the rising of inequalitiesWe believe in the value of equality

A welfare based on money transferIsn’t sufficient to avoid the slip to poverty conditions

The social services is still considered a luxuryThey’re a tool for economical rebirth and social

cohesion

Proposals

“ALLIANCES TO FIGHT POVERTY” Dublin, 10th and 11th of May 2012

To keep financial evasion under controlTo increase taxes on big propertiesTo cut military expensesTo reduce political costs

To establish the essential levels of performanceTo potentiate social services

To introduce a minimum social incomeTo appropriate resources for the lack of self-

sufficiency and for the social dampers

To modify the law concerning the fiscal and welfare reform

DENYING RIGHTS, MEANS DELETING PEOPLE

a 15 seconds videoa 15 seconds audio file for radio stationsa manifestoa publication for printed papersmore general communication instruments such as banners and flyers

The national conference

“ALLIANCES TO FIGHT POVERTY” Dublin, 10th and 11th of May 2012

700 partecipants

New agreement between campaign “Rights raise their voice” and the main trade union (CGIL, CISL, UIL) to develope welfare

The campaign’s aim

To assert the right of citizenship

To denounce inequality

To contrast the use of prison to answer to social problems

To ask a new politics for the common good

To support the values of job, education, health, housing

“ALLIANCES TO FIGHT POVERTY” Dublin, 10th and 11th of May 2012

Contact

Campaign’s official websitewww.idirittialzanolavoce.org

CNCA official websitewww.cnca.it

Other linkswww.forumterzosettore.itwww.caritasitaliana.it Thank you“ALLIANCES TO FIGHT POVERTY” Dublin, 10th and 11th of May 2012

Coffee breakTill 11.30 am