EU social model ‘needs correcting’ to avoid unrest

7 June

Though Europe’s social model proved “resilient” against the economic crisis, it must be “corrected” to prevent increasing social unrest, EU Employment and Social Affairs Commissioner László Andor told EurActiv at the fringes of a meeting with EU trade unions and employers.

EU finance ministers agreed on 9 May to establish a rescue mechanism worth around €750 billion to protect the euro from collapsing under the weight of debt accumulated in countries such as Greece, Spain or Portugal (EurActiv 10/05/10).

Crisis-hit EU countries have adopted highly unpopular austerity measures, which in the case of Greece sparked violent street protests (EurActiv 05/05/10).

The European Commission has developed a blueprint for growth, the ‘Europe 2020′ strategy, which it believes will set Europe on the path to economic recovery. As reported by EurActiv, a number of stakeholders have argued that the Europe 2020 strategy does not have a sufficiently strong social dimension in its current guise (EurActiv 10/03/10).

The term ‘European social partners’ refers to those organisations at EU level which are engaged in the European social dialogue, as provided for under Articles 154 and 155 of the EU Treaties.

Andor confirmed that the European Commission has a “real concern” about social unrest in certain countries where the “financial panic has been out of control”.

He described the need for tough austerity measures in hard-hit countries such as Greece as “inevitable”, adding, however, that EU financial support should help to prevent any severe escalation.

Andor said that these risks should not affect other countries “where this panic doesn’t apply and social unrest can be constrained”.

Specifically, it is essential to maintain a strong social dialogue and fully involve social partners in the development of future plans, he said.

Likewise, he said it was vital to bring forward a convincing strategy for growth and jobs, which is why he believes it is “crucial” that EU leaders give political approval to the Commission’s Europe 2020 strategy at a 17 June summit in Brussels.

In response to the escalating risk of social unrest, he said the EU must continue to reform and “correct” the European social model, as this is the only way to “preserve peace” in the long run.

Sense of urgency ‘missing’, say social partners

Andor was speaking to EurActiv on the sidelines of a 4 June meeting with EU ’social partners’, who were presenting the final input of workers’ unions and employer organisations to the ‘Europe 2020′ strategy for growth and jobs.

Workers and employers joined forces in agreeing that an ambitious growth strategy is the only way to ensure economic recovery.

However, Philippe De Buck, director-general of BusinessEurope, said European employers feel a sense of urgency was missing from the strategy.