Third annual progress report on the Social Policy Agenda, February 2003

The European Commission has published its third annual progress report on the Union's Social Policy Agenda.

The Agenda was published in June 2000, approved by Social Affairs Ministers in November of that year, and formally adopted at the Nice European Council in December 2000. It was a response to the Lisbon Strategy, intended to enable the EU to 'become the most competitive and dynamic knowledge-based economy in the world capable of sustainable economic growth with more and better jobs and greater social cohesion', by 2010. It spans a five-year period, comprises a mix of new and existing measures, and is based on six strategic guidelines:

• more and better jobs
• anticipating and capitalising on change in the working environment by creating a new balance between flexibility and security
• fighting poverty and all forms of exclusion and discrimination in order to promote social integration
• modernising social protection
• promoting gender equality
• strengthening the social policy aspects of enlargement and the European Union's external relations

The latest scoreboard looks at how the Agenda is being implemented, focusing mainly on progress made during 2002 (Annex 1 of the progress report lists 'Key Measures in Employment and Social Policy 2002'; Annex 2 looks forward to 'Major initiatives for 2003').

The Commission reports that 'the agenda is still on schedule' and that it helped create 2.5 million new jobs in 2001-2002. However, the Commission also points out that in order to meet the Lisbon targets 15 million more jobs must be found between now and 2010.

Whilst it is anticipated that about 500,000 new jobs will be created in 2003, there is concern that unemployment will rise during the year to about 7.7%.

The progress report identifies 'pervasive weaknesses' which need to be addressed urgently, including:

• continuing high levels of unemployment and long term unemployment
• persistently low employment rates for women
• age-related difference in employment rates
• immigrants, people from ethnic minorities and other disadvantaged groups are still confronted with significant obstacles on the labour market
• the regional differences in several Member States which affect Europe's social cohesion
• the persistence of regional labour market bottlenecks and skill shortages

The Commission criticises Member States 'for failing to set national employment targets, which risks undermining progress towards the Lisbon employment targets'. Businesses and trades unions were also criticised in comments by Employment and Social Affairs Commissioner, Anna Diamantopoulou, who said the Social Policy Agenda 'is the tool which the EU uses to work towards 'more and better jobs' and 'social cohesion', two sides of the Lisbon triangle of economic, employment and social policy reform. Our agenda is on track. But Member States, business and trade unions are too timid with the necessary reforms at present and are hiding behind each other on the Lisbon targets. They must keep their end of the bargain if the EU is to meet its declared objectives on time.'

A mid-term review of the Social Policy Agenda will take place in the first half of 2003.

Links:
European Commission:
	13.02.03: Social Policy Agenda is on track, says European Commission [IP/03/228]
	06.02.03:	Communication - Scoreboard on implementing the Social Policy Agenda COM (2003) 57
	Employment & Social Affairs: Social Policy Agenda
	28.06.00:	Communication - Social Policy Agenda COM (2000) 379
European Sources Online:
	In Focus: The European Union's Social Policy Agenda

Eric Davies
Researcher
Compiled: Friday, 14 February 2003

The European Commission published its third annual progress report on the Union's Social Policy Agenda on 13 February 2003, revealing that it is 'still on schedule' and that it helped create 2.5 million new jobs in 2001-2002.