A Spring Package with limited social ambition – Austerity wins over Environmental and Social Objectives
On 19 June the European Commission released the Spring Package, the set of documents part of the European Semester cycle, which include the Country Reports, the Country Specific Recommendations (CSRs), the Employment Guidelines and the chapeau Communication. This release comes a few months after the new economic governance rules have been adopted. As we observed for these new rules, also the Spring Package points towards a renewed attention for economic and financial stability at the expense of the necessary social and green investments. However, some social concerns have been adequately addressed by the Commission.
Through the Spring Package the Commission analyses the economic and social situation of the Member States in the Country Reports and based on this elaborates the CSRs with action points for the countries to improve their situation. This assessment also builds on the evaluation by the Commission of the medium-term fiscal structural plans or the related annual progress reports. Moreover, the Commission summarises the general trends and makes overarching observations in its chapeau Communication. In the Employment guidelines it focuses on the state of the national labour market. The proposals made in the Spring Package by the Commission have been agreed by the Council on 16th July.
Note:
The Commission has proposed excessive deficit procedures for Belgium, France, Italy, Hungary, Malta, Poland and Slovakia
To conclude, despite some improvements to foster the role of social objectives in the European Semester, like the Social Convergence Framework, and despite underscoring some relevant social matters in the CSRs or in the Country Reports, it is clear that a lot needs to be done for the social component of the Semester to carry the same weight as the macroeconomic one that the Commission systematically prioritises. This approach, which confirms the unfortunate austerity direction that the economic governance has resumed, is not reconcilable with the need for ambitious social and environmental investments needed to carry out a Just transition. A quick U-turn is needed to match the ambitious environmental and social goals of the EU with its macroeconomic framework. The economy must serve the people and the planet, not the other way around. To progress in this direction, the involvement of CSOs in the Semester cycle is pivotal.