European Semester 2025: Employment and social priorities
This resolution sets out the European Parliament's priorities for economic and social policy coordination in the EU for 2025. It aims to foster upward social convergence, reduce poverty and social exclusion, and ensure decent working conditions for all citizens. The priorities affect all EU citizens, with a particular focus on vulnerable groups such as children, young people, persons with disabilities, older people, and those from minority backgrounds. It also addresses challenges faced by small and medium-sized enterprises (SMEs) and workers in sectors undergoing transitions. Key changes include a stronger emphasis on implementing the European Pillar of Social Rights, enhanced monitoring of social challenges through the Social Convergence Framework, and calls for increased investment in education, skills, affordable housing, and social services. The resolution highlights the need for Member States to align fiscal responsibility with sustainable and inclusive growth, involving social partners in policy development. It also calls for better data collection on social services and a unified definition of homelessness.
Analysis
The European Semester is a key tool for fostering upward social convergence and monitoring social disparities across Member States.
What changes
- The new EU economic governance framework, effective from April 2024, integrates a social convergence framework into the European Semester for the first time.
- The European Semester will now include reforms and investments in medium-term plans that address common EU priorities and challenges, including social and economic resilience.
Expected impact
- The current trend in poverty and social exclusion is not on track to meet the 2030 target, with nearly half of Member States moving in the opposite direction.
- Demographic challenges, such as an ageing population and low birth rates, negatively affect economic vitality, labour markets, and the sustainability of welfare systems.
- Public investment is expected to increase in 2025, partly due to the Recovery and Resilience Facility, contributing to social spending and securing growth.
Limitations
- The document is a European Parliament resolution and does not contain specific legislative text for direct analysis of legal provisions.
- Detailed quantitative data on the impact of specific policy proposals is not provided within the text.
- The document refers to various reports and communications, but these external documents are not included for analysis.
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