Energy crisis heightens risk of poverty and social exclusion: EU Commissioner Minzatu • FRANCE 24

Key Concepts

• Anti-Poverty Strategy: A framework designed to act as a "shield" against social exclusion and poverty, exacerbated by energy and geopolitical crises.
• European Semester: A policy coordination framework used to assess member states' budgetary, fiscal, and social policies.
• Union of Skills: A strategic approach to improve basic education (math, science, digital literacy) and facilitate the portability of qualifications across the EU.
• Quality Jobs Act: A proposed legislative and guidance package aimed at regulating algorithmic management, subcontracting chains, and workplace health/safety (including climate and psychosocial risks).
• Algorithmic Management: The use of software and algorithms to manage, monitor, and evaluate employees, necessitating new social protections.

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1. Anti-Poverty Strategy and Economic Context

Roxana Mînzatu, Executive Vice President of the European Commission, highlights that 93 million Europeans (one in five) are currently at risk of poverty or social exclusion.

• Drivers of Risk: The strategy acknowledges that these figures are dynamic, influenced by the energy crisis, the war in Ukraine, and the Middle East crisis.
• Fiscal Policy: When asked about relaxing the Stability and Growth Pact to provide relief to households, Mînzatu emphasized the European Semester as the primary tool. She argues that this mechanism allows the EU to monitor social costs and fiscal trajectories without infringing on member states' competencies, linking budgetary assessments to EU funding.

2. Education and the "Union of Skills"

A significant portion of the discussion focused on the decline in educational outcomes, with one in three teenagers failing in basic math and one in four in science.

• Causality: While not establishing direct causality, Mînzatu identified the COVID-19 pandemic as a turning point where educational results began to deteriorate.
• Strategic Response: The "Union of Skills" aims to address these gaps by focusing on STEM, critical thinking, and AI literacy.
• Skills Portability: To combat labor market fragmentation, the Commission plans to propose a Skills Portability Initiative in September. This initiative aims to create equivalence and trust between different national degrees and diplomas, allowing for greater labor mobility across the EU.

3. The Quality Jobs Act

The Commission is currently consulting with trade unions and employers regarding the upcoming Quality Jobs Act.

• Core Objectives:
  1. Algorithmic Management: Establishing protections for workers managed by algorithms to ensure social rights are preserved.
  2. Subcontracting Chains: Addressing precarious conditions in sectors where workers are employed by the final link in a long chain of subcontractors, often leading to unpaid social contributions and lack of insurance.
  3. Health and Safety: Expanding traditional safety standards to include climate-related hazards (for outdoor workers) and psychosocial risks (stemming from increased online/remote work).
• Stakeholder Perspectives: Trade unions are pushing for more binding legislation, while employers prefer guidance. The Commission aims to finalize a proposal by December.

4. Geopolitical and Regional Perspectives

Addressing concerns regarding a potential Euroskeptic shift in Southeastern Europe (specifically Romania and Bulgaria), Mînzatu maintained a positive outlook.

• Argument: She asserts that the pro-European sentiment in these regions is deeply rooted in the tangible improvements in living standards, infrastructure, and income provided by EU membership.
• Policy Connection: She argues that to maintain this support, EU policymakers must remain "connected to the real concerns of citizens," specifically regarding the cost of living and taxation, rather than focusing solely on high-level geopolitical rhetoric.

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Synthesis and Conclusion

The interview underscores a shift in the European Commission’s focus toward balancing competitiveness with social resilience. By integrating the "Union of Skills" to address human capital deficits and the "Quality Jobs Act" to modernize labor protections against digital and climate-related threats, the Commission is attempting to create a more cohesive social framework. Mînzatu’s approach relies on utilizing existing tools like the European Semester to bridge the gap between national fiscal constraints and the urgent need to protect vulnerable populations, emphasizing that quality jobs are a fundamental component of long-term European economic strength.