EU Policies

Even though much still needs to be done to raise the awareness of EU decision-makers in different institutions on the contribution of social economy to society and its added value, a few initiatives were already taken to support a different approach to entrepreneurship and local partnerships with social economy enterprises.

At the European Commission, it is above all DG Enterprise and Industry (Unit Crafts, small businesses, cooperatives and mutuals) and DG Employment, Social Affairs and Equal Opportunities that deal with issues related to social economy.

Several seminars and conferences were organized and studies launched.

In its Communication "A budget for Europe 2020 - Part II: Policy fiches", adopted in the end of June 2011, the European Commission stressed its willingness to support social economy, amongst other enterprises, in the framework of a specific integrated programme for employment, social policy and inclusion.

In the Communication "Single Market Act - Twelve levers to boost growth and strengthen confidence", adopted in April 2011 and aiming to present a number of concrete proposals for action to shape the future of the Single Market while promoting economic, social and territorial cohesion in the EU, the European Commission included a specific heading on "Social Entrepreneurship". The actions proposed include:

  • creation of a European legislative framework facilitating the development of social investment funds (scheduled for the end of 2011);
  • follow-up of the Statute for the European Cooperative Society;
  • Proposal for a Regulation establishing a European Foundation Statute;
  • Proposal of a "Social Business Initiative" (scheduled for the third quarter of 2011);
  • Communication on Corporate Social Responsibility (CSR) (scheduled for 2011).

In 2009, a call for proposal regarding the establishment of satellite accounts for cooperatives and mutuals at European and national level was published.

Another initiative, which proved of great importance for social economy all over Europe, represented the EQUAL programme. Financed through the European Social Fund and concluded in 2008, this programme lent support to projects fighting discrimination and social exclusion. EQUAL contained a specific strand on business creation and social economy.

In 2002, the European Commission tabled, together with proposals for accompanying directives on employees’ involvement:

  • a proposal for a Council Regulation on the Statute for a European Cooperative Society;
  • a proposal for a Council Regulation on the Statute for a European Mutual and
  • a proposal for a Council Regulation on the Statute for a European Association.

The Council , in 2003, adopted the Statute for a European Cooperative Society. The other proposals and related directives were withdrawn by the European Commission in 2006, as the legislative process did not progress.

The European Parliament recognized the social economy and called for its support in a number of reports, such as the European Parliament resolution on the Financial, Economic and Social crisis (6 July 2011), the European Parliament resolution on the Future of Social Services of General Interest (5 July 2011), the European Parliament resolution on a Single Market for Enterprises and Growth (6 April 2011), the European Parliament resolution on a Single Market for Europeans or the European Parliament resolution on Unlocking the Potential of Cultural and Creative Industries (12 May 2011).
A report "Towards the statute of the European Cooperative Society with regard to employee participation" is currently being prepared by rapporteur Sven Giegold (Greens, D).

In February 2009, the European Parliament had responded to requests to better integrate social economy in EU policies and strategies by adopting an own initiative report, the Toia report.

Apart from advocating a better recognition of social economy at local, national and European level and the creation of a level playing field with other enterprises, the report also endorses the promotion of local partnerships. In article 21, for example, it recommends that “Member State support of social economy enterprises should be interpreted as a genuine investment in creating solidarity networks that can strengthen the role of local communities and authorities in developing social policies”. Moreover, article 22 stipulates that “(…) most social problems should be approached through local solutions, in order to deal with practical situations and problems; (…) in order to be effective, such action requires strict rules on coordination, which means a high level of cooperation between public authorities and social economy enterprises.”

Much now depends on the willingness of the European Commission to integrate the proposals made in its own working programme and related initiatives. The European Parliament's Social Economy Intergroup, which had first been established in 1990, provides a follow-up of the Toia report and stimulates the work of the European Parliament in the area of social economy. It facilitates cooperation of different members of the Parliament (MEPs), coming from different political groups, on social economy and acts as a driving engine of important policy initiatives such as the aforementioned Toia report on Social Economy. In addition, it provides an important platform of exchange between MEPs and civil society.

The social economy intergroup works closely together with the newly created intergroup "Public Services/Social Services of General Interest (SSGI)" that is also sensitive to issues regarding the social economy (however, attention: social economy does not only include SSGI, but produces also other goods and services; not all providers of SSGI are social economy operators - social economy can therefore not be set equal with SSGI!). Several joint hearings were organized.

Also the consultative bodies of the European Union have become active with regard to social economy:

In 2008, during the European conference "Key factors of success in promoting social cohesion: Contribution of partnerships between local authorities and organisations of social interest", organized by REVES, Luc Van den Brande, at that time President of the Committee of the Regions, highlighted, in his opening speech, the importance of partnerships between local/regional authorities and social economy and possible actions in the future.

In 2002, the Committee of the Regions had adopted an opinion on “Partnerships between local and regional authorities and social economy organisations: contribution to employment, local development and social cohesion”. It further reiterated its point of view and commitment in the Declaration of Prague (2002) and the Declaration of Krakow (2004).

The European Economic and Social Committee established a specific social economy category.
It called for a level-playing field, support and non-discrimination of social economy enterprises in several opinions, such as the Opinion on the communication of the European Commission "Towards a Single Market Act..." (2011), the Opinion on the European Foundation Statute (2010), the Opinion "What role and perspectives for Africa's social economy in development cooperation" (2010) or "Diverse forms of enterprise" (2009), to name just a few.

An EESC opinion on Social Entrepreneurship in Europe, to be adopted in autumn 2011, is currently being prepared by rapporteur Ariane Rodert (SE).