Inequalities in the European Semester

Policy Study

Since its inception, the European Semester has attracted interest in its effects on EU’s social outcomes. Nevertheless, the Semester is devoid of a framework to monitor socio-economic inequalities within member states.

In this study, Lorenza Antonucci and Francesco Corti propose a new framework to address the current Semester’s limitations by: considering the rising socio-economic insecurity of the European lower-middle classes; connecting the social and economic aspects of the Semester; exploiting the redistributive effects of taxation.

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As European Semester will play a key role in the implementation of such Recovery Plans, it becomes essential to push forward the revision process of this fundamental coordination tool and transform it into a useful instrument able to grasp the changes affecting vital aspects of our daily life: health, education and work.

Accordingly, they develop a set of 9 recommendations for a new Semester that truly tackles inequalities. The key recommendation is to start monitoring inequalities. Currently, there is a focus on absolute poverty and little information about the trends affecting the European middle class. The indices of the Semester must be upgraded; monitoring work precarity, households’ financial insecurities and access to key services like child and elderly care have to be part of the European toolkit for the coordination of the recovery.

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Executive summary

This study was carried out by FEPS in partnership with SOLIDAR, Kalevi Sorsa Foundation, Fondazione Pietro Nenni and Društva Progresiva.

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