Extracts from the press conference by László Andor on the 2012 edition of the Employment and Social Developments in Europe Review

Type: Summary of press conference   Reference: I-075778   Duration: 10:04:05  Lieu:
End production: 08/01/2013   First transmission: 08/01/2013
On 8 January 2013, László Andor, Member of the EC in charge of Employment, Social Affairs and Inclusion, presented the 2012 edition of the Employment and Social Developments in Europe Review. After five years of economic crisis and the return of a recession in 2012, unemployment is hitting new peaks not seen for almost twenty years, household incomes have declined and the risk of poverty or exclusion is on the rise, especially in Member States in Southern and Eastern Europe, according to the Employment and Social Developments in Europe Review. The impact of the crisis on the social situation has now become more acute as the initial protective effects of lower tax receipts and higher levels of spending on social benefits (so-called "automatic stabilisers") have weakened. A new divide is emerging between countries that seem trapped in a downward spiral of falling output, fast rising unemployment and eroding disposable incomes and those that have so far shown good or at least some resilience. The latter tend to have better-functioning labour markets and more robust welfare systems.

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TIME DESCRIPTION DURATION
10:00:00 Title 00:00:05
10:00:05 General views of press conference (2 shots) 00:00:08
10:00:13 SOUNDBITE by László Andor, Member of the EC in charge of Employment, Social Affairs and Inclusion, (in ENGLISH) saying that we are experiencing the consequences of financial and economic crisis and the recession; as a result of that, unemployment in the EU has reached levels not experienced in nearly two decades and the social situation is also deteriorating. 00:00:20
10:00:34 Cutaways of the audience (2 shots) 00:00:06
10:00:41 SOUNDBITE by László Andor (in ENGLISH) saying that this review also shows why the European social situation is so worrying; it is because household incomes have declined and the risk of poverty or exclusion is constantly growing in the EU; some population groups are affected more than others: young adults, unemployed women and single mothers are among those facing the highest risks of persistent poverty. 00:00:37
10:01:18 Cutaway of the audience 00:00:04
10:01:23 SOUNDBITE by László Andor (in ENGLISH) saying that, first, the review shows that, after a few years of persistent crisis, most national welfare systems have lost much of their ability to protect household incomes against the effects of the crisis; the cushion of lower tax receipts and higher spending on social benefits, so-called 'automatic stabilisers', has gone flat as national fiscal policies have lost room for manoeuvre. 00:00:29
10:01:53 Cutaway of the audience 00:00:05
10:01:58 SOUNDBITE by László Andor (in ENGLISH) saying that, second, the review confirms that the incidence of long-term unemployment varies widely between Member States, and that long term unemployment reflects the importance of skill levels; people need the right skills for the right jobs; the review's analysis shows in particular that in some countries, notably in Southern and Eastern Europe, the match between skills and jobs is bad and has worsened; to reduce the skills mismatch, countries need to invest more efficiently in education and training, spend better on active labour market policies and support the creation of high skilled jobs in growth sectors such as the green economy, ICT and the healthcare sector. 00:00:49
10:02:47 Cutaway of the audience 00:00:04
10:02:51 SOUNDBITE by László Andor (in ENGLISH) saying that, on the positive side, the review shows that improvements in the design of welfare systems can increase Member States' resilience to economic shocks and facilitate faster exit from the crisis; it means that Member States need to continue to reform their labour markets and social protection systems; the EC set out an agenda for job creation and balanced labour market reform in the April 2012 Employment Package, and he will shortly present a Social Investment Package for Growth and Cohesion to address the growing risks of poverty and social exclusion. 00:00:36
10:03:28 Cutaways of the audience (2 shots) 00:00:08
10:03:36 SOUNDBITE by László Andor (in ENGLISH) saying that there have been very important steps made concerning how to manage the Greek dept and how to boost investments in Greece; so he hopes that, all together, with a better and faster use of the EU structural funds and particularly the EU social fund, 2013 could also be a turning point for Greece. 00:00:28
10:04:05 László Andor leaving (2 shots) 00:00:08
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