 Background – The European Social Model – Trends and challenges  The purpose of the study  Methodology  Our hypothesis  What’s next?

 The “European Social Model”  The Continental model  The Anglo-Saxon model  The Nordic model  The Mediterranean model  The Central and Eastern European Model

 Predominant role of welfare state in providing public goods is distinctive feature  Public sector and social public spending are larger than in other world regions  Belief that high quality public services should be accessible to all for the fulfilment of fundamental rights  However, variations of this model exist in Europe

 Social insurance system financed by contributions from employers, employees and taxation  Redistributive function of welfare state relatively low  High level of protection of workers  Expensive labour force  High level of unemployment

 Universal principles – NHS -High public spending  Relatively large social assistance functions as safety net of last resort  Cash transfers primarily orientated to people of working age  Activation measures are important e.g. training schemes leading to employment

 Significant role of the state  High level of taxation  High level of female employment  Social system financed from tax revenues  Flexicurity  Welfare system highly dependent on full employment and social safety nets & strong incentives to work.  Emphasis on education  Decentralisation of education and health care

 Strong job protection, weak unemployment benefits, low work force flexibility  Strong unions  Public spending concentrated on pensions  Role of non-structural factors in social protection  Social services are largely financed through employees payments  Regional inequalities

 Communist past of collectivist welfare state – welfare rights linked to employment  Income equality was high and welfare benefits generous  Tax rates low - often ‘flat’ income tax rates  Collection from personal income taxes low  Depend on social security contributions to tax wages  Social spending is predominantly financed through social security contributions levied on wages  Low unemployment benefits

 Globalization  The transition to a knowledge based economy  The ageing population  Changing values and the family model  Migration

 Intensifying competition for markets round the world  Threats and opportunities  Fears Europe will not be able to afford the luxury of strong welfare measures in a more competitive environment  Globalization accentuates internally driven trends, transition to a knowledge-based economy, geographic income inequalities, mass migration

 Will require significant adaptation  Requires cognitive, personal and IT skills  Capital has become mobile  Regional inequalities increased  Increased job insecurity  Shrinking working age population will mean reduction of total employment  Education vital for integration into new economy

 Major shift in balance between active and retired population  Increase in life expectancy – pressure on public spending on pensions and health care  Fall in fertility rate

 Changing role of women = gender employment gap narrowing  Low fertility rates  Economic pressures keeping fertility rates low  More individualistic societies – traditional conformity of family rejected  More mobility  Family structure less strong

 On the increase  Making European societies more diverse, multiethnic and multi-religious  Integration and participation essential  Will be necessary to make up for shrinking working population

 Platform for sharing service providers’ common challenges and experiences in a changing social Europe  Develop our understanding of challenges as faith- based organisations  Start discussion on how in a European level, Eurodiaconia can be of service to its members  Eurodiaconia’s role – facilitate networking and communication between its members

 Qualitative interviews  Interview about 8-10 members  Questions seek answers regarding 1) Reality of national/local Diaconal setting 2) The challenges members are facing 3) Future implications for Eurodiaconia and its members  Followed by analysis, interpretation, conclusions and recommendations

 European diaconal services – increasingly independent from the state  Pressure of providers of social and health care to sustain and develop services  Needs to protect socially excluded will increase  Provision of social security will be increasingly privatized and charity based

 Conclusions and recommendations will be made on the basis of the findings  Main and significant findings will be discussed in various working groups and the 2008 AGM