PUBLIC PRIVATE PARTNERSHIP TO DEVELOP PERSONAL AND HOUSEHOLD SERVICES 23 rd ESN CONFERENCE - LISBOA

PERSONAL AND HOUSEHOLD SERVICES (PHS) TWO MAIN BRANCHES: -CARE ACTIVITIES (dependant & diseabled people) -NON CARE ACTIVITIES (cleaning, ironing, gardening,…) TWO DIFFERENT POLICIES AND INTERESTS FOR PUBLIC AUTHORITHIES: -SOCIAL (ACCESS) -EMPLOYMENT (JOB CREATION & FIGHT AGAINST BLACK ECONOMY) QUESTION : ONE OR TWO SECTORS ?

OTHER REASONS FOR A PUBLIC INTERVENTION -EXTERNALITIES Autonomy of elderly people Child care and female labour market participation Better work life balance

THE FRENCH EXAMPLE (I) OR IN FRANCE, PHS = ONE SECTOR

THE CENTRAL ELEMENT IS THE PRICE. THE PRICE = 90 % COSTS OF LABOUR. THE REFERENCE PRICE = THE BLACK MARKET PRICE (except for rich people) FOR AN « UNIVERSAL ACCESS », 0 < PRICE < BLACK MARKET PRICE THE DIFFERENCE (between cost of production and the price) IS PAID BY PUBLIC AUTHORITIES. THE NET COST >>> 0 FOR « NON CARE ACTIVITIES », PRICE = BLACK MARKET PRICE THE DIFFERENCE IS PAID BY PUBLIC AUTHORITIES. THE NET COST can be = 0 THE « PUBLIC » HAS A CENTRAL ROLE TO PLAY POSSIBILITY FOR A « PARTNERSHIP » = FINANCIAL SUPPORT

THE FRENCH EXAMPLE (II)

WHICH FORM FOR THIS PPP ? TWO MAIN POSSIBILITIES: -A SUPPORT TO THE SUPPLY -A SUPPORT TO THE DEMAND. TWO MAIN HISTORICAL TRENDS: -CARE = SUPPLY SIDE APPROACH -NON CARE = DEMAND SIDE APPROACH

SUPPLY SIDE APPROACH -« PUBLIC » AS PRODUCER Monopoly Role of public authorities ? A decrease in Europe -GRANTS TO NON-PROFIT ORGANISATIONS Oligopoly PNPP Stable or light decrease Concept of Social services of general interest

DEMAND SIDE APPROACH -SUPPORT GIVEN TO THE CUSTOMER OR BENEFICIARY Several instruments (tax deduction, vouchers, financial supports,…) Opening to profit enterprises Competition & « market » An increase Additional roles for public authorities (quality control, professionnalisation, training….) MIX APPROACH

Examples of public instruments for non-care activities

THE FRENCH SITUATION (III) 23 DIFFERENT SITUATIONS IN TERMS OF FISCALITY, SOCIAL SECURITY AND SUPPORT FUNCTION OF KIND OF PRODUCERS AND ACTIVITIES SUPPLY DEMAND COMMON

ADDITIONAL ROLE FOR THE PUBLIC AUTHORITIES -QUALITY CONTROL ( access to the job, standards, rating,…) -PROFESSIONNALISATION (training, working conditions,…) -NEEDS OF REGULATION : -NEW TECHNOLOGIES (robots,…) -NEW ACTORS (new platforms for cleaning services) THE « PUBLIC » GIVES MONEY BUT ALSO FIXES THE RULES

IMPORTANT CHALLENGES DIFFERENT SOLUTIONS IN MS LACK OF ASSESSMENTS BAD UNDERSTANDING OF COSTS AND RETURNS BUT POSSIBILITIES TO USE THE EUROPEAN SOCIAL FUND FOR INNOVATIVE APPROACHES INTEREST FOR SHARING INFORMATION & EXPERIENCES

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