N°02 (5) / 2011 NEXT LEFT: SOCIAL PROGRESS IN 21ST CENTURY Magazine by FEPS - Foundation for European Progressive Studies www.feps-europe.eu/queries About Queries Isaac Newton’s famous book Opticks concludes with a set of “Queries”. These Queries are not questions in the ordinary sense, but rather rhetorical questions intended to stimulate thinking. This was Newton’s mode of explaining “by query”. N°02 (5) / 2011 NEXT LEFT: SOCIAL PROGRESS IN 21ST CENTURY 7 NEXT LEFT: Social Progress in Inside 21st century Ernst STETTER 9 The Amsterdam Process The Renewal of Social Democracy Olaf CRAMME & René CUPERUS 11 Making progress a meaningful concept Alfred GUSENBAUER 16 European social models and the challenge of social cohesion Patrick DIAMOND FRAMING THE CHALLENGE, RE-GAINING CREDIBILITY 22 Anti-Politics, Social Progress and Re-Energizing Citizenship Gerry STOKER 28 When the unexpected happens Ferran PEDRET 37 Back to basics - Reflections on the future of social democracy Josef WEIDENHOLZER FRAMING THE NEW SOCIAL CONTRACT 44 Social investment is in jeopardy Anton HEMERIJCK 52 The Politics of Progress and an The articles presented in this issue of “Queries” have been gathered EU Social Investment Pact by FEPS together with its partners in the project: Policy Network and Wiardi Beckman Stichting in the framework of a common seminar Frank VANDENBROUCKE of the “Next Left” and “Amsterdam Process”, which took place in London, UK in March 2011. They appear therefore simultaneously in 58 Priorities for a social investment “Queries” and “Amsterdam Papers”. welfare state Bruno PALIER 62 Economic competence and the social investment state Anke HASSEL 4 66 FEPS YAN Paper Work and Welfare Lorenza ANTONUCCI, Rémi BAZILLIER, Johan DAVIDSSON, Stijn VAN “Queries” is the scientific magazine of the Foundation for European Progressive Studies. HUMMELEN & Pim PAULUSMA The Foundation for European Progressive Studies is a European progressive political foundation, close to the Party of European Socialists (PES). As a platform for ideas, FEPS works in a close UNDERSTANDING MODERN collaboration with social democratic organizations, and in particular WORKPLACE national foundations and think tanks, to tackle the challenges that Europe faces today. 78 Changes in the world of work Publisher: FEPS – Foundation for European Progressive Studies First published in Belgium 2011 Alan MANNING Publishing supervisor: Dr. Ernst Stetter (Secretary General – FEPS) Managing Editor of Queries: Dr. Ania Skrzypek (Policy Advisor – FEPS) 84 Delivering on valid labour market Editorial cooperation: Michael McTernan, Senior editorial and policies communications manager – Policy Network Werner EICHHORST With the financial support of the European Parliament. FEPS Team 90 Hidden depression at the Massimo D’Alema workplace President Dr. Ernst Stetter Frans BECKER & Pim PAULUSMA Secretary General Dr. Ania Skrzypek 100 The workplace and industrial Policy Advisor democracy in the post-crisis age Dr. Matthieu Méaulle Hannah JAMESON Economic Advisor Charlotte Billingham Executive Secretary REALISING INTERGENERATIONAL Judit Tánczos SOLIDARITY Policy Advisor Yolanda Fernandez-Romero 108 Allying generations and Junior Policy Advisor David Kitching modernising social protection Junior Policy Advisor Karen ANDERSON Gaston Simon Financial Advisor 112 The 21st century pension dilemma Alain Bloëdt David NATALI Communication Advisor Alice Rosmi 119 Generational justice and social Events Organiser trust in an ageing society Designed by: Ogilvy Belgium Anna HEDBORG Copyright © FEPS – Foundation for European Progressive Studies ISSN 2032-9113 125 Generational equity and the This magazine is published subject to the condition that it shall not smoke screen of National by way of trade or otherwise be lent, resold, hired out, or otherwise Accounts circulated without the publishers’ prior consent in writing in any form of binding or cover other than that in which it is published and without a Thomas LINDH similar condition being imposed on the subsequent purchaser. The articles collected in the magazine reflect only the individual observations of the respective authors. FEPS Rue Montoyer 40, 1000 Brussels, Belgium Phone + 32 2 234 69 00, Fax + 32 2 280 03 83 [email protected] www.feps-europe.eu 5 Next Left: Social Progress in 21st century 6 foreword Dr. Ernst STETTER FEPS Secretary General Social democracy was created as a movement to emancipate the working classes. Its mission is still to realize empowerment through the improvement of working and living conditions on the one hand, and lib- eration from the capitalist rule by fostering industrial democracy on the other. Fulfilment of these goals in the spirit of social justice is necessary to ensure sustainable development of the entire society, bringing wealth and prosperity for all. Over a century and a half later progressives have little to celebrate, though their agenda has proven to be a historically adequate one. The recent global crisis, recognized widely as a predicament of a model of globali- zation driven by neo-liberal rules, shook the foundations of the world order. This period was characterized by very soft and unsustainable growth, resulting from increasing inequalities (notably on income distribution). The erosion of the welfare state has become more rapid under the pressure of austerity measures on one side, and by uncontrolled casino capitalism on the other. Thus, the core economic thinking of social democracy has been harshly challenged. It is no longer a rhetorical or philosophical question as to whether the move- ment can survive. It is high time to see it as a real question – and respond to it by indicating the NEXT mission for social democrats in the 21st century. In the previous issues of “Queries”, FEPS had been highlighting the ideas that should become an integral part of the modern vision: the NEXT project for Europe as envisaged by the FEPS Young Academics; the NEXT wave of emancipation as proposed throughout FEPS transatlantic exchange on gender equality; the NEXT ideological challenges as indicated in the final book of Tony Judt; and last but not least, the NEXT global deal seen from the perspective of academics and politicians from Europe, the Americas and Asia. This 5 issue is a logical consequence of the reflections of scholars who gathered under the umbrella of the FEPS Next Left - Policy Network & Wiardi Beckman Stichting “Amsterdam Process”, and represents the pro- posal for the NEXT social policy agenda. 7 This is an extremely vital question for European social democracy and can be key to respond to the most profound social anxieties across the continent. These anxieties are expressed by people through scepticism towards Europe, scepticism towards politics and hence democracy and scepticism towards progressivism and change. True renewal of social democracy will never be successful and complete, unless all these three scep- ticisms and the underlying fears of people are seriously tackled. European polling data shows that this scepticism manifests itself most clearly in a popular opinion that the next generation will have to live in worse circumstances and will enjoy fewer opportunities than their predecessors. It is not hard to explain where this point of view originates. European integration is suffering from a backlash, which manifests itself in a retreat to inter-governmentalism. The widespread fear that after the streets of Athens and Madrid, the streets of Lisbon, Dublin and Rome will be next – makes politicians withdraw to what they mistakenly take for a comfortable haven of national level policies. Though they all must realize that in an era of globalization there is no possibility for one state alone to solve economic and social problems of their respective society, the current heads of government show in a significant majority that they still prefer to opt for a Europe of states rather than for a strong, socially cohesive and economically empowered Europe which is ready to take action. To contradict this destructive trend, progressive analyses must come up with an alternative and credible vision that would have the potential to show that social pro- gress across the continent is still possible to ensure. This discussion touches upon the most profound questions of social democracy in the light of the criti- cisms that the concept of the welfare state is anachronistic and not financially feasible; that it only solves part of the problem, but also creates many new ones. The debate on rights and duties must be put in the con- text of a modern understanding of solidarity and social justice and help us to overcome trends that lead to further individualization and “consumerization” of our societies. The concept of a shared society should be re-discussed to ensure that struggling for preservation of the principle of universalism does not stand in opposition to accelerating quality and quantity of public services for those who need them. The articles in this issue of “Queries” reflect the threads which emerged in the main debate and show clearly that this is just a modest beginning of the NEXT great debate to define the steps for the true renewal of social democracy. They draw on the conference organised by FEPS – Policy Network & Wiardi Beckman Stichting on “Social Progress in the 21st century” in London in March 2011 8 the Amsterdam Process the Renewal of Social Democracy By Dr. Olaf CRAMME & Dr. René CUPERUS Across Europe social democratic opposition parties are involved in a delicate process of revisionism. United in their attempt to reconnect with the electorate and position themselves as credible alternatives once again, all must confront weighty questions about the governing purpose of the European centre-left in the 21st century. In the UK, party reorganisation is at the top of Labour’s agenda, and central to its ongoing policy review. After the intellectual exhaustion of 13 years in power, “Blue Labour” has emerged as the latest rhetorical trend- setter, though it is unclear whether this merely brings home the extent of the political challenge ahead. Opinions diverge as the search for viable answers to pressing social and economic questions continues.