The European Social Fund Plus (ESF+) is a financial instrument of the European Union (EU) to improve employment and educational opportunities as well as economic and social cohesion in the European Union. The EU Commission is now proposing adjustments to focus this instrument more on current geopolitical, economic and social challenges. For this purpose, the Commission published one on April 1 Prescription proposal. The Federal Council’s EU Committee discussed the proposal today, with skepticism clearly outweighing. On the part of the Ministry of Social Affairs, it was said that the realignment of the funds of the fund was primarily in the interest of the eastern EU member states. Austria sees no reason to change its already defined priorities.
ESF+ is to be geared more at interests of eastern Member States
In a first statement, the expert’s expert stated that the regulation proposal aimed to add two new priorities to the social fund. Funds from the European Social Fund Plus (ESF+) are to be switched to new priorities within the ongoing programs 2021-2027. On the one hand, it is about the targeted support of the defense industry and support for strategic autonomy, and on the other hand about measures to promote decarbonization and qualification measures to adapt to climate change. Incorrect in the form of increased co -finance and pre -financing, incentives are planned for such a realignment of the Member States programs. A special focus should be on the support of Eastern EU member states.
The Lower Austrian FPÖ Federal Councilor Michael Bernard asked what the regulation proposal for the funds of the fund would mean, and what changes would be financially for Austria and the eastern EU member states.
Stefan Schennach (SPÖ/W) was critical of a realignment of the social fund, which was a “heart” of the EU co-cale policy, and for good reason for the focus on social affairs. He basically rejected a replacement of the funds that would mean cuts in social policy. In his view, that would be an enormous step backwards in European cohesion policy. He also sees a huge administrative effort on the Member States.
The Vienna Federal Council of the Greens, Marco Schreuder, joined this criticism. He also saw the “overload” of the fund with tasks that do not correspond to its original goal, the risk that the original purpose would be lost. He understands that the Commission wanted to use the fund to invalidate the accusation that the EU reacts too slowly to new challenges. In principle, however, he believes that it would make more sense if the EU would set up new financial instruments in order to implement new priorities.
The Vienna Neos Federal Councilor Manuela-Anna Sumah-Vospernik also said that it was important that shifting the fund does not go at the expense of the area. She wanted to know how Austria could use the new EU proposal to promote decarbonization and green economy.
Ferdinand Tiefnig (ÖVP/OÖ) asked the proposal from the other Member States. He understands that the eastern EU members had so far been part of the disadvantage when allocating funds from the ESF. However, he also sees it quite critically if the fund should now be used for new purposes.
Ministry of Social Affairs: Austria wants to implement its programs as planned
The Federal Ministry of Social Affairs said Federal Councilor Bernard that no additional funds should be provided. Rather, it is thought of a replacement of the existing ESF+allocations. The proposed realignment takes into account the interests of the eastern EU member states with border regions to Belarus, Russia and Ukraine. For them, there should also be special incentives for a realignment, such as higher pre-financing or full EU financing of projects. The proposal therefore strongly reflects the interests of these EU countries, the expert told the Federal Council.
From the point of view of the department, the skepticism expressed by the Federal Councilor Schennach and Schreuder and the criticism of overloading the fund can certainly understand them from the point of view. The prescription proposal was looked closely at and stand at the point of view that Austria had already taken a very well -considered path for the use of the funds. Supporting the joint defense effort was not in the sights, but the funds of the EU social fund are to be used for areas such as fighting poverty and qualification.
A realignment of the agreed programs would also require extensive domestic negotiations with ministries and federal states, the assigned ESF funds are already planned and implemented. The programs were therefore to be continued as agreed with the federal states. The result was also to the conclusion that a realignment would result in a high administrative effort for the authorities and that implementation would slow down as a whole, said the ministry expert. However, no expectations have been brought to Austria to change anything about its programs. The support of qualification measures in the field of decarbonization and green transformation has already been planned in the Austrian program implementation, the expert said in the direction of Federal Councilor Sumah-Vospernik. (Continued EU Committee of the Federal Council) Sox