European Social Fund - The Place of The ESF in EU Policies and Strategies

The Place of The ESF in EU Policies and Strategies

The overarching strategy of the European Union is the Lisbon Agenda which aims to make Europe the most dynamic and competitive knowledge-based economy in the world, capable of sustainable economic growth with more and better jobs and greater social cohesion, and respect for the environment, by 2010. The objectives of the Lisbon Agenda shape the priorities of the ESF.

Many EU financial and policy instruments operate in support of the Lisbon Agenda. Among these, Cohesion Policy aims to reduce the economic and social disparities between the countries and regions of the EU. To do this it uses financial resources (Structural Funds) from the EU budget – including the ESF – to support the economic and social development of the less-developed regions.

In the light of the need to increase competitiveness and employment against a background of globalisation and ageing populations, the European Employment Strategy provides a coordinating framework for the Member States to agree common priorities and goals in the field of employment. These common priorities are then taken up in the Employment Guidelines and incorporated into the National Reform Programmes prepared by the individual Member States. ESF funding is deployed by the Member States in support of their National Reform Programmes as well as their National Strategic Reference Frameworks (NSRF) which establish a Member State’s main priorities for spending the EU Structural Funds it receives.

The European Social Agenda also plays a role in shaping the priorities of ESF spending. The Social Agenda seeks to update the ‘European social model’ by modernising labour markets and social protection systems so that workers and businesses can benefit from the opportunities created by international competition, technological advances and changing population patterns while protecting the most vulnerable in society. In addition, the concept of ‘flexicurity’ contributes to current ESF initiatives. Flexicurity can be defined as a policy strategy to enhance the flexibility of labour markets, work organisations and labour relations, on the one hand, and employment security and income security on the other. The term flexicurity encompasses a new approach to employment involving ‘work for life’ rather than the ‘job for life’ model of the past. It encourages workers to take charge of their working lives through lifelong training, adapting to change and mobility.

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