CELEX: 51988PC0826
Language: en
Date: 1988-12-22
Title: Proposal for a COUNCIL DECISION ESTABLISHING A MEDIUM-TERM COMMUNITY ACTION PROGRAMME TO FOSTER THE ECONOMIC AND SOCIAL INTEGRATION OF THE LEAST PRIVILEGED GROUPS (communication from the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (88) 826
Vol. 1988/0271
 ---pagebreak--- Disclaimer
Conformément au règlement (CEE, Euratom) n° 354/83 du Conseil du 1er février 1983 concernant
l'ouverture au public des archives historiques de la Communauté économique européenne et de
la Communauté européenne de l'énergie atomique (JO L 43 du 15.2.1983, p. 1) modifié en dernier
lieu par le règlement (UE) 2015/496 du Conseil du 17 mars 2015 (JO L79 du 25. 3.2015, p. 1), ce
dossier est ouvert au public. Le cas échéant, les documents classifiés présents dans ce dossier
ont été déclassifiés conformément à l'article 5 dudit règlement ou sont considérés déclassifiés
conformément aux articles 26(3) et 59(2) de la décision (UE, Euratom) 2015/444 de la
Commission du 13 mars 2015 concernant les règles de sécurité aux fins de la protection des
informations classifiées de l'Union européenne.
In accordance with Council Regulation (EEC, Euratom) No 354/83 of 1 February 1983 concerning
the opening to the public of the historical archives of the European Economic Community and the
European Atomic Energy Community (OJ L 43, 15.2.1983, p. 1), as last amended by Council
Regulation (EU) 2015/496 of 17 March 2015 (OJ L 79, 27.3.2015, p. 1), this file is open to the
public. Where necessary, classified documents in this file have been declassified in conformity
with Article 5 of the aforementioned regulation or are considered declassified in conformity with
Articles (26.3) and 59(2) of the Commission Decision (EU, Euratom) 2015/444 of 13 March 2015
on the security rules for protecting EU classified information.
In Übereinstimmung mit der Verordnung (EWG, Euratom) Nr. 354/83 des Rates vom 1. Februar
1983 über die Freigabe der historischen Archive der Europäischen Wirtschaftsgemeinschaft und
der Europäischen Atomgemeinschaft (ABI. L 43 vom 15.2.1983, S. 1), zuletzt geändert durch die
Verordnung (EU) Nr. 2015/496 vom 17. März 2015 (ABI. L 79 vom 25.3.2015, S. 1), ist dieser Akt
der Öffentlichkeit zugänglich. Soweit erforderlich, wurden die Verschlusssachen in diesem Akt in
Übereinstimmung mit Artikel 5 der genannten Verordnung freigegeben; beziehungsweise werden
sie auf Grundlage von Artikel 26(3) und 59(2) der Entscheidung der Kommission (EU, Euratom)
2015/444 vom      13.   März 2015     über die   Sicherheitsvorschriften für den Schutz von  EU-
Verschlusssachen als herabgestuft angesehen.
 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                              COM ( 88 ) 826 final
                                              Brussels , 22 December 1988
                          Proposai for a
                         COUNCIL DECISION
      ESTABLISHING A MEDIUM-TERM COMMUNITY ACTION PROGRAMME
          TO FOSTER THE ECONOMIC AND SOCIAL INTEGRATION
                 OF THE LEAST PRIVILEGED GROUPS
                ( communication from the Commission )
                             CT?     ^ r-5    r?
                                      %
                                   (P ^
                                    % \C r<*
                                          v::
                                     ^ Vl  ÀT
 ---pagebreak---                     OCMMESSION CCMMUNICATTQN TO THE COUNCIL
                       QN A MEDIUM-TERM ACTION PROGRAMME
              TO POSTER THE ECONOMIC AND SOCIAL INTEGRATION OF THE
                            LEAST PRIVILEGED GROUPS
                                  Introduction
The CaramunitY has long expressed concern regarding the problem of poverty .
A first Community programme to combat poverty was initiated in 1975 .
Specific action1 was authorized for four years ( 1985-88) by the Decision
of 19 December 1984 , which was subsequently amended to take account of the
accession of Spain and Portugal . In all , the second programme mobilized a
total of 29 million ECU .
Community action to combat poverty is , however , not restricted to these
specific programmes . Special food aid ■                    measures were
taken in the winter of 1986/ 87 and have been renewed since .   Various
measures aimed at groups of the population with specific disadvantages
 (e.g. long-term unemployment , illiteracy) are financed out of special
budgets or through the structural Funds . The latter do not , however ,
necessarily really target deprived persons , who tend to be afflicted- by a
combination of problems .
Although Community action takes many forms it is nonetheless specific and
 progress reports to date show that the original approach (financing of
 action research projects , dissemination and exchange of knowledge , transfer
 of innovative methods ) has proved effective compared with national and
 regional measures .
 Despite efforts initiated at various levels , the phenomenon of poverty is
 not disappearing at Community level , quite the contrary . Moreover ,
 structural changes have occurred in recent years : the same population
 groups are not the most affected , and the traditional forms of poverty have
 been augmented by new processes which are rightly termed the " new poverty " .
  1 This is usually known as the second Community programme to combat
    poverty .
 ---pagebreak---                                    - 2 -
The scale of current and forthcoming economic and social changes , the large
number of deprived persons placed in. a difficult if not dramatic situation
and the positive aspects of action tahen in the past at Cornnrunity level
justify launching the present programme . This programme will cover the
period 1939-93 and will prolong and intensify previous action.; with
greater budgetary resources and special organization it will also help to
ensure overall consistency of Community action in this field . It should
also be pointed out that this programme will help to reinforce economic and
social cohesion in the Community .
There follows a description of the present situation , an analysis of the
lessens to be learned from the jest and a presentation of the underlying
principles and organizational features of the programme .
 ---pagebreak---                                        - 3 -
1.  FEATURES OF THE PRESENT SITUATION
1.1 Since 1982 the sustained and durable economic growth in the
    Community has contributed to alleviating the poverty problem . As
    a matter of fact in the years 1982-1987 growth remained oa ' rn.-.
    upward path of 2,5 - 3,0 % p.a . In 1988 growth at a rate of 3 1 / 2'
    % is likely to be the strongest since the end of the 1970s ,                     the
    increase in investment will probably be the highest for over two
    decades and employment is rising at a rate of around one percent
    a   year .   According     to   the Annual     Economic     Report    1988 / 89  the
    Comnunity 's strategy of completing the internal market , fostering
    the catching-up process of backward areas and implementing the
    Cooperative       Growth      Strategy      provides     the     opportunity      of
    maintaining a growth path of the order of 3 1 / 2 % per year .
    Thus employment could increase at a rate of around 1 1 / 2 % a year
    which would      be   sufficient     for unemployment     to decline     each year
    by one percentage point of the labour force .
1.2 Despite the favorable          macro-economic developments the number of
    the poor has still            increased over the last decade in most
    Community countries .         Although the difficulty of measuring and
    establishing a common          definition of poverty has not been solved
    there is some evidence            that the number      of persons depended on
    social assistance has            increased since       the early 1970s ;        this
    number may have doubled in several Member States . Of course , one
    factor having influenced statistical data in this area has been
    an    increase      of   soc i al protection     measures      and   therebv     the
    achievement of a larger social coverage . Nevertheless the basic trend
     is still an increase in the number of poor .
    The impossibility of establishing a single measurement to facilitate
    comparison at Community level is due to the multi-faceted and relative
    nature of poverty . The definition adopted in the Council Decisions f
    19 December 1964 concerning the second programme states : “ the poor shall
    be taken to mean persons , families and groups of persons whose resources
    (material , cultural and social ) are so limited as to exclude than from the
    minimum acceptable way of life In the Member State in which they live " .
     This definition , however, is not operational for it does not contain any
     procedure for quantification . According to the definition adopted in the fina «.
     report on the first programme ..*! the 12 current Member States counted, in 1975 ,
     approximately 38 million persons disposing of an income less
     than half of the average, equivalent .per capita income in their country . This total
     exceeded 44 million in 1985 (see second interim report on the second
    programme . 1966)?.   These figures are only indicative :    they show that in
     each country there are inequalities in income , but depending on the
     country , they refer to               widely differing situations of poverty or
     lnsecurity .
     Therefore this approach needs to be supplemented by other qualitative and
     quantitative data showing the situations of isolation , loss of independence
     and tvikirg account of the fact that a          part of this population cannot take
     advantage of      its rights , has no stable home and by its nature is
     overlooked by the statistical survey.
       The definition adopted for the final report w?s as follows :
     1 Regarded as poor are those person?. whose disposable, iacorae is less than half of tn«
       average equivalent per capita income in their country .
     2 C0M(88)621 final .
 ---pagebreak---                                      - 4 -
1.3 .  There is no doubt that the number Of the poor as defined above has increased
 considerably in the EEC in the 1970s and the 1980s , but
the qualitative changes are equally important : the nature and determinents
of poverty have radically altered .
Although the elderly still constitute the largest category of beneficiaries
of social assistance , the number of the poor in unemployment has risen
sharply . Other groups have also increased markedly : they comprise in
particular persons belonging to one parent families (mainly those where the
women is head of household) and low wage-earners .
1.4 . Although the living conditions for the poor are always the same -
lack of resources , social exclusion , isolation etc . it is now possible to
distinguish traditional forms of poverty from the new poverty . The
Justification for this term , sometimes contested , is twofold :
- quantitatively , because the phenomenon touches much broader strata cf the
   population than previously in terms of numbers , age groups , sex , social
   and economic categories , ethnic origin or geographical location ;
- qualitatively , because it is not confined to small minorities or well
   defined geographical areas , but can be a threat to persons in stable
   employment in urban and rural areas .
No doubt this lies at the root of the renewed public discussion of this
 subject in many Manber States .
 1.5 . The abcrvementioned trends would seem to be sufficiently established
 for there to be no need to question them . The fact is that little is known
 as regards the poverty phenomenon , in both its quantitative and qualitative
 aspects .
 Areas of research, are obvious : the first need is to define the
 characteristics of extreme , so-called “ traditional " poverty , while on the
 other hand apart from obtaining statistical information about the
 phenomenon , it is important to understand the dynamics of the processes
 ---pagebreak---                                    - 5 -
leading to new forms of poverty, and the type of measures that would offer
the best chance of recovery .
 ---pagebreak---                                        - 6 -
2.   IZSSd'Z        PAST IrPriTlNCB
2.1 . Despite the limited, scope cf the first Ccrrrrunity programme (1 975-80 )
it provided an opportunity to learn several. fundar,ental lessens , as regards
both organisation and. e<perimentaticn so that operations in the field, could
be imurovsd :
- it rede it possible to compare the exchange experiences and transfer
   specific methods to combat poverty from ore Herrber State to another ;
- it stimulated studies ard research ; in so doing it raised the level of
   the national debate on poverty in a great many Community countries ;
- it made it possible to identify seme of the problems in the way cf
   preparing comparable data at Community level .
2.2 . An analysis of the finds of the first programme led to seme
conclusions regarding methodology which proved very useful when
implementing the second programme :
- the importance of duration was revealed ; a continuous operation spread
   over several years is essential if positive structural results are to he
   achieved ;
 - operations must be concentrated to avoid d ispersion and fragmentation ;
 - coordination between all the projects with common concerns is necessary
    if information that can be effectively transferred from one country to
    another is to be obtained ;
 - assessment of operations on completion is not sufficient . To be fully
    effective assessment must be implemented from the launch of the
    operation : follow-up should continue where necessary until the projects
    are re-oriented .
 2.3 .  These various lessors were applied when drawing up the specific
 action programme ( 1985-88 ) and have lei to positive results ( see interim
 report ;  Annex 2 also contains certain successful experiments .
 The principle of transnational coord ination of projects by area of action ,
 and of mrrnt.i minn.q assessment in the context specific to each country have
 proved very useful in highlighting the findings of the action research
 programmes financed . These projects have served to monitor the local
  impact of economic and social change . At a time when implementation of the
 ---pagebreak---                                      - 7 -
Single European Act is likely to accelerate some of these changes , local
monitoring posts can make an especially useful contribution .
2.4 . With respect to the European dimension of the programme results have
been obtained at three levels :
- The programme has facilitated the at times radical transformation of the
  methods used by traditional charity organizations in the older Member
   States . This can be ascribed to the underlying principles of the second
  programme which recognized that poverty was not only a question of money
   or access to traditional services , but was also linked to social and
   cultural exclusions .
- Secondly , the current programme encouraged public and private
   organizations in the Community to work together to resolve a ccmmon
   problem . This is helping to establish a network of practitioners and
   researchers concentrating on the problems of poverty .
- The coordination structures have made it possible for projects in various
   countries to work together by establishing transnational teams , comparing
   experience , exchanging knowledge and above all comparing them with ccmmon
   concems while putting forward the first effective measures to combat
   poverty .
 2.5 . The specific action to combat poverty has made a significant
 contribution to the diagnosis of the problem , identifying remedies and
 prevention action .
 It is appropriate to continue this action with more ambitious objectives
 and greater resources in the framework of a new programme .
 ---pagebreak---                                       - 8 -
3.    UNDEKLYTNTT PRINCIPLES OF TEE ACTION PROGRAMME
The Commission proposes to undertake an action programme following the
lines of the two previous programmes .
3.1 .   Priority groups
The action will be directed at two main groups In response to two rather
different sets of needs :
- corrective measures to meet the needs of extreme poverty , that is to meet
   the needs of the most disadvantaged among the least privileged , in other
   words persons beneath the poverty line or who are faced with major
   difficulties , such as the problem of accommodation . It          concerns
   persons who were poor before the crisis and those who have fallen into
   poverty recently , victims of the new poverty trap ;
- preventive schemes for groups at risk who are mainly located in areas ,
    in decline or late developing regions .
3.2 .    Support for prototype schemes
The initial findings of the second programme indicate that the situation is
ready to move on from the action research phase , a sort of field research
 laboratory , to the phase of selective development , in other words the
 implementation of a few selected prototype schemes on a larger scale , and
 rooted in the local context .
 This programme will not only provide a forum for exchanges , stimulation and
 maximizing resources but will also produce organizational models to combat
 poverty , which in same cases can be “ exported " and integrated with the
 local and national fabric , thus bringing all the bodies concerned in the
 area into partnership .
 These schaoes will provide full-scale direct aid for innovative operations .
 3.3 .    Integrated action
 In each case the experience of the second programme has revealed than the
 most effective strategies involve the combination of central government
 action and decentralized operations .
  For example , prototype schemes to assist persons in extreme poverty
  (corrective measures ) should combine :
 ---pagebreak---                                        - 9 -
(a)     government measures (at national level) to respond to basic needs :
        accommodation , food , health , education , income etc .;
(b)     grass roots action aimed at promoting the independence and
        confidence of disadvantaged persons to counteract demoralization,’
        feelings of impotence and social exclusion .
Prototype schemes for the prevention of poverty in urban areas in decline
or very poor districts of towns which are not considered in decline in the
light of overall economic data , should combine economic development
policies adopted at central level with community development policies
initiated at the roots , including in particular :
(a)     public or private investirent to regenerate économie infrastructure
        and créate jobs ;
(b)     grass roots operations to reinforce and develop the ski n s and
        abilities of the population , techniques and job possibilities to
        meet local needs .
3.4 .  hulti-faceted action
Experience with the second programme has revealed the need for operations
integrating every facet of poverty . Such integration should be achieved
through coordinating policies and various public and/ or private measures
geared to encourage independence which is the basis for the social
reintegration of the poor .
 3.5 . Operational priorities
 The second programme made it possible to identify certain operational
 priorities for the anti-poverty policies common to the eight areas on which
 the programme is based . The third programme could be organized along the
 lines of these priorities in preference to the eight areas used in the
 second programme , which mainly concerned target groups (long-term
 unemployed , one parent families , immigrants , elderly persons etc .) which
 are relevant at national level since they are the targets of many forms of
 assistance .
 While the second programme confirmed that these target groups are the most
 at risk as regards poverty , it demonstrated that policies were most
 effective when they attached the whole set of problems of poverty ,
  Including those linked to the environment .
 ---pagebreak---                                      - 10 -
A few operational priorities have teen identified ard are currertlv use! to
maximize the current programme .    They concern :
(a)       specific job creation and vocational training measures to ensure . the -
          integration of the most deprived ;
(b )      the necessary development and coordination of public and private
          services and institutions involved in the campaign against poverty ;
(c )      support measures for families and local authorities to prevent
          increased dependence an institutions of persons in insecure
          situations ;
(d)       anti-poverty measures taken in conjunction with, ecancnic and social
          development of the area where the project is located .
3.6 .   Spécifie experiments
Some social groups suffer specific forms of isolation and have no roots in
society . For these groups specific measures continue to be necessary .
For example , the number of homeless is constantly increasing in Community
countries . It is not only a question of finding emergency accommodation it
 is equally important to support measures that will lead to the development
 of a solidarity network facilitating access to social rights of the
homeless as full citizens while combating social isolation . It also
 entails focusing action on access to productive activity that can include
 the development of community work units and use of these for social
 réhabilitation .
 A feasibility study on developing a unit to monitor the homeless in the
 Community is under way . This programme could assist the Member States to
 implement it .
 3.7 .   Organi /.atÌon
 The Commission should encourage creativity as much as possible by
 decentralizing technical functions (administration , etc . ) while exercising
 more direct control over general organization .
 3.8 .   Financiig
 All prototype schemes should have a mixed form of financing (Commission up to 507.
  or 55% ), central and local authorities and private sources ). The
  Commission should be associated with, their selection from the cutset to
 ---pagebreak---                                      - 11 -
ensure that the entire programme is coherent and much more effective . The
Commission would directly finance up to 75% of the cost of same innovative
experiments concerning extreme poverty for which it is difficult to obtain
national funding , for example in under-developed, regions or declining • .
industrial areas . These operations would be implemented by voluntary
organizations firmly rooted in the local area (e.g. AID , CARITAS . etc .).
 3 .9   Lin '<3  with   the structure i  Funds
 Within the framework of the reform of the               Community structural
 Funds the European Social Fund Is required              to contribute to the
 realization of five major objectives ,          l.a .
        the   structural    adjustment   of backward   regions ;
 -      the     rehabilitation     of    regions    affected     by   industrial
        dec I 1 ne ;
        the struggle against long term unemployment ;
        the occupational Integration of young people ;
        the development of rural        areas .
 The fulfilment of these objectives can constitute a major safety
 net to avoid the marginalisation and Impoverishment of certain
  areas     and      categories   of    persons    undergoing      difficulties .
  Furthermore the structural funds can serve trough the provision
 of training , Jobe , Infrastructure and services to give new
  opportunities for development to poor areas ans categories of
  parsons provided the eligibility criteria and the guideline for
  the Implementation of the objectives are respected .
 3.10 .  Better information
 The structure of the dialogue with non-govemmental voluntary organizations
 wording with poverty should be improved .
 It entails encouraging the modernization of independent non-profit making
 organizations set up by private initiative and helping them to make their
 voices heard at Community level .
 ---pagebreak---                                        -12-
3.11 .   In-depth study of the phenomenon
Efforts undertaken with the SOEC to coordinate and accelerate the
collection and processing of diversified and comparable poverty indicators
should be continued .
The first requirement is to construct an indicator that will serve to
define the level of absolute poverty on the basis of a monetary equivalent
of a basket of basic goods to be agreed with the national statistics
offices .
It will entail identifying arx^ using available and comparable qualitative
information to describe situations of poverty . This information can be
•usefully supplenented by comments on the perception of poverty , in other
words the income level considered to be the poverty line by the various
 populations .
 In connection with the relative definitions of poverty , work an data
 concerning income distribution will be continued to collect figures based
 an comparable sources and methodologies in order to define a median income
 as the threshold of material poverty in the Community .
 The seminar on new poverty organized in April 1988 by the Commission
 revealed serious gaps in knowledge about the mechanisms that bring about
 the new poverty , its features and the social, groups concerned , especially
 in southern European countries .
  Specific research must be urgently undertaken at Community level .
 This cal 1 s for an in-depth knowledge of the phenomena (research) of the new
  forms of poverty and improved collection of statistics .
  3.12 . In brief , the functions that may usefully be performed at Community
  level are :
  - direct aid for the development of full-scale experiments ;
  - organization of a coordination network facilitating exchanges of
    experiments and promotion of innovative experiments . It should have a
    multiplier effect ;
  - continuous assessment throughout the programme ;
  - information , assistance for making comparisons and reflection .
 ---pagebreak---                                       - 13 -
4.    Si'BDCrPRE AND OPG^IZATICN OF THE PROGRAMME
4.1 .    Structure adapte! to objectives
The objectives of this Community programme differ from those of the first
two .    Therefore it calls for different structures .
The first and second programmes were focused on research and diagnosis of
problems of poverty at a social level .
In principle , the medium term action programme will entail a much closer
partnership between the Commission and local , regional and central
governments , with active participation of voluntary and private bodies and
the beneficiaries themselves .
This calls for innovative forms of organization at all levels . The
Commission will play the role of development agent in that it will organize
and assist those engaged in developing prototype schemes . Its role will
not be confined to a simple source of financing .
4.2 .    Sélection of proiects.
 In 1989 in parallel with the end of the second programme
 and           on the basis of clear and explicit criteria the Commission will
 settle the selection of pilot schemes with the national authorities . 'When
 the selection has been made the Commission will arrange the management
 structures with the local authorities in close cooperation with public and
 private bodies in the areas concerned . Thus there will be no break between
 the second and third programmes . The prior negotiations should improve the
 consistency and efficiency of the programme for it will offer financial
 guarantees on the part of the joint financing bodies and concerning the
 sfri Us and necessary field tests .
 4.3 .    It is Initially estimated that the programme will finance 30 pilot
 schemes in all .
 4.4 .    A steering Committee for each scheme
  Each scbane will be managed by a Steering Committee composed of
  representatives of all the bodies involved in carrying out the scheme
  (officials from public and private institutions , voluntary bodies involved
  either financially or operationally) who will undertake to complete a joint
  programme to combat all facets of poverty in their region , province or
  town .
 ---pagebreak---                                     –  1 i. –
The members will elect the Chairman. cf dee Steering Committee .
Implementation of such a partnership (with the active participation of the
representatives of the disadvantaged) will itself constitute a major
innovation in the anti-poverty campaign .
4.5 .
Each committee should prepare a detailed draft of integrated economic and
social strategy to combat poverty in all its widely varying aspects ard to
support high risk groups in the area concerned for a period of five years .
While maintaining an overall strategy as regards integration with economic
and social life , the needs of the least privileged target groups in the
area should be identified together with any specific responses , if
appropriate .
4.6 .
The Steering Committee and the teams in the field of each prototype scheme
will be assisted and advised on technical natters by research and
development units under contract with the ESC Commission . These units will
he located in each country or group of countries . There will he eight in
all .
 These small units will make up a European network to combat poverty under
 the direction of the Commission which should perform the following
 functions :
 - advise those responsible for prototype schemes in the analysis cf poverty
    in their area and the preparation of an effective anti-poverty strategy ;
 - assist them technically in implementing specific aspects with a view to
    the social integration of the least privileged (e.g. vocational training
    and job creation);
 - assist them in the follow-up and self assessment of the results cf the
    prototype schemes and in the assessment of their implications for
    government policies at local , regional and national level ;
  - provide them with the technical skii ~1 needed to disseminate details of
    the results and experiments to other schemes and decision-makers in their
    country .
 ---pagebreak---                                     - 15 -
Each unit couLd comprise :
- n-np specialist in crganizational development ani coimiiunicaticn ,
- one assessor to assist schemes with their self-assessment ,
- one coordinator who will take part in coordination at European level for
   each operational aspect and will organize exchanges between field workers
   from schemes in other countries with similar concerns , and meetings
   between groups of prototype schemes to compare experience with innovative
   initiatives .
The unit can call on outside specialists for specific research or analysis
tasks .
4.7 .   The Commission 's role
The Commission will play a direct role in organizing the network of
research and development units and will disseminate the findings to
specialists , and will maintain li nks with the mass media to bring the
programme to the attention of decision-makers and the general public . A
 team of consultants will assist the Commission in these tasks .
The Commission will periodically bring together those in charge of units to
 compare methods and follow-up for prototype schemes . Units will present
 periodic progress reports to the Commission . Those in charge of
 organizational development and communication should also organize exchanges
 of information with schemes in the country where the unit is located in
 order to expand the impact of the Community programme .
 4.3 .
 In the framework of the Advisory Committee , the Commission will consult
 representatives of the heater States' Governments on any important matters
  concerning the implementation of this programme .
 ---pagebreak---                                    - 16 -
                                   ANNEXES
1.  Summary of Ccunaission operations for least privileged groups
2.  Statistics
3 . Organization of specific action under way and the future programme
    (organizational diagrams)
4.  Financial statement
5.  Successful experiments
6.  Bibliography .
 ---pagebreak---                                       - 17 -
                                                            ANNEX 1
Sunnary of Commission measures to combat poverty
This action programme does not cover all the Commission 's efforts to assist
the most deprived groups .    It carries out measures ard policies in a number
of sectors (employment , training , social protection , equal treatment for
men and women , new poverty etc .). However , it is not always possible to
isolate from these measures those specifically directed at the most
underprivileged persons , who suffer from a combiination of disadvantages .
1-    Food aid for the most deprived groups
On 11 December 1967 the Council decided to maintain on a permanent hgc* g
the distribution of food aid introduced as an emergency measure in the hard
winter of 1986/ 87 .   In 1988 an amount of 100 million ECU was made avai lable
to Member States and distributed according to appropriate criteria .
Furthermore , in the case of withdrawals of certain products from the market
( fruit and vegetables , fish ), the Commission is authorized to give a part
of the produce withdrawn in this way to the most deprived and to bear the
attendant transport costs itself .
  Th^ Cammission regards such aid measures as survival measures , the aim being to
  ensure that malnutrition does not affect the health of the most deprived ,
  thus jeopardizing their chances for reintegration .
  Such measures are only truly meaningful in the context of
  action to bring about a lasting improvement in the situation of
  disadvantaged groups .
  2.   Structural Funds
  Although the fight against poverty is not one of the specific tasks of the
  structural funds , their action serves as a safety net to prevent the
  impoverishment of categories or regions at risk .
   3.  Employment
   Following a request from the Council in its conclusions of 1 December 1987
   (87/C 335/01 ) a programme to assist long-term unemployed workers is
   currently in preparation .
 ---pagebreak---                                            - 18 -
It provides for the establishment of a network to rake use of the new
approaches developed in the Member States . With respect to disadvantaged
social categories , the schemes and experiments covered can make a
contribution to the level cf prevention (by preserving employment in local
schemes ) .
Following the Council resolutions of 21 November 1933 and 7 June 1964 , the
Commission has organized several consultations concerning local employment
initiatives .
It noted that in a number of cases such initiatives meet the requirements
of men and women workers who would otherwise be excluded from the labour
market . In connection with these initiatives , the research and action
programme on the Local development of the labour market has led to tne production
of a number of studies and financing for 12 schemes in 12 Community areas .
The Commission communication to the Council of 22 April 1963 and the
Commission memorandum of 1 July 1965 on International Youth Year are
concerned with policies to facilitate access to employment for ail young
 people ( including disadvantaged young people ) .                  "
 4-   Tral nl rg
 The Council Decision of 1 December 1987 concerning an action programme for
 the vocational training of young people and their preparation for adult and
 working life (87/ 569 E3C ) seeks to "devote particular attention to young
 people most at risk , including disabled and disadvantaged young people , as
 well as those who leave full-time compulsory education wxth few or no
 qualifications " (Article 2(5 ) h
  In the Commission Communication on " The Future of Rural Society "*
  recommandations are made for combating isolation and the growing
 social , economic and cultural impoverishment of rural areas , especially
  through the maintenance or restoration of educational infrastructures which
 can have multiple uses (education , cultural and social centre , information
 and continning training centres ).
  The Commission Communication on Adult Trainirg in Firms (001(56)760 final )
  stresses that the traditional separation of the training marks t between
   * COM ( 88 ) 501
 ---pagebreak---                                            - 19 -
State provision of basic training for young people and upgrading for
Ti-nik-i 1 1 fri adults , ard on the other industry-based training leading directly
to employment is damaging in the long term . Therefore it would be
advisable if innovative training measures for employed persons could
provide a tie-point , under arrangements to be determined , to bring together
young ard.. adult unemployed workers .
Tire campaign against illiteracy takes several forms at Community level :
- In the Conclusions of 4 June 1964 the Council and Ministers of Education
    meeting within the Council provided that the Member States should take
    preventive action at primary school level in particular , but also an
    preprimary level aid the beginning of secondary education .
 - The group of national officials responsible for the campaign, against
     illiteracy which meets twice a year has drawn up a report (published in
   " Social Europe’-Supp lement 4 / 88 ).
 - In July 1983 the Commission financed            a summer school at Toulouse on
     difficulties in initial contacts with writing .
 - In September 1988 , the Commission began to finance an action
     research project in the 12 Member States linking prevention of failure at
     school with remedial teaching (adult literacy) .
  - Following the conclusions of the Council aid. the Ministers of Education
     meeting within the Council on 14 May 1937 , the Commission requested a
     report on failure at school in the Community ard another cn measures
     taken to combat illiteracy .
  - The Commission programme on cooperation between residential adult
      education centres provides for joint financing of meetings of organisers
      or persons in charge of adul c training .
  5.     Social protection
  In the Commission carnmrunicati.011 to the Council on problems of social
  security (0CM(S6)41Q filial , 24 July 1966) the Commission identifies the
   exclusion of part of the population from the current protection system as
   one of the three challenges facing social security schemes . Charges to he
  made in the present protection system will be examined with partLcrular
   attention to projects aimed at introducing minimum social protection .
 ---pagebreak---                                     - 20 -
The Commission staff have made comparisons of net benefits received 'order
pension rights and unemployment benefit depending on income levels ( i.e. in
the case Of income amounting to only half or two-thirds of the average income ).
In November 1989 the Commission will subsidize a seminar on minimum income
levels in the Member States .
6.   Spécifie women's problems
The Community medium-term programme on equal opportunities , 1986-90
finances measures to combat inequality at work , social protection ,
education and training .
For example , with regard to employment , stress wi l l be placed on
implementing specific measures for specially disadvantaged groups : migrant
women , single women and single parent families , elderly and hand! capped
women , and women returning to work after a break .
7.   New poverty
In response to a request from the Directors-General for Social Security ,
 the Commission has made a further study of the new mechanisms of
 impoverishment that have emerged in recent years as a result of the
 economic crisis of the early 1930s and current technological changes .
 The Commission has collected available data on these mechanisms and
 policies adopted in the Member States .
 This information was discussed at a symposium on 28-29 April 1988 in the
 presence of policy makers , trade union representatives , voluntary
 organizations and researchers .
  A study centre will analyse the conclusions of
 this symposium with a view to formulating measures to be taken at local ,
 national and Community level to cope with the new poverty processes . These
 proposals will be discussed at a seminar organized in 1969 .
  It is proposed to pursue these measures in the context of the present
  programme (see 3.11 ).
 ---pagebreak---                                       - 21 -
                                    STATISTICS
Introduction
Thf» programme for analysing the statistical data available in the Member
States and for testing five methods of measuring poverty is being pursued
under the current specific action programme .
The Commission does not currently have a satisfactory statistical estimate
of poverty in the various Member States .
The available data are exclusively based on the income of underprivileged
persons and calculated on different methodological bases . Consequently , no
comparison between the Member States is possible given , moreover , the
differing standards of living . In addition , poverty is a multidimensional
phenomenon which cannot be reduced to a monetary dimension alone .
For this reason , the Commission must develop an approach along the
following 1 inpc; for the new programme :
 Са)     the establishment of a Community definition of poverty , laying down
         a European base line level of living , E.B.L. ;
 (b)     the evaluation of the Member States' performance as compared with
         this European definition ;
 Ce)     the evaluation of the Member States' performance as compared with
         their own definition of poverty ;
 Cd)     the measurement of the divergences between the national definitions
         and the European definition CE.B.L. );
 This approach should contribute to the drawing up of policies seeking to
  reduce the above-mentioned divergences and to integrate the least
 privileged in relation to the criteria derived from the E.B.L.
 The European base l ine level of living CE.B.L. )
 A precise and operational definition of the concept of poverty is a basic
  prerequisite for the formulation of any community policy to combat poverty .
  Poverty is defined as a situation in which a person or a group cannot
  satisfy a body of needs .
 ---pagebreak---                                      - 22 -
It is not always possible to measure to what extent it has been possible to
satisfy reels .
Moreover , the needs to be satisfied roust be defined, both in terns cf
quantity and quality .
Tbe programme has opted for a multi d i mensicnal definition of poverty .   It
roust consequently also establish a methodology making it possible to
measure the gap separating trie needs met from the real needs .
The " European base 1 i ne level of living " (E.B.L. ) will be defined, as the
capacity to satisfy a body of needs , by means of an income or by ether
means , established as being the " European baseline needs " or Z.3.N. T.iese
needs will , of course , be selected in terms cf both desirability and
measurability .
It is at this level that the greatest difficulty will be encountered but
priorities can be laid down which will male for a gradual improvement in
the data available .
The definition of the European baseline needs will consequently not be
static . It will evolve , firstly , as a result of the improved quality cf
the data available and , secondly , as a result of the development of society
in the Member States .
 Identification of the least privileged
 The search for a measure of poverty at Community level should make it
 possible to identify the least privileged members of society on the basis
 of individual and household characteristics . Thus it will be possible to
 draw up naps of the least privileged groups which will help to shed seme
 light an the mechanisms by which a situation of multiple deficiencies
 (relating to accommodation , education and other elements fundamental to
 well-being ) is perpetuated or even assumes greater proportions .
 With this in mind , one task of Eurostat will be to integrate in a
 consistent manner the multidimensional data wliich will be needed for the
 establishment of a national and international poverty information system .
  Study of the impact of action programmes
  To assess the contribution and the limits of the programme , statistical
  data relating to the least privileged groups should be analysed prior to
  the programme and on its termination . Consideration might also he given to
  collecting data at certain intermediate points .
  Bata should be gathered and analysed in close collaboration with those
  responsible for the schemes .
 ---pagebreak---                                                         ( 1984 - 1988 )
I                        i
                                      DG V                                        ADV I SORY VvORK I NG GROUP
    S.O-F.C.
                        I
    - Gathering of data !_       - Financial management of the                    Opinions on important aspects
      on poverty                    statistical         and                       of the scheme's imp I ementat i on
                                 - Action-research contracts
                                 - Mon i tor i ng of the                   i
                                    implémentation of the
                                    programme
                                                                         \     |
                                                                                 Responsible for organization
                                                                        i Y
                                                                                                                      ro
                                                                                 and d i ssemi nat i on
/ STATISTICAL RESEARCH               INDEPENDENT
                                                                    \        f
                                     EXPERTS
      (7 teams )
                            ! (                                                  - t ransnat i ona I
   - Testing of five            - I nter im repor t
     methods of                 - Final r epor t                                    coordination of projects
     measuring poverty                                                           - eva I uat ion
                                                                                 - d i s semi nation
  \
                             ^"91    ACTION-RESEARCH PROJECTS
                           (    - Local operations to help poor                                                      D
                                                                                                                     :J
                                   people and self-evaluation of                                                     O)
                                                                                                                     V
                                   s c h eme s i trp I erne n t e d
 ---pagebreak---                          ACTION PRQGRANME FOR THE LEAST PRIVILEGED GROUPS ( 1989-93 )
                                                  COMMISSION
    S.O.E.C.                       DG V                                             TECHNICAL ASSISTANCE
    Data gathering and       j     - Participation inn the sélection selection      - Financial management of    the
    preparation of poverty,           of projects                                      project
    indicators              |      - Organization and other                         - Meeting organization
                                      assistance for projects                       - General    information
                                   - Organization of the network of
                                     units
                                  - Gathering, dissemination and exchange of
                                      results and knowledge                                    :
                                       ZH         Z-1                  .
   ADVISORY CCMdl TTEE          ~~5TEERI NSHCCMVITTTEE ";              .
                                                                               7 / NETWORK
   - Opinions on all
      innportant questions
                                  - Composed of all          interested
                                     parties in the area concerned
                                                                               //  OF RESEARCH AND DEVELOPMENT
                                                                                   UNITS ( 8-9 )
      regarding project
      selection and the
                                  - Preparation ,       imp I ementa t i on
                                     and monitoring of prototype
                                                                                 !
                                                                               | i
                                                                                   - One unit per country or
                                                                                      group of countries ( 8-9 )
      implementation of the          schemes                                       - Assistance and advice for           r\>
     action programme             - One Corrmittee per prototype                      the steering committees             I
                                     schemé                                           and project staff
                                            /
                                                                                   - Follow-up and coordination
                                                                                      by operational priorities
                                                                                     and project evaluation
  ( STANDARD ADVISORY                                                              - Exchange of expérience
 COMMITTEE FUNCTIONS )                                                               assistance                   X
               MODELS                                       PROJECTS DIRECTLY FINANCED
  r' - Direct aid for innovative                                      b y NGOs                         \
         experiments in the economic                        Innovative initiatives for specific
(.      and social integration of the
         least privileged group
                                                            social groups ( e.g. the homeless )
                                                                                                                        >
                                                                                                                        D
                                                                                                                     ! LrJ
                                                                                                                       ai
 ---pagebreak---                                 - 25 -
               FINANCIAL STAr[EMENT   AOOCMPANYING THE DRAFT DECISION
                   мжвдкми 5 THE MEDIUM-TERM ACTION PF0GPAMM2
1.    Budget hewing involved
Article 646 action to combat poverty .
2.    Legal basis
Application of Article 235 of the EEC Treaty .
New decision by the Council expected at the beginning of 1989 .
3.    Proposed classification of expenditure
Non-campulsory expend.i ture
4.    Description of and grounds_.for the action
4.1 .   Objectives
 The objectives of the action programme are as follows :
 (a)      to contribute to the development of preventive strategies for the
          groups at risk and corrective measures to meet the needs of the very
          poor ;
 (b)      to produce innovative organizational models for integration
          involving all economic and social agents ;
  (c)     to identify the characteristics of the least privileged groups and the
          dynamics of the new processes leading to economic and social
          exclusion ;
  (d)     to conduct an information, evaluation and exchange of experience
          operation at Community level ; '
  (e)     to ensure overall coherence between all Community operations having
          an impact on the least privileged groups .
 ---pagebreak---                                        - 26 -
4.2 .   Target groups
The programme applies to economically and socially underprivileged members
of society - individuals , families aid, groups of persons whose resources
(material , cultural aid social ) are so limited as to exclude them from the
minimum acceptable way of life in the Member States in which they live .
5.    Nature of expenditure and method of calculation
Community contribution towards prototype schemes conducted in the Member
States and direct aid to Innovative experiments .
Subsidies , studies , expenditure on seminars aid meetings , information and
dissemination costs , related services aid secretarial work .
5.2 .   Calculation
 (a )    The overall sum requested for five years is 70 million ECU as
         compared with 29 million for the four years of the second programme .
         The increase arises from the need to concentrate efforts on a body
          of experiments which , though smaller in number , will be larger In
          scale and integrated in the fabric of local society (districts ,
          communes , regions ).
 (b)      The appropriation requested includes :
          - the financing of same 30 prototype schemes over 4.5 years
             30 projects x 1 . 66miUion ECU =               50   mi l Li on ECU
          - direct aid for innovative experiments
         ( approx . 15 projects )                            3.5 million ECU
           - statistics aid data collection                  7.5 mi Ition ECU
           - technical assistance aid follow-up of the
             programme (coordination , evaluation ,
                            of a network , information ,
             project sélection)                              9.0 mi II ion ECU
                                                            70   mi l l ion ECU
 ---pagebreak---                 TECHNICAL ASSISTANCE AND BACK-UP. FOR THE PROGRAMME
  Units of the network in each country or
  group of countries
. - 2 consultants (full-time equivalent including
     misslon esperidi, ture , travel , secretarial
     supporti 160 000 ECU per year
  Total cost : . 160 000 ECU x 9 irnits x 4.5 years      á_4§Q_QQQ_|£y
  Costs of meetings of
  consultants : 15 000 BCU/per meeting
  Total cost : 15 000 ECU x 17
  General Information , dissemination of
  knowledge : '-293 000 ECU/year
  Total cost : 293 000 ECU x 5 years                      !=^ I=29Q=i£y
  Technical assistance for the organization
   of the unit network and the financial
   management
   - 2 consultants/year + financial management
      of projects : 160 000 ECU per year
   Total cost 160 000 ECU x 5 years                         300_QQQ_|Çy
                              TOTAL :                     9 000 000 ECU
  This budget has been drawn up on the basis of the following :
  - actual duration of 4.5 years as regards direct back-up tasks ;
   - duration of 5 years as regards information activities and overall
      management .
 ---pagebreak---                                    27
6 . Financial implications for operating appropriations
6.1 .   Schedule of commitment and payment appropriations
                                     Commitment          Payment
                                     (million ECU)       (million ECU )
            1989                           9                   2.5
            1990                           9                   7.5
            1991                          12                  13.0
            1992                          20                  15.0
            1993                          20                  15.0
            subséquent years                                  17.0
                                          70                  70.0
          The envelope and schedule of commitment appropriations must be
          regarded as indicative . They will be reviewed at the end of 1990
          in the light of experience with the running-in phase of the
          programme .
          In connection with its annual budget proposals , the Commission
          will present the necessary adjustments in the light of the results
          of the programme and any new requirements which may emerge in the
          course of the programme .
 6.2 .   Community financing as a percentage of the overall     cost
         of the operation
 wi thin the framework of the appropriations entered each year , financial
 support may be granted at the following rates :
  (a)        for prototype schemes , up to 5C% of actual expenditure within the
             limits of the assistance requested and approved . In exceptional
             cases , however , in particular those located in severely
             disadvantaged regions , this ceiling may be raised to 55% .
   (b)        for direct subsidies to initiatives under paragraph 3.6 of the
             Communication , up to 75% of actual expenditure within the limits
             of the assistance requested and approved .
   7.  Comments
   None
   8.   Staff
   No extra staff was requested in connection with the programme of specific
   action ( 1984-88) .
   The new programme will be implemented with the help of outside technical
   assistance , the cost of which is included in the overall budget (see 5.2 .).
 ---pagebreak---                              - 28 -
                                                      ANNEX 5
SUCCESSFUL EXPERIMENTS
Certain operations carried out under the existing specific Community action,
programme to combat poverty have already proved effective .
This aimm provides same examples .
In addition , the characteristics of certain action-research projects are
worth taking into account in the 1989-93 programme with a view to expanding
on them , systematizing and coordinating them .
1.   Regional or local schemes
Several projects concern a region as a whole , which makes it possible to
reach the various disadvantaged groups without singling them out from the
rest of the population .
Example : A city-wide project ensures that immigrants are not made the
           the responsibility of public bodies different from those
           responsible for the remainder of the population .
Moreover , this type of project enables a first step to be made towards an
overall policy to combat social exclusion by integrating the various
aspects of poverty .
Example : One project endeavoured to promote the development of a commune
           as a whole by offering training courses in cabinet-making for
           young people and adults , artistic courses and environmental
           planning for various villages .
           It encouraged coordination between voluntary organizations and
           official representatives , promoted the creation of a local radio
           station , etc .
 2.   Significant measures at national level
 Various projects have monitored the impact of policies relating to housing ,
 employment , and industrial development (policies laid down at local ,
 regional , national or European level) on poverty .
 ---pagebreak---                                      2?
Fran this analysis and from participation in certain programmes launched hy
these policies , it has been possible to identify the refcms which world be
needed      enable everyone to benefit frara these policies and exploit tl'.e
opportunities for individual , family and community advancement than they
represent .
Example : Certain projects have well-established contacts with members of
           the rational parliament and are regularly consulted by the
           national ministries , rating use of these contacts to promote their
           proposals for policy reforms .
4.   Experiments in participation
The principle of participation by the least privileged in the institutional
system , which is one of the objectives of the second poverty programme , has
been implemented in various forms . The participation of target groups in
the individual project (its preparation , management and day-to-day
operation) hence only acquires its full significance when it tabes place
against the background of participation in society as a whole and in the
 taking of decisions which have a bearing on it .
 Example : A group set up on the initiative of long-term unemployed workers
            is working with regional and national federations of social
            assistance beneficiaries , unemployed workers' unions and the local
            authorities and tabes part in campaigns to defend the social
            security system .
 5.   Setting up of networbs
 Several projects have set up or suppported networks of associations for
 underprivileged members of society , practitioners and policy makers
 concerned with promoting policy reform .
 Example : Networks to support single-parent families , long-term unemployed
            workers and homeless persons .
 6.
 The projects implemented have included cooperatives and local Initiatives
  to encourage job creation for those excluded from the labour market .
  Example : Setting up of milk , weaving , and fishing cooperatives .
 ---pagebreak---                                 - 30 -
These projects have revealed the reel for such measures to be carried out
with the collaboration of all local bodies capable of facilitating the
integration of the most underprivileged into employment .
Example : One project for developing a rural region operates as a company
           in which 80% of the local population hold shares .
7.   Promotion of new forms of social cohesion and mutual aid
Three methods used by the projects for developing social cohesion can be
identified :
- self-help
Example : An excharge– of-skills market for unemployed workers enables the
           latter to use their gki 1 1 s to help their peers .
 - the strengthening of social networks in the surrounding community .
 Example : The use of elderly people ' s know-how and energy to help
           disadvantaged groups in the Community .
 - the preservation of existing forms of social cohesion
 Example : - Renovation of accommodation for refugees while preserving
              their social networks and values .
            - Action to encourage the formation of support networks for the
              parents of children requiring special education .
 ---pagebreak---                                                                              AMSiEX 6
 BIBLIOGRAPHY
 FIRST PROGRAMS
     Council of Ministers ( 1982) " Draft conclusions on the Final Report
     on the First Programme to combat Poverty ", Brussels
-    European Commission , ( 1981 ) " Final Report from the Commission to the
     Council on the First Programme of pilot schemes and studies to
     combat Poverty " (+ Annexes I - VIII ) C0M(81 ) 769 Final
      Etudes Tsiganes , " Populations Nomades et Pauvreté ", Pari s , 1980
-     A.HERMANS , KN VAN LIERDE,"Nomadi sme et Pauvreté ", Centre
      pour l' Analyse du Changement Social èt Politique , Louvain , 1980 .
 -    J. R. RA3IER , H.RIFFAULT, "La Perception de la Misère en Europe", 1977
 -    G. SCHABER , " Pauvreté persistante", 1977
 -    3 . VAN PRAAG , " Recherche relative à l' importance aux aspects et aux
       causes de la Pauvreté dans la Communauté Européenne ", 1980 .
  -    P. WILLMOTT , " Pauvreté et Politique Sociale en Europe ", 1977 .
  -    P. WILLMOTT , " Chômage et politique en matière de lutte contre la
       Pauvreté ", 1980 .
       ESP0IR ( 1980 ), " Final Evaluation Report on the First Programme of
       Pilot Schemes and Studies to Combat Poverty ".
    - J. DENNETT , E. JAMES , G. R00M, P. WATS0N ( 1982 ), " Europe Against
        Poverty ", Bedford Square Press , London .
    - G.     ROOM,    L.  CARRIN0 ,    G.    CIMIN0, H. HARTMANN, J.P. HIERNAUX , S.
        RUCHET0N , " Strategies de Lutte Contre la PauvretS en Europe "
        ( 1983 ) (5 manuals and 1 analysis of strategies and obstacles , based
        on the first Programme : interim work sponsored by the Commission ).
     - J.P. HIERNAUX & D. B0DS0N ( 1981 ), " La Face Cachée : Pauvreté ,
         Politique sociale et Action urbaine ". Vie ouvrière , Bruxelles .
    SPECIFIC ACTION PROGRAMME CURRENTLY UNDER WAY
         European Commission , ( 1984 ), " Draft Decision on Specific Community
         Action to Combat Poverty" Explanatory Memorandum , Brussels
 ---pagebreak---                                           - 2 -
First Reports of the Programme Evaluation Team ,           ( Benelux , Denmark
and Germany ,      France , Greece,     Ireland ,  Italy ,    United Kingdom ),
Evaluation section working papers nb 1-8 , September 1987 .
G . ROOM , F.LACZKO , G. WHITTING , " Action to Combat Poverty" The
Experience of Sixty-Five Projects , Evaluation section working paper
No . 9 , December 1977 .
National Contextual Papers         ( twelve   countries ), Evaluation section
working paper nb 10-20
Theme Contextual Papers ( eight themes ),         Evaluation section . working
papers , nb 21-28
 E.L. DRURY , " European Community Policies and Actions of Relevance to
 the Second EC Programme to combat Poverty " Evaluation section
 working papers , nb 30 , August 1987 .
 Dr.A.B. PHILIP , Dr.J.S. WABE , " Regional Disparities in the European
 Community ", Evaluation section working papers nb 31 , August 1987 .
 G.R00M , " New Poverty in the European Community", report presented to
 the Commission 1987 .
  G. R00M ,     " Cross-National Innovation in Social Policy ", London Mac
  Millan , 1986 .
  " L' Action transnationale dans le Programme européen de Lutte contre
  la Pauvreté - Conditions , réalisations et perspectives ". Rapport de
  la fonction de Coordination , juin 1987 .
  Documents de travail de la section Coordination ( série de rapports
   de     résultats    des    rencontres     des     équipes     transnationales
   thématiques ), mai 1988 .
   Acquis et Perspectives des Equipes transnationales ( brochures de
   synthèse par groupe thématique ), mai 1988 .
 ---pagebreak---       PROPOSAL FOR A COUNCIL DECISION
ESTABLISHING A MEDIUM-TERM COMMUNITY ACTION PROGRAMME
    TO FOSTER THE ECONOMIC AND SOCIAL INTEGRATION
           OF THE LEAST PRIVILEGED GROUPS
 ---pagebreak---                                       - 2 -
The Council of the European Communities ,
Having regard to the Treaty establishing the European Economic Community ,
and in particular Article 235 thereof ,
Having regard to the proposal from the Ccmmission^ 1 ) ,
Having regard to the opinion of the European Parliament^2) ,
Having regard to the opinion of the Economic and Social Committee ,
Whereas , under Article 2 of the EEC Treaty , the task of the Community is to
promote throughout the Community a harmonious development of economic
activities , a continuous and balanced expansion , an increase in stability ,
an accelerated raising of the standard of living and closer relations
between the States belonging to it ;
Whereas the Council authorized the Commission on 19 December 1964 mo
 implement specific action to combat poverty(3) which will came to an end
 on 31 December 1983 and this action should be continued and broadened ;
 Whereas the continuing economic and social exclusion of a growing number of
 people in the Community is incompatible with the attainment of the
 abovementioned goal ;
 Whereas insecurity in relation to employment , a phenomenon which has grown
 in recent years , is also incompatible with this goal ;
 Whereas national economic and social policies and Community action in the
 field of employment can , by attacking the structural causes of this
 economic and social exclusion , make an effective contribution to the fight
 against it ;
 Whereas it is necessary , in order to ensure economic and social cohesion ,
 to take preventive measures against the short-term disruptive effects of
 completion of the large market on the social groups most at risk and
  optimize corrective measures for the groups already marginalized ;
 Whereas exchanges of information and experience and consultation between
  the Member States and the Commission on action to combat the exclusion of
  the least privileged members of society are essential to this economic and
  social cohesion of the Community ;
  Whereas the minimum amount adjudged necessary to fund the Community
  contribution , within the medium-term action programme for economic and
  social integration of the least privileged groups , is Ecu 70 million
  for the duration of this programme .
  Whereas the Treaty does not provide the specific powers necessary for the
  adoption of this Decision .
   ( 1 ) OJ NO .
   (2) .
   (3 ) OJ NO L 2 , 3.1.1985 , p.24 .
 ---pagebreak---                                       - 3 -
EAS D3CIDED AS FUEIOWS :
                                    Article 1
A Community auction programme to foster the economic and social integration
of the least privileged groups in society is hereby established for the
period from 1 January 1989 to 31 December 1993 .
                                    Article 2
For the purposes of this Decision the least privileged in economic and
social terms shall be taken to be those individuals , families and groups of
persons whose material , cultural and social resources are so limited as to
exclude them from the minimum acceptable way of life in the Member States
in which, they live .
                                    Article 3
 The aims of the action programme shal 1 be to :
 a) contribute to the development of preventive strategies for the groups at
     risk and of corrective measures to meet the needs of the very poor ;
 b) produce Innovative organizational models for the integration of the
     least privileged members of society involving all economic and social
     agents ;
 c ) identify the characteristics of the least privileged groups in society
     and the dynamics of the new processes leading to economic and social
     exclusion ;
 d) conduct an information , assessment and exchange of experience operation
     at Community level ;
  e) ensure overall coherence between all Community operations having an.
     impact an the least privileged groups .
                                     Article 4
  With a view to achieving the aims referred to in Article 3 , the Commission
  may :
  a) promote or support financially the carrying out on an adequate scale of
      prototype schemes integrated in the fabric of local society . These
      schemes shall be aimed at fostering the economic and social integration
      of the least privileged groups through the coordination of local
      Initiatives and national or regional policies . Members of the target
      population must , through participation in the prototype scheme , acquire
      the wherewithal for genuine integration into society ;
  b) promote or subsidize innovative initiatives undertaken , for example , by
      voluntary organizations working with certain social groups suffering
       from specific forms of isolation ;
 ---pagebreak---                                         - 4 -
c ) promote or support financially interratioral 'Xcrdiraticn , the
     assessment of schemes , the exchange of knowledge and the transfer of
     methods , notably by means of exchanges of praotitioners and
     beneficiaries . This function will be performed by a network of research
     and development units ;
d ) promote or support financially the improvement of statistical and orher
     knowledge of the phenomenon - the collection and exchange on a regular
     basis of ccnparable data on the least privileged social groups m ore
     Community .
                                     Article 5
The Commission shall be responsible for implementing the programme .
                                     Article 6
Projects relating to prototype schemes shall be submitted to the Commission
by the rational authorities in whose territory the schemes are to take
 place . These schemes shall be drawn up with the assistance of the public
 authorities or .                       the relevant private bodies in the area
 or region in question, designated by the Member State concerned .
                                     Article 7
 Projects relating to innovative initiatives shall be submitted to the
 Commission by the local or regional authorities, designated by the Member
 State concerned .
                                      Article 8
 All the projects referred to in Articles 6 and 7 shall form the subject of
 consultations with the Commission prior to their final approval .
 Projects shall be selected by the Commission after consulting the Committee
  established by Article 9 .
                                      Article 9
  1 . The Commission shal 1 be assisted by an Advisory Committee , hereinafter
      referred to as " the Committee " , comprising a representative of the
      Government of each Member State and chaired by a representative of the
      Commission .
  2 . The Commission representative sha~l 1 submit a draft of the measures to be
      taken to the Committee . The Committee shall deliver its opinion on the
      draft , in accordance with a deadline which the Chairman may set in the
      light of the urgency of the matter in question , if necessary following a
      vote .
      This opinion shall be entered in the minutes . In addition , each Member
       State make ask that its position he noted in the minutes .
       The Commission shall take full account of the opinion delivered by the
       Committee . It shall inform the Committee of the steps it has taken to
       this end .
 ---pagebreak---                                        - 5 -
3 . Tbs Committee shai 1 lay down its rules of procedure .
                                     Article 10
The dissemination and exchange of infonration concerning cere especially
the coordination and assessment of schemes and the dissemination and
exchange of knowledge sbO 1 be organized on the responsibility of the
The Commission shal 1 disseminate the results of operations carried cut
pursuant to this Decision using such means as may be most appropriate .
                                     Article 11
 Ccmmunity financial support will be granted , in the framework of the
 amronriations entered annually in the general budget of the European Communities
 for the implementation of the present programme , at the following rates :
 a) for prototype schemes , the maximum rate will be 50% of actual expenditure within
 the limits of the assistance approved by the Commission ;
 However , in exceptional cases , especially those located in particularly dis ¬
 advantaged regions , this ceiling may be raised to 55% .
 b) for direct subsidies to innovative initiatives on the part of private or
 public bodies at regional or local level , the rate may he raised to 75% of
 actual expenditure within the limits of the assistance approved by the
 Commission .
                                      Article 12
 Before 31 December 1992 the Commission, sha ! i present to the Council and the
 European Parliament an interim report on the implementation and results of
 the programme .
 Before 1 July 1994 , the Commission shall present to the Council end the
 European Parliament a final report on the implementation and results of the
 programme .
 ---pagebreak---                                   Article   13
Thic; Decision g>>a.n be published in the Official Journal of the European
Communities . It shall take effect on . . .
Done at Brussels , . . .
 ---pagebreak---                              ЕХРЪАКАТСШ’    RANDOM
While the Treaties do not incorporate any specific responsibilities in
relation to the fight against poverty , the concern the Community has long
displayed in this regard is evident .
Apart from specific action concentrated on encouraging and optimizing
national efforts , various measures aimed at particular groups ( the
long-term unemployed or the illiterate , for example) have been implemented
with special budgets via the structural Funds .
These different measures already constitute an initial safety net for the
groups at risk . As regards specific action (the first programme to combat
poverty! and the specific action currently being implemented (1965-88)2) ,
the analyses conducted have revealed the desirability of pursuing such
action whilst incorporating the main lessons to be learned from the efforts
undertaken to date .
These irnclude inter ali a :
     the need for several years of operation to obtain favourable results ;
     the need to concentrate action to avoid a piecemeal effect ;
     the coordination of projects according to their main concern , while
     taking account of their specificity (national , regional , etc . ) , makes
     the transfer of ideas and innovative experiments possible ;
 -   an on-going assessment of the measures implemented provides a guarantee
     of their effectiveness ;
  1   Council Resolution of 21 January 1974 .
 2    Council Decision of 19 December 1984 , OJ No 2 , 3.1.1985 , p. 24 .
 ---pagebreak---                                        - 8 -
While an assessment of earlier measures shoe's the desirability of pursuing
them , an analysis of the main features of the Community 's current situation
clearly reveals the need, to step up these measures since , in nest
countries , two fri nris of pbencmera are observable :
     the number of people experiencing poverty has increased ;
     new forms of poverty have appeared alongside more traditional forms as
     a result of major charges in economic and social structures in recent
     years .
To take account , at one and the same time , of the lessons learned from the
earlier operations , of the greater extent of poverty and of the type of
poverty being experienced in the Member States , the new programme is
intended to be more than a forum for exchanges , stimulation and
optimization of efforts .       its aim is to produce organizational models for action
to combat poverty , uhere appropriate , " exportable " ones integrated in the local
and national fabric , involving a partnership between all interested bodies in the
areas concerned .
These objectives require an increased budget in relation to previous specific
initiatives of the Community .
Priority will be given to the least privileged , namely those people in a situation
of great poverty or insecurity in several areas ( employment , training , accommodation ,
family situation, etc .). Save for some groups of people in quite specific situations
( for example , the homeless ), it is not advisable to encourage compartmentalization
of the target groups at which the measures are aimed .
 The new programme will endeavour to ensure coherence of the Community
 policies affecting the least privileged groups and to continue and
 intensify earlier specific measures - a/1 1 this with one objective in mind :
 to strengthen the economic and social cohesion of the Community .
 ---pagebreak---                                   - 9 -
         GROUNDS FOR THE ARTICLES IN THE PROPOSAL FOR A DECISION
Article 1
There are several reasons for launching this programme .
 1 . According to the definition adopted in the final report on the first
      programme ^ the twelve current Member States counted , in 1975 , approximately
      38 million persons who had an income less than half of the average equivalent
      per capita income in thei r . country . This number rose to approximately
      44 million persons in 1985 .
 2.   In addition , major changes have taken place in recent years in economic
      and social structures : new processes of Impoverishment meriting the
      name "new poverty" have been added to the " traditional" forms of
      poverty .
 3.   Finally , assessment of the first Community programme to combat poverty
       ( 1975-80) and the current specific action programme ( 1985-68) showed
      the positive effects of these measures .
      The desirability of a programme which would pursue and reinforce the
      earlier measures is therefore evident .
      These measures have , moreover , illustrated the importance of sustained
       action over several years to obtain favourable structural results .
       Five years (from 1989-93) will therefore be required to draw the
       maximum benefit from the new action programme .
  Article 2
  The proposed definition derives from that adopted by the Council in its
  Decision of 19 December 1984 concerning the specific action programme for
  1985-88 . The multi-faceted and relative nature of poverty is thus
  highlighted .
  The definition adopted makes it possible to target at one and the same time
  both the traditional and the new forms the phenomenon may take .
      Regarded as poor are those persons whose di sposable income is less than half of
  the average equivalent per capita income in their country .
 ---pagebreak---                                      - 10 -
Article 3
The programme rakes it possible to carbine several objectives :
ParaGraph, a
The two distinct forms of action referred to here make it possible to
satisfy differing needs .     Extreme poverty , which the corrective measures
will be aimed at relieving , may or may not date from before the crisis .
High-risk groups forming the subject of preventive strategies are mainly
located in dec Li ni ng areas or Late deveLoping regions .
Paragraph b
The programme is intended to encourage the transformation of the methods of
action adopted by organizations working for the good of the least
privileged . The innovatory nature of the method used may be evaluated in
 terms of the specific country , the group of problems to which it is applied
 and the type of profession using it . In addition , the involvement and
 coordination of all the institutions and persons concerned should make it
 possible to deal with the entire compLex of probLems facing persons in
 difficuLty by caLLing a whoLe environment into pLay .
 Paragraph, c
 The acknowledgement of the multi-faceted and relative nature of poverty
 presupposes a broadening of the monetary approach to which studies are most
 often confined .
 It is essential to take account of quantitative and qualitative data such
 as isolation , institutional dependence and cultural and social exclusion .
 Moreover , the seminar organized by the Commission in April 1963 cn the " new
 poverty" has revealed serious gaps in knowledge of the features of the
  social groups experiencing the " new poverty " and the processess uhich resuLt
  in the Latter .
  Paragraph d
  The specific Community action programme has shown that the transfer of
  innovations between countries is only possible where the cocrdiratior. of
  projects with common concerns has been set up .
  It has likewise emerged that , to be effective , assessment should be
  conducted from the time the programme is launched .
  Paragraph e
  Community action to assist the most deprived members of society is rr :
  confined to this specific action programme adore .
 ---pagebreak---                                     - 11 -
Over and above the one-off food aid measures implemented from the winter of
1986/ 87 , the Community 's general policies (with regard to industrial
policy , employment , training , etc .) or those aimed at specific groups (the
long-term unemployed and the illiterate) have an impact on. the least
privileged .
It is therefore essential to ensure that the Community 's policies as a
whole converge towards        the economic and social integration of the least
privileged sections of the population .
Article ..!
The Commission will use various means to achieve these aims .
 Paragraph a
 Prototype schemes make it possible to move on from the action-research
 stage which has been a feature of the current specific action to a stage of
developing experiments on a wider scale . These experiments may , for
 example , relate to a whole district or region .
 Eased on the coordination of policies relating to various levels of
 deci-Sion-mahl rg (local , regional , national and European), these experiments
 will integrate the various dimensions of poverty .
 They will be structured around a number of op>erational axes outlined in the
 second programme .
 The following may already be cited :-       job creation and vocational
                                             training ;
                                             coordination of services and
                                             institutions involved with
                                             underprivileged groups ;
                                             support for families and local
                                             communities so as to avoid them
                                             falling into a situation of
                                             dependence vis-a-vis welfare
                                             institutions ;
                                             due account for local development
                                             at the level at which the
                                              experiment takes place .
  Paragraph b
  Innovative initiatives for groups suffering from specific forms of
  isolation (e.g. the homeless ) should make for the creation of solidarity
  networks promoting universal access to social rights and breaking down
  isolation .
 ---pagebreak--- Efforts -will also be focused on access to productive occupations by rears ,
for example , of community work units as a means of social rehabilitation .
The usefulness of coordination , assessment , and the transfer of methods and
knowledge has been demonstrated by the two earlier schemes .
THp network responsible for this function will consist of research and
development units ( one per country or group of countries ).
Each unit will have three specialists (in assessment , communication and
coordination) and will be able to call on outsi.de help for specific
research, and analysis tasks .
Two types of study are envisaged :
     research aimed at providing greater understanding of the new forms of
     poverty ;
     preparation of diversified and comparable poverty Indicators with a
     view to Improving the compilation of statistical data . To this end ,
     the S.O.E.C. should continue its coordination work .
 The Commission will subcontract the technical functions (administration and
 day-to-day monitoring of experiments) while itself playing a more direct
 supervisory role with regard to the general organisation of the programme .
 The Commission will therefore be responsible for organizing the network of
 research units and ensuring the dissemination of the results among
 decision-makers , specialists and the general public .
 This Article determines the role of rational governments , public
 authorities and private organizations in the area covered       by the
 prototype scheme .
 Article 7
  This Article determines the role of the local and regional author! ti es with
  regard to innovative i r.i datives .
 ---pagebreak---                                   - 13 -
Article 8
To ensure the coherence and greater effectiveness of the programme , the
Commission will he involved from the outset in the selection of the
projects financed .
•Thi g; Article sets out the composition , operation and relationship with the
 Commission of the Advisory Committee on which the governments of the Member
 States are represented .
 This body will be consulted by the Commission on any important question
 relating to the implementation of the programme .
 Article 10
  This Article clarifies the Commission's role with regard to the
 dissemination and exchange of information .
  There is provision for the level of Community support to he increased to 75% for
  innovative initiati ves' ( as against 50% , or , exceptionally , 55% , for prototype
   schemes ) in so far as financing by the national government is not possible for
   some of these measures .
  The custanary final provisions .