The innovative capacity of enterprises in the social economy, their resilience and ability to adapt in times of crisis and their potential to contribute to a fair and sustainable recovery are unquestionable.
Already in 2010, in the Communication to the European Parliament "Towards a Single Market Act - For a Highly Competitive Social Market Economy" (COM (2010) 608 final), the European Commission clearly indicated the existence of great innovation potential in the field of the social economy and underlined the contribution of this sector to the search for innovative solutions to major socio-economic problems.
The Council of the European Union, in its conclusions entitled "Promoting the Economy as a key driver of economic and social development in Europe” of 7 December 2015, recognised the contribution of the social economy to the achievement of several key objectives of the European Union, including social cohesion, social innovation and environmental protection, and highlighted its capacity to adapt and its resilience to ride out economic crises. In these conclusions, the Member States and the European Commission were invited to develop a series of actions, including the development of "an appropriate ecosystem for social economy enterprises at EU and Member State level in order to unlock their full potential as catalysts for social innovation".
More recently, the European Commission has recognised that the social economy is at the core of the "Local and social economy" ecosystem, one of the fourteen industrial ecosystems identified in the update of the European Union's industrial strategy, in its Communication "Updating the New Industrial Model 2020: Creating a stronger single market for Europe's recovery" (COM/2021/350 final).
On 9 December 2021, the European Commission adopted the European Social Economy Action Plan in its Communication to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions "Building an economy that works for people: an action plan for the Social Economy" (COM/2021/778 final). This Plan indicates that its aim is to promote social innovation, support the development of the Social Economy and boost its social and economic transformative power, proposing a series of actions for the period of 2021-2030.
With the aim of promoting the social economy, the European Commission has drawn up an Action Plan for the Social Economy to create an appropriate legal framework for its balanced and correct development.
Objective
This Action Plan's objective is to provide support to social economy agents in launching new initiatives and in expanding and innovating their entities. To this end, a number of initiatives will be carried out in the following areas:
Time horizon
The time horizon of this Action Plan is set at 2030, with a mid-term review of the level of implementation scheduled for 2025.
In order to achieve these aims, the Plan will act on 10 key points:
The Recommendation also advises States to develop measures aimed at improving business practices and supporting the social economy, promoting the adoption of a business culture that encourages the growth of the social economy, and its social, employment and environmental impact. In this way, it promotes the adoption of measures that foster a more efficient, green and people-centred economy.
Link to the Recommendation.Organise webinars and workshop for civil servants on various policy areas relevant to the social economy.
Launch a new initiative under the Single Market Programme to support the creation of local and regional partnerships between social economy entities and mainstream enterprises.
Improve access to finance for social entrepreneurs (especially in the Western Balkans, Eastern Partnership and EU’s Southern Mediterranean Neighbourhood).
Create a single portal for the social economy in the European Union.
Launch a new Youth Entrepreneurship Policy Academy, promoting youth entrepreneurship in general and, in particular, that of young women.
Launch new financial products under the InvestEU programme aimed at mobilising private finance targeted at the needs of social enterprises at different stages of development.
Support the development of social impact measurement and management to assist social economy stakeholders in the European Union.
Launch a transition pathway for the "proximity and social economy" industrial ecosystem.
Boosting social innovation through a new approach to transnational cooperation under the European Social Fund, and the creation of a new European Centre of Competence for Social Innovation.
To implement these actions, the European Union has made available the NextGenerationEU Funds, which constitute the largest financial package for economic stimulus in the history of the European Union: a total of 2,018 billion euros. These funds are aimed at promoting research and innovation, facilitating a just and affordable climate and digital transition and promoting resilient future (through the Recovery and Resilience Mechanism).
These actions will be carried out with a focus on three important social aspects:
Therefore, the Action Plan is a commitment to creating favourable conditions for the various social economy formulas to flourish and grow to take on greater relevance in the European economic fabric, while raising public awareness of the potential of this economic model.
The European Social Fund (FSE) has historically been one of the key instruments of the European Union to foster social inclusion, quality employment and the improvement of professional skills. In this context, the social economy - made up of cooperatives, worker-owned companies, foundations, mutual companies, fishers’ guilds, special social initiative employment centres or insertion companies, among others - has found in the ESF a strategic partner for its development and consolidation.
Current calls of the ESF+ relating to the Social Economy (Employment, Education, Training and Social Economy Programme)
The European Social Fund Plus (ESF+) is one of eight shared funds established in the Common Provisions Regulation (CPR) for the period 2021-2027 (Regulation (EU) 2021/1060 of the European Parliament and of the Council of 24 June 2021).
With a total budget of €142.7 billion, the ESF+ represents a key instrument to foster the social, education and training policies of the European Union, including support for structural reforms in these spheres. Spain has a forecast allocation of over €11 billion for the period 2021-2027.
At national level, a number of programmes co-financed by the ESF+ have been rolled out to tackle different priority areas. Among them are the ESF+ Employment, Education, Training and Social Economy (ÉFESO) Programme, aimed at improving access to employment, fostering entrepreneurship and strengthening the fabric of the social economy.
In this context, the Spanish Social Economy Business Confederation (CEPES), as Intermediate Body of the ÉFESO Program, has launched the “Call for the Strengthening of Social Economy Entities and Enterprises” for the period 2025-2027.
This call, launched on a competitive bases, is to select projects co-financed by the ESF+ that promote growth, strengthening and consolidating social enterprises, with a special focus on cooperatives, worker-owned companies, fishers’ guilds and mutual societies.
All the information on this call is available at the following link: https://fse.cepes.es/convocatorias
Previous calls of the EFS relating to the Social Economy (POISES)
In its role as Intermediate Body, CEPES managed the co-financing of the projects with the European Social Fund (ESF) within the framework of the Operational Programme for Social Inclusion and Social Economy (POISES), within the European Union’s Multiannual Financial Framework 2014–2020.
During the execution of the POISES, CEPES led the management of over 120 projects that show the transformative nature of the social economy, structured around two primary investment priorities.
Firstly, Investment Priority 8.3 drove the creation of quality employment by supporting entrepreneurship and boosting the competitiveness of social enterprises. Thanks to these projects, over 13,000 people participated directly, drafting close to 2,000 company plans, and the incorporation of over 1,100 new entities is predicted, a real lever to generate opportunities and business fabric with values.
Meanwhile, Investment Priority 9.5 boosted the social commitment of the sector, supporting entities that promote the integration of vulnerable groups into the labour force. Over 4,300 persons at risk of exclusion were assisted, 2,500 kept their jobs and over 350 companies improved their management and processes, consolidating a more inclusive and resilient ecosystem.
Both lines of action demonstrate that the social economy not only creates employment but does so with equity, cohesion and real impact in the regions.
All the information on these calls is available at the following link: Catalogue of Projects co-financed by the ESF.
