The analysis conducted by the European Commission as part of the European Semester reveals that the inclusion allowance introduced in Italy will lead to an increase in the incidence of absolute and child poverty, of 0.8 and 0.5 percentage points respectively, compared to the regime previous. This is what emerges from the report on social convergence dedicated to our country, which highlights the risk of a reduction in the impact in the fight against poverty due to more stringent eligibility criteria introduced with the new regime. The European Commission’s analysis focused on multiple areas, from education to employment, from poverty to the southern question, highlighting potential risks for social convergence in the country. Despite efforts and progress, especially in the field of employment, it is underlined that with further actions Italy could better face the challenges looming in the fields of the labor market, social protection, inclusion and education.
«The Labor Decree? Insufficient”
Regarding work, the European Commission reports that, despite slight improvements in 2023, “the percentage of fixed-term contracts remains among the highest in the European Union”. This, combined with the high incidence of non-standard forms of work (including seasonal work), “contributes to a decrease in the number of weeks worked per year and fuels inequality and volatility in annual earnings”. Recent reforms, such as the Labor decree, are not yet considered sufficient in solving the problem of precarious contracts.
Low wages
Wages, “structurally low”, also represent a major critical issue, with lower growth than the European Union average and decreasing purchasing power. «Between 2013 and 2022, growth in nominal wages per employee was 12%, half the growth at EU level (23%), and while purchasing power in the EU increased by 2.5%. %, in Italy it was reduced by 2%”, we read in the report. “Wage stagnation, low work intensity and low employment rates, together with a high percentage of single-income families, pose significant risks of in-work poverty,” notes the EU executive.
The government’s response: «Partial analysis»
It doesn’t take long for a reply to arrive from the person directly involved in the matter of competence, our Ministry of Labor and Social Policies, who appears to be little concerned about what has emerged. «The Commission’s analysis is based on a study of a static and partial nature, in the sense that it does not take into account the activation dynamics generated by the new measures and the growth of employment in Italy», declare sources from the ministry, according to which «a overall rating” would probably lead to a more positive analysis. «In practice, it is not on this basis that the effects of the active policies introduced by the government can be fully assessed, because the Citizenship Income has been replaced not only by the Inclusion Allowance, but also by the Support for training and work ( Sfl) which has an essential function of accompaniment at work”, they comment.
