13
Committee (SPC)43 prepares the work that supports the discourse of the ESP Council. Both Com-
mittees are supposed to work jointly on implementing the OMC with regard to old-age security.44
In the following parts the different approaches of the actors in the emergence of old-age security
on the European agenda will be described, before having a closer look on the current debate on
social indicators and benchmarks as the main instruments of the OMC.
3.2 The relevant actors and their different approaches
The OMC process regarding old-age security started in June 1999 with a Commission communi-
cation on a Concerted Strategy for Social Protection. The four objectives, of which one deals with
old-age security, would be associated with the exchange of information and the monitoring of
policy developments by annual reports drawn by member states and the Commission.45 During the
first half of 2000 the Portuguese Presidency claimed a crucial importance of active employment
policies, and declared that bolstering the sustainability of social security systems depends to a
large extent on the increase of the employment rate within the European Union.46 Moreover, the
European Council of Lisbon defined the OMC in order to tackle problems within politically sen-
47
sitive areas.
As indicated above, the European Council agrees upon the general political guidelines in the pro-
cess of the OMC. For example the Stockholm Council confirmed in March 2001 that “the ageing
society calls for clear strategies for ensuring the adequacy of old-age security systems as well as
of health care systems and care of the elderly, while at the same time maintaining sustainability of
public finances and inter-generational solidarity. Where appropriate, the potential of the open
method of coordination should be used to the full, particularly in the field of old-age security,
sion reforms. The EPC develops indicators, especially for long-term financial sustainability of old-age se-
curity systems and prepares simulations to be carried out by member states. In its work the EPC is sup-
ported by the ‘Working Group on Ageing populations’. Cf. Council of the European Union (2001: 10).
43
Regarding the OMC the SPC assists the ESP Council and the DG ESA in the assessment of national old-
age security strategies, focusing particularly on the adequacy of pensions and adaptation to a changing so-
ciety as a part of the OMC. Similar to the EPC, the SPC assists its ESP Council in drafting the joint Coun-
cil/Commission report on reforms regarding old-age security systems. The SPC develops indicators, espe-
cially for the adequacy and adaptability of old-age security systems. The ‘Indicators Working Group’ sup-
ports the SPC in its work. Cf. Council of the European Union (2001: 10).
44
Cf. Council of the European Union (2001: 10).
45
Cf. Commission of the European Communities (1999).
46
On the Lisbon Council the objective was proposed of increasing the employment rate of the Union to 70
per cent by 2010 - and to 60 per cent for woman. Cf. European Council (2000: 10).
47
A specific mandate was defined for reforms in the area of old-age security. This mandate includes a fore-
cast study on the sustainability of old-age security was to be prepared by the SPC, taking into account the
ongoing work of the EPC in this area. Cf. European Council (2000: 11). The EPC had begun to undertake
an in-depth analysis of the sustainability of national old-age security systems since 1997, see Economic
Policy Committee (1997).