Washington, 4 November 2009 Developing and learning from measures of social inclusion in the EU E. Marlier (CEPS/INSTEAD, LU) B. Nolan (UCD, IE) B. Cantillon, K. Van den Bosch and T. Van Rie (UA, BE) (website:

Washington, 4 November 2009 Eric MARLIER – CEPS/INSTEAD 2 EU SI portfolio: Primary Indicators Income poverty: P1) Poverty risk rate (+ poverty risk threshold) P2) Persistent poverty risk rate (NA yet for EU-27) P3) Relative median poverty risk gap Unemployment & Joblessness: P4) LT unemployment rate P5) Population living in jobless hhds (18-59 & <18) Low educational qualifications: P6) Early school leavers Employment of immigrants:P7) Employment gap of immigrants [NAT] Material deprivation: P8) Population living in materially deprived hhds Housing: P9) Work in progress Access to healthcare: P10) Self-reported unmet need for medical care (+ healthcare utilization) [NAT] Child well-being: P11) Work in progress

Washington, 4 November 2009 Eric MARLIER – CEPS/INSTEAD 3 EU SI portfolio: Secondary Indicators Income poverty: S1) Poverty risk by different breakdowns and PR according to different PR thresholds (40, 50, 70% of median) Low educational attainment: S2) Persons with low educational attainment S3)Low reading literacy performance of pupils aged 15 Material deprivation: S4)Depth of material deprivation Housing: S5) Persons in households with high housing costs S6)Persons living in overcrowded households

Washington, 4 November 2009 Eric MARLIER – CEPS/INSTEAD 4 1. Correlations among the 8 Primary Indicators across EU-27 countries, EU-SILC and LFS, 2007 Poverty risk Poverty risk gap Long-term unemploy ment Adults in jobless households Early school leavers Employment gap of immigrants Material deprivat ion Unmet need for medical care Poverty risk 1,000,81 **0,030,090,38-0,320,55 **0,72 ** Poverty gap 0,81 **1,000,250,190,21-0,180,77 **0,75 ** Long-term unemployment 0,030,251,000,45 *-0,05-0,040,38 *0,13 Adults in jobless households 0,090,190,45 *1,00-0,260,40 *0,27-0,06 Early school leavers 0,380,21-0,05-0,261,00-0,37-0,020,15 Employment gap of immigrants -0,32-0,18-0,040,40 *-0,371,00-0,18-0,25 Material deprivation 0,55 **0,77 **0,38 *0,27-0,02-0,181,000,73 ** Unmet need for medical care 0,72 **0,75 **0,13-0,060,15-0,250,73 **1,00

Washington, 4 November 2009 Eric MARLIER – CEPS/INSTEAD 5 Material deprivation People living in households who cannot afford 3+ of the following items: 1) to face unexpected expenses; 2) one week annual holiday away from home; 3) to pay for arrears (mortgage/ rent, utility bills, hire purchase instalments); 4) a meal with meat, chicken or fish every second day; 5) to keep home adequately warm; 6) to have a washing machine; 7) to have a colour TV; 8) to have a telephone; 9) to have (access to) a personal car.  Aggregate of information focused on some key aspects of material living conditions. The aim is not to cover all the dimensions of social exclusion (i.e., health, employment, education, social participation, etc). Focus on enforced lack and not personal choices.

Washington, 4 November 2009 Eric MARLIER – CEPS/INSTEAD 6 2. Material deprivation & at-risk-of-poverty rates, EU-27, EU-SILC, 2007

Washington, 4 November 2009 Eric MARLIER – CEPS/INSTEAD 7 3. Material deprivation & AROP rates, poverty risk thresholds, EU-27, EU-SILC, 2007

Washington, 4 November 2009 Eric MARLIER – CEPS/INSTEAD 7bis 3bis. AROP rate and PR threshold (in PPS), EU-27, EU-SILC, 2007

Washington, 4 November 2009 Eric MARLIER – CEPS/INSTEAD 7ter 3ter. Deprivation rate & PR threshold (PPS), EU-27, EU-SILC, 2007

Washington, 4 November 2009 Eric MARLIER – CEPS/INSTEAD 8 4. Material deprivation depth for income-poor and non-income-poor population, EU-27, EU-SILC, 2007

Washington, 4 November 2009 Eric MARLIER – CEPS/INSTEAD 9 5. Deprivation (%) & Median PR gap (%), EU-27, EU-SILC, 2007

Washington, 4 November 2009 Eric MARLIER – CEPS/INSTEAD 10 6a. Quartile scores of EU countries for the 6 EU Primary Indicators, EU-SILC and LFS, 2007 Country Poverty risk Poverty risk gap LT unemplo yment Adults in jobless households Early school leavers Material deprivation Poorest performance (- or - -) Best performance (++) Austria Belgium Bulgaria Cyprus Czech Republic Denmark Estonia Finland France Germany Greece Hungary Ireland Italy

Washington, 4 November 2009 Eric MARLIER – CEPS/INSTEAD 11 6b. Quartile scores of EU countries for the 6 EU Primary Indicators, EU-SILC and LFS, 2007 Country Poverty risk Poverty risk gap LT unemplo yment Adults in jobless households Early school leavers Material deprivation Poorest performance (- or - -) Best performance (++) Latvia Lithuania Luxembourg Malta Netherlands Poland Portugal Romania Slovakia Slovenia ++++ NA-12 Spain Sweden ++- NA++ 14 UK

Washington, 4 November 2009 Eric MARLIER – CEPS/INSTEAD 9 Monthly at-risk-of-poverty thresholds (illustrative values) for households with 2 adults & 2 children, PPS, EU-27, 2007  Huge range to be kept in mind when comparing national poverty risks [8 red circles: 1600 PPS]… Source: Eurostat; EU-SILC Income reference year 2006 except for UK (2007) and IE (moving reference period ) BEBGCZDKDEEEIEELESFRITCYLVLT LUHUMTNLATPLPTROSISKFISEUK

Washington, 4 November 2009 More information?  Report prepared by the EU Task-Force on Child Poverty and Child Well-Being (2008):  Report on Tackling child poverty and promoting the social inclusion of children in the EU, prepared for COM by EU Network of non-governmental social inclusion experts (2007):  On some of the main challenges facing the social inclusion strand of the EU Social OMC, including children mainstreaming, social impact assessment of policies and policy analysis: Eric Marlier, AB Atkinson, Bea Cantillon and Brian Nolan (2007): The EU and Social Inclusion: Facing the Challenges, The Policy Press, Bristol  For an in-depth theoretical and empirical discussion of comparative social indicators for use by country and EU in Social OMC: Tony Atkinson, Bea Cantillon, Eric Marlier and Brian Nolan (2002): Social indicators: The EU and Social Inclusion, Oxford University Press, Oxford Eric MARLIER – CEPS/INSTEAD 31

Washington, 4 November 2009 Eric MARLIER – CEPS/INSTEAD 2 For Social OMC as a whole: EU overarching objectives Portfolio of EU overarching indicators plus context info. For social inclusion (SI) strand of Social OMC: EU objectives for SI Portfolio of EU SI primary & secondary indicators plus context information For pensions strand of Social OMC: EU objectives for pensions Portfolio of EU pensions primary & secondary indicators plus context information For health care & long-term care strand of Social OMC: EU objectives for health Portfolio of EU health primary & secondary indicators plus context information Box 1: Social Open Method of Coordination (OMC) Framework

Washington, 4 November 2009 Eric MARLIER – CEPS/INSTEAD 6 Evolution of Material deprivation & poverty risk, %, EU, EU-SILC,