Simpler access to social economy could reactivate thousands of long-term unemployed

Access to social jobs in Flanders must be simplified and accelerated to help thousands of long-term unemployed people back into work, according to HERW!N, the umbrella organisation for social circular entrepreneurs. If procedures are streamlined, some 5,500 people could find employment, the organisation said on Wednesday.
Around 30,000 people in Flanders are currently active in the social economy, working in areas such as thrift shops, organic farming, bicycle repair, social restaurants and green maintenance. For many, regular employment is not, or not yet, an option. Social jobs are therefore tailored to individual needs and provide intensive guidance for people who require extra support.
More than 4,000 long-term unemployed Flemish residents have already lost their benefits. According to HERW!N, a further 27,831 people will follow by 30 June. Over the next two years, this would affect a total of 59,229 people in Flanders. The social economy could absorb a significant share of this group, if the Flemish government removes administrative and regulatory barriers, HERW!N says.
"In particular, access to social jobs must be made easier and the process must be speeded up," said Eva Verraes, director of HERW!N. "That alone would allow the social economy to get 5,500 long-term unemployed people into work."
Economic advantages
HERW!N also argues for the wider use of social clauses in public procurement, reserving certain contracts explicitly for social enterprises. "By providing more social jobs more quickly, budgetary problems will also improve in the long term," Verraes added.
A recent study by HIVA, the research institute for labour and society at KU Leuven, supports that argument. It found that every euro invested in social jobs yields three euros in return. Subsidies for social employment partly replace welfare benefits and generate additional income through work.
The discussion comes amid broader concerns about labour market participation in Belgium, particularly among people who are inactive for health reasons. The country currently has a record number of long-term sick employees. Without policy intervention, that number is projected to rise from 500,000 to 682,000 by 2030.
The federal government wants to curb that increase to fewer than 600,000 by the end of the current legislative term, a move that could save almost 2 billion euros. To achieve this, companies will be pushed to reintegrate sick employees more quickly, for example by extending the period during which employers must pay sickness benefits. The long-term unemployed will also receive closer follow-up and guidance.
#FlandersNewsService | © BELGA PHOTO MAXIME ASSELBERGHS
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