ABSTRACT

This chapter analyses the modes of governance through which the European Union (EU) influences social policies of member states. It argues that the EU influences public policy; welfare state scholars should consider EU-level policy and governance in their analyses. The EU's welfare states–although institutionalised in diverse configurations–provide protection to their citizens against social contingencies, such as ageing, illness and unemployment. The chapter develops the analytical framework, and analyses the three modes of governance are regulation, hard coordination and soft coordination. The EU has no competences to decide upon national social security, the principles of distribution, and the access to social rights or the level of generosity of various benefits. The literature on the Europeanisation of pension reform suggests that EU policy advice on pension reform coincides with the reforms undertaken by member states. The chapter concludes with the implications of EU modes of governance for welfare states and labour markets.